Commission on Devolution in Wales

David Hanson Excerpts

Monday 18th November 2013 Commons Chamber

[Mr Jones]

I agree entirely with my hon. Friend. I repeat that the difference between Labour and the Conservatives is that we are ambitious for Wales, whereas Labour seems to think that Wales should be a supplicant nation for ever more. The best way to increase the economic success of Wales is to ensure that it has a competitive edge, and I believe, as does my hon. Friend, that that purpose will be best served by reducing the rate of tax.

[Mr David Hanson (Delyn) (Lab)]

The Secretary of State will know that many thousands of my constituents work in the city of Chester, in Eddisbury, in Manchester, in Liverpool and in Ellesmere Port. Similarly, thousands of people from all those constituencies work in my constituency in Flintshire. Has he thought through properly how the income tax-varying power might work in practice? What consultation on this matter does he intend to undertake with businesses on both sides of the border?

[Mr Jones]

As the right hon. Gentleman knows, 12 months’ thought has been put into this exercise. Over the years, Wales has grown progressively poorer compared with the rest of the United Kingdom, and I hope that he will welcome and support our giving it a competitive edge through a beneficial rate of income tax. Also, he knows that it is easy to move from one side of the border to the other. That is another reason we had to think carefully before doing anything that might unbalance the economy of that important part of the world.