Posted: Wed 12th Aug 2026

Decision Expected Soon on Plans for Homes and Industrial Estate in Hay-on-Wye

A DECISION on plans for dozens of homes and a mini-industrial estate to be built on the outskirts of a world-famous Powys town is expected soon.
Earlier this summer Hay-on-Wye developments limited and Tai Derw developments limited lodged a “hybrid’ planning application with Powys County Council.
The first part is for a full planning permission to build 84 homes on land at Gipsy (correct) Castle Lane on the outskirts of Hay.
The second part of the application is an outline scheme for “employment development” which would settle the principle pf developing a site with B1, B2 and B8 planning class uses.
This means that the site would be able to cater for uses that include offices, research and development, light industry, general manufacturing, warehouses and distribution centre.
Documents by BHB architects explain the proposals.
BHB said:  “The vision is to create a distinctive and high-quality mixed-use scheme in response to the need for residential housing and employment sites within Hay-on-Wye.
“The site is approximately half a mile,  a short 10 – 15-minute walk, away from the town centre.
“A hybrid approach is being taken because at this early stage in the development there is no occupier identified for the employment units .”
Moving on to the housing part of the scheme – the developers say that 25 units would be “affordable homes” and a further 25 homes would be for “social rent housing.”
The 84 units would be a mix of: 12 one-bedroom flats, 10 three person two-bedroom houses, 22 four person three-bedroom houses, 25 five-person three-bedroom houses, 12 five-person three-bedroom corner houses and three six person four-bedroom houses.
BHB continued: “The proposed layout includes a mix of detached, semi-detached and short-terraced dwellings as-well as two corner-blocks of walk-up apartments each containing six apartments.
“The residential development layout promotes a coherent and legible street pattern, with strong frontages and active edges.”
They add that footpaths and cycleways are integrated throughout the site to provide connections with existing infrastructure, such as the National Cycle Network which runs along the lane which means that people could easily walk and cycle on to the Hay Festival Site to the town centre and other areas.
BHB said:  “The proposals deliver a meaningful and policy-compliant contribution to affordable housing, alongside the provision of employment land that will support local economic growth.
“In doing so, the scheme addresses both social and economic priorities, contributing to the long-term vitality and resilience of Hay-on-Wye.
“Overall, the development represents a coherent and well-integrated mixed-use scheme that accords with national policy, including Future Wales, and the Powys Local Development Plan (LDP).
“It demonstrates a clear commitment to good design principles, place making and environmental responsibility and are considered to represent a sustainable, deliverable and high-quality form of development that responds appropriately to the site and its context and will provide lasting benefits to the local community.”
A decision on the application is expected later this month. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

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By BBC LDRS ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​



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