Autumn Budget as it Relates to Wales

Chris Davies Excerpts

Wednesday 7th February 2018 General Committees

[Chris Davies (Brecon and Radnorshire) (Con)]

Diolch, Mr Hanson. I will keep within those 10 minutes. Given that the majority, if not all, of Government Members present have either started off or fully delivered their speeches in Welsh, I shall try to put my Labour colleagues at ease by speaking through the medium of English.

I am delighted to praise the autumn Budget and I am delighted to see its effect on my constituency. Brecon and Radnorshire has one of the lowest unemployment rates not just in Wales, but in the whole of Great Britain. That is because of the way in which we are delivering and looking after the economy in this country. It is a great boost. Many Opposition Members decry the low unemployment figures, but it is a massive boost for this country. We are very lucky indeed that we have so many people in work. The boost it gives to people in work and to families is immeasurable.

Much has been said already, so I will try to pick up a few points before I sit down. The tidal lagoon has been mentioned. As someone who represents a mid-Wales seat—I will come on to that—why I am I mentioning it? In the southern end of Brecon and Radnorshire in particular, jobs would be created, tourism would be helped and the economy would be boosted.

Many Opposition Members will remember that I led the Westminster Hall debate on Swansea’s city of culture bid. I was asked to do it, and as a Swansea boy I was delighted to support Swansea in any which way I could. However, I am not prepared to see my constituents having to pay electricity bills that are twice or even three times the amount they pay at the moment. I want the tidal lagoon to go ahead, but we must ensure that the figures stack up. The Secretary of State made that clear earlier, as we have heard in all the debates. However political we want to be in this place, we owe a duty to our constituents to ensure that the figures add up.

[Tonia Antoniazzi (Gower) (Lab)]

The Government seem to lack commitment to invest in renewable energies and look after the air quality of Gower, Swansea and south Wales. As has been said, we still have no electrification to Swansea, and in my constituency there is a proposal to put in a gas power station, with potentially £100 million coming from central Government. That will not help provide clean air to my constituents, yet the Government are shirking on the tidal lagoon. Something must be wrong there.

[Chris Davies]

“Shirking” is in interesting choice of word. It would have been easy to give in and say, “The figures cannot be met and the lagoon cannot go ahead.” That is what a weaker Government would have done, but this Conservative Government have tried every which way possible and are still doing so to ensure that it happens. They are trying hard, and if it is possible we will succeed.

[David T. C. Davies]

Does my hon. Friend agree that if Carwyn Jones is serious about putting £200 million into the project, the Welsh Affairs Committee offers him an ideal platform to tell us all about it?

[Chris Davies]

I concur. Is it £200 million, or is it £2 million—do we really know what Carwyn Jones is offering? Do not forget that that is taxpayers’ money, not Welsh Assembly or Westminster Government money. He could come clean and say that, because this is a bill to the taxpayer, not to the Welsh Assembly or the Westminster Government. We must get it right.

[Paul Flynn (Newport West) (Lab)]

Has the hon. Gentleman managed to read the National Audit Office and Public Accounts Committee reports on his Government’s decision to build Hinkley Point? They say it will cost an extra £13 billion in public subsidy, which will be paid for by the poorest taxpayers. Is it not true that the cheapest electricity in Wales comes from the Dinorwig pumped-storage scheme in north Wales? There is huge potential for water power in Wales, which is being ignored by the Government in exchange for nuclear power stations, with one possibly in Wylfa to be built by a Japanese company because it cannot build them in Japan anymore.

[Chris Davies]

We have to be cautious about any audit report and investigate further. The hon. Gentleman will remember when Conservative Members of Parliament visited Newport to look at the possibility of a Newport lagoon. The Conservative Government have not only committed to trying to make it happen in Swansea but to make the whole lagoon structure work. We are trying to put the figures together. I will move on, because the tidal lagoon is a small part of what I have to say.

I am delighted that defence investment continues at 2% of GDP, and in Brecon and Radnorshire there is strong commitment to the Infantry Battle School, the training ground in Sennybridge, and Dering Lines. The military play an important part in Wales, and I am delighted that the Government continue to support them in every which way.

Let us not forget a small item we have missed in the Budget: £4.7 million has gone to refurbishing and modernising poppy factories. They may not be in Wales, but they supply poppies to Wales. For most people in this room and outside in Wales, that is the closest they get to remembering those who have lost their lives in battle. That is very important and an item that, sadly, has been overlooked, but it is in there to support our traditional elements.

We have heard much talk about agriculture. Over the past 12 months many farmers in my constituency have seen an increase in the price of lamb and beef on the hoof in the markets, as a result of the lower value of the pound. Many who voted for Brexit—the vast majority of them did so—are looking towards the future and the great expectations it holds. They are not frightened, but they are concerned—they do not know what is going to happen, but they are looking forward to the opportunities. I wish more politicians did that, instead of constantly criticising the Brexit process.

I am delighted that the Budget did not contain a tourism tax. Brecon and Radnorshire relies exceptionally heavily on tourism, as do the constituencies of many Members present, but the Labour and Liberal-run Welsh Government already seem to be talking about a tourism tax, which would decimate the tourism industry in this country. I hope that Opposition Members will tell their Welsh Assembly colleagues how devastating it would be and what a disastrous idea it is for Wales.

[Paul Flynn]

Quite right, too.

[Chris Davies]

I agree.

The mid-Wales growth deal has already been touched on by my hon. Friend the Member for Montgomeryshire. The one question that has never come out anyone’s mouth in the Houses of Parliament, or even I think in the Welsh Assembly, is that of mid-Wales. Where does it start and where does it end? Where does south Wales start and stop? Where does mid-Wales start and stop? Where does north Wales start and stop?

As many Members know, my constituency is considered to be a mid-Wales seat, but the southern tip of my boundary is only 15 miles from Swansea bay. We have to think long and hard about where the mid-Wales growth deal will come in and where it will stop. What about constituencies such as that of the hon. Member for Dwyfor Meirionnydd? The southern part of her constituency could be part of a mid-Wales growth deal and would benefit from it. It is not just about Brecon, Radnorshire, Montgomeryshire and Ceredigion. The mid-Wales growth deal could be of great benefit to the majority of Wales, because the majority of Wales now seems to be mid-Wales.

I am delighted that the Under-Secretary of State for Housing, Communities and Local Government, the hon. Member for Rossendale and Darwen (Jake Berry), who has responsibility for the northern powerhouse and local growth, has already visited Powys County Council to get the ball rolling. Before going on to do great things at the Ministry of Defence, the former Under-Secretary of State for Wales, my hon. Friend the Member for Aberconwy (Guto Bebb), also visited Powys County Council to ensure that it was starting to think about where to lead with the mid-Wales growth deal. The current Parliamentary Under-Secretary of State for Wales will visit shortly and lead the project forward, along with Lord Bourne from the House of Lords. The options are never-ending.

We have made it clear to local authorities that the mid-Wales growth deal will spread from east to west, across Offa’s Dyke, because a lot of people in my constituency and in Montgomeryshire naturally cross that invisible border every day, whether to work or shop. Clearly, we have to tie everything in. I am delighted that the Chancellor mentioned the mid-Wales growth deal in the Budget. This is the first time we are seeing some real joined-up thinking from a Government. I praise the Conservative Government for starting the deal. It is a start and not a finish, but I am sure hon. Members will be disappointed to hear that it is the finish of my speech. I look forward to the mid-Wales growth deal.