Wales: Commission on Devolution in Wales

Baroness Finlay of Llandaff Excerpts

Monday 18th November 2013 Lords Chamber

[Baroness Randerson]

I know that the noble Lord is very conversant with the problems of the M4, and in the Newport area in particular. I am glad that he has welcomed the contribution that these changes will make to alleviating them.

The early part of the Statement set out the contribution that the UK Government have made to infrastructure in Wales, in particular railway infrastructure. The noble Lord needs to bear in mind that when an issue has been devolved the funding is devolved as well. If there are flaws in the devolution settlement in Wales, we have to look back to the Government of Wales Act 2006 and the original devolution settlement at the end of the last century. It has possibly been difficult in the past for the Welsh Government to deal with major infrastructure projects, which is exactly why we say that, as well as devolution of minor taxes, there needs to be a referendum to offer the people of Wales the opportunities given by the devolution of a portion of income tax.

[Baroness Finlay of Llandaff (CB)]

Given that the current settlement has been recognised as inadequately taking into account the high number of older people in Wales who are not economically active and the demands that those with multiple comorbidities put on health and social care, and given the widely acknowledged poverty of infrastructure of roads and other forms of communication, particularly IT and telephones, will the Government undertake to review the funding settlement that followed the Act so that, during the transition phase, there can be some correction in the perceived deficit in core funding to Wales?

[Baroness Randerson]

I remind the noble Baroness of the October 2012 joint statement in which the Welsh and UK Governments acknowledged the procedure that would be followed in future if Welsh funding were again to become unfair in terms of further convergence. The settlement has been set out very clearly in that joint statement, so it is important that she bears that in mind for future reference.