Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 4th September 2019

(4 years, 8 months ago)

Commons Chamber
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Bambos Charalambous Portrait Bambos Charalambous (Enfield, Southgate) (Lab)
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10. What recent economic assessment he has made of the potential effect on Wales of the implementation of the withdrawal agreement.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The best outcome for Wales and the Welsh economy is that the UK leaves the European Union in an orderly manner with a deal. We will continue to work with energy and determination to make sure that that happens. However, the UK will be leaving the European Union on 31 October.

Wayne David Portrait Wayne David
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Given that 90% of Welsh lamb is exported to other countries in the European Union, does the Secretary of State still believe that, in the event of a no-deal Brexit, a viable alternative market will be Japan?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman makes a good point. I met the Farmers Union of Wales yesterday, and I will be meeting NFU Cymru quite soon. The Japanese market is a new market that opened in January. It is wholly separate from the free trade agreement that the European Union has with Japan, so there has been lots of misreporting that the hon. Gentleman fails to recognise and understand. However, his constituency voted to leave the European Union—why is he trying to stop the process?

Bambos Charalambous Portrait Bambos Charalambous
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Will the Secretary of State confirm what conversations his Government colleagues have had with the manufacturing industry concerning a hard Brexit?

Alun Cairns Portrait Alun Cairns
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I am grateful to the hon. Gentleman, because manufacturing is an extremely important part of the Welsh economy. Wales has the fastest growth in the manufacturing sector across the whole of the UK economy. The Welsh manufacturing sector is in good strength, and I look forward to the new opportunities after we have left the European Union.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
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This House has rejected the withdrawal agreement on three occasions, and it is therefore a dead letter. Given that the people of Wales voted to leave the European Union, does my right hon. Friend agree that we have a positive obligation to deliver Brexit and that that is less likely to be achieved if this House decides to pass the Bill that it will be considering later today?

Alun Cairns Portrait Alun Cairns
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My right hon. Friend is absolutely right. I pay tribute to him for his work in this area. The Welsh and the British public want Members in this place to act on the result of the referendum, to draw a line and move on, and to focus on growing and supporting the Welsh and the UK economies for the opportunities after we have left the European Union.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
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Does my right hon. Friend agree that the 594 pieces of legislation that this Parliament has passed in the event of a no-deal Brexit and the corresponding pieces of legislation passed in Brussels mean that the future for Wales, whether it be deal or no deal, is bright?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is absolutely right. The UK Government are making comprehensive preparations, in the event of a deal or in the event of no deal, to best position the UK and the Welsh economy to take the new opportunities as we leave the European Union. I am determined to work with colleagues right across Whitehall to ensure that Wales is at the forefront of their thinking.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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Last night, 85% of Welsh MPs voted against no deal, including some very honourable Members who braved their own Whip. No deal has no mandate from the people and no mandate from Parliament. Is the Secretary of State proud of being complicit in his Administration’s attempt at pushing through an anti-democratic, damaging version of Brexit by silencing Welsh MPs who are representing our nation’s best interests?

Alun Cairns Portrait Alun Cairns
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The right hon. Lady’s party jointly published a document, “Securing Wales’ Future”, with the Welsh Government, which said that they would honour the outcome of the referendum. The reality is that the right hon. Lady and her party are frustrating the process. People in Wales want to draw a line and move on.

Liz Saville Roberts Portrait Liz Saville Roberts
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Evidently the Prime Minister has a kennel of little pet dogs. As this place descends into further chaos, when the Senedd is recalled early tomorrow, Plaid Cymru will be calling for a Welsh national constitutional convention, to look at the options for Wales’s constitutional future. Can the Secretary of State confirm whether his party will get behind this national conversation, or will his seniors—the Minister for the Union and his advisers—stifle every attempt at our nation’s democracy?

Alun Cairns Portrait Alun Cairns
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The right hon. Lady claims to be the leader in Westminster of the party of Wales, but she fails to remember and to act on the instruction that came from the people of Wales to leave the European Union. She is seeking to frustrate the process. She is causing uncertainty to the Welsh economy, which is undermining business confidence.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
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I have listened intently to the Secretary of State’s answers, and I am struggling, because he appears to be totally out of touch with what is going on in this place and in Wales. Does he now believe that the backstop is anti-democratic and risks undermining the Good Friday agreement, as his current boss claims?

Alun Cairns Portrait Alun Cairns
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The hon. Lady did not support the withdrawal agreement—she voted against it—which has contributed to the current circumstances. Does she genuinely recognise and want to act on the instruction that came from the Welsh people, which is to leave the European Union? We need to draw a line.

Christina Rees Portrait Christina Rees
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That is another non-answer from the Secretary of State, among many. I thought the system here was that I ask the questions and he answers them, unless I have got it wrong or he wants to swap positions. I will ask him again: why did he vote for the backstop three times under his previous boss? Was that to curry favour and keep his job then, or is he trying to keep his job now, or both?

Alun Cairns Portrait Alun Cairns
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I am seeking to act on the democratic will of the Welsh and British people, and I am also seeking to respond to the demands that have been made in Parliament. The withdrawal agreement has been killed three times. We are working energetically and enthusiastically with our European allies in order to come back to this House with a deal, so that we can move on and focus on growing the economy and delivering on public services.

Liz Twist Portrait Liz Twist (Blaydon) (Lab)
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3. What assessment he has made of the economic effect on low-income families of the roll-out of universal credit in Wales.

--- Later in debate ---
Scott Mann Portrait Scott Mann (North Cornwall) (Con)
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6. What steps the Government are taking to establish the shared prosperity fund.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular discussions with my Cabinet colleagues on a range of issues, including the UK shared prosperity fund. The Government are committed to consulting widely on the design of the fund, which will provide a real opportunity to strengthen the bonds of the Union through a programme of investment to tackle inequalities between communities.

Alison Thewliss Portrait Alison Thewliss
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That does not really tell us very much. The Government snuck out a statement pre-recess, with no guarantees and a very vague promise of consultation. Can the Secretary of State tell me today whether Wales and Scotland will be able to set their own priorities under the shared prosperity fund, or is this just another blatant Westminster power grab?

Alun Cairns Portrait Alun Cairns
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Wales has received more than £4 billion—or almost £5 billion—over the last 17 years or more, but remains the poorest part of the UK. This is a once-in-a-generation opportunity to change that funding, so it can be more responsive to the needs of communities, rather than perhaps centralised bureaucrats.

Scott Mann Portrait Scott Mann
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Like Wales, Cornwall has benefited from the European regional development fund and objective 1 funding. Can I ask what representations the Welsh Secretary is making to the Treasury to ensure that small businesses are able to bid in, because that was the big problem with the funding in the previous round?

Alun Cairns Portrait Alun Cairns
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My hon. Friend makes an excellent point. He talks about the engagement of the private sector and small businesses, particularly with what are currently European programmes, and the difficulty they have had. The UK shared prosperity fund will allow us to respond to the demands of businesses in my hon. Friend’s constituency and right across Wales.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
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13. The Ebbw Vale to Cardiff train line is critical for Blaenau Gwent’s economy. It needs track, bridging and signalling work to run more trains an hour, but Wales has received just 2% of rail enhancement funding since 2011, so the shared prosperity fund would really help here. Will the Secretary of State meet me, Transport Ministers and the Welsh Government to help provide funding and improve this line for Blaenau Gwent?

Alun Cairns Portrait Alun Cairns
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I will happily work constructively with the hon. Gentleman, as I regularly do—I pay tribute to the work he has been doing to highlight the challenges and opportunities that the Ebbw Vale railway line brings—and I will meet him and our colleagues. I would highlight, however, that Cardiff Central is also important to the network in and around south Wales. The renewal of the station, which we have announced, has been well received within the region, as has the new West Wales Parkway, which will take tens of minutes off journey times between Cardiff and west Wales.

Glyn Davies Portrait Glyn Davies (Montgomeryshire) (Con)
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Can the Secretary of State give this House an assurance that every part of Wales—not just west Wales and the valleys, but every part of Wales, including mid-Wales—will be in a position to benefit from the funding opportunities that will arise from the UK shared prosperity fund?

Alun Cairns Portrait Alun Cairns
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May I pay tribute to my hon. Friend for highlighting and championing this cause for some time? He recognises that some of the poorest wards in Wales are outside the current European rules about where money can be spent. His constituency is one and my constituency is another, so reshaping the UK shared prosperity fund will give us an opportunity to support his most vulnerable constituents and others, wherever else they are in Wales.

Albert Owen Portrait Albert Owen (Ynys Môn) (Lab)
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Agencies, small businesses and local authorities are making post-2020 plans now. What assurances can the Secretary of State give those businesses and agencies that the money will become available, and how will they manage to access this money?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman makes an important point. Even if we were remaining in the European Union and we had not had the referendum, there would be no clarity on his question from a European perspective. The way in which the Labour party is prolonging the Brexit debate means more uncertainty for community groups that want to benefit from the post-Brexit policies, such as the UK shared prosperity fund.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
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5. What recent discussions he has had with the Chancellor of the Exchequer on economic preparations for the UK leaving the EU without a deal on 31 October 2019.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular discussions with Cabinet colleagues. We would prefer to leave the European Union with a deal, but if it is not possible, we will leave without a deal, and the Government are committed to preparing for this outcome.

David T C Davies Portrait David T. C. Davies
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Wales will benefit from Brexit with or without a deal. Does the Secretary of State agree that we could deliver an extra boost to the economy of south Wales by devolving air passenger duty to the Welsh Government, allowing them to cut that tax in Wales, which would put Wales on an equal footing with Scotland and Northern Ireland?

Alun Cairns Portrait Alun Cairns
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My hon. Friend has made many points. I pay tribute to the research and report that the Welsh Affairs Committee, which he chairs, has published. It has recently received a response from the Government. It highlighted that this is one aviation market. Therefore, we cannot act in a way that would benefit one part and destroy another. I fear that the Welsh Government would increase air passenger duty in Cardiff and make the airport even more uncompetitive.

David Hanson Portrait David Hanson (Delyn) (Lab)
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What provision have the Government made to support Welsh farmers in the event of a 40% tariff on 1 November?

Alun Cairns Portrait Alun Cairns
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I met the Farmers Union of Wales yesterday to discuss the challenges and opportunities that Brexit will bring. I plan to meet NFU Cymru shortly. We recognise that there are new markets that we need to be exploring. I have already highlighted Japan as one of those markets, but there are many more.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
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To continue that point, 40% of the UK’s sheepmeat is exported tariff-free to the EU. Yesterday, our shadow team met the FUW, which said that on 1 November there will be a huge lamb market in Dolgellau. If we crash out of the EU without a deal on Halloween, the lamb export market will disappear overnight. The lambs in Dolgellau will have no market value and will be culled, buried or sold off as pet food. Which of those options does the Secretary of State think is the best?

Alun Cairns Portrait Alun Cairns
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Our record supporting rural Wales and the rural economy across the whole of the UK is strong. It compares favourably with the hon. Gentleman’s performance. I hardly saw him as the champion of Welsh agriculture in the past.

Andrew Bowie Portrait Andrew Bowie (West Aberdeenshire and Kincardine) (Con)
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7. What recent discussions he has had with the Welsh Government on planning for the UK leaving the EU without a deal.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular discussions with Welsh Government Ministers on a range of issues, including preparations for leaving the EU. Within days of the Prime Minister’s appointment at the end of July, the Prime Minister and I met the First Minister in Cardiff. Naturally our departure from the EU was central to these discussions.

Andrew Bowie Portrait Andrew Bowie
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I thank my right hon. Friend for that answer. There are some concerns that the devolved Administrations might not be as ready as this Government for a no-deal exit. Can he confirm that this Government are doing all they can to ensure that the entire UK is ready to leave, come what may, on 31 October?

Alun Cairns Portrait Alun Cairns
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My hon. Friend has hit the nail on the head. The devolved Administrations are invited to the exit planning committees that the UK Government hold. They are fully aware of the proactive, positive steps and measures that we have introduced in preparation for leaving the European Union. I am only disappointed that the same courtesy and invitation have not been extended by the Scottish and Welsh Governments, which would allow and give us the same confidence.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
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The Secretary of State talked about manufacturing and the economy. The impact of Tata’s announcement on Monday that it will close Cogent’s Orb steelworks will be keenly felt in Newport. It is devastating news for workers and their families. Will he meet me urgently to discuss what the Government will do?

Alun Cairns Portrait Alun Cairns
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Absolutely. I will meet the hon. Lady and work with her to co-ordinate our response. I recognise the priority she has placed on this operation for some time and she highlighted some of the risks and concerns she had some time ago. Yesterday, I spoke to Roy Rickhuss from Community union. I have, naturally, also spoken to Tata. We are working with the Department for Business, Energy and Industrial Strategy in terms of challenging the issues that Tata is raising to seek to bring it to the most competitive position possible.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
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With reports that the British Government are stockpiling body bags as part of their no-deal Brexit preparations, what assessment has the Secretary of State undertaken of the amount of Welsh people who may die as a result of medical shortages for a no-deal Brexit?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman, by supporting the motion last night and the Bill this evening, is simply prolonging the uncertainty. The Welsh people and the British people want certainty about our exit from the European Union. We are determined to leave at the end of October. We would like to leave with a deal—that will give us the smoothest possible exit—but at least we can plan for the opportunities the future brings. [Interruption.]

John Bercow Portrait Mr Speaker
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Order. I appeal to the House to calm down. There are a very large number of noisy private conversations taking place, which, at the very least, is rather discourteous to and disrespectful of the people of Wales.

--- Later in debate ---
Peter Bone Portrait Mr Peter Bone (Wellingborough) (Con)
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12. What assessment he has made of the potential benefits to Wales of the UK leaving the EU on 31 October 2019.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The Welsh economy approaches EU exit from a strong position. Leaving the EU will allow us to shape our own ambitious trade and investment opportunities, putting Wales and the wider UK at the forefront of global trade and investment.

Peter Bone Portrait Mr Bone
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My gosh, Mr Speaker, the Minister has answered the question for me. I cannot ask a supplementary.

Alun Cairns Portrait Alun Cairns
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We can take great pride in how the economy has performed since the referendum took place: record levels of employment; low levels of unemployment; and inactivity levels in Wales now that are better than the rest of the UK for the first time in decades. I look forward to the opportunities being a participant in new free trade agreements right around the world will give to the Welsh economy.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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rose—[Interruption.]

Chris Bryant Portrait Chris Bryant
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I’m not sure it’s worth it, to be honest. [Laughter.] If the UK leaves the European Union without a deal, how will Welsh farmers be able to sell their lamb in the European Union?

Alun Cairns Portrait Alun Cairns
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I have already mentioned the positive engagement that we have with the farming and rural affairs community, and the new markets that are open to us. The hon. Gentleman, by voting last night in favour of a motion and by supporting the Bill tonight, will just prolong the uncertainty and will not allow farmers to prepare. We are determined to leave the European Union. We want to leave the European Union with a deal, but we must draw a line and move on to exciting economic opportunities thereafter.

Christian Matheson Portrait Christian Matheson (City of Chester) (Lab)
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14. What recent economic assessment he has made of the effect of the removal of tolls on the Severn bridge.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 26th June 2019

(4 years, 10 months ago)

Commons Chamber
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Stephen Doughty Portrait Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)
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1. What recent assessment he has made of the potential effect on manufacturing in Wales of the UK leaving the EU without a deal.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The manufacturing sector is of vital importance to the Welsh economy. The UK’s modern industrial strategy plays a key part in supporting industry. We want to get a deal with the European Union to give a smooth and orderly exit.

Stephen Doughty Portrait Stephen Doughty
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The Secretary of State says that he wants to get a deal, yet he is backing a candidate for the Conservative leadership who advocates no deal. With the news from Ford, Airbus, Honda and Nissan, and from so much of Welsh manufacturing industry and the steel industry, how on earth can he, as Secretary of State, justify that position? Or is he simply trying to keep his job?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman is highly selective in what he cites. If he heeds the calls of some of the employers he mentioned, he will know that they supported the deal that came before Parliament and urged him to vote for a deal. By definition, his voting against the deal made no deal far more likely.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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Does my right hon. Friend agree that the opportunities for manufacturing in Wales when we leave the European Union will be to supply the rest of the United Kingdom with goods and services?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is absolutely right. Manufacturing in Wales is more productive than the UK average, so is well placed to take the new opportunities both in the UK and globally that will arise as a result of our leaving the European Union. Like both leadership candidates, I would prefer to have a deal than not to have one.

Hywel Williams Portrait Hywel Williams (Arfon) (PC)
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How many Welsh exporting manufacturers are moving workers to the EU27 to set up front offices, distribution centres and so forth, and what help are the Government giving them to export Welsh jobs?

Alun Cairns Portrait Alun Cairns
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I am grateful to the hon. Gentleman for providing me with the opportunity to highlight the Welsh economy’s export record. Exports are now at £17.7 billion—that is a 7.5% increase, which highlights how the Welsh economy is exporting strongly and at record levels.

Jeremy Lefroy Portrait Jeremy Lefroy (Stafford) (Con)
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As someone who started his working life at Ford in Bridgend, may I ask the Secretary of State what he is doing to ensure that high-quality, high-value manufacturing jobs are going to continue at that excellent site, which has such good rail and road connections?

Alun Cairns Portrait Alun Cairns
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I am grateful to my hon. Friend; with his local knowledge, having worked at the plant, he truly understands the value of the skills that the people there bring. Those skills are a real incentive to attract further investment. Along with the Welsh Government, we have set up a joint taskforce that will be led by Richard Parry-Jones, an industry expert who is best placed to make recommendations to the Government. We look forward to receiving that report shortly.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
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Given the almost daily news of business closures in Wales as a result of Brexit uncertainty, and the real prospect of no deal, how can the Secretary of State justify his support for a candidate to be Prime Minister who is prepared to sacrifice thousands of manufacturing jobs in Wales to further his own personal ambition? Does the Secretary of State think it is a “do or die” Brexit?

Alun Cairns Portrait Alun Cairns
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I am disappointed that the hon. Lady looks to undermine the Welsh economy. She needs to recognise that unemployment is at record low levels, economic activity is at record high levels, exports are growing and manufacturing is prospering. When it comes to Brexit, she also needs to recognise that when she voted against the deal on 29 March, she was the one who increased the prospect of no deal.

Christina Rees Portrait Christina Rees
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The last thing I would do is undermine Wales. I am proud of my country and I am proud to have represented Wales many times. When you pull on that red jersey, Mr Speaker, there is nothing like it.

I will try again: given the Secretary of State’s apparent support for a no-deal Brexit as a price worth paying to keep his own job, what can he possibly say to people in Wales who stand to lose their manufacturing jobs as a result of his Government’s catastrophic mishandling of the Brexit negotiations?

Alun Cairns Portrait Alun Cairns
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I highlight the fact that manufacturing is doing well in the Welsh economy, with 12,000 more manufacturing jobs in the economy now than there were in 2010. There are now 4,000 more manufacturing jobs in the Welsh economy than there were last year. Manufacturing employers would like to see a deal with the European Union; perhaps the hon. Lady should explain why she has voted against a deal with the European Union. Furthermore, she needs to explain why she is rejecting the will of the Welsh people, who voted in stronger numbers than the UK average to leave the European Union.

Geraint Davies Portrait Geraint Davies (Swansea West) (Lab/Co-op)
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2. What recent assessment he has made of the potential effect on the Welsh economy of the withdrawal agreement on the future relationship between the UK and the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The Government are clear that the best outcome for Wales and the Welsh economy is that the UK leaves the European Union in an orderly manner with a deal. That is why I voted for one on three separate occasions.

Geraint Davies Portrait Geraint Davies
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The Secretary of State knows that, if we stay within the EU, British people will get a 20% uplift in structural funding to £440 per person. Will he ensure that, in the event of our leaving with a deal, that money is sustained completely with a new UK prosperity fund? If we have a no-deal outcome, there will, quite simply, be no structural funding and we will hit a cliff edge, and more firms like Tata, Airbus and Ford will leave on his watch.

Alun Cairns Portrait Alun Cairns
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I do not recognise any of the hon. Gentleman’s comments. Let me ask him this one question: does he recognise that Swansea voted to leave the European Union in higher numbers than the national average, and, if so, why does he reject the will of his constituents?

Stephen Crabb Portrait Stephen Crabb (Preseli Pembrokeshire) (Con)
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Many Welsh businesses will be able to cope with a no-deal Brexit, but one sector that the Secretary of State and I know will not be able to cope is sheep farming. Will he confirm whether he has had any discussions with the Secretary of State for Environment, Food and Rural Affairs about an income protection measure or a compensation package for hill farmers when their industry gets decimated under a no-deal Brexit?

Alun Cairns Portrait Alun Cairns
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My right hon. Friend makes an extremely important point and highlights the importance of the agriculture sector, specifically sheep farming, to the Welsh economy. Clearly, it is our will to protect that sector in every possible way that we can, but the best way to protect it is to get a deal with the European Union. I have voted on three separate occasions for the deal. I think that Opposition Members need to explain why they have voted against a deal, because, by definition, that creates a higher chance of our leaving the European Union without a deal. They would need to explain that to their constituents.

Chris Evans Portrait  Chris  Evans  (Islwyn)  (Lab/Co-op)
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12. Yesterday, I met a managing director of a local manufacturing company who imports most of his goods through ports. He is stockpiling raw material at the moment, which is affecting his cash flow and his future plans. The Secretary of State went to Holyhead in April and spoke about the importance of ports, saying that we needed a deal. Now he has said recently that we need to prepare for no deal. I must tell him that his comments have deeply concerned that chief executive officer. If we do end up with a no deal, what would he say to him?

Alun Cairns Portrait Alun Cairns
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I want a deal with the European Union. I have voted for a deal with the European Union on three separate occasions. I suspect that the employer to whom the hon. Gentleman has spoken would have supported a deal with the European Union. Perhaps he should have explained why he voted against that, because that has clearly increased the uncertainty, which is not good for anyone. He needs to look at himself and his colleagues and consider why they voted to block the deal.

Glyn Davies Portrait Glyn Davies (Montgomeryshire) (Con)
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Along with the Secretary of State, I supported the withdrawal agreement the three times it came before Parliament because of the impact that it will have on my constituency, and particularly on the sheep farming industry. Will the Secretary of State go to the Royal Welsh show and explain to the farming unions that he, I and both of the candidates who might be Prime Minister are very supportive of reaching a deal with the European Union that will protect the future of my constituency and the sheep farming industry in particular?

Alun Cairns Portrait Alun Cairns
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I pay tribute to my hon. Friend for his strong record in this area. Yes, I am looking forward to my visit to the Royal Welsh show. That will give me an opportunity to continue my ongoing proactive dialogue with the agriculture sector and with the farming unions in particular. I have spoken to both leadership candidates, and both recognise the importance of agriculture to the UK economy and the significance of the agriculture sector in Wales. They believe that it is best to leave the European Union with a deal, but will take positive steps to protect those industries in the absence of a deal.

John McNally Portrait John Mc Nally (Falkirk) (SNP)
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14. Brexit has serious implications for Welsh farmers, with an average of 80% of a farmer’s income in Wales coming from direct payments received through the EU’s common agricultural policy. The Secretary of State is backing a contender for Prime Minister who, during the referendum campaign, promised farmers that their subsidies would remain as they are after Brexit. Can the Secretary of State give a guarantee that the right hon. Member for Uxbridge and South Ruislip (Boris Johnson) will not pursue any Brexit policy that harms the lives and the livelihoods of farmers and that impacts on agriculture?

Alun Cairns Portrait Alun Cairns
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I am excited about our prospects outside the European Union—clearly having had the privilege of travelling internationally. A deal on beef exports was agreed last week between China and the UK, and we continue our dialogues in relation to other products and foodstuffs. That demonstrates the markets that are available. The hon. Gentleman is absolutely right that it is better to get a deal with the European Union, because that would give us a smooth and orderly exit, but if he will continually vote against the deal with the European Union, by definition he will increase the chances of a no deal.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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The Secretary of State is easy about a no-deal Brexit, which threatens to create a perfect storm for sheep farmers in Wales—and his Government are going to have to own it. Tariffs of 46% are set to kick in on 31 October, to coincide exactly with the season when mountain lambs come to market for export. There is a mart in Bala on 31 October. Will he join me there and tell farmers to their face why the value of their lambs has gone through the floor?

Alun Cairns Portrait Alun Cairns
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I remind the right hon. Lady that farming unions in Wales strongly supported the deal agreed by the Prime Minister and the European Commission. Would she stand at their mart, look them in the eye and tell them that she voted against their wishes and for a no-deal position? That is exactly what she did on three separate occasions.

Liz Saville Roberts Portrait Liz Saville Roberts
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So that is the Secretary of State failing to take responsibility, then. He talks up the threadbare benefits of his insular Union while denigrating the real rewards of the European Union. The majority of Tory party members would sacrifice the United Kingdom for Brexit. Will he therefore tell me which is closest to his heart—his beloved Brexit, on which his career depends, or his precious Union?

Alun Cairns Portrait Alun Cairns
- Hansard - -

There is no doubt that Wales prospers fantastically through being part of the United Kingdom, and there are great opportunities for the United Kingdom outside the European Union. I want to maintain a very close trading relationship with the European Union, which is why I would strongly prefer to have a deal. As a passionate Welsh lady, the right hon. Lady will recognise that Wales voted to leave the European Union. We are trying to honour the outcome of the referendum and maintain a close trading relationship so that farmers, manufacturers and service providers in Wales can continue to trade with the European Union and globally.

Liz McInnes Portrait Liz McInnes (Heywood and Middleton) (Lab)
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3. What recent discussions he has had with (a) Cabinet colleagues and (b) the Welsh Government on the effect of the industrial strategy on the Welsh economy.

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Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
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6. What recent steps the Government have taken to support steel producers in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

The Government are extremely supportive of the Welsh steel sector. Since the European Commission blocked the Thyssenkrupp joint venture, I have met unions and management to discuss the challenges and opportunities.

Tom Pursglove Portrait Tom Pursglove
- Hansard - - - Excerpts

As well as the success of the industrial strategy in supporting UK steel making, and the adoption of the new UK steel charter, what more can we do to support and promote the whole UK steel supply chain through the GREAT Britain campaign?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I again pay tribute to my hon. Friend for his role in supporting the steel sector in Corby. He will be well aware that five major steel producers have come together on this. In addition, the Government are supporting a sustained manufacturing hub led by Swansea University that will not only be of direct benefit to the steel industry in Wales but will have a significant impact on the steel sector in his constituency. That demonstrates the great strength of the industrial strategy.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
- Hansard - - - Excerpts

Tata’s Cogent Power in my constituency has huge potential to develop electrical steel in the automotive industry and electrification, but it needs Government support to help to develop the supply chain, which I wrote to the Secretary of State about recently. Will he come and see for himself by visiting the Orb plant?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I would be happy to support the hon. Lady and Orb in Newport. It is an important site that employs 350 people. As the manufacturing sector is doing well in Wales, I think there is a great future for the plant.

Karin Smyth Portrait Karin Smyth (Bristol South) (Lab)
- Hansard - - - Excerpts

7. With reference to the closure of the Ford plant in Bridgend, what assessment he has made of the strength of the Welsh economy.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I am extremely disappointed with Ford’s intention to close its Bridgend plant in 2020. However, this bad news is not a reflection of the Welsh economy as a whole.

Karin Smyth Portrait Karin Smyth
- Hansard - - - Excerpts

No wonder the Secretary of State does not want to answer the question, because the Government are being totally complacent. I have no doubt that the closure of the Ford plant in Bridgend will have huge consequences along the M4 corridor, damaging our economy, including in Bristol South. Just when will we see the start of any kind of industrial strategy? Right now, with continued closures and the impact of this closure on the supply chain, we are going backward, not forward, and that damages the economy in Bristol South.

Alun Cairns Portrait Alun Cairns
- Hansard - -

The manufacturing sector is extremely important to the UK economy and Wales specifically. There are 4,000 more manufacturing jobs in the Welsh economy now than there were this time last year, but that is not to undermine the importance of those Ford jobs. The Welsh Government and I are working closely together. We have commissioned Richard Parry-Jones to come up with recommendations on how we can best promote the plant, but I am encouraged by the early discussions we have had with potential investors. Some of those discussions are more mature than others, but the hon. Lady should recognise that they are private and confidential at this stage.

James Gray Portrait James Gray (North Wiltshire) (Con)
- Hansard - - - Excerpts

I join the Secretary of State and the hon. Member for Bristol South (Karin Smyth) in their deep disappointment at the closure of the Ford factory in Bridgend. Does he agree that there is huge potential on the M4 corridor for the development of electric cars and automotive technology of all kinds, right down as far as my constituency in Wiltshire?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an extremely important point. The UK’s industrial strategy has invested £1.5 billion in automotive research and development, to ensure that we maximise the opportunities of the shift from petrol and diesel engines to electric vehicles. A great demonstration of the success of that is that 20% of electric vehicles sold in Europe are manufactured here in the UK.

Ann Clwyd Portrait Ann Clwyd (Cynon Valley) (Lab)
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8. What recent assessment he has made of the potential merits of redeveloping the former Phurnacite works in Abercwmboi; and if he will make a statement.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I pay tribute to the right hon. Lady for the proactive approach she is taking to redeveloping this site, which has been an outstanding issue for decades. I was pleased that we were able to bring together the current owners of the site with her to come up with a positive plan for the future.

Ann Clwyd Portrait Ann Clwyd
- Hansard - - - Excerpts

I thank the Secretary of State for coming to the area and knocking heads together in a way that we have waited for for 30 years. The people of Abercwmboi have lived in dirt and dust on the site of what was the worst industrial polluter in the whole of Britain. I am grateful for the interest he has taken and the way he has managed to knock heads together.

Alun Cairns Portrait Alun Cairns
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I pay tribute to the right hon. Lady, who has highlighted this issue for some time. I am keen to work closely with her to bring the landowners together and see what plans can be made. The local authority is playing a key part. We need to establish a clear plan of action, and we are well on our way to delivering that.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
- Hansard - - - Excerpts

11. What recent discussions he has had with (a) businesses, (b) local authorities and (c) representative groups on the mid-Wales growth deal.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 15th May 2019

(4 years, 11 months ago)

Commons Chamber
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Jeff Smith Portrait Jeff Smith (Manchester, Withington) (Lab)
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3. What recent assessment he has made of the effect on the Welsh economy of the proposed withdrawal agreement with the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The withdrawal agreement means we can leave the European Union with a deal that honours the referendum result, protects our economy and security and safeguards our Union. The best outcome for Wales and the Welsh economy is for the UK to leave the European Union in a smooth and orderly way.

Jeff Smith Portrait Jeff Smith
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What assessment has the Secretary of State made of the impact of non-tariff barriers? They would result in customs procedures and technical barriers to trade, meaning delays and costs that would be particularly damaging to the Welsh economy.

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman makes an important point that further underlines why the deal we have negotiated with the European Union will work in the interests of Welsh manufacturers, Welsh agriculture and other sectors across the whole UK. The political declaration says “as frictionless as possible,” which is the objective we want to achieve.

Glyn Davies Portrait Glyn Davies (Montgomeryshire) (Con)
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The economy of Montgomeryshire is very dependent on the sheepmeat industry. Does the Secretary of State accept that retaining tariff-free access to the EU market is crucial to the future of all of rural Wales where sheepmeat is important? Will he do everything he can, alongside me and many others, to ensure that the withdrawal agreement is passed when it returns to the House?

Alun Cairns Portrait Alun Cairns
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My hon. Friend speaks with great authority and expertise, and he has been an extremely strong advocate for rural Wales in all the roles he has conducted, be it on the Development Board for Rural Wales, as an Assembly Member or, now, as a Member of Parliament. He is right about the withdrawal agreement and the support it has received both from the Welsh farming unions and from farmers directly because it will give them access to the European market and will allow them the freedoms that being an independent trading nation delivers, as well as stopping freedom of movement.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
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Some 12,000 jobs in the Welsh economy rely on steel. Given the crisis in this sector, how will the right hon. Gentleman work with the Business Secretary to get the steel sector deal over the line?

Alun Cairns Portrait Alun Cairns
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I am grateful to the hon. Gentleman for raising this important point. I spoke to a director of Tata earlier this week and, along with a Minister from the Department for Business, Energy and Industrial Strategy, I will be meeting him next week. This is an important sector of the economy, not only for south Wales but for north Wales and the rest of the UK. The sector is of strategic importance, and we are determined to work to secure a steel sector deal that offers a long-term future.

Hywel Williams Portrait Hywel Williams (Arfon) (PC)
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Given that the Wales Office has no exclusive responsibility for any of the 300-odd work streams associated with Brexit and that we have had 20 years of devolution under a Welsh Government who have legislative and taxation powers, can the Secretary of State give the House a necessarily brief definition of his role and function?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman raises an interesting question. Of course the cross-Government responsibilities in which the Wales Office is active and interested go far and wide. I happily point to the crossings and the Severn toll as one example. Wales is also the only part of the UK to have a city and growth deal in every area.

Hywel Williams Portrait Hywel Williams
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I thank the right hon. Gentleman for that answer but, just for starters: electrification of the railway west of Cardiff, abandoned; electrification of the north Wales line, a pipe dream; the Swansea Bay tidal lagoon, cancelled; the post-Brexit shared prosperity fund, handed to an England-only Department; and, as I said, the Wales Office has no exclusive Brexit responsibilities. Is not his function just to nod through Conservative policies, whatever the cost to Wales?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman should be practical and realistic in what he calls for. He will be fully aware that electrification of the railway to Swansea offers no tangible benefits to passengers. He will also be aware that the Public Accounts Committee called for re-analysis of each section of the electrification, and it was on that basis that we came to the same outcome by delivering the most modern trains, which happen to be hybrid. Is he seeking to support a tidal lagoon that would be three times the cost of an alternative green provider?

Mark Tami Portrait Mark Tami (Alyn and Deeside) (Lab)
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4. What discussions he has had with (a) Cabinet colleagues and (b) Welsh Government Ministers on the effect of the industrial strategy on the Welsh economy.

Albert Owen Portrait Albert Owen (Ynys Môn) (Lab)
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9. What discussions he has had with (a) Cabinet colleagues and (b) Welsh Government Ministers on the effect of the industrial strategy on the Welsh economy.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have been working closely both with Cabinet colleagues and with the Welsh Government to ensure that Wales benefits from the industrial strategy. We have already delivered a number of projects in Wales, with Wales receiving £90 million from the industrial strategy challenge fund.

Mark Tami Portrait Mark Tami
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What is the Secretary of State’s Department doing to ensure that the north Wales growth deal actually happens, that the Heathrow logistics hub goes to Shotton and that more Welsh small and medium-sized enterprises work with our defence companies, such as Raytheon? He needs to get a grip on his Department—we have had more junior Wales Ministers than you could wave a stick at.

Alun Cairns Portrait Alun Cairns
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There have been countless engagements with local authority leaders across north Wales, and the growth deal is an important project. The hon. Gentleman will be aware that, at the last Budget, we committed to funding for that scheme. It is a great example of where the Welsh Government, the UK Government and local authorities are working together. We are optimistic about signing and supporting a number of projects in the near future, but this is of course locally driven, and we are responsive to the demands and the drive of local authorities.

Albert Owen Portrait Albert Owen
- Hansard - - - Excerpts

The Secretary of State will be aware of the negative impact that proposed factory closures and the suspension of major projects has had on my constituency and on north-west Wales. Unemployment is already rising in my constituency, so we need an action plan. What positive steps can the industrial strategy put in place now, and what is the role of the Wales Office in delivering that action plan?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman points to unemployment data, but I would also point to employment rates. Identifying individual months will clearly offer one picture, but I think he would recognise the record numbers of people in work and the trend in falling unemployment, irrespective of what happened last month.

On the industrial strategy, I would point to the thermal hydraulics facility in the hon. Gentleman’s constituency, which will be world leading. That is just one tangible example, in addition to the active investments we are pursuing elsewhere in the marine environment.

Chris Davies Portrait Chris Davies (Brecon and Radnorshire) (Con)
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Will my right hon. Friend update the House on any progress that has been made on the mid Wales growth deal?

Alun Cairns Portrait Alun Cairns
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I am grateful to my hon. Friend for the excellent work he is doing in supporting the mid Wales growth deal. The leader of Powys council was in Westminster last week, and I know she has met my hon. Friend. They have been key in co-ordinating and driving some of the themes that are developing from the deal. It is an exciting prospect, and they are working with Ceredigion council and the hon. Member for Ceredigion (Ben Lake), who has shown similar enthusiasm.

Antoinette Sandbach Portrait Antoinette Sandbach (Eddisbury) (Con)
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A number of my constituents have set up companies in Cheshire that actually operate in Wales. What research and development grants have there been that benefit companies operating in Wales?

Alun Cairns Portrait Alun Cairns
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My hon. Friend raises an important question. I highlighted earlier the £90 million from the strength in places fund that had been made available to the UK’s industrial strategy, making Wales fourth in the UK for the value of grants it receives. That works, absolutely as my hon. Friend highlights, on a cross-border basis, and the industrial strategy deliberately talks about cross-border growth corridors.

Stephen Doughty Portrait Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)
- Hansard - - - Excerpts

12. Steel is of course the foundation of any successful industrial strategy, so can the Secretary of State explain what he has done to offset the lost opportunities for Welsh steel producers such as Celsa in my constituency as a result of the loss of the Swansea Bay tidal lagoon and the electrification to Swansea? What projects has he actually secured to provide procurement opportunities to Welsh steel producers?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman points to prospects that the tidal lagoon may have provided, but when we analyse the data, it shows that demand from the tidal lagoon would lead to less than a month’s output of steel, so I would suggest that he really look closely at the numbers. Was he advocating supporting a project that is three times more expensive than an alternative? The steel producers in his constituency would be extremely excited to get the go-ahead for the M4 relief road around Wales. The money is available and the planning recommendations are in favour—all we need is a decision from the Welsh Government.

Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
- Hansard - - - Excerpts

The UK steel industry is undoubtedly a key part of the industrial strategy, but what benefit will the strategy bring specifically for Welsh steel making, which is important for my constituency, given that coil from Port Talbot is fundamental to tube production?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is a strong champion of the steel industry. He recognises how the investments in his constituency will also be important to the investments taking place in south Wales. There has been renewal of the blast furnaces in south Wales, and we are working hard to secure a steel sector deal. Those things will support the industry in north Wales and south Wales, as well as in Corby and elsewhere across the UK.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
- Hansard - - - Excerpts

Wales is ideally placed to develop pioneering renewable energy projects, especially in wave, tidal and hydro, and that could make an invaluable contribution to achieving net-zero carbon emissions. Will the Secretary of State assure us that Wales will receive sufficient support from the industrial strategy, and in particular the £2.5 billion clean growth fund, to realise its potential, and that Wales will not be left to rue missed opportunities yet again?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I have already pointed out that Wales is fourth out of any UK nation or region in terms of being successful in gaining grants from the industrial strategy challenge fund. Swansea University’s project for the active home is world-leading, using the latest materials to develop energy-positive properties, and just down the road from the hon. Gentleman’s constituency is Pembroke Dock marina. These are exciting areas of policy from which his constituency can develop and take opportunities.

Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
- Hansard - - - Excerpts

5. What recent discussions he has had with the Welsh Government on the design of the UK shared prosperity fund.

--- Later in debate ---
Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular discussions with the Welsh Government on a range of issues, including the UK shared prosperity fund. Officials have also already held useful preliminary discussions with their Welsh Government counterparts, and they will of course continue.

Owen Smith Portrait Owen Smith
- Hansard - - - Excerpts

A lot of people in Wales are worried that the shared prosperity fund is just a sneaky Tory plot to steal back a measure of devolution and cut our funds again. Will the Secretary of State reassure the House that that is not true? Will he start by telling us whether we will get £370 million in the first year of the shared prosperity fund?

Alun Cairns Portrait Alun Cairns
- Hansard - -

Ensuring that all parts of Wales benefit from the UK shared prosperity fund is central to our approach. I hope the hon. Gentleman agrees with stakeholders throughout Wales, be they from businesses or local authorities, that there is a better way to deliver regional support than following the current model, which comes from the European Union. The hon. Gentleman seeks to tempt me to pre-empt the comprehensive spending review, which will of course talk about the quantum of the sum available.

Paul Sweeney Portrait Mr Sweeney
- Hansard - - - Excerpts

The Secretary of State will be well aware that the £1.3 billion a year from EU structural funds is vital to economies such as those in Scotland, Wales, Northern Ireland and the north of England. There is no clarity about what the replacement, the shared prosperity fund, is going to look like, and there has been no consultation whatsoever. Why has there been such a delay in the consultation, which was meant to happen last year?

Alun Cairns Portrait Alun Cairns
- Hansard - -

Similarly, I hope the hon. Gentleman will recognise that there is a better way of delivering regional support. Wales has received £4 billion over 17 years. We will consult shortly, but even ahead of that formal consultation lots of preliminary work is ongoing. For example, the Welsh Government and the UK Government were recently at St Asaph, where the Welsh Government jointly presented. That demonstrates the joint work that is taking place.

Chris Bryant Portrait Chris Bryant
- Hansard - - - Excerpts

The Government are talking about awarding the money in Wales on the basis of a competition between different local authorities and areas. Can the Secretary of State quash that rumour? All the money will inevitably end up going to middle-class areas rather than to the areas of greatest need, such as the Rhondda. What is wrong with the fundamental principle of “From each according to his or her ability, to each according to his or her need”?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman is pre-empting the consultation. We will of course work with local authorities, and there are different views among local authorities throughout Wales on how we deliver the UK shared prosperity fund. The hon. Gentleman’s local authority will have some frustrations as well as some successes in relation to the current European structural funds model, on which we have an opportunity to improve.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

Will the Secretary of State confirm that the UK shared prosperity fund will mean that Wales will not lose a penny as a result of leaving the European Union? Will he also confirm that the funding could be used for projects such as the much needed Chepstow bypass?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The Chepstow bypass is of course a joint responsibility, but there is no doubt that my hon. Friend has campaigned vociferously for it for some time. My hon. Friend the Parliamentary Under-Secretary of State for Wales visited the area within days of becoming a Minister, to work with my hon. Friend. I am determined to do everything necessary to ensure that we can deliver on that, but of course we need the Welsh Government to act as well and highlight it as one of their priorities.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
- Hansard - - - Excerpts

The shared prosperity fund represents a huge opportunity for north Wales. Will my right hon. Friend confirm that in designing the fund he will liaise closely with north Wales local authorities, and that he will urge his colleagues in the Treasury to avoid the temptation of simply passing it down to the black hole in Cardiff?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend makes an extremely important point. We are of course already liaising with stakeholders in Wales, and with local authorities in particular. There is a range of views among local authorities on how we should deliver the UK shared prosperity fund. I do not want to pre-empt the consultation, and we will of course consider all the relevant matters. My right hon. Friend and I will want to deliver a scheme that serves all parts of Wales. That is central to our policy to ensure that every part equally can win some investment.

None Portrait Several hon. Members rose—
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Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
- Hansard - - - Excerpts

May I welcome the new Minister, the hon. Member for Torbay (Kevin Foster), to his place and inquire whether he is on a temporary or permanent contract?

Our manifesto for the European elections states:

“Under Labour, no region or nation would lose out on funding, and power over decisions affecting investment will be taken in Scotland, Wales and in English regions.”

Will the Secretary of State tell us what his party’s European election manifesto says about EU funding in Wales post Brexit?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I do not need to read any manifesto because I can repeat what I and the Chancellor have said previously. We have already committed to fund any project that has been agreed before our departure from the European Union, even when the funding date falls beyond that point.

Christina Rees Portrait Christina Rees
- Hansard - - - Excerpts

I am still not sure whether the Secretary of State has a manifesto. If he has one, it is incredibly well hidden. I could not find it. It is as well hidden as the UK shared prosperity consultation, which should have started before Christmas—where is it? Will he commit here and now to the principle of not a penny less, not a power lost for the people of Wales, and will he do his job for once and stand up for the people of Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I will ensure that Wales receives its fair share. Let me point to the record of the hon. Lady’s party in government and my party’s record in government. As a result of the new fair funding settlement, Wales receives £120 for every £100 spent in England, far in excess of anything that her party ever did.

Tommy Sheppard Portrait Tommy Sheppard (Edinburgh East) (SNP)
- Hansard - - - Excerpts

6. What assessment the Government have made of the potential merits of devolving the administration of welfare to the Welsh Government.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 3rd April 2019

(5 years, 1 month ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Patrick Grady Portrait Patrick Grady (Glasgow North) (SNP)
- Hansard - - - Excerpts

2. What recent discussions he has had with the First Minister of Wales on the withdrawal agreement and political declaration on the future relationship between the UK and the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have regular discussions with the First Minister on the implications and opportunities for Wales arising from EU exit, including the withdrawal agreement and the political declaration.

Tommy Sheppard Portrait Tommy Sheppard
- Hansard - - - Excerpts

Given the new easy listening approach of the Prime Minister, will the Government give a commitment that they will discuss any new proposals that they make on withdrawal from the European Union with the First Minister of Wales and the Welsh Government prior to the meeting of the European Council?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman is well aware that my right hon. Friend the Prime Minister is keen to work with colleagues across the House to secure a deal to leave the European Union in a smooth and orderly way. My relationship with the Welsh Government, and specifically with the First Minister in Wales, is warm, positive and constructive. As the hon. Gentleman will be well aware, the First Minister or someone that he nominates attends the European Union exit committee, which focuses on preparedness in the event of a no deal.

Patrick Grady Portrait Patrick Grady
- Hansard - - - Excerpts

If it is good enough for this House to be asked repeatedly to approve the Prime Minister’s deal, why is it not good enough to put it back to the people of Wales? If the Secretary of State is so confident in the merits of the Prime Minister’s deal, why is he so afraid to put a deal that has been rejected by the Scottish Parliament and the Welsh Assembly back to the people of Wales to decide?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman seems to forget that Wales voted to leave the European Union. Also, I underline that Wales voted to leave the European Union in higher numbers than the average across the rest of the United Kingdom. Of course we are keen to work with all political parties to secure a smooth and efficient exit from the European Union. Let us be frank: the Welsh public and the UK public want to draw a line under this chapter.

Stephen Crabb Portrait Stephen Crabb (Preseli Pembrokeshire) (Con)
- Hansard - - - Excerpts

Is not the key problem that we are facing with the withdrawal agreement at the moment that there are just too many MPs from Wales and elsewhere—on the Opposition Benches and some on our side—who go to their constituencies at the weekend and tell their leave voters that they want to get on with Brexit, but who then come back here on a Monday and find every trick in the book and every excuse to vote against implementing Brexit?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend has absolutely hit the nail on the head and I am grateful for his support. He is well aware that, last Friday, the Opposition voted against the withdrawal agreement, having previously said that they had no differences with the withdrawal agreement. That seems to demonstrate that they are seeking to create as much chaos as they can, rather than acting in the national interest.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
- Hansard - - - Excerpts

Can my right hon. Friend confirm that, in discussing the withdrawal agreement with the Welsh First Minister, he has made clear the Government’s position, which is to rule out participation in the customs union?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend is well aware that this House has not yet come to a conclusion as to whether it wishes to call on the Government to be part of the customs union or not. So far everything has been rejected and the Prime Minister is seeking to work across the House, and with colleagues in all parties, to come to an agreement on what the House actually wants.

Lloyd Russell-Moyle Portrait Lloyd Russell-Moyle (Brighton, Kemptown) (Lab/Co-op)
- Hansard - - - Excerpts

12. Does the Secretary of State believe that the Welsh economy will be stronger under the withdrawal agreement and the political declaration or weaker, and will he support a strong Welsh economy or a weaker Welsh economy?

Alun Cairns Portrait Alun Cairns
- Hansard - -

With the actions that the Government are planning, I am optimistic about our prospects outside the European Union. Having travelled internationally—I was in Japan some weeks ago and in China at the end of last year—I am encouraged by the interest that has been shown in the UK economy, and I believe that Wales and the UK economy will be prosperous outside the European Union.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
- Hansard - - - Excerpts

The Secretary of State told my colleague, the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), on the record in the Welsh Affairs Committee two days ago that he did not want to be “in a situation where there is no deal.” Could the Secretary of State explain to Welsh food producers and manufacturers why there are press reports after yesterday’s Cabinet meeting that he was for a short delay? That is, of course, shorthand for supporting no deal.

Alun Cairns Portrait Alun Cairns
- Hansard - -

The right hon. Lady is seeking to draw me on private discussions within Cabinet meetings, but of course she knows that I would not be drawn on those. What I said on the record on Monday I will happily say on the record now: I do not want to be in a no-deal position and that is the reason that I voted for a deal. I hope that the Welsh food producers that she referred to also supported the Prime Minister’s deal, and I hope that she will explain to them why she refused to support it.

Liz Saville Roberts Portrait Liz Saville Roberts
- Hansard - - - Excerpts

To lose one Wales Office Minister may be regarded as a misfortune, but to lose four in little over a year looks like carelessness. Something must make their positions untenable, intolerable, dispensable, toxic. When will the Secretary of State admit that his office has also become dispensable and too toxic to serve the interests of Wales? When will he do the right thing and resign?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I do not think that a month passes without the right hon. Lady calling for me to take such action. However, it gives me an opportunity to thank my hon. Friend the Member for Selby and Ainsty (Nigel Adams) for his efforts, including his work on the north Wales growth deal, for which the right hon. Lady has shown appreciation in the past. I wish that she would not be so churlish now.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
- Hansard - - - Excerpts

As you know, Mr Speaker, the Newport West by-election will take place tomorrow, having been called after the sad passing of our wonderful colleague Paul Flynn. I wish Ruth Jones, our wonderful candidate, all the best for tomorrow. Let me also welcome the Under-Secretary of State for Work and Pensions, the hon. Member for North Swindon (Justin Tomlinson), to his place. Is he staying long, or is he just passing through?

On several occasions the House has refused to back leaving without a deal. So have the Welsh Government and the Welsh Assembly. The Prime Minister does not want that either, and she has at last reached out to our party, seeking a cross-party approach to resolve the Brexit impasse. Does the Secretary of State agree with his Prime Minister, or with his former junior Minister, the hon. Member for Selby and Ainsty (Nigel Adams), who has just resigned?

Alun Cairns Portrait Alun Cairns
- Hansard - -

Let me first wish Matthew Evans well in the by-election to which the hon. Lady has referred.

As I said a moment ago, I do not want to leave the European Union without a deal. That is exactly why I voted for the Prime Minister’s deal. Perhaps the hon. Lady will explain to her constituents why she voted to block Brexit.

Christina Rees Portrait Christina Rees
- Hansard - - - Excerpts

I think it would be really helpful if the Secretary of State reiterated to the House today that he would rule out a no deal, which he knows would be disastrous for Wales. If he will not do so, he should follow his junior Minister and resign.

Alun Cairns Portrait Alun Cairns
- Hansard - -

In the spirit in which the Prime Minister made her statement yesterday, when she said that she was keen to engage on an open and transparent basis, the Leader of the Opposition has said that there are no red lines, so I do not know why the hon. Lady is calling on me to draw some now.

Angela Crawley Portrait Angela Crawley (Lanark and Hamilton East) (SNP)
- Hansard - - - Excerpts

3. What recent discussions he has had with Cabinet colleagues on the UK shared prosperity fund.

Marion Fellows Portrait Marion Fellows (Motherwell and Wishaw) (SNP)
- Hansard - - - Excerpts

8. What recent discussions he has had with Cabinet colleagues on the UK shared prosperity fund.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have regular discussions with Cabinet colleagues about a range of issues affecting Wales, including the UK shared prosperity fund. Leaving the European Union removes the geographical and fund-specific constraints that currently exist, and provides an opportunity to address the concerns of businesses, the voluntary sector and communities about excessive bureaucracy.

Angela Crawley Portrait Angela Crawley
- Hansard - - - Excerpts

The Government committed themselves to creating a UK shared prosperity fund to replace EU funding that seeks to reduce inequalities across our communities between the four nations of the United Kingdom. Two years later, the fund still does not exist. Are the Secretary of State and the Secretary of State for Scotland advocating its introduction in the Cabinet, to ensure that Scotland and Wales secure the fairest deal and will not receive less funding than they currently receive, or than was promised by the leave campaign?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The simple fact is that the shared prosperity fund does not exist because we are still part of the European Union and receiving that EU funding. There is clearly plenty of space for development, and we will be consulting shortly. In respect of the share of funds received by Wales, I would compare my record positively with that of the Labour Administration. Having underfunded Wales for 13 years, we now have a new, enhanced settlement that is focused on need.

Marion Fellows Portrait Marion Fellows
- Hansard - - - Excerpts

The worst inequality in any EU member state exists between London and Wales, and leaving the EU would make that worse. Can the Secretary of State confirm that he is working to ensure that the shared prosperity fund delivers for Wales—which can be done only if decisions are made in Wales—and that devolved Governments are not sidelined?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady raises an important point about the worst inequality, as she described it—that between London and Wales. The facts speak for themselves, but those inequalities have built up over some time. I would also point to the relative positive growth in Wales compared with other parts of the UK and the enhanced funding settlement that has been negotiated under the fiscal framework. So I am optimistic and excited about our future outside the EU.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

Does my right hon. Friend agree that the UK shared prosperity fund offers a cast-iron guarantee that Wales is not going to lose out financially as a result of Brexit, and will he consider ensuring that that money goes directly to local authorities so it is spent in the best possible way?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an extremely important point. Like me, he was an Assembly Member in 1999 when the first form of European aid on this scale was discussed. It was described as a once in a lifetime opportunity. Sadly, we have qualified twice since and that is because of the relative failure of the existing programmes.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
- Hansard - - - Excerpts

Further to the question of my hon. Friend the Member for Monmouth (David T. C. Davies), will my right hon. Friend ensure that it is local authorities that can bid for this scheme, rather than it just being devolved to the Welsh Assembly to divide up the funds accordingly?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an important point and that is the sort of innovation that the consultation will consider. He is tempting me to draw conclusions before we actually consult, but we have not been doing nothing on this policy area. Pre-consultation discussions have already been taking place in Wales and the Welsh Government jointly presented at the last St Asaph meeting in north Wales.

Gerald Jones Portrait Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)
- Hansard - - - Excerpts

10. Wales has been a net beneficiary of EU structural funds and we were told we would not lose a penny when we leave the EU, so can we have certainty on the UK prosperity fund? When will the Secretary of State start to do his job, stand up for the people of Wales and make sure we do not lose out after we have left the EU?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an important point, but of course he is tempting me to announce elements of the comprehensive spending review well before my right hon. Friend the Chancellor will do so later this year. However, communities have said that the £4 billion has not changed communities in the way they wanted it to, so this is an opportunity to introduce a much more innovative, proactive approach that responds to the private and voluntary sectors and local authorities in a much more local way.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
- Hansard - - - Excerpts

I welcome the hon. Member for North Swindon (Justin Tomlinson) to his new ministerial position. May I too wish our Labour candidate Ruth Jones well in the Newport West by-election tomorrow?

There has been more than just the one meeting on the shared prosperity fund in Wales—there have been five meetings—but the consultation has not started. MPs were neither informed nor invited to those meetings, even if, as was the case with me, they were held in their own constituency. Does the right hon. Gentleman view MPs from all sides as stakeholders in the shared prosperity fund? Why were MPs not invited to these meetings and will he meet with stakeholder MPs to discuss the design of the fund?

Alun Cairns Portrait Alun Cairns
- Hansard - -

First, I point out that these meetings were aimed at communities and the Welsh Government jointly presented at the last one. The hon. Gentleman has frequent opportunities to make direct representation here and it was only a little over a week ago that I met the all-party group for the UK shared prosperity fund to discuss the matter. I am sorry that he could not be present with some of his colleagues, but of course I will be happy to meet him or any other colleague who wishes to discuss the UK shared prosperity fund.

Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
- Hansard - - - Excerpts

4. What recent estimate he has made of the level of foreign direct investment into Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

Last year, over 3,000 jobs came to Wales through foreign direct investment, through 57 projects, of which 93% were supported by my Department and the Department for International Trade.

Tom Pursglove Portrait Tom Pursglove
- Hansard - - - Excerpts

Given the recent showcasing of the Welsh investment portfolio at the MIPIM conference, what steps is the Secretary of State taking to try to lever further foreign direct investment into Wales, in what is undoubtedly a key nation in the global economy?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is a strong advocate for foreign direct investment in his constituency and in all parts. He rightly points out that the Department for International Trade promoted a Wales capital investment programme at the MIPIM conference for the first time. That is a great demonstration of Whitehall Departments working closely with local authorities. There has been extremely positive feedback from both local authorities and investors, and we are working through those leads to see which projects can land.

Nick Thomas-Symonds Portrait Nick Thomas-Symonds (Torfaen) (Lab)
- Hansard - - - Excerpts

Not only would no deal have an impact on foreign direct investment; it would also, on the Government’s own figures, leave the Welsh economy 8% smaller over 15 years. Can the Secretary of State clear up any ambiguity about his own attitude to no deal and say clearly today that there are no circumstances whatever in which he would back no deal?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman is quite selective in the quotes that he cites on foreign direct investment. He and the House will be well aware that the latest available figures show that the UK has the third highest stock of foreign direct investment in the world after the US and Hong Kong. Clearly, the UK’s record on FDI is strong, and I suggest that Wales’s record is stronger than most of the rest of the UK.

Simon Hoare Portrait Simon Hoare (North Dorset) (Con)
- Hansard - - - Excerpts

Will my right hon. Friend ensure that every single UK trade delegation overseas sings the song loudly and proudly that Wales is, and will continue to be, open for business?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am grateful to my hon. Friend for his question. He is rightly aware of the great record that Wales has on attracting inward investment. There are more than 60 Japanese companies in Wales, for example, and that is why I was there some weeks ago talking not only about existing investments but about the potential for new investments for the UK outside the European Union.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
- Hansard - - - Excerpts

The Secretary of State will be aware that the Irish Government have recently reopened their consulate in Cardiff. What more can the Government do to encourage other countries to do likewise, so as to boost Wales’s international presence and levels of inward investment?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an important point, which we discussed at the Welsh Affairs Committee on Monday. I pay tribute to him for his persistence on this matter. He rightly points out that the Irish Government have opened an office in Cardiff, and we would encourage other Governments to do that. I am happy to meet and to work with him to see which nations we should target to attract them to Wales and to Cardiff.

Christian Matheson Portrait Christian Matheson (City of Chester) (Lab)
- Hansard - - - Excerpts

5. What recent discussions he has had with the Welsh Government on the resilience of infrastructure in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have regular discussions with the Welsh Government’s Minister for Economy and Transport on a range of matters, including infrastructure in Wales. We are committed to creating a broad-based resilient economy through our own modern industrial strategy and the Welsh Government’s economic action plan.

Christian Matheson Portrait Christian Matheson
- Hansard - - - Excerpts

The resilience of the major road network in north-east Wales is entirely dependent on the M56, just across the border in my constituency, which is now beyond capacity. Will the Secretary of State speak to Department for Transport Ministers to ensure that we get the upgrades we need in order to benefit north-east Wales as well?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman raises an important point, particularly when responsibilities are split between the Welsh Government and the UK Government. In seeking to address these sorts of issues, and cross-border infrastructure projects in particular, the strategic roads in Britain group has been established—of which the Welsh Government and the UK Government are part—to prioritise how we can best resolve these issues.

Ann Clwyd Portrait Ann  Clwyd  (Cynon  Valley) (Lab)
- Hansard - - - Excerpts

9.   The Chancellor said last week that there was not one extra penny for the environment in Wales. Who is going to clean up the 100 acres of polluted land in Abercwmboi unless the Government do it?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I pay tribute to the right hon. Lady for her work on seeking to clear up the phurnacite site. She has been working on this project for many years. I would perhaps enhance the comment she made about funding for Wales for environmental projects, because that is devolved and would be part of the Barnett block. I am keen to work with her to see how we can best influence the Welsh Government in this devolved area of policy so that we can bring benefit to her constituency.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
- Hansard - - - Excerpts

6. What recent discussions he has had with the Welsh Government on a permanent home for the display of the Prince of Wales’s investiture regalia in Wales; and if he will make a statement.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I commend my hon. Friend for his commitment to this issue. I would be delighted to see the return of His Royal Highness the Prince of Wales’s regalia to Wales. There are many fine residences in Wales that would be suitable to display what some consider to be the Welsh Crown jewels.

Michael Fabricant Portrait Michael Fabricant
- Hansard - - - Excerpts

As you will know, Mr Speaker, the question on Welsh people’s lips at the moment is not Brexit but the royal regalia. Does my right hon. Friend not agree that there are many suitable locations, including Caernarfon castle or, perhaps even better, the National Library of Wales in Aberystwyth, which has a secure place to store them?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is persistent, but that demonstrates the importance of the project and its potential to attract tourists to Wales. It is an interesting proposal, and my officials are happy to work with other organisations to see how we can make it a reality. There are security implications, but there are also significant potential benefits.

Susan Elan Jones Portrait Susan Elan Jones (Clwyd South) (Lab)
- Hansard - - - Excerpts

Investiture regalia is probably a controversial subject, but those who are keen on it would describe themselves as patriots. Will the Secretary of State for Wales describe himself as a real patriot by ruling out a disastrous no-deal Brexit, and will he show his commitment to that?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am a passionate Welsh patriot, as I would hope that the hon. Lady would recognise. I want to leave the European Union with a deal, which is why I have voted for it, but I point to the hon. Lady’s record: she voted against the deal last Friday, rejecting the call, instruction and demand that came from the Welsh public in the referendum.

Jamie Stone Portrait Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
- Hansard - - - Excerpts

The Royal Collection contains a fantastically valuable sword made of Tain silver. Will the Secretary of State have a word with the Secretary of State for Scotland to see whether the sword could be lent to my home town of Tain in the highlands?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I will happily raise the matter with my right hon. Friend the Secretary of State for Scotland. This question highlights the great history, shared identity and common issues of this nation, and we can share such assets to attract tourists to every part of the United Kingdom.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
- Hansard - - - Excerpts

7. What discussions he has had with (a) Cabinet colleagues and (b) the Welsh Government on the effect of the industrial strategy on the Welsh economy.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have been working closely with my right hon. Friend the Secretary of State for Business, Energy, and Industrial Strategy and with the Welsh Government to ensure that Wales benefits from the opportunities that our modern industrial strategy provides.

Jessica Morden Portrait Jessica Morden
- Hansard - - - Excerpts

The recent BEIS Committee report on the industrial strategy was particularly damning about how the steel sector has been failed by the Government. If Ruth Jones is elected tomorrow, she will be strong voice for the industry in Newport West, but what is the Secretary of State doing to push the sector deal negotiations and demand action on energy costs?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I do not recognise the hon. Lady’s point, but she is a strong supporter of the steel industry in her constituency, across Wales and elsewhere. The steel industry faced a challenging crisis just three years ago, and it is now in a much more positive position as a result of Government interventions such as reducing energy costs for energy-intensive industries.

Albert Owen Portrait Albert Owen (Ynys Môn) (Lab)
- Hansard - - - Excerpts

I thank the Secretary of State and the Secretary of State for Business, Energy and Industrial Strategy for meeting a delegation that I brought here a few months ago, but we now need action. Rehau is shedding jobs in my constituency, and this is an opportunity for the Department to put its money where its mouth is with the industrial strategy and help that company. Will the Secretary of State meet me to follow up on the meeting that the former Under-Secretary of State had with the company so that we can keep jobs and production in Amwlch in my constituency?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am happy to respond positively to the hon. Gentleman, who is a champion for Anglesey. Since our meeting about Wylfa Newydd, I met the chairman of Hitachi to press the importance of the case and to stress the support that comes from the local authority, the Assembly Member and the Member of Parliament, which demonstrates the co-ordinated approach.

Ruth George Portrait Ruth George (High Peak) (Lab)
- Hansard - - - Excerpts

11. What recent assessment he has made of the effect of the roll-out of universal credit on low-income families in Wales.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 5th December 2018

(5 years, 5 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
David Linden Portrait David Linden (Glasgow East) (SNP)
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14. What discussions he has had with the Secretary of State for Work and Pensions on the findings of the UN Special Rapporteur on extreme poverty and human rights in relation to poverty in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I regularly speak with my Cabinet colleagues on a host of issues affecting Wales. Prosperity in Wales is my No. 1 priority. It is crucial that those experiencing poverty get the support that they need and that no one is left behind. We will consider the interim report’s findings carefully.

Alan Brown Portrait Alan Brown
- Hansard - - - Excerpts

It is good to hear that the Secretary of State will consider the report. The UN special rapporteur praised the Scottish Government for what they are doing to mitigate the austerity cuts from the Tory Government, but he also noted that the powers of the Welsh Government are limited in that respect. What representations has the Secretary of State had from the Labour Welsh Government about getting additional powers to mitigate that and implement welfare in a fairer manner?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman raises an important point about the devolved settlement. He will be well aware that the Wales Act 2017 passed through this House not so long ago, but at no stage were there any calls to devolve functions from the Department for Work and Pensions or to devolve welfare, because of the volatility that that creates on the budget.

Peter Grant Portrait Peter Grant
- Hansard - - - Excerpts

The rapporteur found that one in four jobs in Wales does not pay enough for people to live on, and that Wales has the worst record of relative poverty of any of the nations and regions of the United Kingdom. Does the Secretary of State believe that the people and the workers of Wales deserve better than that? Will he accept that in-work poverty is a serious problem in Wales, and will he tell us what he is doing to address it?

Alun Cairns Portrait Alun Cairns
- Hansard - -

There are two points that I would make. There were some factual errors in the report, which may well undermine the conclusions, but of course we will respond fully in due course. On the hon. Gentleman’s specific point, I point to the sharp increase in payments from the national living wage, as well as the increases in the personal allowance. As a result, the inequality gap between people who have and people who do not have is at a record low level.

Marion Fellows Portrait Marion Fellows
- Hansard - - - Excerpts

The UN special rapporteur highlighted that low-paid, part-time or insecure jobs are often taken up by women, because of difficulties in balancing work and the disproportionate impact of caring responsibilities. These are, of course, often the women who have been adversely affected by this Government’s increase in the state pension age. Can the Secretary of State explain just how the Government are working for the women of Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am grateful to the hon. Lady for highlighting women and employment, because there are 63,000 more women in employment in Wales than there were in 2010. I also point out to her the record fall in unemployment. Reducing unemployment is the best way out of poverty, and unemployment in Wales is 3.8% whereas across the UK it is 4.1%. There will not be many times in history when unemployment in Wales is lower than the UK average.

David Linden Portrait David Linden
- Hansard - - - Excerpts

The list of countries that have received this kind of criticism is fairly small, and I think the UK Government should be absolutely ashamed to find themselves on that list. The reality is that people in Wales are in the difficult position of having an uncaring British Government and a Labour Government in Wales that are abdicating responsibility. Is it not the case that the only way that Wales can be a fair country is with the normal powers of independence?

Alun Cairns Portrait Alun Cairns
- Hansard - -

It is interesting to hear that point made by a Scottish Member of Parliament, when that is not the view in Wales. As I said in relation to the report, I hope that the hon. Gentleman recognises that poverty rates are lower than they were in 2010, and unemployment in Wales is lower than the UK average. There are more men in work, there are more women in work and the economy in Wales is growing faster than in any other part of the UK.

Kevin Foster Portrait Kevin Foster (Torbay) (Con)
- Hansard - - - Excerpts

I know that the Secretary of State will agree that one way of tackling poverty in Wales is the growth of more high-skill, high-paid jobs, like those in the aviation and tech sectors around Bristol. Does he agree that the policies that the Government are putting in place to spread the benefit of that growth across southern Wales are exactly what is needed to tackle some of the challenges that have been identified?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend raises an important issue and points to some of the policies that we are developing to tackle the root cause. Universal credit is making a significant difference, and I would highlight the growth deals that we are promoting across the whole of Wales. Wales is the only nation of the United Kingdom that will have a growth or a city deal in every part.

David Hanson Portrait David Hanson (Delyn) (Lab)
- Hansard - - - Excerpts

Figures released this week show that one in five of my constituents has used a food bank in the past three years. Does the Secretary of State think that that is anything to do with the fact that Flintshire was one of the first areas in the roll-out of universal credit?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The right hon. Gentleman makes an important point. He is well aware that there are myriad complex reasons why people turn to food banks. That was one of the conclusions of the all-party parliamentary group. Food banks have a key role to play in bringing back into the state welfare system people who, for a range of reasons, have fallen out of it. I am a strong supporter of my food bank and food banks across the whole of the UK because of the part that they can play.

Rosie Cooper Portrait Rosie Cooper (West Lancashire) (Lab)
- Hansard - - - Excerpts

3. What discussions he has had with Cabinet colleagues on the effect on people in Wales of recent changes to welfare benefits.

--- Later in debate ---
Tommy Sheppard Portrait Tommy Sheppard (Edinburgh East) (SNP)
- Hansard - - - Excerpts

7. What discussions he has had with the Secretary of State for Exiting the European Union on the potential economic effect on Wales of the adoption of the EU Withdrawal Agreement and Political Declaration.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

The Government’s analysis shows that the deal the Government have negotiated is the best deal available for Welsh jobs and the Welsh economy. That allows us to honour the referendum and realise the new opportunities Brexit will bring.

Patrick Grady Portrait Patrick Grady
- Hansard - - - Excerpts

But nobody in Wales voted for Brexit to make them poorer. Perhaps that is why the Welsh Assembly voted to reject the withdrawal agreement last night, as the Scottish Parliament will do this evening. The Minister’s Scottish colleagues are going around saying that the vote is needless. Does that not simply demonstrate the contempt that the Government and the Tories have always had for the devolution settlement? They are using Brexit to further undermine devolution.

Alun Cairns Portrait Alun Cairns
- Hansard - -

I remind the hon. Gentleman that Wales voted to leave the European Union and that we have an obligation to respond to the demand that came from the referendum. We will continue to work with the Welsh Government in seeking a legislative consent motion to the withdrawal agreement Bill when it goes through Parliament. That is exactly what we gained having worked with them closely in relation to the European Union (Withdrawal) Act 2018. I look forward to continuing to working with them on the Bill.

Tommy Sheppard Portrait Tommy Sheppard
- Hansard - - - Excerpts

Manufacturers and producers in Wales currently have tariff-free access to the Europe single market of more than 500 million people. The market provides the destination for two thirds of all Welsh exports. Will the Minister explain to me and the House how ripping Wales out of the customs union and the single market will improve prospects for those Welsh businesses?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman should be aware that the deal my right hon. Friend the Prime Minister has negotiated gives the opportunity of tariff-free access with the European Union. It also gives us the opportunity to strike independent trade deals right around the world as an independent trading nation. I am optimistic about our prospects outside the European Union. I wish that optimism was shared elsewhere.

Chris Elmore Portrait Chris Elmore (Ogmore) (Lab)
- Hansard - - - Excerpts

9. In June, Wales exported £10.2 billion-worth of goods to the EU. The viability of manufacturing in Wales relies on frictionless trade with the EU. The Prime Minister’s deal gives no assurances to Welsh businesses—it just gives us buzzwords and more uncertainty—so when will the Secretary of State start doing his job and stand up for businesses in Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

Last week, I spoke to the Welsh Automotive Forum annual dinner. The sector represents 18,000 employees in manufacturing in Wales. It was strongly supportive of the deal that my right hon. Friend the Prime Minister has negotiated. I wish the hon. Gentleman would appreciate it too.

Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
- Hansard - - - Excerpts

The Secretary of State says he is optimistic about Wales’s future after Brexit, but can he confirm from the Dispatch Box that Wales is going to be poorer—our GDP will be smaller—if we vote for his deal next week?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman points to a range of economic scenarios that have been painted, but they do not take into account any response that the Government will make. Of course, a responsible Government will respond to the economic situation as it emerges. I am excited about the prospect of striking free trade deals right around the world as an independent trading nation once again.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
- Hansard - - - Excerpts

I welcome the Minister to his place. On 2 May, the Secretary of State told the House that

“we are keen to negotiate to allow for the most frictionless trade possible with the European Union.”—[Official Report, 2 May 2018; Vol. 640, c. 300.]

Why does the term “frictionless trade” not appear in the political declaration?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I kindly point the hon. Lady to the political declaration, which says “as frictionless as possible”. In my mind, that can include frictionless.

Christina Rees Portrait Christina Rees
- Hansard - - - Excerpts

That just is not good enough. The Secretary of State has given his backing to an agreement that does not even mention Wales, let alone protect workers’ rights, environmental standards, consumer protections or living standards. Is not the reality that this is a bad deal for Wales that fails to give Welsh people the certainty needed to safeguard jobs and livelihoods?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The deal that my right hon. Friend the Prime Minister has negotiated gives us the certainty of access to EU markets, but it also gives us new opportunities to strike trade deals around the world. I say to the hon. Lady that I am not sure what certainty a further referendum would bring, if that is her policy.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

The hon. Member for St Ives (Derek Thomas) is much preoccupied with the elegance of his tie, by which I am myself duly impressed, but if he wished to shoehorn in the concerns he had in respect of Question 15 now, he could legitimately do so.

Derek Thomas Portrait Derek Thomas (St Ives) (Con)
- Hansard - - - Excerpts

15. I appreciate the opportunity, Mr Speaker. Wales has appreciated European funding, as has Cornwall. Can the Secretary of State assure Cornwall and Wales that they will continue to receive money to tackle deprivation?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an important point. He allows me to point to the UK shared prosperity fund, which was a manifesto commitment. My right hon. Friend the Chancellor of the Exchequer will outline at the comprehensive spending review the sums of money that will be available, but I am determined to get a much more efficient system that is responsive to the demands and needs of the community. After all, £4 billion has been spent in Wales over the last 16 years and we have not always received the best value out of that. [Interruption.]

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Order. There is a hell of a lot of noise in the Chamber. The House must hear Tom Pursglove.

Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
- Hansard - - - Excerpts

6. What steps his Department is taking to support the growth of businesses in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

The Government have a host of policies to support businesses in Wales, from tax reductions to city deals and a modern UK industrial strategy. As a result, Wales continues to attract inward investment across all sectors.

Tom Pursglove Portrait Tom Pursglove
- Hansard - - - Excerpts

As we leave the European Union, we clearly need to promote all parts of the United Kingdom and their fantastic trade potential. How does the Secretary of State plan to harness Wales’s potential, building on the success of the “Great” campaign?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I pay tribute to what my hon. Friend does to promote businesses across the whole United Kingdom. He gives me an opportunity to highlight the fact that, in less than two weeks’ time, the tolls on the Severn crossing will be abolished for the first time in 52 years—a major boost to the economy of the south-west of England as well as south Wales.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
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Question 8, Mr Speaker.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
- Hansard - - - Excerpts

8. Diolch, Mr Speaker. Many premises in Ceredigion are still awaiting confirmation of whether they will be in scope for the next phase of the Welsh Government’s Superfast Cymru scheme. Will the Secretary of State ensure that his Government’s Wales superfast broadband programme and “outside-in” initiative give priority to premises that may find themselves beyond the scope of the Welsh Government’s scheme?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I pay tribute to the hon. Gentleman, who is a strong campaigner in this area. We are determined to work closely both with him and with the Welsh Government to deliver the best broadband possible in the constituency of Ceredigion and in all other parts of Wales. Already, £69 million has been spent, in addition to the gainshare, but there is more that we can do, particularly in linking businesses with broadband. I know that the hon. Gentleman is a strong supporter of that campaign.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

May I, too, welcome the new Minister to the Wales Office, which is now attracting talent from across the whole of the United Kingdom? Does the Secretary of State agree that communications would be much improved if the Welsh Labour Government got on with building the M4 relief road?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an extremely important point. I highlighted earlier the fact that in less than two weeks’ time the tolls on the Severn crossing will be abolished, but it is hard to believe that the former Member of Parliament for Richmond (Yorks) was the Secretary of State for Wales when the commitment was first made in relation to that road around Newport. The resource is available and the time has been available; I am only sorry that the Welsh Government have not reacted and built that road in response to those calls.

Christian Matheson Portrait Christian Matheson (City of Chester) (Lab)
- Hansard - - - Excerpts

Business growth in north Wales is being choked off by congestion on the M56, on my side of the border. Will the Secretary of State sit down with the Transport Secretary to work out when it will be upgraded?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an important point. I regularly discuss those issues with my right hon. Friend the Secretary of State for Transport, who has brought together a working group of officials and Ministers from all parts of the United Kingdom to discuss cross-border issues. I am only disappointed that the Welsh Government did not attend the last time we met.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
- Hansard - - - Excerpts

Businesses across north Wales were delighted with the Chancellor’s Budget announcement of £120 million of funding for the north Wales growth deal. They are disappointed, however, that that announcement has not been followed by a similar announcement from the Welsh Assembly Government. Does my right hon. Friend know when such an announcement might be expected?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am grateful to my right hon. Friend for highlighting that important policy. It is taking some time to negotiate the north Wales growth deal, but as he rightly points out, my right hon. Friend the Chancellor announced £120 million of funding in the Budget statement. We are working closely with the Welsh Government to encourage them to follow the same lines of commitment, and on Friday there will be further meetings to seek to crystallise that.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Order. I want to invite the House to join me in warmly welcoming to the Gallery a quite extraordinary, brave and courageous rape victim who has waived her anonymity in order to campaign not merely for her rights, very important though those rights are, but for the rights of all women similarly violated. I am referring of course to Sammy Woodhouse. Welcome to the House of Commons, Sammy. [Applause.]

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 24th October 2018

(5 years, 6 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Madeleine Moon Portrait Mrs Madeleine Moon (Bridgend) (Lab)
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1. What discussions he has had with the Welsh Government on the placement of young people from England in private sector care homes in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

The Government are clear that the needs of the child are paramount when making decisions about the right care placement. The specific issue the hon. Lady refers to has not been raised with me directly by the Welsh Government.

Madeleine Moon Portrait Mrs Moon
- Hansard - - - Excerpts

More than 300 children from England are placed across Wales, often in small Welsh villages. Problems are experienced by some police forces and local authorities about early notification of vulnerable children being placed there who may be seduced into county lines, grooming operations and generally be vulnerable in isolation. Will the Secretary of State share my concern and raise it with the Welsh Assembly Government?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady clearly raises a very important point and is passionate about the subject. The most appropriate and suitable setting should always be the overriding factor in deciding the best placement for a child, but planning policy and approval from care inspectors should also be considerations, and, naturally, the police should be part of that process. I will happily raise the matter with the Welsh Government.

Fiona Bruce Portrait Fiona Bruce (Congleton) (Con)
- Hansard - - - Excerpts

Does the Minister share my view that it is crucial that there are enough foster parents with the right skills in the right areas to care for children and meet their diverse needs? Would not a collaborative approach between local authorities be helpful in that respect?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend raises an important point. The appropriate setting has to be the overriding factor at all stages, but, of course, not all local authorities can offer appropriate settings for some complex needs that different children will have. Co-operation between authorities is always helpful and it is something that we want to encourage.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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Plaid Cymru’s North Wales police and crime commissioner has long warned that, post Brexit, criminals will use the common travel area to gain access to the UK. This warning has been reaffirmed today in a National Audit Office report. Will the Secretary of State tell me what provision he is making personally to protect Wales from becoming both the highway and the victim of international organised crime?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am grateful to the hon. Lady for the question, but I am not sure where Brexit is linked with this. Clearly, there is freedom of movement across the European Union and the common travel area—those positions will still be in place, particularly in relation to the common travel area. I do not think that this is about where the children originate from, because, clearly, there are Welsh children being sited appropriately in England as well. We have to have as an overriding factor the most appropriate setting and it is important that the authorities co-operate wherever the regulations come from.

Liz Saville Roberts Portrait Liz Saville Roberts
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It is no secret that the Secretary of State does not speak as Wales’s voice in Westminster on Brexit. He has, in fact, poured scorn on the efforts of others who seek to make representations for Wales in Brussels. He may be aware that, together with other sensible Opposition leaders in this place, I am meeting Michel Barnier tomorrow, and I will do my duty to represent my country. Does he have any Wales-specific priorities that he would like me to raise with the EU Brexit negotiator-in-chief, or would that be against England’s interest?

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

In relation to private sector care homes?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady talks about meeting Michel Barnier tomorrow with other colleagues, but I hope that she will stand shoulder to shoulder with the Prime Minister who is acting in the UK’s interest rather than in any local national interest.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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Returning to the subject, what changes does my right hon. Friend propose in terms of inspection of care homes to ensure that children are safe in those care homes?

Alun Cairns Portrait Alun Cairns
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My hon. Friend raises an important point. The social care innovation programme plans to change the laws in England so that local authorities have to promote the physical and mental health of looked-after children, and this would be a major step forward in this area of policy.

Ian C. Lucas Portrait Ian C. Lucas (Wrexham) (Lab)
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2. What representations he has received from the aerospace sector in Wales on the priorities for that sector when negotiating the terms of the UK’s exit from the EU.

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Tommy Sheppard Portrait Tommy Sheppard (Edinburgh East) (SNP)
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13. What representations he has received from the Welsh Government on the design of the UK Shared Prosperity Fund.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The UK’s exit from the European Union provides us with an opportunity to reconsider how funding for growth across the UK is designed and delivered. In our manifesto, we committed to engaging with the Welsh Government on the UK Shared Prosperity Fund, and that work is under way.

Alan Brown Portrait Alan Brown
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At the moment, the so-called opportunity of the UK Shared Prosperity Fund falls within the remit of the Ministry of Housing, Communities and Local Government, a Department wholly devolved to England. It therefore does not understand the needs of the devolved nations and is bound to put the needs of England before those of the devolved nations. Does the Secretary of State agree that the devolved nations should have control?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The answer is in the title—it is the UK Shared Prosperity Fund and, therefore, joint work is taking place across Government. As the hon. Gentleman would expect, I have shown a strong interest in it, as have my right hon. Friends the Secretary of State for Scotland and the Secretary of State for Northern Ireland. Clearly, we are keen to work together.

Martyn Day Portrait Martyn Day
- Hansard - - - Excerpts

The retention of the UK Shared Prosperity Fund at Westminster undermines the devolution of economic development. Does the Secretary of State not see that his Government’s refusal to give the fund to devolved Governments is yet another power grab?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I certainly do not accept the basis of the hon. Gentleman’s question in relation to a power grab, because the Welsh Government supported the European Union (Withdrawal) Act 2018, which demonstrates that his assertion does not stack up. On EU aid and how it has been spent in Wales, more than £4 billion has been spent over 17 years and west Wales and the valleys remains the poorest part of the United Kingdom. The development of the UK Shared Prosperity Fund is a great opportunity to reshape something that suits local communities and businesses far better and more efficiently.

Tommy Sheppard Portrait Tommy Sheppard
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This is a shambles. Over a year ago, the Secretary of State boasted of an efficient and responsive UK Shared Prosperity Fund, but today he admits that the Government have not even started the consultation on it. With months to go before the Brexit catastrophe, what guarantees do we have that there will be any fund fit for purpose for Wales or the other nations of the United Kingdom?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman is highly selective in his references. He fails to recognise that my right hon. Friend the Chancellor of the Exchequer has agreed to guarantee the funding for the existing programme until 2020. That gives us the opportunity to design a UK Shared Prosperity Fund with appropriate consultation with the devolved Administrations, as well as with businesses and local authorities, and we are ready for immediate discussions before the consultation.

Stephen Crabb Portrait Stephen Crabb (Preseli Pembrokeshire) (Con)
- Hansard - - - Excerpts

In the past, too much EU funding was wasted in Wales on low-impact projects that did not help to close the economic gap. Can my right hon. Friend assure the House that the prosperity fund will not just repeat the mistakes of the past, but will be used in high impact projects to renew the Welsh economy?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend makes an excellent point and obviously speaks with experience. He will remember the £38 million Technium project that built nine office spaces across Wales with the support of EU aid, six of which closed after nine years because they were unsustainable. That demonstrates the waste that was in the system: we can design a much better system for local businesses.

Rebecca Pow Portrait Rebecca Pow (Taunton Deane) (Con)
- Hansard - - - Excerpts

This is my first ever Welsh question, and I came because I want to welcome the Under-Secretary of State for Wales, my hon. Friend the Member for Eastleigh (Mims Davies) to her position and wish her well.

Does my right hon. Friend agree that the UK Shared Prosperity Fund, which should benefit the south-west and Wales, provides us with an opportunity to break away from the complex and restrictive processes that characterise the EU structural funding scheme?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I thank my hon. Friend for her question. She will recognise that the current rules on EU funding exclude some areas that should qualify because they have wards that are among the most deprived in the UK. We can design a UK fund that is more appropriate for and responsive to those local communities.

Mark Harper Portrait Mr Mark Harper (Forest of Dean) (Con)
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What opportunities does the UK Shared Prosperity Fund provide for making sure that the money is spent on our priorities in all four constituent parts of our United Kingdom?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend makes an important point, and he will recognise the benefits of co-operating on a cross-border basis. The UK Shared Prosperity Fund could give us an opportunity to consider how that can work imaginatively—although obviously I do not want to pre-empt any consultation.

Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
- Hansard - - - Excerpts

Long may it continue.

In the first spending period after Brexit, will Wales receive more money or less than it would have received under EU structural funds?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman is tempting me to pre-empt the Chancellor’s comprehensive spending review and Budgets that will come within that period. It is wholly inappropriate for me to respond on that basis, and much will depend on the detail of the nature of the deal we get with the European Union.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
- Hansard - - - Excerpts

Businesses and community organisations across Wales are alarmed at how little detail has been provided about the Shared Prosperity Fund. They are doubly concerned that the consultation that has been promised by the end of this year has not even started. Will the Secretary of State at long last provide a date for this consultation and, if he cannot, may we at the very least have a date on which we can have that date?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman will be aware that we will consult on the UK Shared Prosperity Fund very soon. I am sure that even he will agree that the existing programme has not gained the greatest value for money, as he will also be aware that the then first Minister, Rhodri Morgan, said that it was a once-in-a-lifetime opportunity and we are now on our third round of EU funding. There must be a better way.

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Greg Hands Portrait Greg Hands (Chelsea and Fulham) (Con)
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5. What discussions he has had with the Secretary of State for International Trade on increasing (a) exports from and (b) foreign direct investment into Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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Since 2010, Welsh exports have increased by 41%, growing faster than the UK average of 36%. There are a whole host of exporting success stories and it was a privilege to support SureChill and Hydro on the Prime Minister’s recent trade mission to Africa.

Greg Hands Portrait Greg Hands
- Hansard - - - Excerpts

I thank the Secretary of State for that answer. Will he outline what specific measures he is looking at promoting at the forthcoming UK Board of Trade meeting in Swansea to promote trade and investment in both Wales and the wider UK?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I thank my right hon. Friend for the work he did at the Department for International Trade and his contribution to the establishment of the UK Board of Trade, which is an excellent innovation. It will be in Swansea in a number of weeks, so we have a great opportunity to highlight and champion to international businesses the best that Wales can offer in terms of exports.

Chris Evans Portrait Chris Evans (Islwyn) (Lab/Co-op)
- Hansard - - - Excerpts

The Welsh automotive sector is a real success story, but it depends on frictionless trade. What action is the Secretary of State taking to ensure that that continues after Brexit?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman will be well aware that that is a plan for and determination of our negotiations. That is exactly what we will seek to agree with the European Union. It is in the UK’s interest, it is in the European Union’s interests and my right hon. Friend the Prime Minister is working to that end.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
- Hansard - - - Excerpts

My right hon. Friend will be aware that one of our biggest exports is tourism, and the sector deal still awaits to be made. Will he undertake to speak to the Secretary of State for Business, Energy and Industrial Strategy and the Secretary of State for Digital, Culture, Media and Sport to see whether the sector deal for the UK, and Wales in particular, can be enacted?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend, with his great knowledge and interest in Wales, recognises the value of tourism to the Welsh economy, and I meet him regularly. My right hon. and learned Friend the Secretary of State for Digital, Culture, Media and Sport is responsible for delivering on the industrial strategy, but my hon. Friend is right: Lonely Planet named north Wales the fourth top place to visit in the world in its recent report. [Interruption.]

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

There are a lot of very noisy private conversations taking place, but I want to hear the mellifluous tone of Jonathan Edwards.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
- Hansard - - - Excerpts

The latest HMRC statistics show a 7% increase in Welsh exports to the EU, worth £643 million, while non-EU exports have fallen. Is it not the reality that trade deals with the US, China and the moon will never replace lost trade with the single market and the customs union?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman will be aware of the export data that I highlighted—that exports from Wales have grown faster than from other parts of the United Kingdom—and I could cite a range of export opportunities in other parts of the world on which Wales is doing better than other parts of the UK. I am hugely impressed by the renewed interest in the UK by an international audience as a result of our leaving the European Union—Aston Martin, Qatar Airways and a host of others that I could cite are clear demonstrations of that.

Gavin Newlands Portrait Gavin Newlands (Paisley and Renfrewshire North) (SNP)
- Hansard - - - Excerpts

6. What recent discussions he has had with the Secretary of State for Justice on the plan to build a new prison in South Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

This Government are investing in the prison estate—replacing older prisons with high-quality, modern establishments. A new prison in Wales could create up to 500 jobs and contribute £11 million a year to the economy.

Gavin Newlands Portrait Gavin Newlands
- Hansard - - - Excerpts

Over one third of adults released from prison in Wales go on to reoffend. Considering that the last prison that the Ministry of Justice built in Wales cost £250 million, does the Secretary of State not think that money would be better spent on rehabilitative measures that actually help those who need them—which, alongside a presumption against short sentences, in Scotland has been shown to reduce recidivism rates considerably—rather than on another costly UK Government vanity project?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an important point, and clearly we would like the population of the prison estate to decline, but of course we also have to keep the community safe, and it is the right thing to do. We need to modernise the estate, and we would like to build a prison in south Wales.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

Does my right hon. Friend agree that high-quality modern accommodation located as near to prisoners’ homes as possible is a vital part of the rehabilitation process? Will he therefore join me in welcoming this Government’s extra commitment to spending on the prison estate?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am grateful for my hon. Friend’s interest and the expertise that he shows in working with the police on this basis. A new prison would create 500 new jobs. More importantly, it provides for much better outcomes for offenders, in order to help their rehabilitation and keep our communities safe.

Marie Rimmer Portrait Ms Marie Rimmer (St Helens South and Whiston) (Lab)
- Hansard - - - Excerpts

7. What recent discussions he has had with Cabinet colleagues on the effect on people in Wales of the UK Government’s recent changes to welfare benefits.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 18th July 2018

(5 years, 9 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Stephen Gethins Portrait Stephen Gethins (North East Fife) (SNP)
- Hansard - - - Excerpts

9. What recent assessment he has made of the effect on the Welsh economy of the UK leaving the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

Wales approaches Brexit from a position of strength with a growing economy and falling unemployment, and our plan for Brexit will allow us to shape our own ambitious trade and investment opportunities, putting Wales and the wider UK at the forefront of global trade.

John McNally Portrait John Mc Nally
- Hansard - - - Excerpts

The Welsh Affairs Committee has now joined in the calls for the retention of membership of the single market and customs union to protect the agricultural sector, in which 80% of Welsh exports go to the EU. Will the Secretary of State confirm what representations he made to the Prime Minister ahead of the Chequers agreement for continued membership for the agricultural sector?

Alun Cairns Portrait Alun Cairns
- Hansard - -

As the House would expect, I looked closely at that report, but of course the outcome that the hon. Gentleman suggests would mean that we could not honour the expectations of the British people following the referendum decision to leave the European Union; it would mean retaining free movement of people. The Chequers agreement protects the agricultural sector so that it has the opportunity to trade frictionlessly with the European Union.

Gavin Newlands Portrait Gavin Newlands
- Hansard - - - Excerpts

By 2020, the Welsh economy will have been supported by almost £150 billion of investment through EU structural funds. The Government committed to replacing that funding, along with support for farming and the English NHS, with money from the mythical Brexit dividend. Now that it is clear that the UK will not receive a single penny back from Brexit, will the Secretary of State confirm that there will still be money for Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The Government have committed to consult later this year on the UK shared prosperity fund, which will be a Brexit dividend. We are already seeing a Brexit dividend with the £20 billion increase in health spending, which will have considerable consequences for Scotland and, rightly, for Wales. As their budgets are protected, Wales, Scotland and Northern Ireland will benefit significantly from that.

Stephen Gethins Portrait Stephen Gethins
- Hansard - - - Excerpts

The Secretary of State’s answer directly contradicts the UK Government’s own analysis, which shows that Wales and every other part of the United Kingdom will be badly hit by their plans for Brexit. If the Government do have a plan for Brexit, we would love to hear it—and is there any economic analysis for it?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman ignores the hard data, which shows record numbers of people in employment and sharp falls in unemployment. I have met a whole host of international investors from the US, Qatar, Japan and elsewhere, and we are seeing significant foreign direct investment projects coming to the UK. That shows the great opportunities there are as we leave the European Union.

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Charlie Elphicke Portrait Charlie Elphicke
- Hansard - - - Excerpts

Thank you, Mr Speaker.

Does the Secretary of State agree that the most important market to the Welsh economy is the internal market of the United Kingdom? That is also true for Scotland, which is why it makes no sense that the Scottish National party wants to peel Scotland away from the United Kingdom and the success of this nation.

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an extremely important point. He is right to say that the UK market is more important to the Welsh and Scottish economies than any international market is. It has already been demonstrated that Scotland sells four times more to the rest of the UK than to any international market. That dependence on the UK economy is greater for the Welsh economy.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
- Hansard - - - Excerpts

Does my right hon. Friend agree that the economic benefit of the city deals that have been agreed in Wales and Scotland is evidence of what is possible when the UK Government and the devolved Administrations pull together in the same direction?

Alun Cairns Portrait Alun Cairns
- Hansard - -

May I pay tribute to my hon. Friend, who has worked so hard on the Stirling city growth deal? That exciting prospect, will offer real opportunities for long-term economic regeneration. I take the opportunity to highlight the fact that Wales will be the only part of the UK that is entirely covered by city deals and growth deals. That meets the UK Government’s ambitions to close the wealth gap between the most prosperous and most deprived areas of the UK by raising the economic prospects of some of the poorest parts of the UK.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
- Hansard - - - Excerpts

Given the impact of Brexit uncertainty on the Welsh rural economy, the Minister will surely agree that technology and science opportunities must be seized. What is he doing to ensure that Snowdonia Aerospace at Llanbedr becomes the UK’s first horizontal-launch spaceport?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady is absolutely right. Llanbedr offers great opportunities. The Secretary of State for Business, Energy and Industrial Strategy and I have spoken on a number of occasions about this, and I hope that the hon. Lady will welcome the statement that was made last week and the additional money that is being made available to exploit the opportunities in Llanbedr. I am excited by this prospect, and we will put the hon. Lady’s constituency at the forefront of space technology.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Let us hear more about the horizontal port situation.

Liz Saville Roberts Portrait Liz Saville Roberts
- Hansard - - - Excerpts

I will say more about the situation of the rural economy, given that the former Wales Office Minister, the hon. Member for Aberconwy (Guto Bebb), stood down this week to oppose the Brexiteers’ wrecking amendments. At next week’s Royal Welsh show, will the Secretary of State announce his resignation in protest at the Government’s policy of wrecking Welsh livestock farming?

Alun Cairns Portrait Alun Cairns
- Hansard - -

First, I pay tribute to my hon. Friend the Member for Aberconwy (Guto Bebb) for his excellent work at the Ministry of Defence in supporting the defence services across the whole UK, as well as his role in looking after agriculture as a Wales Office Minister. The hon. Lady will be well aware that the Chequers agreement provides a frictionless trading opportunity for Welsh farmers that will allow them to continue to sell Welsh beef and lamb, and other Welsh produce, to the European Union as they do at the moment.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

In calling the hon. Member for Vale of Clwyd (Chris Ruane), I congratulate him on what I understand is, unbelievably, his 60th birthday.

Chris Ruane Portrait Chris Ruane (Vale of Clwyd) (Lab)
- Hansard - - - Excerpts

It’s a hard life!

The shadow Wales team recently met Farmers Union of Wales representatives, who are desperately worried about the future funding of Welsh agriculture post Brexit. If future farm funding is allocated using the Barnett formula, Welsh farmers will lose £133 million a year, taking £1 billion out of the Welsh economy. That would decimate rural communities and thousands of family-run farms. What steps is the Minister taking to guarantee Welsh agriculture the same level of funding post Brexit?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I, too, congratulate the hon. Gentleman on his significant birthday. The Under-Secretary of State for Wales, my hon. Friend the Member for Pudsey (Stuart Andrew), and I meet Welsh farming unions regularly, and we also meet them jointly with the Welsh Government’s Agriculture Minister. That demonstrates the collaborative approach that we are taking. If I have said once, I have said 100 times that we will not be using the Barnett formula to distribute agricultural spend. Clearly, the current level of spend is the starting point, and we will be consulting in due course. The financial protection that the UK Government have given to Wales, whereby Wales now receives £120 for every £100 spent in England, demonstrates the priority that we put on protecting Wales’s interests.

Ranil Jayawardena Portrait Mr Ranil Jayawardena (North East Hampshire) (Con)
- Hansard - - - Excerpts

2. What recent steps he has taken to promote Wales’s international trading opportunities.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

My Department continues to work closely with the Department for International Trade on promoting Wales’s trading opportunities. During my recent trips to Qatar, Kuwait, Hong Kong and the US I saw at first hand the enthusiasm for Welsh exports as well as the potential for foreign direct investment projects to come to Wales.

Ranil Jayawardena Portrait Mr Jayawardena
- Hansard - - - Excerpts

Given Wales’s connectivity on the M4 corridor, does my right hon. Friend agree that we can truly capitalise on trading opportunities internationally for Wales and, indeed, the Thames valley by improving the Reading to Gatwick road corridor?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend will be aware that I have been a strong supporter of the third runway at Heathrow because it is important to the Welsh economy, and connectivity to airports is vital to deliver its prospects and objectives. He is right about the M4 corridor. With the abolition of the Severn tolls, it creates an opportunity for a natural economy to develop between Bath, Bristol, Newport and the south Wales economy in general, to create further economic growth.

Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
- Hansard - - - Excerpts

The Secretary of State knows that Airbus is one of Wales’s most important trading entities and companies, so does he think it is a good or bad sign that the chief executive of Airbus is so worried about the Government screwing up Brexit that he is now stockpiling goods that he feels he will not be able to get in to make his finished products?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I think the hon. Gentleman is out of date. The latest statements from Airbus have welcomed the Chequers agreement, because it will allow the company to protect its supply chain. That demonstrates the positive relationship that we have with large international companies, in seeking to protect their interests but taking the opportunities of leaving the European Union and looking to new markets elsewhere.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
- Hansard - - - Excerpts

15. Is it not the case that following the passing of the Trade Bill yesterday, Wallonia, a region of Belgium, will have more influence over EU trade policy than Wales will have over post-Brexit UK trade policy?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend the Secretary of State for International Trade announced that we will have the widest, most extensive consultation in relation to future trading arrangements. We will not only talk to the devolved Administrations regularly, as I always do, but talk to key stakeholders in Wales to ensure that we respond to their priorities. We are determined to have the widest consultation to ensure that people have the facts at hand rather than sometimes inaccurate reports.

Chris Evans Portrait Chris Evans (Islwyn) (Lab/Co-op)
- Hansard - - - Excerpts

The expanding digital economy will bring further opportunities for Welsh businesses, yet they tell me all the time that broadband speeds are still too slow to trade. What are the Government doing about this?

Alun Cairns Portrait Alun Cairns
- Hansard - -

On average, the superfast broadband threshold in Wales is higher than it is across the rest of the UK, but the hon. Gentleman is absolutely right that more work needs to be done. Significant sums have been available, with £69 million going to the Welsh Government from the Department for Digital, Culture, Media and Sport, in addition to the £56 million of gainshare that has come from that. Of course, the priority for how the Welsh Government spend that has largely been driven and directed by them. I am keen to work closely with them to see that we can get to the communities that have not yet received superfast broadband, because clearly that brings them opportunities economically.

Justin Madders Portrait Justin Madders (Ellesmere Port and Neston) (Lab)
- Hansard - - - Excerpts

4. What discussions he has had with the Secretary of State for Transport on improving cross-border rail services to and from Wales; and if he will make a statement.

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Peter Grant Portrait Peter Grant (Glenrothes) (SNP)
- Hansard - - - Excerpts

10. What discussions he has had with the Welsh Government on the UK Government’s White Paper on leaving the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

In line with commitments made by my right hon. Friend the Prime Minister, the Government shared the White Paper on our future relationship with the European Union with the Welsh Government in advance of its publication. This followed a regular dialogue with Welsh Ministers as the paper was being drafted.

Tommy Sheppard Portrait Tommy Sheppard
- Hansard - - - Excerpts

The Government have proposed 26 policy areas where joint arrangements will be necessary with the Welsh Government after Brexit. Given the proposal in the Chequers agreement and the White Paper for a common rulebook with the EU, in how many of those areas will such arrangements no longer be necessary?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman refers to an ongoing relationship and dialogue with the Welsh Government. He will be aware that the Welsh Government were happy to give a legislative consent motion to the European Union (Withdrawal) Bill as it passed through the Palace of Westminster, which demonstrates the mutual respect and ongoing productive relationship that we have. I only wish that the Scottish Government would work in the same constructive, positive way.

Stuart C McDonald Portrait Stuart C. McDonald
- Hansard - - - Excerpts

The White Paper’s mobility proposals for business visitors and intra-company transfers might be all right for large multinational companies in London, but they offer nothing to small businesses in Wales and important public services. What is the Secretary of State doing to ensure that they can still recruit the EU workers they need, if Brexit happens?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I have referred on several occasions to the expert panel I formed, which is being extended, and to joint meetings I have held with Welsh Government Ministers. We are keen to engage with businesses of all sizes. Large companies such as Airbus often receive much attention, but it is only right that small businesses, which often depend on their supply chains, receive a similar amount of attention.

Peter Grant Portrait Peter Grant
- Hansard - - - Excerpts

I do not think even the UK Government still believe that the Joint Ministerial Committee on Europe is fit for purpose. Does the Secretary of State agree that it is time for it to be replaced by a statutory forum that gives equal power of esteem to all four nations in these islands?

Alun Cairns Portrait Alun Cairns
- Hansard - -

A previous Joint Ministerial Committee committed to look at intergovernmental arrangements and how we can best develop and evolve them in the light of our exit from the European Union. My relationship with the Welsh Government is positive. It takes a lot of hard work on both sides, and I am keen to maintain the warmest sort of arrangements because we respect the outcome of the referendum and the importance of the UK internal market.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

The Secretary of State is stoical in the circumstances, but there is an excessive number of rather loud private conversations taking place. An air of solemnity should descend on the House as we are about to hear from the Chair of the Select Committee.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

12. We are seeing record numbers of people in work in Wales and record amounts of foreign direct investment, and we have a set of proposals that will allow Wales to benefit from access to the single market and new trade deals across the world. Is it not about time that Members of Parliament on both sides of the House got behind the Prime Minister and the Secretary of State for Wales as they lead Wales to a better future outside the European Union?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is right, and I pay tribute to him for his work as Chair of the Welsh Affairs Committee. Not only does the UK remain the No. 1 destination for foreign direct investment, but Wales has seen a 20% increase in the employment created out of that investment. Our exports are growing to record levels and, interestingly, those to areas outside the European Union are growing at a faster rate than those to the European Union.

James Duddridge Portrait James Duddridge (Rochford and Southend East) (Con)
- Hansard - - - Excerpts

The White Paper is a little light on the benefits of World Trade Organisation rules. Will the Secretary of State discuss the benefits of those rules with the Welsh Government alongside the White Paper?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I will naturally continue an ongoing dialogue with the Welsh Government about a whole host of issues. My right hon. Friend the Secretary of State for International Trade yesterday agreed to and committed to consult widely, including with the devolved Administrations. My hon. Friend is absolutely right that there are great opportunities as we leave the European Union to look at new markets, but nor should we undermine the existing complex supply chains that have built up over 40 years. The Chequers White Paper, I believe, allows us to do both.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
- Hansard - - - Excerpts

Will my right hon. Friend reach out beyond the Welsh Government to businesses in Wales to exemplify the opportunities that will be created as we leave the European Union?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is absolutely right. We often, rightly, give a lot of attention to the devolved Administrations because they are elected bodies in the nations themselves, but businesses in Wales depend on the UK market and their view is also important as we develop and evolve our policy towards the negotiations to leave the European Union.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
- Hansard - - - Excerpts

I join in the birthday wishes to my youthful shadow Minister, my hon. Friend the Member for Vale of Clwyd (Chris Ruane).

It has been two years since the Prime Minister met the First Minister of Wales in Cardiff Bay and stood on the steps of the Senedd, telling politicians and journalists how important the Union is and that she wanted the Welsh Government to be involved in Brexit discussions, so why was the White Paper not shared with the Welsh Government until barely 12 hours before its publication?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady is right that the document was shared with the Welsh Government before it was published. I can also say that many extracts—[Interruption.]

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Order. I apologise to the right hon. Gentleman. The microphone is not functioning as well as it should be, and I therefore suggest that a modest bellowing by the right hon. Gentleman will suffice.

Alun Cairns Portrait Alun Cairns
- Hansard - -

Thank you, Mr Speaker. I can point out to the hon. Lady that not only was the document itself shared with the Welsh Government before publication, but—I would say, probably more importantly—as the document was being drafted, various extracts were shared with the Welsh Government and their input during the drafting stages contributed to the document in its totality.

Christina Rees Portrait Christina Rees
- Hansard - - - Excerpts

It is not good enough. The Secretary of State knows the terms of the JMC, which state that the UK Government will work with the devolved Administrations

“to agree a UK approach to…Article 50 negotiations”.

After two years of broken promises on Brexit talks, who should the people of Wales blame for the contempt shown to them—the Prime Minister, the Secretary of State for Wales or both?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady is ignoring that we shared the drafting of the document with the Welsh Government before we had concluded the document itself. They had an integral part in contributing and sharing their views. I would also say that it was considered at length at the JMC that my right hon. Friend the Chancellor of the Duchy of Lancaster chaired days before the document was shared.

Kwasi Kwarteng Portrait Kwasi Kwarteng (Spelthorne) (Con)
- Hansard - - - Excerpts

8. What recent discussions he has had with the Secretary of State for Defence on the Welsh Guards’ tour of Afghanistan.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have regular discussions with the Secretary of State for Defence about the armed forces in Wales, including about my recent visit to Kabul to meet the Welsh Guards. During the visit, I saw at first hand the important role that our servicemen and women play in the UK’s operations, and I pay tribute to them.

Kwasi Kwarteng Portrait Kwasi Kwarteng
- Hansard - - - Excerpts

Does my right hon. Friend welcome the Prime Minister’s announcement of an added commitment from the Welsh Guards to secure and to help NATO’s capacity-building mission in Afghanistan?

Alun Cairns Portrait Alun Cairns
- Hansard - -

Having seen the Welsh Guards in action in Afghanistan, I have nothing but admiration and respect for the work that they do. The additional support to help them embed and the important steps they are taking to support the ongoing work of the Afghan Government will be extremely important, and I pay tribute to them for the work that they do.

Hywel Williams Portrait Hywel Williams (Arfon) (PC)
- Hansard - - - Excerpts

11. What recent discussions he has had with the Secretary of State for Work and Pensions on the roll-out of universal credit in Wales.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 13th June 2018

(5 years, 10 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Kelvin Hopkins Portrait Kelvin Hopkins (Luton North) (Ind)
- Hansard - - - Excerpts

2. What recent discussions he has had with the Secretary of State for Business, Energy and Industrial Strategy on the Swansea Bay tidal lagoon.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have regular discussions with Ministers at the Department for Business, Energy and Industrial Strategy on energy matters pertaining to Wales. A statement on the proposals for the Swansea Bay tidal lagoon will be made in due course.

Kelvin Hopkins Portrait Kelvin Hopkins
- Hansard - - - Excerpts

The Swansea Bay tidal lagoon is vital to Britain’s future energy supplies and is the first of many major schemes to harness the vast marine energy resources around our shores to generate electricity and switch the country to renewables, to reduce and prevent climate change. That is now urgent. Given that, among other things, the Welsh Government have offered to help pay for it, when are the Government going to stop dithering and make the scheme happen?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I would really like the tidal lagoon to go ahead, but of course it must prove to be value for money. Tidal projects could have a positive energy potential, but of course they must deliver value for money for the taxpayer. A number of proposals have been made, and I am not sure whether the hon. Gentleman is supportive of just the project he mentions or marine and tidal projects in general.

Jonathan Edwards Portrait Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
- Hansard - - - Excerpts

The Secretary of State is fast becoming the grim reaper of Welsh politics—the bearer of bad news. When he pulls the plug on the lagoon there will be huge public anger in Wales. Many people back in the motherland will be left asking not only what the point of the current Secretary of State is, but what the point of having a colonial Secretary at all is.

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am disappointed with the tone the hon. Gentleman takes. I would hope that he would recognise the fair funding settlement that we got for Wales—something that the Labour party ignored for 13 years; the Severn tolls announcement; and the city and growth deals that we have got. For Swansea there is a £1.3 billion scheme, and the Cardiff scheme is the biggest in the UK. I hope that demonstrates the value that a Secretary of State for Wales can bring.

Carolyn Harris Portrait Carolyn Harris (Swansea East) (Lab)
- Hansard - - - Excerpts

Electrification—we have not had it. Tidal lagoon—if the Financial Times is to be believed, we are not going to have it. When is the Secretary of State going to start speaking up for the people of Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

No announcement has been made on the tidal lagoon because we are still looking at the numbers. We are doing anything and everything possible to try to make this fit. The hon. Lady should not want it to go ahead if it is not good value for money for the taxpayer. She will be well aware that Tata is an energy-intensive industrial site right next door to the site for the proposed tidal lagoon. I do not think she or any other Member would want to increase energy prices in a way that could put those jobs at risk.

Geraint Davies Portrait Geraint Davies (Swansea West) (Lab/Co-op)
- Hansard - - - Excerpts

Will the Secretary of State point out to the Business Secretary that once nuclear energy commands 12% of global output, we will run out of uranium in 10 years and the price will go up, as will the price of fossil fuels, because we cannot use 80% of them if we are to fulfil the Paris agreement, whereas the price of energy from the lagoon will go down over 100 years? Will the Secretary of State point that out, rather than just sit there doing nothing?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I am glad the hon. Gentleman mentions the Wylfa project, because it is a great demonstration of the Government being prepared to look at the financial model and adjust it in order to make projects happen. It will be the biggest infrastructure project in Wales for well over 30 years, and it provides fantastic prospects. I hope that tidal and marine energy could offer the same, but we should want a scheme only if it is good value for money.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
- Hansard - - - Excerpts

When the people of Wales and the Welsh Labour Government can see the merit of the Swansea Bay tidal lagoon to the extent that they are prepared to invest more than £200 million to achieve the benefits in jobs, growth and cheap, clean renewable power, why will the Secretary of State’s UK Tory Government not even go as far as to sign the same deal they have already concluded with the French and Chinese Government to pay £92.50 per megawatt-hour for nuclear electricity that will be produced at Hinkley C for the next 35 years?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady raises an important point, because she talks about projects that are value for money. Of course £92.50 was rightly highlighted as extremely expensive at the time, and we said that that would be the highest we would pay for such energy projects. We have already said that the tidal lagoon, under the current proposals, would be twice the price of nuclear, so clearly we would not want to be in that position. I should add that I really want this project to happen if it is good value for money for the taxpayer, and my record is strong. I was the one who took Tidal Lagoon Power to meet the special advisers at No. 10 at the very beginning of this process in 2012, and it was from that moment on that the project was taken seriously.

Christina Rees Portrait Christina Rees
- Hansard - - - Excerpts

The whole of Wales is waiting for this decision, because the tidal lagoon project is not just about Swansea. If the Secretary of State’s UK Tory Government accept Carwyn Jones’s kind offer, tidal lagoons for Cardiff, Colwyn Bay and Newport will quickly become real prospects. They could bring jobs and prosperity to the whole of Wales and boost our vital steel industry. This is about the development of technological innovation and bringing it to the point of full commercial productivity. That is what we do in Wales, in stark contrast to the way the Government have proceeded. Were the Government to participate in a general election in the next few months, what exactly would the Secretary of State be able to claim as the industrial or infrastructure achievement that they have delivered for the people of Wales?

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

I sometimes wonder whether the hon. Lady’s questions are more in the manner of an academic thesis. I trust that they will be published, because they are in Hansard.

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady referred to the Welsh Government’s commitment of £200 million, but that is merely a small fraction of the cost of the proposal. We are working with the Welsh Government: we have shared our financial analysis of the project and they have not rejected or pushed back on the sharing of that data. That demonstrates the collaborative approach to the project that we want to take. I point out to the hon. Lady that the city and growth deals throughout every part of Wales are a good demonstration of the industrial strategy and of how the UK Government are committed to development and growth in Wales.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

I call Michael Fabricant.

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Paul Masterton Portrait Paul Masterton (East Renfrewshire) (Con)
- Hansard - - - Excerpts

4. What steps he is taking to ensure that Wales benefits from the expansion of Heathrow airport.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

Heathrow airport is an asset for the whole of the United Kingdom and we will make sure that the benefits of expansion are shared as widely as possible.

Paul Masterton Portrait Paul Masterton
- Hansard - - - Excerpts

Does my right hon. Friend agree that the logistics hubs are absolutely vital to ensure that places such as Wales and Scotland benefit from Heathrow’s expansion plans?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is right, and I know that he is keen to gain a logistical hub in Scotland, which demonstrates that Heathrow airport expansion is a project not just for London and the south-east, but for the whole of the UK. I was in Shotton just a couple of weeks ago, one of the potential sites for a logistical hub, so I suspect that we may be in competition.

Jo Stevens Portrait Jo Stevens (Cardiff Central) (Lab)
- Hansard - - - Excerpts

Does the Secretary of State agree that the demand for the Heathrow rail spur link is of paramount importance now, and that the original date for implementation and opening of 2020 should be adhered to?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Lady raises an important point. Public transport is an important part of the expansion of Heathrow, including the western rail link. I am as keen as she is to see that progress as quickly as possible.

Jack Lopresti Portrait Jack Lopresti (Filton and Bradley Stoke) (Con)
- Hansard - - - Excerpts

I welcome the moves that my hon. Friend is taking to ensure that Wales benefits from Heathrow expansion. I have a Heathrow hub in my constituency, just on the other side of the Severn. Aside from removing the tolls on the Severn bridge, which is an excellent thing to do, what else is he doing to try to strengthen economic links between the south-west of England and Wales?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend raises an extremely important point, because the removal of the Severn tolls creates a great opportunity to create and generate a new economic region. I held a Severn growth summit in Wales in January, and more people attended from the south-west of England than from Wales, which demonstrates the will to combine the capacity of the area to compete with the northern powerhouse, the midlands engine and London and the south-east.

Ian C. Lucas Portrait Ian C. Lucas (Wrexham) (Lab)
- Hansard - - - Excerpts

Liverpool and Manchester airports serve north Wales. Will the Secretary of State ensure that those airports, which want further contacts with Heathrow, are not relegated to a position behind Heathrow on the issue of service access to airports?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an important point. He talks about Liverpool and Manchester. Part of the condition of the expansion of Heathrow airport and the construction of the third runway relates to the protection of 15% of slots for regional airports around the UK, and Liverpool and Manchester stand to benefit significantly from that.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
- Hansard - - - Excerpts

6. What discussions he has had with the Secretary of State for Transport on the potential effect on community transport providers in Wales of changes to the way in which section 19 and 22 permits are issued.

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David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
- Hansard - - - Excerpts

7. Whether he has had discussions with local councillors in Monmouthshire on air pollution in Chepstow; and if he will make a statement.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I have met Monmouthshire county councillors and share their concerns regarding air pollution around Chepstow. The abolition of the tolls on the Severn crossings represents a huge opportunity for economic growth in Chepstow and Monmouthshire, but we must also be alive to those sorts of pressures.

David T C Davies Portrait David T. C. Davies
- Hansard - - - Excerpts

I thank my right hon. Friend for the interest that he has taken in this issue. Will he continue to press the Welsh Labour Government to fulfil their obligations by building a Chepstow bypass and showing the same commitment to clean air and a better environment that is being shown by this Conservative Government?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My right hon. Friend the Secretary of State for Transport has established a strategic roads group in Britain, in which we can discuss cross-border issues. A meeting was held just last week. I am disappointed that the Welsh Government were not present, but we can continue to engage on a positive basis to ensure that these cross-border opportunities are exploited to the best of our ability.

--- Later in debate ---
Ben Lake Portrait Ben Lake
- Hansard - - - Excerpts

14. My colleague Simon Thomas is leading the way on tackling air pollution and has proposed a clean air Act for Wales. Does the Secretary of State agree that there is a case for transferring responsibility for fuel duty income so that the National Assembly has the additional resources to tackle air pollution?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman makes an extremely important point about air quality, which is why the Government have launched their clean air strategy. There have been significant improvements in this field since 2010, but we absolutely recognise the challenges. I am not sure about the second element of his question, which relates to further devolution of fiscal policy.

Mark Tami Portrait Mark Tami (Alyn and Deeside) (Lab)
- Hansard - - - Excerpts

9. What recent discussions he has had with the Secretary of State for Business, Energy and Industrial Strategy on the steel industry in Wales.

Liz McInnes Portrait Liz McInnes (Heywood and Middleton) (Lab)
- Hansard - - - Excerpts

13. What recent discussions he has had with the Secretary of State for Business, Energy and Industrial Strategy on the steel industry in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

I regularly discuss the role of Welsh steel plants in supporting a successful UK steel industry with my right hon. Friend the Secretary of State for Business, Energy, and Industrial Strategy. We remain committed to supporting the sector to remain competitive in a challenging global marketplace.

Mark Tami Portrait Mark Tami
- Hansard - - - Excerpts

US steel tariffs represent a major threat to the Welsh steel industry, so what are the Government doing not only to get the US to see sense, but to limit the threat of displaced steel being dumped in the UK and further undermining our steel industry?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman will be well aware that my right hon. Friend the Prime Minister has raised this matter directly with the President of the United States. The Secretary of State for International Trade has also raised it with his counterpart, and I have spoken to the UK’s trade commissioner in the US and to the US ambassador here in the UK. It is only by working with the European Union on these issues that we can bring about the best pressure. I am confident that the UK can play a leading part in those negotiations.

Liz McInnes Portrait Liz McInnes
- Hansard - - - Excerpts

It is estimated that 100,000 tonnes of steel will be needed for the Swansea Bay tidal lagoon project, so what representations has the Secretary of State made to his colleagues to show that scrapping the project would mean denying the Welsh steel sector that vital opportunity?

Alun Cairns Portrait Alun Cairns
- Hansard - -

We had a series of questions on the Swansea Bay tidal lagoon earlier, and we said that the project should only go ahead—I would really like it to go ahead—if it represents good value for money for the taxpayer. The hon. Lady notes the amount of steel that would be needed, but that is less than a month’s output for a major steel plant. The project has an important procurement role, but it should not be overstated.

Susan Elan Jones Portrait Susan Elan Jones (Clwyd South) (Lab)
- Hansard - - - Excerpts

10. What recent discussions he has had with the north Wales economic ambition board on the progress of the north Wales growth deal.

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Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
- Hansard - - - Excerpts

11. What recent assessment he has made of the benefits for Wales of the UK leaving the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

The Welsh economy approaches EU exit from a position of strength. Leaving the EU will allow us to shape our own ambitious trade and investment opportunities, in Europe and beyond, and put Wales and the wider UK at the forefront of global trade and investment opportunities.

Owen Smith Portrait Owen Smith
- Hansard - - - Excerpts

Some 67% of Welsh exports are to the European Union. Yesterday, the Office for National Statistics reported that manufacturing in our country declined by the greatest amount in the past five years, and Ernst and Young says that our exports are nosediving. How is Brexit going to help?

Alun Cairns Portrait Alun Cairns
- Hansard - -

I would say in the first instance that the hon. Gentleman is calling for a second referendum, which would create the greatest uncertainty for the UK, both economically and constitutionally. I also point out that exports from the UK are growing, and at a faster rate than areas outside the European Union, and he well knows that exports from Wales cannot be taken in isolation without considering the wider procurement and networking of businesses across the UK.

Scott Mann Portrait Scott Mann (North Cornwall) (Con)
- Hansard - - - Excerpts

15. Wales and Cornwall have benefited from objective 1 funding and subsequent funding. What discussions has the Secretary of State had on the shared prosperity fund and how its funding will be allocated?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend is obviously very interested in how the successor to European aid programmes will work, as I am in relation to west Wales and the valleys in general. We have committed to a UK shared prosperity fund, which will allow us—this is one of the benefits of leaving the European Union—to come up with a much simpler and more targeted approach that can help the poorest communities across the UK.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
- Hansard - - - Excerpts

12. What recent discussions he has had with Cabinet colleagues on supporting Welsh companies to export.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 2nd May 2018

(6 years ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Geraint Davies Portrait Geraint Davies (Swansea West) (Lab/Co-op)
- Hansard - - - Excerpts

2. If he will discuss with Network Rail its decision to reduce levels of investment in south Wales; and what recent discussions he has had with Cabinet colleagues on the cancellation of the electrification of the line between Cardiff and Swansea.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
- Hansard - -

Network Rail’s budget for investment in the Wales route is more than £1.3 billion—record investment in Wales’ railway infrastructure. Passengers in south Wales are also directly benefiting from our £5.7 billion of investment in the new intercity express trains operating from west Wales through Swansea to London.

Geraint Davies Portrait Geraint Davies
- Hansard - - - Excerpts

The Secretary of State knows that Wales has 5% of the population and 6% of the railways yet less than 2% of the investment. Network Rail has just cut £1 billion from its projects, and £700 million has been cut from rail electrification. Will he now promise to support the Swansea bay electrified city metro scheme, alongside alignment, which would reduce the time between Cardiff and Swansea and result in faster, greener connectivity for Swansea bay?

Alun Cairns Portrait Alun Cairns
- Hansard - -

The hon. Gentleman well knows that Wales does not operate in isolation. The hon. Member for Wrexham (Ian C. Lucas), for example, has been campaigning for the Halton curve, which is in England but of course would serve north Wales and link it better with Merseyside, demonstrating how the rail network in Wales does not operate in isolation. I have met Mark Barry, the proponent of the Swansea bay metro. He is undertaking a host of work on it, and we will happily look closely at it, but I point the hon. Gentleman to the need for a decent cost-benefit ratio.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
- Hansard - - - Excerpts

On the subject of electrification of the line to Swansea, is my right hon. Friend aware that the South Wales chamber of commerce, in Swansea, is a darned sight more concerned about there being an old Labour Government in this country destroying industry than about shaving two minutes off a journey time?

Alun Cairns Portrait Alun Cairns
- Hansard - -

My hon. Friend makes an important point. The political grandstanding by some Opposition Members does nothing other than undermine potential investment in Swansea. Nor will we take any lectures from a party that left Wales in the same league as Moldova and Albania in not having a single track of electrified railway line.

Ben Lake Portrait Ben Lake (Ceredigion) (PC)
- Hansard - - - Excerpts

There is considerable disagreement about the total amount saved by the cancellation of electrification to south Wales—the figures range from £430 million to £700 million—but, irrespective of the total amount saved, does the Secretary of State not agree that there is a compelling case for reinvesting any funds saved by the cancellation in the Welsh network?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman has made an important point. There are opportunities for new railway investment in Wales. The Department for Transport’s strategic outline business case includes a range of options, one of which is improving access to west Wales; that would be transformed by a Swansea parkway railway station, for which there is a growing demand. We are well aware of the Welsh Government’s interest in linking Aberystwyth and Carmarthen, and I think that those schemes would be complementary.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
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Before I ask my question, Mr Speaker, I hope you will allow me to mention Tecwyn Thomas, a stalwart of Welsh Labour for many years, who has sadly passed away. He was my agent, and the agent of many Labour candidates in Wales. My colleagues and I send our condolences to Tecwyn’s widow Iris, and to his family.

According to a report from the National Audit Office, the Transport Secretary knew that bimodal trains would not provide the equivalent of electrification and that no trains exist that could deliver the timetable. Does the Secretary of State agree that the Transport Secretary acted against the advice that he was given when he cancelled electrification to Swansea, and that that has resulted in poor execution of Network Rail’s electrification work in south Wales?

Alun Cairns Portrait Alun Cairns
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Let me also pay tribute to the late member of the Labour party whom the hon. Lady mentioned.

A report from the Public Accounts Committee, to which I refer the hon. Lady, said that the plan for electrification between south Wales and Paddington should be reassessed on a stage-by-stage basis, and that is exactly what we did. Electrification would provide no practical journey time saving between Cardiff and Swansea; passengers would sit on the same train. I think we need to get over that issue. I am seeking to attract investment to Swansea, and constantly criticising the cancellation of a plan that would deliver no practical benefits to passengers does nothing to help that.

Christina Rees Portrait Christina Rees
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In the Transport Secretary’s statement of 20 July 2017, which cancelled the electrification of the line of Swansea, it was proposed that a new pipeline service be established for rail enhancement schemes. However, details of the process, and mechanisms for the development and delivery of the schemes, have not been forthcoming, and no Welsh scheme has yet entered the pipeline. Will the Secretary of State explain what the Transport Secretary is doing to prioritise the funds that Welsh projects so desperately need through that pipeline service?

Alun Cairns Portrait Alun Cairns
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As I have said, there are a number of options in the strategic outline business case, and it is important for us to use that to assess the merits of the study. The increase in the costs of electrification projects throughout the United Kingdom has naturally caused alarm—I mentioned the report of the Public Accounts Committee earlier—but I am excited by the proposals in the business case. I have already mentioned the potential, and the growing demand, for a Swansea parkway station, as well as a new station at St Mellons. There is a host of opportunities.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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3. What recent steps his Department has taken to improve co-operation between the UK, Welsh and Scottish Governments.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I was always optimistic that discussions with the Welsh Government would result in agreement on the European Union (Withdrawal) Bill. The agreement that has been reached is testimony to the close intergovernmental working that has taken place and to the spirit of co-operation, and I am still hopeful that the Scottish Government will sign up to it as well.

Stephen Kerr Portrait Stephen Kerr
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Does my right hon. Friend agree that the agreement—announced last week—between the Welsh Government and the UK Government in respect of clause 11 of the Bill shows what can be achieved when Governments work together constructively for the benefit of the whole United Kingdom and all its peoples?

Alun Cairns Portrait Alun Cairns
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My hon. Friend has made an extremely important point. I think the agreement demonstrates the maturity of the relationship between the UK Government and the devolved Administrations. The Welsh Government recognised the merits of providing certainty and security for businesses and communities. I am still hopeful that we can underline the benefits of the scheme to Scottish businesses and communities, and that we can attract the support of the Scottish Government.

Ian C. Lucas Portrait Ian C. Lucas (Wrexham) (Lab)
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The heavy hand of the Treasury is still delaying investment in north Wales. Will the Secretary of State commit to real devolution, as we in north Wales want the freedom to invest and attract investment ourselves, to improve our infrastructure?

Alun Cairns Portrait Alun Cairns
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I draw the hon. Gentleman’s attention to the north Wales growth deal that we are currently negotiating between the authorities and businesses in north Wales. I met Ken Skates, the Economy Minister, just last week to discuss it. We are anxious to see greater devolution, but some Assembly Members do not want that, because some areas of north Wales have traditionally felt as isolated from Cardiff Bay as from Westminster.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
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Will my right hon. Friend extend to the Welsh Government the thanks of many hon. Members of this House for accepting the UK Government’s sensible and pragmatic proposals for resolving the issue of the repatriation of powers, thereby reflecting the fact that Wales voted to leave the European Union in 2016?

Alun Cairns Portrait Alun Cairns
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I am grateful to my right hon. Friend for that question, because he rightly focuses on the practical benefits and the outcomes. I believe that so long as we are focusing on an environment in which business can continue to invest, employ and represent communities in the way we have negotiated with the Welsh Government, that will put us in the strongest position to get the best benefits for every part of the UK.

Patrick Grady Portrait Patrick Grady (Glasgow North) (SNP)
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I am sure that, in the interests of co-operation, the Government would not want to do anything that undermines the devolution settlement. Do they not recognise that the Conservatives are isolated in the Scottish Parliament, where there is a cross-party consensus that the EU withdrawal Bill is not fit for purpose? Will the Secretary of State therefore ensure that the House of Lords is not asked to consider the European Union (Withdrawal) Bill on Third Reading until all the devolved Assemblies have had a chance to pass a legislative consent motion?

Alun Cairns Portrait Alun Cairns
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As my right hon. Friend the Member for Clwyd West (Mr Jones) highlighted, so long as we focus on outcomes—and the Scottish Government focus on outcomes and delivering for Scottish businesses—I am confident we can reach an agreement. The Welsh Government clearly would not undermine the devolution settlement as far as Wales is concerned, and I hope the Scottish Government will see the merits of the certainty and security that we can offer Scottish industry and Scottish business with this agreement.

Jo Stevens Portrait Jo Stevens (Cardiff Central) (Lab)
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4. What assessment he has made of the effect of changes to policing budgets since 2015 on Welsh police forces.

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Kevin Foster Portrait Kevin Foster (Torbay) (Con)
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11. What steps the Government are taking to ensure that the industrial strategy benefits Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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There are significant opportunities for Wales from the industrial strategy, particularly in relation to innovation, where there is a commitment to raise the total research and development spend to 2.4% of the economy. This is already benefiting Wales, with almost £6 million committed to 17 Welsh partner projects.

Tom Pursglove Portrait Tom Pursglove
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I am grateful to the Secretary of State for that answer, but will he outline how he is ensuring that research and innovation, which is a key part of the industrial strategy in Wales, is recognised across the world?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is a key campaigner for the steel industry, and I draw his attention to the Swansea bay city deal and the industrial strategy, which has established a new national Steel and Metals Institute, not only offering long-term viability to the industry in Wales, but complementing his constituency’s interests.

Kevin Foster Portrait Kevin Foster
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I thank my right hon. Friend for his answers so far. Does he agree that the combination of scrapping the Severn tolls and the cross-border commitment to the industrial strategy represents a significant boost for south Wales, mid-Wales and even south-west England?

Alun Cairns Portrait Alun Cairns
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My hon. Friend rightly draws attention to our commitment to scrap the Severn tolls by the end of this year, which will benefit south-west England and his constituency, as well as the south Wales economy. We are developing a new economic region and the industrial strategy commits to cross-border growth corridors. There is a great deal of excitement in south Wales and the south-west.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
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In view of the lack of news about a sector deal for steel—[Interruption]—coupled with looming trade disruption caused by US steel tariffs, what is the Secretary of State doing in Cabinet to press for action to get the UK—[Interruption.]

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Jessica Morden Portrait Jessica Morden
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In the light of the lack of news about a sector deal for steel, coupled with the looming trade disruption caused by US steel tariffs, what is the Secretary of State doing in Cabinet to press for action to get the UK steel sector a more sustainable future? When is the next Steel Council?

Alun Cairns Portrait Alun Cairns
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I have already referred to the national Steel and Metals Institute at Swansea University, which is important for the sustainability of the steel sector. On the US trading arrangements on steel, the UK and European exemption was extended last week, and my right hon. Friend the Secretary of State for International Trade has travelled to the US specifically to discuss the matter. I have also raised the matter with the US ambassador here, and we are optimistic.

John Bercow Portrait Mr Speaker
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It is not possible to be more grateful to the Secretary of State.

Chris Evans Portrait Chris Evans (Islwyn) (Lab/Co-op)
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At the heart of the industrial strategy is a commitment to 5G connectivity for businesses in Wales. Most businesses across Wales, including in my constituency, have little or no connectivity and slow connections. The Secretary of State has been warned by the CBI that the industrial strategy must be achievable. Is all this not just pie in the sky for businesses that are not connected at the moment?

Alun Cairns Portrait Alun Cairns
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I point to the commitment to the Swansea bay city deal and to our ambition for Cardiff to be a 5G testbed, and we are excited for the opportunities that they will bring. As for connectivity, the Welsh Government have a significant responsibility and, although they have recently committed more money, I ask them to look at their planning rules. The highest that a mast can be in Wales is 15 metres, whereas masts can go to 25 metres in England.

Liz Twist Portrait Liz Twist (Blaydon) (Lab)
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7. What discussions he has had with the Secretary of State for Business, Energy and Industrial Strategy on the effect on the Welsh economy of the Government not yet having made a decision on the Swansea Bay tidal lagoon.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular discussions with Ministers at the Department for Business, Energy and Industrial Strategy on energy matters pertaining to Wales, including the potential role that tidal could play in our energy mix. As I have said previously, it is an untried technology, so it is quite right that we take time to consider both the opportunities and challenges that it presents.

Liz Twist Portrait Liz Twist
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Will the Secretary of State now make a statement on the timetable for a decision on the Swansea Bay tidal lagoon? Has he asked his colleagues in BEIS to commit to such a timetable?

Alun Cairns Portrait Alun Cairns
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I have regular discussions with my colleagues in BEIS and with my right hon. Friend the Secretary of State for Business, Energy and Industrial Strategy about the project. We would like it to go forward, but it must provide value for money, so it is right that we take time to consider the matter. Data has been shared with the Welsh Government, demonstrating the partnership approach that we are determined to take, but no one should want the project to go ahead if it does not represent good value for money for the taxpayer.

Bambos Charalambous Portrait Bambos Charalambous (Enfield, Southgate) (Lab)
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8. What recent assessment he has made of the effect on the Welsh economy of the time being taken to legislate on the UK leaving the EU.

Anna McMorrin Portrait Anna McMorrin (Cardiff North) (Lab)
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14. What recent assessment he has made of the effect on the Welsh economy of the time being taken to legislate on the UK leaving the EU.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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The agreement reached between the UK Government and the Welsh Government on the European Union (Withdrawal) Bill will ensure that we exit from the EU with the certainty and continuity that businesses and communities across Wales have called for.

Bambos Charalambous Portrait Bambos Charalambous
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Will the Minister reassure the House, and businesses across Wales, by confirming that arrangements will be put in place to ensure that new trade deals negotiated after we leave the European Union do not undermine devolved policies?

Alun Cairns Portrait Alun Cairns
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I am grateful that the hon. Gentleman is looking at the opportunities that leaving the European Union provides. Obviously, exports from Wales to the rest of the world are expanding at a much quicker rate than exports to the European Union, which demonstrates that businesses are already looking to those new opportunities, and more Members are looking to those opportunities as we have them.

Anna McMorrin Portrait Anna McMorrin
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My constituent Damian Harris owns a cycle shop in Cardiff North but is struggling because of the uncertainty caused by Brexit. Twenty-nine of the 30 bikes he stocks come from the EU and, at the very least, he needs a customs union to have any sort of viable future. We are now hearing that 60 Tory MPs are plotting to sink their own Government to force the Prime Minister to abandon any form of customs arrangement. Will the Secretary of State guarantee that he will work with the Welsh Government and speak up against that decision? A low-skilled workforce and—

John Bercow Portrait Mr Speaker
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Order. We are grateful for the hon. Lady’s thoughts but, unfortunately, one has to take account of the situation in the Chamber. The question needed to be a bit shorter.

Alun Cairns Portrait Alun Cairns
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My right hon. Friend the Prime Minister is absolutely clear that we will be leaving the customs union but, of course, we are keen to negotiate to allow for the most frictionless trade possible with the European Union. We are also keen to take the new opportunities that leaving the European Union provides. We are keen to strike trade agreements right around the world, and to strike free trade agreements in due course.

David T C Davies Portrait David T. C. Davies (Monmouth) (Con)
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My right hon. Friend will know that Labour’s economic development spokesman in the Welsh Government, Ken Skates, has spoken of the fact that Wales is receiving record amounts of inward investment. He said that Wales is “punching above its weight” at the moment. Is it not time that Labour Members started to listen to their own economic development Minister in Wales and stopped talking down the Welsh economy, which is booming under this Government?

Alun Cairns Portrait Alun Cairns
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Having met international investors from Japan, Qatar, the US and elsewhere over recent months, I am excited and optimistic about our prospects outside the European Union. Yesterday it was a privilege to be part of the inaugural flight from Qatar to Cardiff, which demonstrates that the industrial strategy, and the wider approach taken by the UK Government in seeking new markets, is already working.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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10. What steps the Government are taking to reduce reoffending rates in Wales.

Oral Answers to Questions

Alun Cairns Excerpts
Wednesday 14th March 2018

(6 years, 1 month ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
David Linden Portrait David Linden (Glasgow East) (SNP)
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11. What recent discussions he has had with the Welsh Government on the proposal for a Welsh EU continuity Bill.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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As I have said previously, I do not think that the Welsh Government’s continuity Bill is necessary. The UK Government want to reach agreement with the Welsh Government on the European Union (Withdrawal) Bill, with a view to securing the National Assembly’s support for the legislation.

Alan Brown Portrait Alan Brown
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Despite that answer, the reality is that on Friday, the Cabinet Office printed a list of 24 devolved competencies that the UK Government are going to snatch back from Wales and Scotland. That proves the need for a continuity Bill. Why is the Secretary of State not defending his devolved Parliament and standing up for it, instead of allowing this power grab?

Alun Cairns Portrait Alun Cairns
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My relationship with the First Minister and the Welsh Government is a positive one. We do not agree on everything, but we agree on the objective, which is to improve the outcomes for businesses and communities in Wales. There are 64 areas of the devolution settlement with Wales. There are 24 areas that we want to discuss further with the Welsh Government, to come to an agreement on how best to ensure that common rules apply across the UK, so that Welsh businesses are protected and can market their products across the rest of the UK.

Tommy Sheppard Portrait Tommy Sheppard
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Earlier this week, the long-awaited Government amendments to clause 11 of the EU (Withdrawal) Bill were published. Despite assurances and promises, they were published without the consent, support or agreement of the devolved Administrations. Is it still the Government’s policy to obtain the consent of the devolved Administrations? If further agreement is reached, will the Secretary of State bring forward further amendments?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman is referring to amendments tabled to clause 11 in the other place. Commitments were made that amendments would be tabled, and that is exactly what we have done. If we had not tabled those amendments, we would have been criticised. As I have said in this Chamber and elsewhere, we are determined to work with the devolved Administrations to come to an agreement, but it is the UK Government that have the interest of looking after the whole UK. It is the UK Government that want to act in the interests of businesses and communities to ensure that a Scottish business can sell or buy products in Wales under the same regulations, where a common UK market matters.

David Linden Portrait David Linden
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One of the reasons why continuity Bills have been brought forward is that there is no agreement in the Joint Ministerial Committee on this blatant Westminster power grab, but that has not stopped the UK Government pressing ahead anyway. Does the Secretary of State agree that no deal can be agreed on new powers unless there is agreement at the JMC?

Alun Cairns Portrait Alun Cairns
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I am hoping the agreement of the devolved Administrations will come as soon as possible. I am not going to tie it down to any one particular Joint Ministerial Committee meeting, but the one last week was another positive engagement between Administrations. I have been in this position before, when it was predicted that I would not get a legislative consent motion for the Wales Bill as it was progressing through Parliament. This can be done only by constant hard work and engagement, as well as optimism on both sides—acting in the interests of businesses and communities, not in the interests of politicians.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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Will my right hon. Friend confirm that not only is there not a power grab, but there will be a significant increase in powers to the devolved Administrations as Britain leaves the European Union?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is absolutely right. There is no intention of any power grab. Of the 64 areas that relate to Wales, we have already said that 30 will pass to the devolved Administration without the need for any further agreement, or at the very most only an informal agreement between the UK Government and them, but there are 24 areas in which it is in the interests of businesses in Wales, Scotland and Northern Ireland, as well as in England, to have common practices so that we can protect the UK market; 80% of Welsh output is sold to the rest of the UK.

Charlie Elphicke Portrait Charlie Elphicke (Dover) (Ind)
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Does the Secretary of State recall that Wales as a principality and the United Kingdom as a nation voted to leave the European Union and that, rather than talking about EU continuity, we should therefore be focusing on how to strike the best deal for Britain on leaving the EU, particularly to be ready and prepared on day one at the Dover frontline?

Alun Cairns Portrait Alun Cairns
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The hon. Gentleman rightly points out that Wales voted to leave the European Union, and we have an obligation to act on that instruction from the referendum. This is also an opportunity to highlight that 80% of output from Wales goes to the rest of the UK, and Scotland sells four times more to the rest of the UK than it sells to the rest of the European Union. On that basis, protecting the UK market must be a priority, and acting in the interests of businesses and communities is our priority.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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Will my right hon. Friend update the House on the advantages to Wales of having a common market across the whole United Kingdom?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is absolutely right. Much focus is understandably and rightly placed on selling and trading with the European Union, but the most important market to Wales is the UK market—with eight out of 10 lorries of output from Wales and complex supply chains—and this is only right. Only two weeks ago, we recognised that the investment of Toyota in Derbyshire will have major positive impacts on the Toyota plant making engines on Deeside.

Christina Rees Portrait Christina Rees (Neath) (Lab/Co-op)
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I am disappointed that the much-promised UK Government amendment to the power grab in clause 11 of the European Union (Withdrawal) Bill, tabled by the right hon. Gentleman’s Government in the House of Lords on Monday, states that UK Ministers will merely consult Welsh Government Ministers, not seek their consent. In so doing, his Government have changed the fundamental principle of the devolution settlement against the settled will of the people of Wales.

Alun Cairns Portrait Alun Cairns
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I do not recognise the statements made by the hon. Lady. The amendment tabled in the other place is a significant one. It recognises that powers automatically fall to the devolved Administrations, but also introduces the prospect of bringing them in centrally to protect the UK common market, which is in the interests of Welsh business. I have had the privilege of sitting in front of a number of expert panels of industry representatives, and we are acting in the way they are calling for, rather than in the way that some politicians who are more interested in the powers are calling for.

Christina Rees Portrait Christina Rees
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I thank the Secretary of State for his response, but the UK Government have said that the amendment merely creates a temporary place for the 24 powers to be kept—in a freezer—until new arrangements are discussed. If this is a temporary measure, why permanently alter the Government of Wales Act 2006?

Alun Cairns Portrait Alun Cairns
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Protecting the UK market is absolutely a priority for us. The hon. Lady will have food producers in her constituency who want to sell their products in England according to common practices on food labelling. That is an example of the area of policy on which we are seeking to get agreement. We will continue to work hard with the devolved Administrations to get agreement, but only the UK Government can act in the interests of the whole UK, not some politicians in other areas who are seeking to represent a regional dimension only.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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Last week, the Secretary of State published a list explicitly outlining which powers Westminster intends either to hoard or to dole out, as it sees fit. This week, he published a set of amendments to clause 11 of the withdrawal Bill, without gaining the agreement of either of the devolved nations. Will he explain how that is anything other than a power grab?

Alun Cairns Portrait Alun Cairns
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In the first instance, that list is still subject to discussion, as clearly stated in the headings under the three various sections. I am also pleased to say that the devolved Administrations in Scotland and Wales recognised that we wanted to publish that list and supported our publication of it, while not necessarily recognising the three elements of it. That demonstrates the positive way in which we seek to work with the devolved Administrations to get agreement. It is only the UK Government who can act in the interests of the whole UK.

Liz Saville Roberts Portrait Liz Saville Roberts
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Today the Welsh EU continuity Bill will be subject to the first stage of the expedited legislative timetable. If it passes, debates over the power grab will be forced out of this Chamber and into the courts. Will the Secretary of State confirm whether he intends to fight us in the courts?

Alun Cairns Portrait Alun Cairns
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As I said in my initial answer, I do not think that the continuity Bill is necessary. The Welsh Government have also said that they would prefer not to pursue it. I genuinely believe that there is enough good will between all Administrations to come to an agreement. After all, if we focus on the needs of businesses and communities, we will achieve a positive outcome. It is when politicians focus on the powers rather than on outcomes that things go wrong.

Darren Jones Portrait Darren Jones (Bristol North West) (Lab)
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3. What recent discussions he has had with the Secretary of State for Transport on the effect on the Welsh economy of the decision not to electrify the mainline to Swansea.

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Tom Pursglove Portrait Tom Pursglove (Corby) (Con)
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4. What recent discussions he has had with the Welsh Government on the future role of the Welsh steel industry in the UK steel supply chain.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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We are working with the sector, the unions and devolved Administrations to support the UK steel industry to develop a long-term viable solution. We are deeply disappointed by the US announcement and are taking all possible action to support the industry.

Tom Pursglove Portrait Tom Pursglove
- Hansard - - - Excerpts

The steelworks in Corby is part of a comprehensive steel supply chain that involves sites in Wales. Further to the conversations the Secretary of State has been having in Wales, what discussions is he having with UK Government Ministers about how we can best support the UK steel industry as a whole?

Alun Cairns Portrait Alun Cairns
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I pay tribute to my hon. Friend for the work he is doing to support the steel industry. He was at the forefront of the debate two years ago when the steel industry was facing a particular crisis, and it is through his influence, with others, that we have introduced an energy compensation scheme, flexibility over EU emissions targets and 45 trade defence measures to prevent illegal steel dumping in Europe. His influence is pretty strong in this debate.

Stephen Kinnock Portrait Stephen Kinnock (Aberavon) (Lab)
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Is the Secretary of State aware that when President Bush introduced steel tariffs in 2002, it led to 200,000 job losses in the US? What steps is the Secretary of State taking to ensure that American politicians, employers and trade unions are pressing President Trump to drop these utterly self-defeating tariffs?

Alun Cairns Portrait Alun Cairns
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We have said that we disagree with the statements the President has made. I was in the US just two weeks ago, and I spoke to our ambassador and the UK’s trade commissioner about this issue. I subsequently met the US ambassador here in the UK and I spoke again, just last Friday, to the UK trade commissioner in the US. This is a cross-Government effort. My right hon. Friend the Secretary of State for International Trade is travelling to the US as we speak to pursue and raise these issues. There has been a whole cross-Government approach to this issue and my right hon. Friend the Prime Minister has raised it directly with the President.

Lord Bellingham Portrait Sir Henry Bellingham (North West Norfolk) (Con)
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6. What recent discussions he has had with the Welsh Government on the UK leaving the EU and the European Union (Withdrawal) Bill.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I have regular and constructive discussions with the Welsh Government on EU exit and the EU (Withdrawal) Bill. I look forward to continuing those discussions this afternoon at the meeting of the Joint Ministerial Committee in plenary, chaired by my right hon. Friend the Prime Minister.

Lord Bellingham Portrait Sir Henry Bellingham
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Does the Secretary of State agree that agriculture, and hill farming in particular, is vital to the Welsh economy? What is he doing to ensure that the EU money currently going into the rural economy continues to do so after Brexit? What discussions has he had on that with his colleague from the Department for Environment, Food and Rural Affairs?

Alun Cairns Portrait Alun Cairns
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My hon. Friend is a great supporter of agriculture across the whole UK and he is right to highlight the importance of the agricultural sector to the Welsh economy. He will also be familiar with our manifesto commitment, as well as statements made by my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs, to fund agriculture on a similar scale up to 2022.

Nick Thomas-Symonds Portrait Nick Thomas-Symonds (Torfaen) (Lab)
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The US-UK trade and investment working group was set up in July last year. What representations has the Secretary of State made to that group about the impact President Trump’s tariffs would have on the Welsh steel industry?

Alun Cairns Portrait Alun Cairns
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I mentioned to the hon. Member for Aberavon (Stephen Kinnock) the direct actions I have taken and the whole host of actions being taken by my right hon. Friend the Secretary of State for International Trade. This is such a priority for this Government that there is cross-Government action to support the steel industry. As someone whose father was a welder in the steelworks in Port Talbot, I recognise the importance of this industry to Wales.

Stephen Crabb Portrait Stephen Crabb (Preseli Pembrokeshire) (Con)
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As my right hon. Friend knows, the Welsh Labour Government in Cardiff love nothing more than a long and fuzzy row with Westminster over powers. Does he agree that they would do much better to work constructively and pragmatically with Ministers here to make a success of Brexit, which is, after all, what the people of Wales voted for?

Alun Cairns Portrait Alun Cairns
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I am grateful to my right hon. Friend. As my predecessor, he took positive steps to get to a positive relationship with the Welsh Government and laid the foundations of the Wales Bill, which is now the Wales Act 2017. That has clarified the devolution settlement and enabled constructive debate to take place. I am optimistic that on the EU (Withdrawal) Bill we can win if we both focus on the outcomes we need to focus on: the interests of our businesses and communities.

Stephen Doughty Portrait Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)
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I met representatives of Celsa Steel from my constituency yesterday, who made very clear to me the importance of pan-European safeguards to prevent diversionary dumping as a result of the Trump tariffs. Does the Secretary of State not think it ironic that, at a time when we need to be co-operating more than ever across Europe, we are planning to leave the European Union?

Alun Cairns Portrait Alun Cairns
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I also want to support Celsa Steel, but I remind the hon. Gentleman that Wales voted to leave the European Union, and we have an obligation to act on that instruction. However, he is right about the diversion and the distortion to the market from the risks of the action that is taking place. We are working closely with the European Union to protect the interests of Welsh steelworkers.

Ranil Jayawardena Portrait Mr Ranil Jayawardena (North East Hampshire) (Con)
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8. What steps the Government are taking to ensure that the growth corridors set out in the industrial strategy facilitate cross-border working.

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Geraint Davies Portrait Geraint Davies (Swansea West) (Lab/Co-op)
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9. What recent discussions he has had with the Secretary of State for Transport on future investment in the railway network in Wales.

Alun Cairns Portrait The Secretary of State for Wales (Alun Cairns)
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I hold regular meetings and discussions with the Transport Secretary and his ministerial team to make the case for investment in Wales’s railway infrastructure. I am determined to drive forward improvements to Wales’s rail connectivity for the benefit of our passengers, commuters and businesses.

Geraint Davies Portrait Geraint Davies
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I am losing my voice, Mr Speaker. HS2 will cost £56 billion and 20,000 Welsh jobs. For £1 billion, we could build two and a half miles of HS2 or halve the time between Cardiff and Swansea and have an electrified Swansea metro. Why is the Welsh Secretary not objecting to the £1 billion cut from Network Rail to our rail infrastructure and investing in Wales instead?

John Bercow Portrait Mr Speaker
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The hon. Gentleman has done very well, considering he has lost his voice.

Alun Cairns Portrait Alun Cairns
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I point out to the hon. Gentleman that HS2 is a UK scheme and provides an opportunity for significant connectivity benefits with north Wales. He refers to the Swansea metro project, which offers interesting opportunities, and I am happy to say that I am meeting Mark Barry, the project’s architect, in the coming weeks.

David Jones Portrait Mr David Jones (Clwyd West) (Con)
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Does my right hon. Friend agree that the recently launched West and Wales strategic rail prospectus contains sensible proposals that would, if adopted, significantly improve rail connectivity in north Wales and that they should receive favourable consideration by the Government?

Alun Cairns Portrait Alun Cairns
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I am grateful to my right hon. Friend for his hard work in this area, because cross-border connectivity is extremely important. It demonstrates how integrated the network is. There are significant investments already taking place across the north Wales network, including improvements to signalling, as well as the Halton curve, which has already been referred to. Any additions to the debate, however, are interesting, and we will look at them in due course.

The Prime Minister was asked—