Wales Bill
Debate between Chris Bryant and David Jones(10 years, 7 months ago)
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Mr Jones
Indeed. I think that everyone in the south Wales business community recognises that the M4 is indeed a foot on the windpipe of the economy and we are anxious to see it upgraded. The competence that we shall be giving the Assembly Government—in fact, we have already extended it to them—will enable them to proceed as quickly as possible with that essential upgrade.
Chris Bryant (Rhondda) (Lab)
While we are on infrastructure improvements, the Government here have much boasted that they will be electrifying the valleys lines. Every time they seemed to suggest that they would pay for it, but now it seems they are refusing, so who will actually be paying for the electrification of the valleys lines?
Mr Jones
We are skiing somewhat off piste, because that is not within the competence of this Bill, but there is clear correspondence between the Assembly Government and the Department for Transport on how the upgrade would be funded, and it is absolutely clear that the Welsh Government were paying for the upgrade of the valleys lines.
Mr Jones
It should be entirely clear to the hon. Gentleman, because the Under-Secretary of State for Wales, my hon. Friend the Member for Preseli Pembrokeshire (Stephen Crabb) took the trouble to write to the Chairman of the Grand Committee, the hon. Member for Gower (Martin Caton), on 10 February, setting out these matters in great detail. I know that a copy of that letter was sent to the hon. Gentleman, and he will know, having read it, that the provisions are as follows:
“In the first year of operation (and any transitional years) the block grant adjustment will equal the amount of tax revenue generated by the Welsh rate of income tax set at 10p. It is important to note the following:
This is the amount of income tax forfeited by the UK Government as a result of reducing the main rates of income tax by 10p in Wales. If the Welsh Government sets a rate of 10p then there will be no impact on their budget compared to current arrangements. By setting a rate of, for example, 11p or 9p the Welsh Government can increase or decrease its budget (respectively) compared to current arrangements, as the block grant adjustment will still be based on the 10p forfeited by the UK Government. That means that the higher or lower revenue resulting from a rate of 11p or 9p (rather than 10p) would not be netted off the block grant.”
Mr Jones
Well, the hon. Member for Pontypridd had not read this letter, so I am reading it out to him. It goes on:
“In subsequent years the initial deduction is indexed against movements in the UK NSND”—
that is, not savings, not dividends—
“income tax base. That means that if the UK NSND income tax base contracts by 2%, the block grant adjustment will decrease by 2%; if the tax base grows by 2%, the adjustment will increase by 2%.”
That should have been absolutely clear to the hon. Gentleman, but he clearly did not read the letter, so I am glad to have had this opportunity to acquaint him with its contents. It clearly contains the reassurance that he seeks.
Chris Bryant
The Secretary of State has used the word “accountable” 14 times so far in his speech and has talked about how this Bill will make politicians in Wales more accountable, but it is going to mean that there will be fewer elections. Does that not make them less accountable?
Mr Jones
I would not have thought so. By the way, I am grateful to the hon. Gentleman for counting how many times I have used the word “accountable”. That now makes 15. I would have thought that he would be concerned to ensure that Assembly elections were not overshadowed by general elections, and that in my book makes for accountability.
Chris Bryant
The thing is, it is the former Minister who is not very joined up with his own memory. At the time, Labour voted for a four-year fixed-term Parliament in here, which would have meant a four-year fixed term for Wales as well. In that way, we would not have had to coincide and we would have had greater accountability. Let us have a general election now, shall we?
Mr Jones
As we have five-year terms for general elections, we take the view that we should also have five-year terms for Assembly elections.
The removal of the ban on dual candidacy restores the position to how it was in the Government of Wales Act 1998. I believe that the change is supported by all parties other than the Labour party, which introduced the ban in the first place. The ban on so called “double-jobbing” between the Assembly and this House addresses legitimate concerns about whether it is possible for someone adequately to represent constituents’ interests in two elected legislatures at the same time.
The legislation also implements several changes that have been specifically requested by the Welsh Government, including formally enshrining that name—the Welsh Government—in statute, as it has been common parlance for the Welsh Assembly Government to be so referred to for several years now.
In responding to the Silk commission’s recommendations, the Government made it clear that we were unconvinced by the case for devolving air passenger duty to Wales, so the Bill makes no provision for that. Neither does it make provision for the full devolution of business rates. That is because, in terms of legislative competence, business rates fall within the devolved subject of local government finance and so we need make no further provision in this Bill. In order fully to devolve business rates, the Government are amending current funding arrangements so that the Welsh Government benefit directly from revenues raised by that tax in Wales.
Finally, as I said in my written statement to this House on 3 March, we do not see this Bill as an appropriate vehicle for implementing the recommendations made by the Silk commission in its second report. The commission’s second report raises crucial questions about the future governance of Wales within the United Kingdom, and it would not be right to rush into implementing its recommendations without careful assessment. It is essential that we take the time needed to get things right. Consequently, the Bill is focused on devolving the package of tax and borrowing powers to Wales recommended by the commission in its first report. Including a whole raft of other powers would merely serve to delay the Bill and jeopardise its enactment before the 2015 general election.
The Government believe that devolution should be used to give a competitive edge to Wales, and that powers devolved should be used to grow the Welsh economy and make Wales a more prosperous place. The Bill will deliver that. It will make devolved governance in Wales fairer, more accountable and better able to support economic growth. I hope, and I believe, that we can achieve a broad consensus in this House around this Bill, and make rapid progress. I commend the Bill to the House.
Commission on Devolution in Wales
Debate between Chris Bryant and David Jones(11 years ago)
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Mr Jones
I am well aware of the points my hon. Friend raises. It was for the very reason he mentions that further consultation was undertaken on the proposed devolution of stamp duty land tax; it was ultimately felt that, as a capital tax, a balance would naturally be struck. There is no doubt that were income tax to be devolved, there might be some impact overall, but in terms of the local economy I would imagine that the same people would live very close to one another, albeit on different sides of the border.
Chris Bryant (Rhondda) (Lab)
Like everybody else, I support the proposals. However, I hope that my constituents are not watching this session, because all they will be thinking about is the cost of living crisis in Wales. Hundreds of thousands of families are worrying about whether they will be able to heat or eat this winter, and yet here we are again fiddling around with the constitutional settlement. Our constituents want us to deal with the real issues that matter to them. I suggest that we get rid of the idea of having a referendum and that we spend the money instead on keeping open the Porth and Treherbert libraries.
Mr Jones
I am afraid that I cannot speak on behalf of the users of the Porth or the Treherbert libraries. Those are matters for the hon. Gentleman’s colleagues in the Welsh Assembly Government. None the less, those are important matters. The recommendations have been widely welcomed by all parts of the political spectrum, except of course by the hon. Gentleman.
Oral Answers to Questions
Debate between Chris Bryant and David Jones(11 years, 9 months ago)
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Chris Bryant (Rhondda) (Lab)
10. What assessment he has made of the potential effect of the under-occupancy penalty on social housing in Wales.
Oral Answers to Questions
Debate between Chris Bryant and David Jones(12 years, 9 months ago)
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Mr Jones
Yes indeed. The Government are seeking in England to create an NHS that is fit for the 21st century and that gives greater discretion to professionals and choice to patients. By contrast, Wales increasingly has a one-size-fits-all health service that is falling behind the rest of the country.
Chris Bryant (Rhondda) (Lab)
One of the key public services in Wales is housing, but a constituent who came to my surgery last week is in work and works a full week but unfortunately is homeless. Were he to resign from his job, the local authority would be required to find him a home, and it would be paid for by the taxpayer. He does not want to do that. What will the Government do to end the manifest unfairness whereby somebody who is in work and paying Child Support Agency fees can still be homeless?
Oral Answers to Questions
Debate between Chris Bryant and David Jones(13 years ago)
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Chris Bryant (Rhondda) (Lab)
3. What recent estimate she has made of the number of 16 to 24-year-olds who are unemployed in Wales.
The Parliamentary Under-Secretary of State for Wales (Mr David Jones)
Current levels of youth unemployment in Wales and across the UK are, of course, disappointing. We are determined to tackle that and will announce additional measures as part of phase 2 of the growth review.
Chris Bryant
That is two Ministers now who have used the word “disappointing” about unemployment. Frankly, it is a tragedy and one of the worst things about it is that a previous Conservative Government consigned constituencies such as mine and whole communities like the Rhondda to long-term mass unemployment. They are doing exactly the same now to a generation of young people. Will the Minister suggest one single thing that he personally is doing in his Department to tackle youth unemployment in Wales and in the Rhondda?
Mr Jones
Of course youth unemployment is too high and of course, sadly, that is not a new phenomenon. In the last Parliament, youth unemployment in Wales increased by 73% and we have not heard a word of apology from the hon. Gentleman for that. We recognise the importance of the problem and that is why we have introduced the Work programme, which provides properly targeted support to young jobseekers.
Oral Answers to Questions
Debate between Chris Bryant and David Jones(14 years, 5 months ago)
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Chris Bryant (Rhondda) (Lab)
9. What recent discussions she has had with the Secretary of State for Defence on the proposed defence technical college at St Athan.