Autumn Budget as it Relates to Wales

Anna McMorrin Excerpts

Wednesday 7th February 2018 General Committees

[Anna McMorrin (Cardiff North) (Lab)]

Gadewch i mi ddechrau trwy ddweud pa mor falch ydw i i gael y cyfle i siarad Cymraeg heddiw. Mae’n un o ieithoedd swyddogol y Deyrnas Unedig ac mae llawer o fy etholwyr yng Ngogledd Caerdydd yn ei siarad. Felly rwyf yn gobeithio y bydd fy nghyd-Aelodau a minnau yn cael siarad Cymraeg yn y brif Siambr hefyd cyn bo hir. Nawr byddaf yn troi at y Saesneg oherwydd dwi’n dal i ddysgu Cymraeg.

(Translation) Let me begin by saying how pleased I am to have the opportunity to speak Welsh here today. It is one of the official languages of the United Kingdom, and many of my constituents speak the language. I hope therefore that hon. Members and I will have an opportunity to speak Welsh in the main Chamber before too long. I will now turn to English, because I am still learning Welsh.

I am sure that my colleagues and the Secretary of State will join me in congratulating Jack Sargeant on an absolutely excellent win in the by-election in Alyn and Deeside yesterday, increasing Labour’s majority after a brilliant campaign. He now joins our Welsh Labour colleagues in Cardiff Bay, representing his constituents and helping to deliver record levels of investment in our NHS, an extra £100 million in funding for schools, 20,000 more affordable homes and the best childcare offer for working parents in the United Kingdom.

That is in stark contrast to the Tories’ shameful approach to our nation, with the Secretary of State for Wales constantly undermining the National Assembly for Wales and the Welsh Government, and complaining that too much power has been “centralised” in Cardiff. It is obvious that that is an attempt to create divisions within Wales, to distract people from the fact that the Tories do not care about investment in Wales, consistently ignore recommendations from the Welsh Government and exclude Wales from Brexit negotiations.

The Secretary of State is just Westminster’s representative in Wales, not Wales’s representative in Westminster, and as a mouthpiece for the Tories in Westminster he continues to block policies that would allow Wales to create more jobs and lower energy costs, as well as undermining devolution at every opportunity. It is embarrassing how obvious he and his Government make their lack of respect for Wales as a devolved nation.

The Budgets presented by this UK Government have consistently punished Wales. The UK Government give in to the likes of the Democratic Unionist party to save their own jobs. And where was the Secretary of State for Wales when the DUP was given a billion pounds for Northern Ireland? Why did he not stand up for Wales? Why did he not demand more money? In fact, where is he now?

The Welsh budget has experienced year-on-year cuts as a result of the UK Government’s ongoing policy of austerity. By 2022, when we will have had more than 10 years of Conservative rule—hopefully not—UK GDP is forecast to be £41 billion, or around 3%, lower than previously forecast. On this Westminster Government’s watch, libraries, leisure centres and youth clubs are closing, because they have starved the Welsh Government and Welsh councils of money. Mental health services are being cut back, too. Since 2010, 25,000 local authority jobs in Wales have gone and the services that make our communities healthier and more liveable in are disappearing, because of lack of funding from Westminster. The austerity politics of this UK Government is killing our communities in Wales.

The Secretary of State for Wales tells us that all that must be the fault of the Welsh Government. However, the seven-year public sector pay cap of this Tory Government has reduced the wages of carers, school support staff, cleaners, highway maintenance staff and many more public sector workers by more than 20%. Since 2010, nurses have suffered a 14% pay cut in real terms and current estimates are that 3,000 nursing jobs in Wales are unfilled.

In my constituency of Cardiff North, where we have the highest number of public sector workers in Wales, I have spoken to nurses who have to resort to foodbanks, and to other public sector workers who are barely making ends meet. That is unacceptable, and we should not use Welsh Government funding to resolve an issue that should be put right at UK level. If Welsh Government funding is used, we would see millions of pounds being taken from frontline services and from the budget of NHS Wales, risking thousands of public sector jobs. It is absolutely essential that this UK Government provide the funding that Wales needs, and that they treat our public sector workers with fairness and equality.

Moving on, the effects of climate change and resource depletion mean that the old, tired ways of doing business are an insufficient response to the challenges we face today. Governments and businesses must come together to create new models of sustainable growth. That is happening in Wales, and it comes at a time when Welsh industries and businesses face the danger of a hard Tory Brexit. The best way to protect our nation is to retain full access to the European single market and a customs union.

In the same way that the availability of natural resources put Wales at the forefront of the first industrial revolution, driving the growth in what was then iron, coal, steel and manufacturing, our abundant natural resources can now drive the growth of a new and different economy, which will be rooted in the sustainable and intelligent use of those resources. That is in stark contrast to the shambolic direction of the Tories in England, who seem unable to give a steer on climate targets or long-term sustainable growth. The tidal lagoon has been discussed. It is shameful that the UK Government cannot come to a decision—Tory Ministers consistently undermine it, despite, as we have heard, investment from the Welsh Government.

In a competitive global marketplace, companies will invest where there are the best conditions to make long-term sustainable growth possible. The Welsh Government have recognised that and introduced a strong legislative framework that gives certainty beyond electoral cycles. In the Well-being of Future Generations (Wales) Act 2015 and the Environment (Wales) Act 2016 the Welsh Labour Government have set out a far-reaching economic, environmental and social agenda. That strong ambition and drive can help Wales to become a world leader in green growth, providing a platform and location where companies that share those values can thrive. I am proud to have played a part in introducing the carrier bag charge seven years before it was introduced in England, as well as to have helped to develop a truly sustainable Wales.

It is clear that the next 20 years will see a period of massive technological change. Young peoples’ voices will be critical to that process as the generation who will be at the heart of driving change over the next 20 years. The challenge now is to drive green growth widely and quickly, as we face the risks and opportunities of the 21st century. Successful markets need a strong clear vision and an effective regulatory regime. The UK Tory Government have neither. If they have any real ambition to lead on green growth they must do likewise, and put in place long-term statutory goals to reflect what we want now and in the future. They need to improve the position of business and prioritise investing in high-quality sustainable infrastructure, such as the Swansea Bay tidal lagoon, which will make Wales a far more attractive place to do business.

At the moment the UK Government and the Secretary of State for Wales are an embarrassment. They cannot take a decision on the tidal lagoon; there are U-turns on rail electrification investment; and they have failed to invest in energy efficiency or renewable energy, which would provide the vital economic and environmental infrastructure needed to boost growth and support the environment. Diolch yn fawr.