What's better than a Bottle o' Scrumpy and a Sticky Bomb Launcher? A Haunted Sword and Shield you say?
The Eyelander sure sounds interesting to say the least. Looks like you'll have a lower max health to start with, but with each hit you'll get a small speed boost and a higher max health. I'm also going to go ahead and assume you'll have a slower swing speed as well, since the Sword is apparently so large, and also no critical-hits unless the "Chargin' Targe" is equipped. Also, decapitations on death blows are a nice addition - expect to see heads rolling all over the place once the update is out.
The Chargin' Targe looks like it's going to change up the playstyle of the Demoman completely though. He'll be much more durable, with less fire damage and blast damage as a result, as well as a charge-up attack that's comboed with the melee weapon by the looks of it.
Either way, it seems like the Demoman's close-range issues are being somewhat solved.