Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 9th July 2014 Commons Chamber

[Mr Jones]

I fear that the right hon. Gentleman has overlooked the arrangements that we put in place with the Welsh Government in October 2012, which ensure that if there is any danger of convergence, then the issue will be resolved. I believe that we should all be ambitious for Wales, and we should indeed be looking for a lower rate of income tax in Wales to give Wales the competitive advantage that it needs.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Is it the policy of the coalition parties fully to devolve income tax powers to Scotland, and if so, why does the Wales Bill still include a tax-sharing arrangement in relation to income tax powers, with the lockstep measure for safe measure? Why are the Tories treating Wales like a second-class nation?

[Mr Jones]

We have made it clear that the Scottish powers would kick in only after the next general election and they will, of course, have to be the subject of a manifesto commitment. However, Wales is not Scotland. We believe that the arrangements that we are putting in place are right for Wales. I would have hoped that the hon. Gentleman would support them.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 14th May 2014 Commons Chamber

[Mr Jones]

My hon. Friend raises an important issue that has been the subject of discussion for some time. These routes fall partly under the purview of the Welsh Government and partly under that of the Department for Transport. I wrote to my right hon. Friend the Secretary of State for Transport about this very issue only this morning.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

The Mayor of London is now making the case for a £30 billion underground orbital road. Crossrail will cost £16 billion and HS2 will cost £50 billion at least. Considering the historically low levels of transport infrastructure investment in Wales, far below our population share, when will the Secretary of State start making the case for a fair share for Wales via the appropriate funding formula mechanism?

[Mr Jones]

HS2, of course, is an extremely important project that will benefit Wales, particular north Wales and mid-Wales. I am speaking to David Higgins of HS2 about that issue this very afternoon.

Wales Bill

Debate between Jonathan Edwards and David Jones

Monday 31st March 2014 Commons Chamber

[Mr Jones]

It seems to me that that is a concern of the Mayor of London and does not really fall within the scope of today’s discussion.

Our proposal will put new economic levers in the hands of the Assembly and Welsh Government, while also providing independent streams of revenue to facilitate borrowing. It will help Welsh Ministers to grow the Welsh economy and ensure that its performance has a direct impact on their budget.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

In devolving those minor taxes, the UK Government are conceding the principle of fiscal empowerment for the Welsh Government. Why does the Secretary of State therefore feel the need to require a referendum on devolving income tax?

[Mr Jones]

Simply because it is an important constitutional step. It was given to the Scottish people in 1997, and we feel it is necessary to pay equal respect to the people of Wales on the occasion of the proposed devolution.

--- Later in debate ---

[Jonathan Edwards]

The Secretary of State mentioned that one of the main reasons for devolving income tax was to incentivise the Welsh Government, yet he handcuffs them with his proposed lockstep, which was not included in the Silk recommendations. In the unlikely event of a no vote in Scotland, does he expect the lockstep to remain in Scotland following its referendum?

[Mr Jones]

I am not here to speculate on what will happen in Scotland in September, but I will talk about the lockstep in a moment—no doubt the hon. Gentleman will be paying close attention and intervening as he considers appropriate.

The reality is that this legislation—income tax devolution following a referendum—is a real opportunity to be seized with both hands by the Welsh Government. It is an opportunity to make Wales more competitive and to make the Welsh Government more accountable, as the hon. Member for Pontypridd now agrees. Our challenge to those who view the devolution of income tax negatively is not to shy away from this opportunity, but to seize the moment with enthusiasm and support the proposals in this Bill for a referendum on income tax devolution.

The Silk commission recommended that the Welsh Government should be able to set separate Welsh rates of income tax for each of the three income tax bands, but the Government believe that a single Welsh rate for all three bands—the so-called “lockstep”—is the right system for Wales. The same system is being introduced in Scotland under the Scotland Act 2012. The Government have a responsibility to take a UK-wide view: to consider the interests not only of Wales, but of the United Kingdom as a whole, including Wales. If the devolution of income tax is supported in a referendum, the lockstep mechanism would be the best way to maintain a progressive tax system that redistributes wealth across the whole of the UK but does not unnecessarily benefit one part of the UK at the expense of another.

The Bill also devolves responsibility to the Assembly for its own budgetary arrangements, so that it can establish new procedures for scrutinising and setting the annual budget. That was also recommended by the Silk commission, and by the Welsh Affairs Committee following its pre-legislative scrutiny of the draft Wales Bill. The Bill before us today and the Command Paper the Government have published alongside it have benefited greatly from the Select Committee’s thorough and rigorous scrutiny, and I am grateful to all hon. Members on that Committee for their hard work.

Although the majority of the Bill is devoted to fiscal devolution, the legislation also implements a number of other important reforms: it permanently moves the Assembly to five-year terms; it removes the prohibition on dual candidacy; and it makes provision to preclude Assembly Members from simultaneously being Members of this House. Those are all changes which we consulted on in our Green Paper in 2012. The move to permanent five-year terms will make it less likely that Assembly elections will clash with UK general elections, now that the length of Parliaments is fixed at five years. It is important that Assembly elections should be contested, wherever possible, on issues specific to Wales, and the Bill ensures that they will not be overshadowed by the wider issues that often dominate elections to this House.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 26th March 2014 Commons Chamber

[Mr Jones]

I agree entirely. Anybody with a reasonable mind would agree that those figures are entirely unacceptable. Again, I suggest to Opposition Members from Wales that they should have a discreet word with their colleagues in the Assembly to ensure that Welsh patients get the standard of health care that they deserve and need.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

7. What discussions he has had with Cabinet Office Ministers and the Electoral Commission on administrative management of the forthcoming elections in Wales to the European Parliament.

[The Secretary of State for Wales (Mr David Jones)]

Wales Office Ministers have discussed the administration of the forthcoming elections to the European Parliament with both the Electoral Commissioner for Wales, and the cities and constitution Minister, my right hon. Friend the Member for Tunbridge Wells (Greg Clark).

[Jonathan Edwards]

As the Secretary of State knows, the chief executive of Carmarthenshire county council is not at his desk because of a criminal investigation following a damning Wales Audit Office report into unlawful payments. However, he retains responsibility for the forthcoming European elections as local returning officer. Indeed, if memory serves me correctly, he was a deputy for the whole of Wales at the last European elections. Will the Secretary of State discuss urgently with the Cabinet Office the need for statutory protocol for removing electoral duties from public officials who are suspended from their everyday roles?

[Mr Jones]

As the hon. Gentleman says, an investigation is currently being conducted by the police. The Government’s priority is, of course, to ensure the smooth running of the European elections. The Cabinet Office is responsible for that and is keeping a close eye on the situation.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 12th February 2014 Commons Chamber

[Mr Jones]

On the contrary, as my hon. Friend the Member for Hexham (Guy Opperman) has just pointed out, the Financial Services (Banking Reform) Act has put a great deal more power into the hands of customers. It has also done a great deal to repair the damage that was done under the last Labour Administration.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Many of my constituents continue to be affected by the interest rate swap scandal, when banks were deliberately targeting businesses, and wrecking lives and real economic activity. My constituents Mr and Mrs Bartels, for instance, were deliberately bankrupted by Barclays. What can the Secretary of State do to support the excellent work of the hon. Member for Aberconwy (Guto Bebb) and the all-party parliamentary group on interest rate swap mis-selling to secure justice for Welsh businesses that have been ripped off by exploitative banks?

[Mr Jones]

I entirely agree with the hon. Gentleman: my hon. Friend the Member for Aberconwy (Guto Bebb) has indeed done a great deal. If the hon. Gentleman wishes to write to me about the individual case that he mentioned, I will investigate it further.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 20th November 2013 Commons Chamber

[Mr Jones]

We have no plans to change the name of the Welsh Assembly.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

In Monday’s statement, the Secretary of State closely tied in borrowing powers with the income tax sharing arrangement between the UK and the Welsh Government. Will he confirm that the proposed sunset clause on the referendum has been dropped?

[Mr Jones]

We have no proposals to put a sunset clause in the Bill.

Commission on Devolution in Wales

Debate between Jonathan Edwards and David Jones

Monday 18th November 2013 Commons Chamber

[Mr Jones]

We shall consider that interesting suggestion.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Over recent months, the Tories in the Senedd and the Liberal Democrats have pledged to alter individual tax bands should they form the next Welsh Government. Would not those specific pledges be undeliverable due to the lockstep that the Secretary of State has announced today?

[Mr Jones]

Yes.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 9th October 2013 Commons Chamber

[Mr Jones]

There were modest improvements recently, but it is the case that the Welsh Assembly Government should give serious consideration to reinstating a body like the Welsh Development Agency, which was so successful.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Wales urgently needs job creation levers to boost our economy, as the Council for Economic Renewal said today. Last week, in an interview with Adrian Masters of ITV Cymru Wales, the Prime Minister refused to commit to a response from the UK Government to part 1 of the Silk commission before next year’s Scottish referendum. Why are the Secretary of State and the Prime Minister holding back the Welsh economy?

[Mr Jones]

As I have just said, the Welsh economy is growing. As the hon. Gentleman knows, we recently held a consultation on the devolution of stamp duty land tax. We are considering the responses and will make a formal response in due course.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 15th May 2013 Commons Chamber

[Mr Jones]

The hon. Gentleman should also commend Welsh businesses, which are increasing the number of their employees, but certainly I am happy to commend initiatives by the Welsh Government. His point highlights the importance of the UK and Welsh Governments working closely together. That is something that we are prepared to do, and I expect to see reciprocation from the Welsh Government.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

The UK Government-sponsored Silk commission recommended empowering the Welsh Government and Welsh local authorities with fiscal responsibility to incentivise economic development. Why were these recommendations not included in the Finance Bill or the Queen’s Speech in a Government of Wales Bill?

[Mr Jones]

As the hon. Gentleman will know, the Silk proposals are still under consideration by the UK Government. We have always made it absolutely clear that we will announce our response to Silk this spring, so we will issue that response in the next few weeks.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 16th January 2013 Commons Chamber

[Mr Jones]

The Wales Office and the MOD are keenly aware of the importance of the defence industry to the economy of this country, and the hon. Lady is right to say that it makes a significant fiscal contribution. That is why I was extremely pleased to visit EDGE UK last year and see it making such a huge contribution to the economy in that part of Wales.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

The MOD has disclosed that on safety grounds it has ruled out Devonport as a suitable relocation site for Trident following Scottish independence. Is the Secretary of State as surprised as I am that the First Minister is making a case for Milford Haven, when the MOD has not undertaken any safety assessment of the casualty rate in south-west Wales following a strategic attack or a Trident-related accident?

[Mr Jones]

I think the MOD is extremely satisfied with the facilities offered to the Trident fleet and Faslane, and expects to be based there for the foreseeable future.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 28th November 2012 Commons Chamber

[Mr Jones]

The First Minister’s position is a matter for him, but Paul Silk makes it clear that the commission recommended the devolution of income tax-varying powers within different bands, subject to agreement between the Welsh and the British Governments on issues such as funding. That matter must continue to be looked at.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Does the Secretary of State agree that those who argue that Wales does not have the tax base to partially devolve income tax are fiscally illiterate?

[Mr Jones]

I do not know whether I would go that far, but clearly there is an argument to be made, and it is under consideration.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 27th June 2012 Commons Chamber

[Mr Jones]

The Government are very closely engaged with the steelmaking industry via UK Trade and Investment, and I would reiterate the point that, given the news we heard yesterday, it is extremely important that the Welsh Assembly Government should work closely with UKTI to foster that industry.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Does the Minister agree that one of the major challenges facing the Welsh economy is the deficit in exports generated in Wales and imported goods and services from other states, as well as from within the UK? What discussions is the Minister having with Cabinet colleagues and the Welsh Government to expand and diversify the Welsh export base—in particular in manufacturing, once a great strength of the Welsh economy?

[Mr Jones]

The hon. Gentleman is entirely right to point that out. Over the next few weeks there will be an enormous opportunity for Welsh industry in the shape of the British business embassy, which exporters and importers from all over the world will be attending. I understand that the Welsh Assembly Government are now engaging, albeit tentatively, with that embassy, but I urge them to do more.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 29th February 2012 Commons Chamber

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

9. What discussions she has had on Barnett consequentials to Wales for High Speed 2.

[The Parliamentary Under-Secretary of State for Wales (Mr David Jones)]

My right hon. Friend the Secretary of State and I have had recent discussions with ministerial colleagues in Her Majesty’s Treasury on a range of issues, including funding for Wales.

[Jonathan Edwards]

HS2 is clearly an England-only project, yet the Chief Secretary to the Treasury said last week in answer to a question that I had tabled that Barnett consequentials would be decided after “budgeting and funding arrangements” had been completed. Will the Minister ensure that Wales does not lose out on the £1.9 billion that it should receive as a result of HS2, by securing guarantees that the project will be funded via a stream that results in Barnett consequentials? [Interruption.]

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 23rd November 2011 Commons Chamber

[Mr Jones]

The hon. Gentleman will have heard my previous answers on this question. I urge him also to contribute to that consultation, and no doubt he will participate in the debate this afternoon.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

It is estimated that the SME sector accounts for 90% of employment in Wales. What discussions has the Minister had with the Welsh Government about promoting this vital sector?

[Mr Jones]

The hon. Gentleman is entirely correct. As I have said, the SME sector is the backbone of the Welsh economy. We have regular discussions with the Welsh Government. In fact, I am meeting the appropriate Welsh Minister next Monday for that purpose.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 12th October 2011 Commons Chamber

[Mr David Jones]

In all pithiness, I agree with my hon. Friend the Member for Vale of Glamorgan (Alun Cairns) that enterprise zones are key to economic development, and I regret that the Welsh Assembly Government have still not clarified their intentions in that regard.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

Lloyds TSB’s Wales business activity index for September reported the sharpest decrease in private sector employment for 27 months. What specific countervailing measures is the Minister arguing for with the Treasury to give the Welsh economy a competitive edge?

[Mr Jones]

I am sure that, like me, the hon. Gentleman will welcome today’s announcement of sector-based work academies. That will apply to the whole United Kingdom, including Wales. It will give young jobseekers the tools that they need to find employment more easily.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 8th December 2010 Commons Chamber

[Mr Jones]

The Government do indeed recognise the importance of PCSOs, but the employment of them must be a matter for individual police forces. The right hon. Gentleman will be aware that the policing settlement is due shortly.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

The chief constable of Dyfed-Powys police recently wrote to me outlining the fact that the consequence of the comprehensive spending review for the force would be at least a 20% cut in real terms—a £10 million loss to the budget. With 83% of costs relating to staffing, will that inevitably lead to cuts in front-line policing and a reduction in the quality of service provided in the communities I represent?

[Mr Jones]

Again, I have to say that the issue of staffing must be one for individual police forces. The Government are trying to be sensitive about the cuts that are necessary as a consequence of the appalling economic legacy that has been left to the country by the Labour party.

Oral Answers to Questions

Debate between Jonathan Edwards and David Jones

Wednesday 3rd November 2010 Commons Chamber

[Mr Jones]

Yes, indeed. Both the interests of justice and the interests of taxpayers’ money will be fully considered.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

2. What discussions she has had with the Chancellor of the Exchequer on Government policy on the funding for the National Assembly for Wales determined in the comprehensive spending review.