3 days ago
Welsh Government 'rushed' purchase of festival farm, now worth half a million pounds less
Wales
Politics
The Welsh Government made 'avoidable mistakes' during the 'rushed' purchase of a Powys farm that is now worth half a million pounds less than it cost, according to a report by the Senedd's watchdog committee.
Gilestone Farm, near Talybont-on-Usk, was bought in 2022 for £4.25m, as part of a plan to secure the future of the Green Man Festival, a plan that was finally scuppered when nesting ospreys were discovered on the site.
But the Senedd's Public Accounts and Public Administration committee has found what it calls 'signifiant failings in the handling of the acquisition".
The committee's report says that the purchase was 'rushed' because of end-of-year budget pressures. It says the property, which is still owned by the Welsh Government but run as a working farm, is now worth half a million pounds less than its value in 2022.
The Welsh Government insists that it followed 'proper processes' in buying the farm and that it continues to explore 'potential opportunities for its future use".
Mark Isherwood, who chairs the Public Accounts and Public Administration committee, said: 'The Committee is deeply concerned by the Welsh Government's handling of the purchase of Gilestone Farm.
"While we recognise the importance of acting swiftly to support the creative sector, this decision was taken with avoidable haste and without the thorough due diligence that the public rightly expects. It raises serious questions about internal processes and the robustness of governance structures.
'Furthermore, the Welsh Government must do more to ensure that communities are not only consulted but genuinely listened to. Engagement must be meaningful, inclusive, and consistent.
'The significant loss in the value of the property is particularly notable in the current financial climate, and we expect the Welsh Government to clarify its future intentions for the site and to set out how it will mitigate the financial loss to the public purse.
'To ensure lessons are learned, the Committee will want to carry out further work looking at the Welsh Government's approach to property investments, to assess whether current processes are sufficiently rigorous and fit for purpose.'
The Welsh Government will now consider the report and issue its response. A spokesperson said: 'Gilestone Farm was acquired in 2022, following proper processes and in keeping with market values at the time, in order to support the growth of the Creative Sector in Wales and a stronger Mid-Wales economy.
'We were delighted to learn in August 2023 of the arrival of the pair of mating ospreys, which returned in 2024, and again this year. Their first egg hatched in early June 2025. This is believed to be a first for the Usk Valley in at least 250 years and marks an important milestone in the protection of this important species.
'The arrival of the ospreys necessarily impacted on the planned use of the farm, and the original project had to be stopped. Gilestone remains one of the Welsh Government's property assets, and is being managed on our behalf as a working farm. We continue to explore potential opportunities for its future use, in keeping with our commitment to seek a sustainable outcome that helps local communities thrive.
'We will read the Committee's report with interest, and respond in due course.'
The Welsh Conservatives have renewed their criticism in the wake of today's report. Brecon and Radnorshire MS, James Evans, said: "The purchase of Gilestone Farm should never have happened in the first place and the process around its purchase raises serious questions about Welsh Government internal procedures.
'The Labour Government has spent millions without a full, open tendering process or meaningful engagement with the community. Public funds must be spent with care and due diligence.
'The next time the Labour Government reaches for the cheque book, they should listen to local concerns and act with far greater transparency. In the meantime, Gilestone Farm remains the most expensive publicly owned 'bird nest' in history.'
