Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 4th March 2015 Commons Chamber

[Stephen Crabb]

I absolutely agree that it is businesses across Wales, and particularly in north Wales, that are leading the economic recovery, creating the jobs that are making such a difference to the lives of families up and down Wales. What puts that at greatest risk is the prospect of a Labour Government with no vision or plan for the Welsh economy.

[Albert Owen (Ynys Môn) (Lab)]

The unemployment figures in my constituency have been coming down for the past 15 years, with the exception of the recession years between 2008 and 2012, but many of those jobs are zero hours, part time and for agency workers. I have written to the Secretary of State about the prospect of between 200 and 300 jobs being lost at 2 Sisters. Will he meet me and a delegation from the company, because it is important to the Welsh and UK food industries?

[Stephen Crabb]

I absolutely will meet the hon. Gentleman, who knows that I take a great interest in job prospects in Ynys Môn, and we will look into the situation in more detail. I caution him against peddling a gross caricature of the Welsh economy, because less than 3% of Welsh workers are on contracts that could be described as zero hours. Opposition Members are quite wrong to peddle this gross caricature of what is a business-led recovery that is bearing fruit.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 22nd October 2014 Commons Chamber

[The Secretary of State for Wales (Stephen Crabb)]

This Government are putting Wales at the heart of the debate on devolution across the UK. I am a member of the new devolution committee chaired by my right hon. Friend the Leader of the House, and I have already met the party leaders from Wales here in Westminster to discuss how we might take forward devolution in Wales as we work towards a fair and lasting settlement.

[Albert Owen]

I, too, welcome the Secretary of State to his new position. I also welcome his moving from being an anti-devolutionist to a pragmatic devolutionist. May I encourage him to go further and become a real devolutionist? When he has discussions with colleagues and others, will he look at moving Government Departments and Government business away from central London to parts of Wales such as north-west Wales so that we can have real devolution and real jobs in those areas of the United Kingdom, and have a more balanced UK?

[Stephen Crabb]

I agree with the hon. Gentleman’s sentiments about the need for real devolutions not only to rebalance the economy of the UK but to rebalance our politics. It is also worth pointing out that the current Welsh Administration in Cardiff is probably one of the least devolutionary Administrations that we have across the UK—they are centralising more in Cardiff. We need devolution within Wales as well as from the UK to Wales.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 14th May 2014 Commons Chamber

[Stephen Crabb]

I was aware of that, and I encourage right hon. and hon. Members from both sides of the House to make their way to the Jubilee Room on that date and to sample some of Montgomeryshire’s finest produce.

[Albert Owen (Ynys Môn) (Lab)]

One of the issues that farmers and farming representatives raise with me is the need for clearer and better labelling and traceability. Some good work has been done at all levels, including the European Union. Will the hon. Gentleman join me in calling for even clearer labelling so that people can be confident that they are getting Welsh Black, which could be made in Anglesey, in Wales or in the United Kingdom?

[Stephen Crabb]

The hon. Gentleman raises an important point, and we have recently discussed labelling on the Floor of the House. We need to be careful about not putting extra burdens on business at this time, but clearly, high-quality labelling which provides good, relevant information for consumers, particularly about country of origin, is an important way of marketing Welsh produce on a wider level.

North Wales Economy

Debate between Stephen Crabb and Albert Owen

Tuesday 1st April 2014 Westminster Hall

[Albert Owen]

I am happy to take an intervention if my hon. Friend wants to make one, but other hon. Members want to speak, and some hon. Members have spoken for a long time. We need to make the case for the tourism sector in north-west Wales.

The Governments in the Republic of Ireland and in France, our near neighbours, have reduced VAT to stimulate the economy. A campaigning group has carried out a study which shows that a cut in VAT in the first year would result in a loss to the Treasury, but would be cost-neutral in the second year, and result in profit thereafter.

[The Parliamentary Under-Secretary of State for Wales (Stephen Crabb)]

Labour Members, particularly the hon. Gentleman, continue to use the example of France, where 1 million jobs have been destroyed. Here in the UK, more than 1 million jobs have been created, so he should be wary of harking back to the French example.

--- Later in debate ---

[Stephen Crabb]

We are taking action. We are making available £240 million. We can make those substantial resources available only because of difficult decisions that we have taken to cut the deficit and to put the national finances back in order—measures that the hon. Lady opposed on every single opportunity over the past three or four years. We are taking action where we can, and those measures have been welcomed by industry across Wales.

I move on to transport, which quite a few Members have mentioned. We at the Wales Office totally understand the concerns and the desire for electrification of the north Wales main line. That is something that the Secretary of State for Wales, my right hon. Friend the Member for Clwyd West (Mr Jones), is personally very engaged in, and on which we are in close dialogue and discussion with the Welsh Government and the Department for Transport. The right hon. Member for Delyn is quite right, because electrification of the north Wales main line and the development of the High Speed 2 hub at Crewe will open a hugely expanded range of opportunities for travel and for the economy of north Wales. That is something that we very much support.

I cannot offer any immediate good news on the Halton curve, which has been mentioned more than once this morning. The UK Government have no immediate plans to reopen that section of line, but we want to hear the arguments. If the right hon. Gentleman is engaged in work on the business case for reopening the Halton curve, I would like to see that, and I am happy to facilitate discussions with the Department for Transport where possible.

On the point about ports, we have discussed before the £60 million fund that the hon. Member for Ynys Môn (Albert Owen) raised. I salute him for the work that he does in championing not only his local port, but the port sector across Wales. The fund that was announced was an economic development fund designed to attract wind turbine manufacturing to port areas. He will be aware that economic development is devolved to the Welsh Government, so the Welsh Government received the Barnett consequentials of that £60 million fund. They received the resources, so if it had been a priority for them, they could have initiated something similar for Wales.

[Albert Owen]

The Minister is trying to say that that is an economic issue, but the Government changed the rules because they were worried about the impact of state aid rules. On port development, will he join me in condemning Stena Line, which is talking about changing wages and conditions instead of investing in the ports of west Wales—something that I know he is greatly concerned about? Stena Line wants to cut wages and conditions and race to the bottom, rather than investing for the future.

[Stephen Crabb]

No, I will not join in criticising Stena. I met with the company recently, and it faces a really tough battle to stay competitive and keep those services. It is a good company that has invested in the hon. Gentleman’s constituency and in mine. We have to work with it to see that it continues to make that investment.

The question of Europe was raised by several Opposition Members, and I repeat what I said at Wales Office questions last week: the vast majority of businesses across the UK and in Wales strongly support our desire for a change in our relationship with Europe regarding the level of regulation and the burden of cost that our membership places on the private sector. Businesses do not want to rush headlong to the exit and leave the European Union, but they want change. That is backed up by comments made by those who run the Institute of Directors, the British Chambers of Commerce and the CBI.

The point about multinationals being based in Wales and using it as a springboard into the European Union is important. I received a letter this morning from one of those multinationals, in which it welcomes the action that we have taken on energy costs but raises concerns about a regulation at the European level. Small and large businesses in Wales understand our issue with the European Union, and they support the action that the Prime Minister is taking to reduce costs and the burden of regulation for Wales.

In the few seconds that I have remaining, I again thank the right hon. Member for Delyn for securing the debate. I look forward to discussing the issues again in future.

Wales Bill

Debate between Stephen Crabb and Albert Owen

Monday 31st March 2014 Commons Chamber

[Albert Owen]

That is the hon. Gentleman’s position. I have made my position clear: when there are major changes on taxation, there should be a referendum. I am therefore supporting that measure in the Bill. We would lose most of the people of Carmarthen and Ynys Môn if we started talking about the lockstep. The serious problem we have is that when we eventually go to the people of Wales on a taxation referendum, we have to boil it down—[Interruption.] If he stops chuntering from a sedentary position, I will try to give an answer on a simple question that we understand in the first place. The beauty of a referendum is that we need to boil things down. The question as it is framed now would not be easy, which is what we have to work towards. That is where I am coming from on this issue.

It is very logical that the Bill proposes borrowing powers for the National Assembly for Wales. The hon. Member for Ceredigion talked about the abilities of community councils and town councils to borrow in a way that the Assembly cannot, so this is a natural progression. Many things such as stamp duty and landfill tax can produce the revenue streams to help with that borrowing. It is eminently sensible that that happens.

I repeat that we need to consult the people of Wales and have a referendum on the income tax issues in the Bill, so I support that approach. Not having those things would be out of sync with what we have done in the past, when we set up the Assembly and when we had a referendum on increasing its law-making powers. I supported both those referendums and I would support this one, too, but we have to get it right. I am as confused as anybody who has spoken in this debate about exactly what we are going to be telling the people of Wales. I know this is only a Second Reading and it is right that we debate these issues, but in Committee—that is the place to do it—we shall deal with the nitty-gritty of what the taxation actually means. The figures produced in the explanatory notes and in the Government’s various Command Papers are not easy to digest, so we need to have that scrutiny, which this House of Commons does best, before we finalise things.

There has been much debate about the position outlined by my Front-Bench team, and on that I agree slightly with the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards); those details need fleshing out just as much as any others. The purpose of parliamentary democracy is to have that debate and that parliamentary scrutiny, so that is the way we need to move forward. I have been consistent on the referendums issue, and I believe we must have a referendum if we are to move to being able to vary income tax powers or whatever the end result is of this Bill going through both Houses of Parliament.

I wish to discuss the electoral arrangements, as I am slightly confused as to why these provisions have been bolted on to this financial measure, other than to suit a deal done between the coalition parties and Plaid Cymru to try to get the Bill through. We have heard about the Government of Wales Acts. I supported doing away with the dual candidacy because I thought it was unfair and undemocratic that a person who stands for election in a seat and loses, often comfortably, can then arrive in that democratic institution through another means—that is fundamentally wrong.

When we had a debate in this House some time ago—I cannot cite the Hansard reference—the Under-Secretary told us about the consultation exercise, when people were in favour of keeping the ban on dual mandates.

[The Parliamentary Under-Secretary of State for Wales (Stephen Crabb)]

rose—

[Albert Owen]

I am happy to take an intervention if the hon. Gentleman wishes to be helpful.

[Stephen Crabb]

I am glad the hon. Gentleman will take an intervention on that. He will be as aware as anybody that a significant number of the people responding to that consultation saying they were in favour of the ban were Labour Welsh Assembly Members.

[Albert Owen]

I do not know who the people were. The hon. Gentleman may well be right, but Labour is obviously the biggest party in Wales and has a strong voice there, unlike some other parties. It was a consultation exercise—[Interruption.] I am getting chuntering remarks from the hon. Member for Carmarthen East and Dinefwr again, but perhaps Plaid Cymru should also have had enough intelligence to do standard letters to put its view across in this open consultation. The point I am making is that this coalition proposal, supported by Plaid Cyrmru, is on the wrong side of the argument. These parties are doing it for their own political reasons. Nobody has said to me, “Wasn’t it terrible what you did in 2006 when you banned the dual mandate?” Nobody has raised the issue and it is right to leave things as they are. I shall be voting against the measure when the time comes, for the reasons I have given.

Individuals have been mentioned, which is wrong, but I must mention the leader of Plaid Cymru who, when she was elected, made a bold statement that she was not going to stand on the list. She made the brave decision to go before the electorate as an individual and leader of her party. She chose the seat for Rhondda, which she had every right to do, but now she has the jitters. She no longer feels secure in her statement, so she wants the lifeboat of a list place to get her into the Assembly for Wales; that is what this is all about. That is why I point to a deal being done. I smell a dirty deal here between the coalition parties and Plaid Cymru.

--- Later in debate ---

[Stephen Crabb]

There is a lot of upside in the proposals, which I hope Opposition Members have the intelligence and foresight to recognise. In fact, the Silk commission calculated that Wales would have been better off under the system we are proposing had it been in place in the past decade. That answers the question asked by the right hon. Member for Neath—he asked whether Wales will be better off. The Silk commission estimated that, had the system been in place in the past 10 years, the people of Wales would have been better off. I hope that that also provides assurance to the hon. Member for Swansea West (Geraint Davies), who sees the Bill as a nasty plot and conspiracy.

Some Opposition Members have sought to link the devolution of income tax to so-called fair funding. That is another diversion they are throwing up, and another barrier they are erecting, so that they do not have to contemplate greater and truer accountability for the Government in Cardiff Bay, which they would prefer not to contemplate. The joint statement from the UK and Welsh Governments in October 2012 established a clear process to review relative levels of funding for Wales and England in advance of each spending review. The announcement recognised that levels of funding for Wales relative to England were not currently converging, but that, if convergence in funding is forecast to resume during the period, both Governments are committed to discussing a sustainable and fair solution. The fair funding mechanism agreed with the Welsh Government in 2012 worked very well in practice ahead of the last spending review. I hope that that, too, reassures hon. Members.

Current funding levels are well within the parameters recommended as fair by the Holtham commission. Safeguards are in place to address convergence if and when it resumes. Therefore, the funding regime for Wales should not be seen as a barrier to income tax devolution. That is one more smokescreen the Opposition are throwing up to disguise their basic opposition to, and dislike of, fiscal devolution.

A number of hon. Members mentioned borrowing powers for capital investment. There is clearly a broad consensus on all sides in favour of giving the Welsh Government the ability to borrow to invest in Wales’s infrastructure. Some Opposition Members want the Welsh Government to be able to borrow more than the £500 million permitted under the Bill—some suggested they should be able to borrow a virtually unlimited amount. The UK Government have set the limit considerably higher than we would have if we had used the tax and borrowing ratios we used in the Scotland Act 2012. Had we done that, the borrowing limit would be closer to £100 million, based on the taxes devolved in the Bill. We have set a higher capital borrowing limit of £500 million initially, but with flexibility for that limit to be increased if the Welsh Government gain access to further independent streams of funding, such as an element of income tax. If Opposition Members want to see the Welsh Government have a greater borrowing capacity, they should join us in campaigning for a yes vote in an income tax referendum.

What we are not prepared to accept is reckless borrowing without the means of paying that money back. Borrowing must be commensurate with the independent revenue streams. The Government have not worked hard over the last four years to build a reputation for financial prudence and competence, and tackling Britain’s deficit effectively, only to throw away that hard-earned reputation by allowing the Welsh Government to borrow beyond their means.

The hon. Member for Swansea East (Mrs James) said that she would welcome sight of the “workings-out”—I think that was the phrase she used—to help her to understand how we arrived at the £500 million borrowing limit. I suggest that she looks at pages 26 and 27 of the Command Paper that was published alongside the Bill, which is clear on the rationale and the basis for deciding on the £500 million figure. It is higher than would have applied if we had stuck closely to the Scottish ratios, and that is because we want the Welsh Government to crack on with the job of improving the M4. That was agreed with Welsh Ministers, and it gives them the tools to make progress quickly and to tackle that major infrastructure problem.

The hon. Lady also asked why Northern Ireland’s position was different. Northern Ireland is not a good benchmark for hon. Members to use in comparing borrowing regimes. The Northern Ireland Executive exercise many of the powers and responsibilities that are exercised by local authorities in other parts of the UK. In particular, they collect the equivalent of council tax and business rates and have borrowing powers similar to those held by local authorities.

Opposition Members did not talk much about borrowing, which will have a huge, transformational impact in allowing the Welsh Government to invest in new infrastructure in Wales, and nor did they talk much about the impact of lowering taxes in Wales, creating a low-tax economy and creating new jobs. They saved most of their energy and time for discussing the ending of the ban on dual candidacy. In fact, the right hon. Member for Neath used large chunks of a speech he made in 2006, if my memory serves me right. It has been like “Groundhog Day” as Opposition Members—although I am sure they were reflecting the concerns they have heard in their constituencies—manned the barricades to oppose a sensible measure—

[Albert Owen]

Is the Minister criticising Opposition Members for referring to a measure in the Bill? Surely it is the purpose of a Second Reading debate to talk about the measures in the Bill.

[Stephen Crabb]

I am criticising Opposition Members on two counts. One is the amount of time that they took talking about a relatively minor issue, when they could have used their time to better effect by talking about the real, everyday concerns of the people of Wales who will be affected by the measures in the Bill. I also criticise Opposition Members on this issue because they are wrong. They are in the minority. All other parties support the measure. Wales is the only country with such a ban on dual candidacy.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 26th March 2014 Commons Chamber

[Albert Owen (Ynys Môn) (Lab)]

5. What estimate he has made of the number of jobs in Wales that depend on the UK’s membership of the EU.

[The Parliamentary Under-Secretary of State for Wales (Stephen Crabb)]

Businesses in Wales and across the UK are not satisfied with the current relationship with the EU, and want reform and renegotiation. That is what our Prime Minister is committed to achieving to boost our growth and competitiveness, and to secure new jobs.

[Albert Owen]

I am surprised that the Minister did not mention the number of jobs that are dependent on the EU. He will know that the business community wants both stability and certainty, and they want to see Wales at the heart of the United Kingdom and the European Union. Does he therefore agree with the CBI, which says that Labour’s policy of reforming from within is good for jobs in Wales and the United Kingdom?

[Stephen Crabb]

I am surprised by the hon. Gentleman’s question, because he should know that 77% of all British businesses support the position that this Government are taking on reform and renegotiation. That position is supported by the CBI, the Institute of Directors and the British Chambers of Commerce. There is widespread support within the business community for reforming our relationship with Europe to become more competitive, and to secure new investment and jobs.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 12th February 2014 Commons Chamber

[Stephen Crabb]

I thank the hon. Lady for her question. I will say again that no decisions on implementation have yet been taken, as all views from the consultation on the right commercial model for Land Registry need to be considered before any decision is taken. None the less, we expect that the majority of staff will be transferred to the new service delivery company, with a small minority remaining in the office of the chief land registrar.

[Albert Owen (Ynys Môn) (Lab)]

9. What recent discussions he has had with his ministerial colleagues on the effects of VAT on the tourism and hospitality industry in Wales.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 8th January 2014 Commons Chamber

[Stephen Crabb]

In the autumn statement, we made resources available to the Welsh Government to take exactly the same action as the Government in Westminster have taken to help small businesses with their business rates. I was pleased that the Welsh Minister announced yesterday that they would take forward the cap on business rates in Wales. We have yet to hear whether they will deliver the £1,000 discount for small businesses that we are delivering.

[Albert Owen (Ynys Môn) (Lab)]

11. May I associate myself with your words, Mr Speaker, on Paul Goggins, who was a great friend, and with the Secretary of State’s words on Lord Roberts, who was a great Anglesey man? Wales is a net producer of energy, a major electricity generator and a major terminal for imported gas, but people in Wales are paying some of the highest prices in the United Kingdom for gas and electricity. Will the Minister look closely at the distribution companies that are passing on extra costs to the Welsh consumer to ensure that there is a level playing field on prices?

[Stephen Crabb]

The hon. Gentleman raises an important issue for his constituents and people throughout Wales. At the Wales Office, I regularly meet companies such as Western Power Distribution and National Grid to discuss why many consumers in Wales are paying those higher costs, and for all kinds of reasons. If he has specific questions that he would like me to follow up, I would be happy to meet him to do that.

Transport Infrastructure (North Wales)

Debate between Stephen Crabb and Albert Owen

Tuesday 26th November 2013 Westminster Hall

[The Parliamentary Under-Secretary of State for Wales (Stephen Crabb)]

It is a pleasure to serve again under your excellent chairmanship, Mr Caton. I thank the hon. Member for Alyn and Deeside (Mark Tami) for securing the debate and congratulate him on that. It has been a very good debate, largely free from partisan tribal politics. During the past hour and 20 minutes, we have had a very good discussion about some key issues for people and businesses in north Wales. I commend the hon. Gentleman for the way in which he addressed the issue, for the strategic oversight that he brought to the debate and for his detailed knowledge. He has proved himself to be an effective voice for economic development in his constituency and region.

Transport infrastructure plays a vital role in the economy of Wales and in north Wales. It enables people to access job opportunities and is a key determining factor for the attractiveness of a location for business investment. As the debate has demonstrated, there is a great deal that we can be proud of in north Wales. The north Wales economy, and particularly what we see in Wrexham and Deeside, is a jewel in the crown of the Welsh economy at this time. Opposition Members have demonstrated their pride in what is happening in their constituencies and in the region. It is right that they should take pride in that but want to go further.

I take four broad messages from the debate. The first is the recognition on the part of all hon. Members present of the huge economic importance of north Wales, as a region, for the economy of Wales, but also for the United Kingdom. It is a strategic location for business investment. What we have there with the likes of Toyota, Airbus and all the other companies that hon. Members have mentioned is an engine of job creation in north Wales. I take the point made by the hon. Member for Alyn and Deeside that we should not take any of that for granted. He has been around long enough to have seen huge economic change in his constituency and region. Companies that were once huge employers there have disappeared altogether to be replaced by other companies, so we cannot take that economic success story for granted.

Key to underpinning that economic success story is continuous investment in transport infrastructure. That is the second conclusion that I take from the debate—a joint recognition, on the part of all hon. Members present, of just how important transport infrastructure is in securing the future economic development for north Wales that we all want to see.

The third conclusion is the recognition that, because of the nature of the cross-border issues and economic development in the region, there is huge interconnectedness between what is happening on the Welsh side of the border and what is happening on the English side. There is a shared interest on the part of the UK Government, who are responsible for transport in England, and on the part of the Welsh Government, who are largely responsible for transport on the Welsh side; and because there is that shared interest, there is also a shared responsibility.

That leads to the fourth conclusion that I take from the debate, which is the need for far better and more effective working together. The point about devolution is not that suddenly the UK Government here in Westminster become uninterested in what the Welsh Government are doing on transport priorities and vice versa. Actually, this debate has demonstrated that the need for the two Administrations to work together becomes even greater. That can be difficult. Hon. Members have highlighted some of the complexities in relation to the devolution boundary. I am thinking in particular of my hon. Friend the Member for Montgomeryshire (Glyn Davies) and the issue of the bypass in his constituency that he mentioned. That highlighted a specific issue that we need to overcome to get the Administrations working better together to tackle some of those cross-border transport priorities.

That brings me to the fourth and final broad conclusion that I take from the debate, which is about unity. Yes, we need far better working together between the Administrations, but one of the things that can help that, and which has come to the fore this morning—largely—is north Welsh MPs working together and speaking with a united voice as champions of further economic development and further transport investment in their region.

[Albert Owen]

Will the Minister take a fifth point from the debate? I am referring to the development of Welsh ports and the importance of their having a level playing field with the rest of the United Kingdom. That is a reserved matter; it is the responsibility of the UK Government, although economic development is devolved.

[Stephen Crabb]

I wanted to use the last five minutes to highlight a number of specific points that different hon. Members raised, so let me deal first with the issue of ports. I absolutely recognise the point that the hon. Member for Ynys Môn (Albert Owen) makes. He is a powerful voice for and champion of port development. Yes, ports are a reserved matter, but many of the decisions about the infrastructure that supports the development of ports are of course devolved, so this is a classic case of the two Administrations needing to work together.

During international shipping week recently, we at the Wales Office hosted a function for the Welsh ports and shipping sectors. It proved to be a very successful opportunity to bring together different interested players, and involved the Department for Transport as well. There is no intention on the part of the UK Government—ourselves at the Wales Office and colleagues at the Department for Transport—of ignoring the needs of Welsh ports. We absolutely want to see Welsh ports share in the future success of all UK ports.

What else are we are doing at the Wales Office? One thing that I do is chair the Wales Office infrastructure working group. Transport infrastructure is just one component of the body of work that we are taking forward. I am pleased to say that the Welsh Government are represented on that working group, as are a number of key private sector players and a number of public sector agencies and organisations. We try to focus our mind on some of the big strategic infrastructure priorities for Wales for the future—the things that will make a difference to the Welsh economy in the years ahead—and start to identify hurdles and barriers that need to be overcome in order to see Wales benefit from the larger infrastructure projects that we know are so important to it.

Moving on to some of the specifics that have been mentioned, I shall deal first with HS2, which a number of hon. Members mentioned. HS2 is a hugely strategically important project for the UK, and for north Wales in particular through the new station at Crewe. That will unlock the opportunity for businesses and individuals in north Wales to benefit from access to high-speed services. Crucially, HS2 strengthens the case for electrification of the north Wales main line, which a number of hon. Members mentioned. If we are interested in building the business case for that electrification of the north Wales coastal main line, HS2 strengthens that case. I see a number of hon. Members nodding their heads, and I am pleased by the level of support for HS2 that has been expressed here this morning.

The other thing that HS2 will do, of course, is bring north Wales closer to other parts of the north of England. I think that it was the hon. Member for Alyn and Deeside who talked about commuters coming to his constituency from Derby, and said that he was surprised at the distances that some people were travelling to come to there. With HS2, we will see the journey times to other parts of the north of England coming down even more and there will be even more commuting, both from north Wales into different parts of England and from England into north Wales, so there is a huge economic opportunity there.

With regard to the Wrexham to Bidston line, I do not want to throw out too much excitement and optimism, because, as I think the hon. Gentleman recognised, a number of intermediate improvements could be made to the service on that track before we get to thinking about electrification. From a Wales Office perspective, we are looking at the business case for electrifying the line. It is part of the package of transport infrastructure improvements for north Wales that we are keen to progress, and we are in dialogue with the Welsh Government and the Department for Transport about that.

With regard to the Halton curve, I cannot offer any immediate cause for optimism. It has been looked at previously. Again, it is part of the package of improvements that, in the longest term, we want to happen. I will write to the hon. Gentleman, as I will to other hon. Members who have mentioned specific projects.

We have had an excellent debate about the transport infrastructure needs of north Wales. There is a lot of work to be done if we are to see all those projects realised and bringing about the economic benefit that we want to come to north Wales, but I thank all hon. Members for their contributions and I will write to the hon. Member for Vale of Clwyd (Chris Ruane) about his desire to see a renaissance of the hovercraft on the Mersey estuary.

Living Standards (North Wales)

Debate between Stephen Crabb and Albert Owen

Wednesday 16th October 2013 Westminster Hall

[The Parliamentary Under-Secretary of State for Wales (Stephen Crabb)]

It is a pleasure to serve under your chairmanship, Sir Alan. I congratulate the hon. Member for Vale of Clwyd (Chris Ruane) on securing this debate.

Listening to the hon. Gentleman and some of his colleagues, I am struck by the negative picture they paint of life in north Wales. We are debating living standards and quality of life in north Wales. I am not from north Wales—many of the Opposition Members here today are—but let me be the first to say this afternoon that north Wales is, remains and will continue to be a great place to live, a great place to work and a great place for businesses to invest.

At this time, as the economic recovery starts to gather pace in Wales, what should be seizing all of us with an interest in north Wales, on both sides of the House, is how to maximise the opportunities that are coming for Wales, so that we ensure that the economic recovery is a recovery for the whole of Wales and that north Wales is front and centre of that recovery.

[Albert Owen]

Will the Minister give way?

[Stephen Crabb]

Forgive me, but I will not give way because I have not been left with much time.

This afternoon we have heard Opposition Members talking down north Wales and the Welsh economy and not recognising many of the great things that are happening in their own constituencies that we should be celebrating and promoting.

The hon. Member for Vale of Clwyd, for whom I have a huge amount of time and respect, finished his contribution with a rather crude political attack on my party and my Government. Of course, it was his party that said it was “intensely relaxed” about people becoming filthy rich. His party was intensely relaxed about abolishing the 10p tax band, which hurt the lowest-paid workers the most. His party was intensely relaxed about soaring petrol prices and soaring council tax. The Government are not relaxed about such things, which is why we are doing everything that we can as the economic recovery gathers pace to ensure that people on the lowest incomes are the ones who benefit and are given incentives to move into work and be at the front and centre of maximising opportunities from the economic recovery.

It is a pleasure and a privilege to be a Minister in the Wales Office, and I have the opportunity to go around all parts of the Principality. I see many of the exciting things that are currently happening in the Welsh private sector, and I have to tell Opposition Members that much of that is happening in north Wales; it is happening in their own constituencies. Unemployment is falling in most north Wales constituencies. Unemployment is not falling everywhere, and we are not complacent about that. We want unemployment to fall in every parliamentary constituency, but the hon. Gentleman cannot stand there and say what he said without recognising that unemployment in his constituency is lower today than when his party left office. I remind him that, under the previous Labour Government, in the five years between 2005 and 2010, unemployment increased in his constituency by more than 100%.

[Stephen Crabb]

I am the last person to be complacent. I recognise that a huge amount of work still needs to be done, but the latest figures today confirm that the overall employment picture in Wales is positive. Unemployment is falling across Wales. Overall employment levels are increasing, which we should welcome and want to see more of.

At the start of the hon. Gentleman’s speech, he talked about the decline in real wages between 2007 and 2012 in Denbighshire and Flintshire. We can go through the figures later if he wants more detail, but the vast majority of the decline in real wages happened in the last three years of the previous Labour Government, when, as a result of the economic trauma that they visited upon this country, there was an enormous destruction of wealth and real wages fell. We are now seeing a recovery in wages, including in Wales, but there is a long way still to go before we are back to previous levels.

On income tax, I recognise that many families are facing difficult financial circumstances. That is why we are putting cash back into those families’ pockets by taking the lowest-paid workers out of income tax altogether. We have now cut income tax for more than 1.1 million working people in Wales by increasing the tax-free personal allowance. We are lifting 130,000 of the lowest-paid workers in Wales out of income tax altogether by increasing that allowance to £10,000. Some 324,000 taxpayers in north Wales will benefit from that increase in the personal allowance.

Employers in north Wales are also benefiting from the fact that we are implementing in full all the recommendations of the independent Low Pay Commission. The hon. Gentleman talked about Conservative opposition to the minimum wage, but I for one never opposed the minimum wage, which has benefited the lowest-paid workers. This year, we are able not only to implement all the Low Pay Commission’s recommendations but to go further: the commission recommended freezing the apprentice rate, but we are not freezing it; we are increasing it, and we can do so because we have taken difficult decisions to restore discipline and order to our national finances and to put our house in order, which has given us the capacity and the resources to do things such as increase minimum wages.

One thing that we are committed to freezing, however, is fuel duty, and we have now seen fuel duty frozen for nearly three and a half years. This year, the average motorist will save £7 each time they fill up their fuel tank. I remind Opposition Members that, had Labour been elected in 2010 and implemented its detailed financial plans in full, as it had intended, the price of petrol would be 13p a litre higher than today. That is an example of the Government putting cash back into the pockets of hard-working people and hard-working families. Again, we can do that only because we were able and willing, and had the strength of purpose, to take difficult decisions at the start of this Parliament to put our national finances in order and to restore some sanity to national budgeting.

[Albert Owen]

I wish to put on record that I very much admire the resilience of the people of north Wales. We were not talking down north Wales; we were giving an honest picture. On fuel duty, will the Minister tell us what negotiations the Wales Office has had with the Treasury and others on the rebate scheme and how it will be implemented in Wales? I am talking about not only asking businesses, but providing leadership from the Wales Office.

[Stephen Crabb]

I can write to the hon. Gentleman with further details, but we are in close discussion with the Treasury on the implementation of that scheme in Wales. I have personally written to the Chief Secretary to the Treasury about the scheme, and we want as much of rural Wales as possible to benefit.

We are also committed to freezing council tax in England. Let us remind ourselves that council tax more than doubled under the previous Labour Government. The council tax freeze, of course, does not apply to Wales, as it is a devolved matter. We have provided the Welsh Government in Cardiff with both the opportunity and the resources, but they have so far refused a freeze. If Opposition Members are genuinely concerned about standards of living and the financial pressures on families in Wales, they should be rapping hard on the doors of Welsh Ministers in Cardiff, wanting to know why they are not implementing a council tax freeze in the same way that we are doing in England.

There was some discussion of energy prices. Let me put it on the record that I have not heard one thing from an Opposition Member, or even from the Leader of the Opposition, about a commitment to freezing energy prices that has a shred of credibility. When the Leader of the Opposition was Secretary of State for Energy and Climate Change, energy prices in this country soared. [Hon. Members: “They went down!”] Opposition Members cannot seek continued investment in energy infrastructure to deliver lower prices in future and to keep our lights on, while making irresponsible and crude promises that they can somehow freeze energy prices.

Housing benefit reform and the overall programme of welfare reform have been mentioned on a day when we again see unemployment in Wales fall. Opposition Members cannot be on the side of falling unemployment, while opposing welfare reform. Welfare reform is a vital ingredient in tackling worklessness at source, which is what we are seeing in Wales.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 9th October 2013 Commons Chamber

[Stephen Crabb]

We see a lot of positive things happening in the Welsh economy—businesses are growing. I am particularly excited when I go to north Wales and see some of the dynamic things happening in the private sector there, but we believe that this is a recovery for the whole of Wales.

[Albert Owen (Ynys Môn) (Lab)]

15. Wages are down by 10% in my constituency, unemployment is stubbornly high and energy prices are soaring, yet the Government do not have a plan to freeze energy prices. VAT has taken money out of the economy in constituencies such as mine. What plans do the Government have to restore pride and confidence in businesses in Ynys Môn?

[Stephen Crabb]

I am surprised to hear that question from the hon. Gentleman. His constituency is set to benefit from a huge level of private sector investment. We talk about the exciting things happening in north Wales and his constituency is one of the places that will benefit the most. He should back that.

Oral Answers to Questions

Debate between Stephen Crabb and Albert Owen

Wednesday 3rd July 2013 Commons Chamber

[Stephen Crabb]

I thank my hon. Friend for his question. As I said in answer to a previous question, I am not going to pre-empt any announcement today. I recognise the concerns of the Chairman and other members of the Select Committee about the high tolls on the Severn bridge, but we are not in a position today to make any comment on what lies beyond 2018, when the current concession comes to an end.

[Albert Owen (Ynys Môn) (Lab)]

4. What discussions he has had with the Chancellor of the Exchequer on the effect of the spending review on Wales.

National Assembly for Wales

Debate between Stephen Crabb and Albert Owen

Wednesday 6th February 2013 Commons Chamber

[Stephen Crabb]

I completely disagree with the hon. Gentleman. We have said that we are not proceeding with one aspect of the package that we consulted on in the Green Paper because of the outcome of last week’s vote. As I have said, Labour Members will, in time, come to regret that vote—it was a vote against fairness in the electoral system and against reducing the costs of politics at a time when the electorate demand more from our democratic system. There are still some very important issues. I highlighted three a few moments ago that we will consider further. It is right that we do that, and we will be making announcements in due course.

[Albert Owen (Ynys Môn) (Lab)]

The Minister intends to introduce legislation to this House on those three points on the consultation he has already had, which was to do with the fourth point as well—is that how he foresees taking this measure forward?

[Stephen Crabb]

The hon. Gentleman is an experienced parliamentarian and I think he is trying to tempt me to say more than I am able to at this stage. The Green Paper presented a package of changes and proposals. As hon. Members recognise, one significant part of the package is not being proceeded with, so we now have to look at the other elements on their own terms and decide how we can proceed with them, and, if we proceed with them, what would be the best legislative vehicle for them. I am not, therefore, in a position to give him all the information he is looking for this evening, but I am sure we will come back to it.