Oral Answers to Questions
David T C Davies Excerpts(3 years, 2 months ago)
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Wayne David (Caerphilly) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State has regular discussions with the First Minister and Welsh Ministers on a range of issues, including the UK shared prosperity fund. The Government will continue to engage with the Welsh Government as we develop the fund’s investment framework for publication.
Jonathan Edwards [V]
From the figures that I have seen, the British Government may have conflated overrun spend from the previous convergence period for this financial year with the actual allocation of new money. Under the previous scheme, Wales would receive nearly £400 million per annum. Is not the reality that the Minister is unable to guarantee that the shared prosperity fund, when fully operational, will match that level of investment? Why will he not just admit that the communities that both the Secretary of State and I represent in Carmarthenshire are about to get fleeced?
David T. C. Davies
The figures will show that on average Wales is receiving £375 million a year. What the hon. Gentleman may be referring to is the fact that over a number of years to follow there will still be some money coming to Wales from the European Union. Of course, it is absolutely right that that money should be counted towards the £375 million total, and the Government will guarantee to ensure that the amount of money to be spent in Wales in future will be exactly the same, or higher, than the amount that was spent previously.
Wayne David [V]
Britain has left the European Union. The transition period has come to an end. There is no new money coming from the structural funds. Given that the Government announced the shared prosperity fund back in 2017, can the Minister at least tell us the timetable for the introduction of the new fund?
David T. C. Davies
We have already made it very clear and demonstrated that the amount of money that is going to be spent in Wales when the SPF comes in will be identical to or higher than the amount of money that was spent in Wales that came from the European Union. There has been absolutely no secrecy about that. The way in which the fund will be managed is subject to discussions at this very moment, and I would expect full details to be publicised over the next few months.
Ruth Jones (Newport West) (Lab) [V]
Many of my constituents are very sorry to see the hundreds of millions of pounds of EU funding that Wales received in recent years come to an end. Our departure from the EU made this inevitable, and of course I accept this, but they also believe that the Welsh Government should have full autonomy over their part of the shared prosperity fund, and I agree, so can the Minister provide some evidence that this working together is taking place?
David T. C. Davies
I am sure that the hon. Lady’s constituents will be delighted to know that hundreds of millions of pounds will continue to be spent in Wales, and continue to be spent where it is most needed. I am sure that her constituents would be rather disappointed that we already know from the Audit Wales report that some of the money that has gone into, for example, pillar 2 agricultural funding has not been well spent. I urge her to recommend to her constituents that they look at the dossier presented by my hon. Friend the Member for Montgomeryshire (Craig Williams), which demonstrates that millions of pounds of European Union money that was handled by the Welsh Government was misspent. When that money becomes British taxpayers’ money, all partners in British Government, including the Welsh Government and local authorities with growth deals, will want to make sure that it is properly spent, and I am sure that her constituents will agree.
Beth Winter (Cynon Valley) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I have regular discussions with my right hon. Friend the Secretary of State for Work and Pensions on our support for people affected by covid-19. The UK Government have funded the furlough of 8,900 employees and provided over £17 million to the self-employed in the hon. Lady’s own constituency.
Beth Winter [V]
The pandemic has exposed inadequacies in our welfare system to act as a safety net, from the insufficient level of statutory sick pay to the damaging impact of the two-child benefit limit on families. The idea of a universal basic income is gaining increasing traction as a solution to many of these issues, and there is increasing support in Wales and elsewhere for a UBI pilot funded by the UK Government. Will the Minister express his support for such a pilot and call on the UK Government to fund it?
David T. C. Davies
The UK Government have already provided £5 million of extra funding to the Welsh Government to ensure that they have adequate funds to support businesses and individuals who have been affected by the covid pandemic, and of course the Welsh Government also have tax-raising powers. The reality is that this Government have spent hundreds of billions of pounds supporting businesses and individuals throughout this country, such is our commitment to ensuring that no one is left out as a result of the impact of this terrible pandemic.
Nia Griffith (Llanelli) (Lab) [V]
The last year has been immensely challenging for many Welsh families, who have seen their lives completely upended by the virus. Despite welcome progress on vaccinations, the pandemic is not going away overnight, and many still feel grave uncertainty about the future of their jobs and their family finances, so why do the Government think that now is the time to cut universal credit by £1,000 a year, hitting more than 200,000 Welsh families who are doing their best to get by?
David T. C. Davies
I have not yet been promoted to the Treasury, and I cannot possibly predict what might happen in the Budget that may or may not come in a few months’ time. Perhaps the hon. Lady knows something that the rest of us do not, but I can tell her that the Government have been steadfast in their commitment to supporting all those who have been left out. May I just point out that we will come through this crisis quickly as a result of the Government’s wise decision not to take part in the European Union vaccination scheme, which is why we have now vaccinated 14% of the population of the United Kingdom?
Nia Griffith [V]
Anyone who took the initiative and started their own business within a year of the pandemic hitting was completely shut out of the self-employment income support scheme when it was announced last March. Many turned to universal credit as their only option. Now, nearly a year on, and with last year’s tax returns submitted to HMRC, will the Government think again, close the gaps in support and give the newly self-employed the help that they deserve?
David T. C. Davies
The hon. Lady knows very well that I am not responsible for the policies of the Treasury, but I simply point to the fact that we have provided more than £9.3 billion of additional support through the welfare system for people affected by covid, including the £20 a week increase in the universal credit standard allowance. The Government’s commitment to supporting all those who have been affected by this pandemic is very clear to all.
Owen Thompson (Midlothian) (SNP)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
We have provided £16.8 billion to the devolved Administrations to fight coronavirus, including £5.2 billion to the Welsh Government and £8.6 billion to the Scottish Government. We have also secured vaccines for all four nations, demonstrating the importance of the Union and how we are stronger together.
Owen Thompson
The fiscal settlement of this disunited kingdom means that the Treasury continues to impose unfair, unreasonable and inexplicable limits on the devolved nations’ borrowing powers. That has meant that at every step throughout the covid crisis, the devolved nations have had to wait for the Treasury to announce financial support before they could do the same. The next challenge is climate action, and with evidence from the Dasgupta review and the Committee on Climate Change showing how far we still have to go, will the Government now ensure that the devolved nations are fully equipped to meet this challenge by devolving borrowing powers?
David T. C. Davies
I would have thought that the Scottish people, with their reputation for understanding the importance of money, would be quite pleased that the UK Government have provided £8.2 billion of extra funding for the Scottish Parliament, rather than expecting it to borrow money and pay it back at some point. I suggest that the hon. Gentleman might like to familiarise himself with the report from the London School of Economics this morning, which suggested that independence for Scotland would end up costing every Scottish taxpayer thousands of pounds a year, in addition to the £8 billion that they would have lost as a result, as the UK Government would not have provided that extra money to the Scottish Parliament.
Theresa Villiers (Chipping Barnet) (Con)
Draft Government of Wales Act 2006 (Amendment) Order 2021
David T C Davies Excerpts(3 years, 2 months ago)
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The Chair
Before we begin, I would like to remind Members about social distancing regulations; spaces available to Members are clearly marked. May I also remind colleagues that Mr Speaker has stated that masks should be worn in Committee, except when speaking. Hansard colleagues would be grateful if you could any send any speaking notes to them via email. I call the Minister to move the motion.
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I beg to move,
That the Committee has considered the draft Government of Wales Act 2006 (Amendment) Order 2021.
Diolch yn fawr, Cadeirydd. It is a pleasure to serve under your chairmanship, Mrs Miller. I am very sorry that the hon. Member for Merthyr Tydfil and Rhymney (Gerald Jones) is not here today. I understand the reason why, and I express my deepest condolences to his family, as I will to the hon. Gentleman when I next see him.
The draft order makes changes to the Welsh devolution settlement by amending schedules 7A and 7B to the Government of Wales Act 2006 in the light of the EU exit. That includes removing references that are no longer relevant now that the UK has left the EU, and modifying consenting arrangements in relation to concurrent powers and in relation to the Controller of Plant Variety Rights. The order also corrects some minor errors in both schedules, and I shall take each of those elements in turn.
Hon. Members will be familiar with the need, in the light of our exit from the EU, to amend references to the EU and its institutions as they appear throughout the statute book. A number of such references appear within the list of reservations in schedule 7A to the Government of Wales Act 2006. For example, paragraph 20 of the schedule reserves powers to the UK Parliament to legislate over elections to the European Parliament. Clearly, such a reference is no longer necessary. Although the majority of EU references in the Government of Wales Act 2006 were corrected through the European Union (Withdrawal) Act 2018, it only amended the list of reservations where there was a direct read-across to the devolution settlement for Northern Ireland.
The Government committed to correcting the remaining references in schedule 7A through the order to enable the Senedd to have a direct say over the amendments. I make it clear that our approach to these changes is that they are devolution-neutral. Removing those references will not result in the Senedd gaining any additional powers, nor will it take away any of their current powers.
As well as making corrections to the schedule that are necessary as a result of EU exit, we are also taking the opportunity presented by the order to rectify a small number of minor errors in schedules 7A and 7B, which had come to light since the Wales Act 2017 gained Royal Assent. Those errors that have affected the competence of the Senedd and their correction will, similarly, be devolution-neutral.
I now turn to matters related to the consent requirements in schedule 7B to the Government of Wales Act 2006. Paragraph 11 of the schedule prevents the Senedd from modifying or removing functions of a Minister of the Crown that relate to a qualified devolved function without the UK Government’s consent. A qualified devolved function is defined as one conferred on the First Minister, Welsh Ministers, or the Counsel General and is to any extent exercisable concurrently, or jointly, with the Minister of the Crown, or only with the consent of, or following consultation with, the Minister of the Crown. The need for UK Government consent was put in place to protect the concurrent and joint functions that are set out in schedule 3A to the Government of Wales Act 2006.
EU exit has, however, necessitated hundreds of new concurrent functions being established through statutory instruments made under the European Union (Withdrawal) Act 2018. That approach was taken for expediency and to allow for UK-wide approaches to be implemented in a number of areas where powers have returned from the EU. Those functions are wholly in devolved areas, and the vast majority relate to matters that are the responsibility of the Department for Environment, Food and Rural Affairs and the Department of Health and Social Care.
For example, The Environment (Legislative Functions from Directives) (EU Exit) Regulations 2019 include powers for the appropriate authority to update retained EU law in respect of the limitation of admissions of certain pollutants in the light of scientific and technical progress, and The Nutrition (Amendment etc.) (EU Exit) Regulations 2019 provide regulation-making powers to set the minimum and maximum amounts of vitamins and minerals that may be present within food supplements.
Concurrent functions in devolved areas have similarly been established in the UK Government’s programme of primary legislation. The Welsh Government have raised concerns over the Senedd’s ability to break those concurrent arrangements in future, in the light of the restrictions I have already outlined. The UK Government agree that in those circumstances the consent arrangements are not appropriate.
The order therefore provides that the consent requirements do not apply where the Senedd seek to remove, or confer a power to remove, a function of a Minister of the Crown that is exercisable concurrently with Welsh Ministers and is established through one of the enactments specified in the order. The specified enactments are: statutory instruments made under sections 8 to 8C of the European Union (Withdrawal) Act 2018; the European Union (Withdrawal Agreement) Act 2020 or in regulations made under it; the Direct Payments to Farmers (Legislative Continuity) Act 2020; the Coronavirus Act 2020; the Fisheries Act 2020; the Agriculture Act 2020; and the Act of Parliament that will result from the Trade Bill.
I should make it clear that this carve-out only applies where the Senedd seek to remove the function of a Minister of the Crown and therefore break the concurrency. It will not apply to any wider modifications that the Senedd may wish to legislate for.
Also, in respect of the Fisheries Act 2020, this carve-out from the consent requirement does not apply to the removal of a Minister of the Crown function to regulate British fishing boats, excluding Welsh fishing boats, in Welsh waters. That is consistent with the protections for the Secretary of State’s wider concurrent functions to regulate fishing boats of a devolved Administration outside that Administration’s waters. DEFRA has committed to carrying out a review of concurrent fisheries functions to consider whether those arrangements are still appropriate.
Many of the concurrent functions that have been established through the specified enactments provide that the relevant Secretary of State can only exercise them with the consent of the Welsh Ministers. A number also require the Welsh Ministers to consult or seek consent of a Minister of the Crown before exercising them.
Restrictions in paragraph 8(1)(c) of schedule 7B provide that the Senedd cannot confer, impose, modify or remove functions specifically exercisable in relation to a reserved authority without the consent of the UK Government. The ability of Welsh Ministers to give consent to the Secretary of State, as well as requirements to consult or seek the consent of a Minister of the Crown, constitute a function in relation to a reserved authority. As a result, the order also provides that the restrictions do not apply when the Senedd seek to remove a concurrent function of a Minister of the Crown established through the specified enactments.
The Government believe that it is appropriate that the relevant Minister is informed of plans to remove their functions. As such, under the provisions of the order, the Welsh Government must consult the relevant UK Government Minister before a Senedd Bill can remove such a function.
The order also makes changes to the consent arrangements in relation to the Controller of Plant Variety Rights. As we all know, that is the UK body responsible for administering UK plant breeders’ rights. Intellectual property as it relates to plant varieties is a devolved matter. However, as that body operates on a UK-wide basis and therefore undertakes functions for England, Scotland and Northern Ireland which are outside the Senedd’s competence, it is classed as a reserved authority under the Welsh devolution settlement.
As I have already noted, schedule 7B to the Government of Wales Act 2006 places restrictions on the Senedd’s ability to impose, modify or remove functions of reserved authorities without the consent of the UK Government. However, there are a small number of reserved authorities that are carved out of the consent requirements, because they exercise a mix of devolved and reserved functions. These include the Electoral Commission and the Food Standards Agency. In the light of the devolution boundary in this area, it is appropriate that the Senedd are able to modify the devolved functions of the Controller of Plant Variety Rights without needing the consent of a UK Government Minister. Therefore, the order adds the controller to the list of mixed-function authorities.
The order is the result of significant positive engagement between both Governments and it has been laid before the Senedd for their approval.
David T. C. Davies
I have tried to take note of the five or six questions, two of which are similar. First, I believe the Environment Bill will need to have similar amendments made to it. I believe the Trade Bill is covered by this order, so it will not require amendments.
I have not been approached by anyone in the Welsh Government about further corrections, but it would be foolish of me to say that they will not be needed, and no further corrections will be found. All I can offer is a commitment that I would expect and assume that as and when further corrections or inconsistencies come to light—emerge is the word used by officials—or emerge, I am sure the Government will share the same commitment to wanting to change them as they have shown today. I think that answers the questions.
The order makes a number of amendments to schedules 7A and 7B to the Government of Wales Act 2006. It will enable the Senedd to remove concurrent powers, established in specific enactments without needing the agreement of the UK Government. In doing so, it directly deals with the concerns raised by the Welsh Government. It clarifies schedules by removing references that are no longer relevant following EU exit and provides for a number of corrections where necessary.
In answer to the final point made by the hon. Member for Cardiff South and Penarth, with whom I have worked for many years and respect greatly, I do not know whether to entirely agree or disagree with him about the grown-up arrangement between the two Governments. I wish that people who sometimes see the arguing between the UK Government and Welsh Government would come to rooms like this and see what goes on behind the scenes. Too often, we hear about what has gone on in the Chamber and the heat sometimes generated there, when the reality of our partnership and working together can be demonstrated in situations such as we have had this afternoon.
I genuinely say to the hon. Gentleman that the Secretary of State for Wales and I do want a grown-up relationship with the Welsh Government. It has not always been as good as it could have been. Dare I suggest in this Committee that perhaps the fault has not always lain on our side? We desperately want to have that relationship with the Welsh Government. I welcome any support he can give to that or any encouragement that he can give to our friends in Cardiff Bay on that point.
I welcome the productive work that has taken place between our two Governments in preparation for this order and I commend it to the Committee.
Question put and agreed to.
Oral Answers to Questions
David T C Davies Excerpts(3 years, 4 months ago)
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Gavin Newlands (Paisley and Renfrewshire North) (SNP)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State has been in regular discussions with Welsh Ministers about the UK shared prosperity fund before and after the announcement of the spending review. Further engagement will take place as further details of the fund are announced.
Gavin Newlands
I thank the Minister for that response. It has been suggested in the other place that the management of the UK shared prosperity fund will involve advisers jointly appointed by the UK and devolved Governments, yet the past few months have shown that this Government do not see themselves as an equal partner to the devolved nations and that they are instead wrongly centralising power to Westminster at the expense of devolution. What guarantees can he give to the devolved nations that they will have a cast-iron equal say on the governance of the UK shared prosperity fund? This is particularly pertinent, given the shocking contempt shown by the Government in trying to railroad through the United Kingdom Internal Market Bill.
David T. C. Davies
The Prime Minister is showing his commitment to the importance of powers for the Scottish and Welsh Governments at this very moment in Brussels, where he is standing up against those bureaucrats who are trying to take powers away from the Welsh Government and the Scottish Government. It is this Conservative party and this Government who are standing up for the devolved settlement, and of course the UK Government will be looking forward to working in partnership with the devolved Administrations around the United Kingdom to ensure that the shared prosperity fund is properly spent.
Nia Griffith (Llanelli) (Lab)
As well as providing no certainty on the trading arrangements in just three weeks’ time, the Government have also ducked and dived on questions about the funding that Wales will receive in future years. Despite the Tory promise that Wales will not lose a single penny, the actual figures tell a different story. Wales alone was due some £350 million of new money for projects next year, but the Treasury is providing only £220 million for the whole UK. With Wales losing not just pennies but millions of pounds, how can the Government say they have kept their promise?
David T. C. Davies
The Government have kept their promise, because, of course, some of the funding that goes to Wales will still be coming from the European Union after we have left the transition period. If we take the total amount of money that is going to be spent, we will find it is the same. The Government have met their commitment to ensure that the same level of funding is spent in Wales, and we will meet our commitment to ensure that the money is better spent and not wasted, as the Wales Audit Office recently reported on agricultural spending, and is used to level up communities across the whole of Wales.
Nia Griffith
I am not sure whether that is a conclusive answer, but we are now nearly four and a half years on from the referendum and the Government still cannot provide clear answers on funding, so let me ask the Minister about the criteria on which the funding will be allocated. As he knows, the Welsh Government and local councils have agreed a framework for regional investment in Wales, so can he confirm that his Government will support that framework and not ride roughshod over devolved agreements or make up the spending criteria as they go along?
David T. C. Davies
We are certainly not going to make it up as we go along. Of course, the UK Government have been heavily involved in regional partnerships through the growth deals, which have been working very successfully in Wales as a result of funding from the UK Government. We have already demonstrated our commitment to working in partnership not just with the Welsh Government but with local authorities, because we are absolutely determined that the money that replaces European funding is not wasted, as it has been previously, but is spent on the most needy communities in Wales.
Edward Timpson (Eddisbury) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Government are steadfast in their support for Welsh agriculture, and that is why we have provided the same level of funding for Welsh farmers in 2021-22 as they received in 2019: £337 million a year. That meets our manifesto commitment to guarantee the annual budget for farmers, a commitment that applies for the whole of this Parliament.
Edward Timpson
We all want to see farmers in Wales and right across the United Kingdom prosper outside the European Union, but how can my hon. Friend ensure that farmers in my Eddisbury constituency will be able to compete with Welsh farmers just over the border who will continue to receive their area payments in the early years of the agricultural transition, whereas all English farmers will see their basic payment scheme payments of £230 per hectare halved by 2024?
David T. C. Davies
As a Government who are committed to the devolved settlement, we obviously will not be telling devolved Governments what they can do with the money; we will simply make sure the money is there. Of course, the United Kingdom Internal Market Bill has been brought forward to make absolutely certain that we do not see a situation where one part of the United Kingdom is able to compete in an unfair fashion with another part of the United Kingdom, and that is why I hope all Members will support that Bill.
John Lamont
My constituency in the Scottish borders is the second-highest recipient of common agricultural policy payments in the United Kingdom. Indeed, four of the top five recipients are in the devolved Administrations. How will the Government support the devolved Administrations with these payments in the future?
David T. C. Davies
I am sure that my hon. Friend’s constituents, like farmers across the whole United Kingdom, are pleased that the British Government will not implement the 10% cut to agricultural payments, which is being brought about by the European Union. He will be pleased that we have used the most generous exchange rate possible to calculate what those payments will be. If he lived in Wales, he would be pleased to know that the UK Government are providing £1.3 billion of additional funding to the Welsh Government, and we look forward to seeing how much of that will be used on agriculture.
Tim Loughton (East Worthing and Shoreham) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State wrote to the First Minister before he announced the closure of pubs in Wales and asked him to consider a tiered structure for covid restrictions, which would have better targeted areas with a high incidence of the virus. Regrettably, at that time the First Minister chose not to do so. I believe he may now be about to follow my right hon. Friend’s advice.
Tim Loughton
Before the Welsh Labour Government had the bright idea of bringing in a circuit breaker, the infection rate in Wales was 33 per 100,000 head of population. Since then, Wales has had one of the toughest lockdowns. Pubs have to close at six o’clock and they cannot serve alcohol. Infection rates in Wales are now 423 per 100,000. Have Welsh Government Ministers confided in my hon. Friend the reasons for this raging success, and is it perhaps that people in Wales have been so driven to drink with despair that they have to do it at home without social distancing, rather than in pubs?
David T. C. Davies
It is a sad fact that at the moment Wales has the highest number of cases per 100,000 in the UK, the highest number of deaths per 100,000, and the lowest amount of testing, but I do not think my right hon. Friend the Secretary of State and I wish to make any political point out of that. All of the United Kingdom has suffered. What I think we would welcome is a recognition that the Welsh Labour Government do not have some sort of magical answer to this situation which has eluded everybody else. We would welcome Welsh Ministers sitting down and working with the Secretary of State for Health and Social Care and the UK Government, so we can tackle this pandemic together as one nation.
Mr David Jones (Clwyd West) (Con)
As we have heard, pubs in north Wales have been closed down by the Welsh Government and their trade is being destroyed, despite the fact that infection rates in north Wales are significantly less than in much of south Wales. When my hon. Friend does speak to Welsh Ministers, can he urge them to adopt a more intelligent and nuanced approach to covid restrictions? Otherwise, many of those pubs will never reopen.
David T. C. Davies
As I have just said to my hon. Friend the Member for East Worthing and Shoreham (Tim Loughton), we would welcome the Welsh Government working in tandem with the UK Government to bring in a tiered system, so that in areas with a low incidence of the virus fewer restrictions are put in place. I believe that is an approach the Welsh Government are finally going to adopt. We look forward to sitting down and working with them.
David Simmonds (Ruislip, Northwood and Pinner) (Con)
Kevin Brennan (Cardiff West) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State has regular discussions with the First Minister and Welsh Ministers on a range of issues, including the UK shared prosperity fund.
Ruth Jones
Nadolig llawen i chi, Mr Speaker.
We have heard a lot from the Minister about the shared prosperity fund this morning, but I am still none the wiser on the details. What guarantees can the Minister provide that the long-awaited shared prosperity fund will provide no reduction in moneys received by the Welsh Government compared with current structural funding? What guarantees can the Minister provide that it will be the Welsh Government who decide how the money is allocated in Wales?
David T. C. Davies
We have already made the commitment that the amount of money will match everything that came from Europe. Previously, the European Union held the strings and controlled how the money was spent; now, it will be the UK Government working in partnership with local authorities and the Welsh Government to ensure that the money is spent wisely.
Kevin Brennan [V]
The Minister says that the money will be matched, but when the dealing is done, will the so-called shared prosperity fund in fact turn out to be a pared back austerity fund for Wales, in keeping with normal Conservative practice? Merry Christmas.
David T. C. Davies
The shared prosperity fund will mean more money going into Wales, along with more powers, which will come about as a result of Brexit, going to Wales. We are looking forward to putting our Conservative record before the people of Wales in the elections next May.
Beth Winter (Cynon Valley) (Lab) [V]
If, like the road to hell, this UK Government’s proposals regarding the shared prosperity fund are littered with good intentions, their actions, as with the United Kingdom Internal Market Bill, show that they are most interested in accumulating power to themselves. Please can the Minister explain when exactly we will learn what the mechanism will be for involving the Welsh Government in deciding which people, communities and local businesses will receive the necessary funding to enable them to level up, who will be the final arbiter, how much money will be available and when the process will begin?
David T. C. Davies
We have already said that discussions are ongoing, that the money will be matched, and that the shared prosperity fund will deliver our levelling-up agenda across Wales. The Labour party spent a long time saying that there would not be any money and that there would not be any interest in Wales, but the reality is that we have shown that the money will be there and we want to make sure that it is used properly. Those sorts of arguments might raise a few cheers at Labour party conferences, but the people of Wales will be pleased to know that that money is going to come and that that interest in levelling up the whole of Wales will follow.
Support for People and Businesses in Wales: Covid-19
David T C Davies Excerpts(3 years, 6 months ago)
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The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I am not quite sure how many minutes I have.
Sir Edward Leigh (in the Chair)
The debate has to finish at 4 pm, so you have plenty of time.
David T. C. Davies
Right. I thank the hon. Member for Merthyr Tydfil and Rhymney (Gerald Jones) for his comments. He, like many others, including the hon. Members for Cardiff North (Anna McMorrin) and for Aberavon (Stephen Kinnock)—I think everyone did this, actually—mentioned the role played by public sector workers, including local authority workers, teachers and, of course, the police. I want to mention prison officers, because they always seem to get left out. I am not saying that they did any more or less than anyone else, but they have certainly taken risks and, sadly, in my constituency one member of the Prison Service died as a result of covid. I thank all hon. Members for an interesting and perceptive debate, and I will try to respond to as many of the points as I can.
I want to strike a note of unity by saying that covid-19 is the biggest challenge that we have faced for generations. We are tackling this pandemic head-on, and we seek to reduce the risk of transmission and the number of infections and deaths, while minimising the longer-term damage to the economy. I believe that the UK Government have shown clear leadership across the country in fighting the scourge of coronavirus. Every time the UK Government have implemented measures designed to curb the spread of covid-19, we have put in place provisions to support those who are affected, in Wales and right across the United Kingdom.
We started with an additional package of funding in the spring Budget to support the NHS and other public services. We followed that up with support for business through lockdown and beyond, including Government-backed loans, starting with the coronavirus business interruption loan scheme. To date, almost £400 million of UK Government-backed loans have been extended to firms in Wales under that scheme. The bounce back loan scheme, introduced for small and medium-sized enterprises, has supported over £1 billion-worth of loans in Wales. The furlough scheme kept workers in their jobs during lockdown, with the Government paying up to 80% of their usual wage. At its peak, the scheme supported more than 400,000 workers in Wales—around a quarter of the workforce.
The UK Government have pursued a generous approach, designed to work together with all devolved Administrations, and we have given the Welsh Government an up-front guarantee of an additional £4.4 billion of funding, over and above the normal block grant, to help them to deal with the scale and uncertainty of the disruption caused by coronavirus. Various Members, including the hon. Members for Merthyr Tydfil and Rhymney, for Cardiff South and Penarth (Stephen Doughty) and for Cardiff North—in fact, probably all the Opposition Members who spoke—praised the Labour Government. The hon. Member for Cardiff North seemed to use the words “Welsh Labour” in virtually every sentence, saying, “The Welsh Labour Government have delivered this; they’ve delivered that; and they’ve saved X number of jobs.” I am not denying for one moment that they have done those things, but they did them with the £4.4 billion and all the other money that has been provided to them to deal with this crisis.
It was right that the Welsh Government be given extra funding in order to deal with this crisis. It is perfectly reasonable to praise one’s own political party or Government—we all do that from time to time—but I was disappointed to hear the hon. Lady say that we must all try to work together and take politics out of this, and then not even to acknowledge that the Welsh Labour Government were able to deliver that help, which she spoke about in such grand terms, only because extra money was rightly given by the UK Government.
Anna McMorrin
Does the Minister not agree that the Government in Westminster have acted across the UK in a way that could be described as politicking, at best, and downright dangerous, at worst? He fails to realise that by not engaging with Wales, Scotland and the regions, he and his Government are leaving people desperate and dying.
David T. C. Davies
It is disappointing again that the hon. Lady uses the word “politicking” in one sentence and “dangerous” in the next, and then goes on to suggest that one Government’s approach is leaving people dying. If she wants to talk about poker games, she might want to look at what happened in Manchester, where a Labour local authority leader did everything possible to avoid locking down unless he could get some more money out of the Government. That is playing poker. That is politicking with people’s lives. The UK Government’s approach has been to try and avoid the narrow politicking. That is why you will not catch me saying that a policy that is being pursued by the Labour Government in Wales, even though it may be different from the UK Government’s policies, is causing people to die or causing danger. That is not a comment that I ever want to make.
Anna McMorrin
The Minister is picking on my speech, so I seem to have got under his skin. Can he point out the scientific evidence that the UK Government are following? It certainly is not the scientific evidence that we have seen from our scientific advisers across the country and, specifically, in Wales.
David T. C. Davies
It is not that the hon. Lady has got under my skin, but if she suggests that the UK Government are deliberately leaving people to die, that is something that I have to tackle. As far as the science goes, at the first Cobra meeting I attended—I have attended a few of them when the Secretary of State has not been available—I saw the Prime Minister ask the chief scientific adviser, “How can we save the maximum number of lives?” The UK Government’s whole approach has been about asking the scientists not, “What will be good for the economy?” but, “What will save lives?” The hon. Lady will be pleased to know that a member of the Welsh Government—I cannot remember if it was the Health Minister or the First Minister—was present at that meeting.
I will probably completely mess up my speech, now but I want to talk about co-operation. I have never seen such co-operation between the UK and the Welsh Governments. From the very start, Welsh Government Ministers have been invited along to every Cobra meeting and to the ministerial implementation group meetings, which are at the level below that, where a lot of decisions are also taken. We have had Welsh Government Ministers, SNP Ministers and Northern Irish Ministers there, all listening to the evidence and all taking part in the decision-making process. It is right that that was the case, because we wanted to approach the matter from a UK perspective.
At the same time, it occurred to the Secretary of State for Wales that it might be useful if he or I had some knowledge of what the Welsh Government proposed—not to take part in any decision-making process, but to have an idea of what was taking place. We wrote to the First Minister, pointing out that his Ministers rightly come to many UK-level ministerial meetings and asking if it would be possible for us to attend Welsh Government ministerial meetings—not to take any part in the decisions, and not necessarily even to say anything, but simply to listen and understand the process in Wales—but we received little response.
In the end, we were told that we could perhaps sit in on some of the meetings, but only for the moments where non-devolved matters were being discussed. I think we have had one invitation in the last six months. That is a disappointing lack of co-operation. It is extraordinary to me that anyone has the audacity, frankly, to suggest that the UK Government are not working hand in hand with the Welsh Government, when the UK Government have fallen over themselves to invite Welsh Ministers to these meetings.
David T. C. Davies
The hon. Lady shakes her head, but it is a matter of record that Welsh Government Ministers attend Cobra and ministerial implementation group meetings.
Fay Jones
The Minister is being generous with his time. Is it not the case that people in Wales are tired of this back and forth, and of people playing politics with who has been invited to what meeting? The Opposition’s accusation that we are not working closely is completely false. In actual fact, they do not like it when we disagree. They cannot cope with that, so they say that we are not working together. That is not working together; it is just disagreement.
David T. C. Davies
My hon. Friend makes an important point. [Interruption.] Allow me to give way to the hon. Member for Cardiff South and Penarth.
Stephen Doughty
I want to take the Minister back to a specific point. There has been co-operation on a number of issues—I mentioned the steel industry, and that was a good example of close working between the Minister, his fellow Ministers and Welsh Government Ministers with one of my key local businesses and with me—but I do not think it has been consistent throughout. It was not helpful that the Prime Minister did not even speak to the First Minister for many months, even if there was co-operation at other levels.
I want to ask the Minister this question specifically: why can the Chancellor not start the job support scheme that little bit earlier to coincide with the Welsh Government’s decision on a local lockdown? That would make things a lot easier for businesses.
Sir Edward Leigh (in the Chair)
I think we have had enough debate. Let us all be nice and polite to each other. Everybody here is honourable. Everybody has their own position to make. Nobody is a liar, and nobody has said that anybody is a liar.
David T. C. Davies
On the point made that was made by the hon. Member for Cardiff South and Penarth, a telephone conversation took place last week between the First Minister and the Chancellor of the Exchequer; I am afraid that I cannot find the relevant part of my speech, but I know that that phone call happened. During that discussion, the First Minister indicated that he would bring forward this lockdown and indicated the date that it would start, and he asked for the financial support that the hon. Gentleman refers to. He was told very clearly that the Chancellor’s new scheme would apply on a certain date, and the Chancellor implored the First Minister not to bring in the lockdown on the dates proposed. The point is that the Chancellor and the First Minister had that discussion and knew each other’s position. The First Minister still decided to go forward with that lockdown, and therefore it is the First Minister’s responsibility to come forward with the proposals to support affected businesses in Wales.
I suppose there is one thing that we all agree on: a lockdown has an enormous impact on business. There is absolutely no doubt about that. It will cause people to lose their jobs and businesses to close—it will leave people worse off. We all agree on that, which is why we are arguing, to some extent, over how much money we can find to support those businesses. If we all accept that, we need to be careful before we introduce lockdowns.
The hon. Member for Cardiff North mentioned the science. The Government are following the science of people such as the deputy chief medical officer, Jonathan Van-Tam, who said—today, I think, or certainly earlier this week—that local lockdowns are working and are likely to be effective. The World Health Organisation said that lockdowns can be effective but should be used as a last resort. The Government have to take account of the fact that although a lockdown can temporarily suppress the number of people going into hospital, it will also have the impact that we all know about on people’s jobs and livelihoods.
In the long term, the inability to diagnose patients with things such as cancer will ultimately have an impact on lives. I was talking recently to a senior, established dentist in south Wales, who told me about the number of referrals each year for oral cancer, which are first discovered by dentists. Because so many dentists are now not operating, or are not operating the same service, fewer people are going to see the dentist. Therefore, fewer people are being referred for oral cancer consultations, and at some point in the future a number of people will lose their lives because of an undiagnosed form of cancer. That is absolutely inevitable; it is just not going to generate a headline.
A responsible Government must take account not only of what is going on here and now in the NHS with covid, but of what will happen in the longer term when people lose their jobs, or when they are not diagnosed as early as they should be for diseases such as cancer. It is a very difficult tightrope to walk. I do not envy anyone in the Department of Health or in No. 10, and I do not envy Mr Gething or Mr Drakeford; they both have a very difficult job to do and I do not doubt that they are doing their utmost. I certainly am not going to play politics or suggest that, because they are taking a slightly different course of action from that of the UK Government, they are doing something dangerous. However, we have a right to question what all of the Governments are doing.
Gerald Jones
As a Union of four nations, it is sensible to have that four-nation approach where possible, but clearly the virus is taking different directions in different parts of the country and there is a need to have that local—devolved or regional—response to things. Whether it is the Mayor of Greater Manchester or the First Minister of Wales, they are clearly in touch at a grassroots level with what is going on in their area. Does the Minister agree that in those circumstances, it is disappointing to hear the example that we have heard about today of the lack of contact between the Prime Minister and the First Minister, which at one stage meant there was something like three months or so without any contact between them whatsoever?
David T. C. Davies
I do not accept that last point, because the First Minister would have been able to speak to the Prime Minister anyway, had he wanted to, and Welsh Government Ministers were dealing with UK Government Ministers on an almost daily basis. I would go as far as to say that, because at a lower level I was involved in the ministerial implementation groups, and I know that during lockdown they were taking place multiple times every week—I will not quite say every single day, but it felt like it. Every day, Ministers from each of the devolved regions were taking part in the decision-making process. I therefore cannot accept at all the argument that there was a lack of contact.
I am told that there were attempts by No. 10 to talk to the First Minister and that he cancelled one meeting, but I do not know the full ins and outs of that. However, I am absolutely certain that the First Minister would always have had access to the Prime Minister had he needed it, and he certainly has always had access to the Secretary of State for Wales. I know that they are talking on an almost weekly basis. It is inconceivable that the Secretary of State for Wales would not take a call from the First Minister; in fact, I am sure that has never happened.
The hon. Member for Merthyr Tydfil and Rhymney made the interesting point that it makes sense to have a regional approach, because the virus is breaking out in different ways across the United Kingdom; that is a fair comment. Of course, the same can be said within Wales. There are areas of Wales where the outbreak of the virus is far lower than in other parts of the United Kingdom. Therefore, he may feel that he needs to justify to a tea shop owner in Tenby why there is now a full lockdown taking place in half-term, at a time when that shopkeeper or that tea shop owner would have been hopeful of recouping some of the money that has been lost over the last six months.
I am conscious that the hon. Member for Islwyn (Chris Evans) must respond to the debate. By the way, he made an excellent speech. I am grateful for the comments he made and I am looking forward to the Henry VII trail that will take place. Of course, by the time Henry VII made that famous march across Wales towards Bosworth, we had already seen the hard border disappear; from the time of Owain Glyndŵr onwards, we have not had a hard border in Wales. Yet, as a result of decisions that are being made at the moment, I fear that it will come back again, which is not something that I, as a Unionist, wish to see.
For as long as this virus continues, the UK Government will want to support all parts of the United Kingdom, and if other Governments or local authorities in other parts of the United Kingdom want to take credit for the enormous help that has been offered, that is absolutely fine by me. I can assure hon. Ladies and Gentlemen here today that we do not want to play politics with this situation; we simply want to eradicate this virus and then get back on with the job of rebuilding Britain.
Oral Answers to Questions
David T C Davies Excerpts(3 years, 6 months ago)
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Simon Baynes (Clwyd South) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
We have, of course, worked hand in hand with the Welsh Government throughout the covid-19 pandemic. The Secretary of State and I have regular discussions with Welsh Ministers about the ongoing UK-wide response to covid-19, and those include discussions between the Secretary of State and the First Minister and, of course, meetings between the UK Government and all devolved institutions.
Simon Baynes
Restricting the virus is vital, but the Welsh Government’s lockdown measures in Clwyd South and the rest of north Wales need reviewing. Given the difficulties they are causing, particularly for hospitality, the wedding industry and leisure businesses, by using county boundaries rather than being targeted on the specific areas with high covid case numbers, is the Minister able to outline how often the Welsh Government have invited the UK Government to participate in their covid-19 planning meetings and whether they have discussed using more detailed evidence by community rather than just by county?
David T. C. Davies
That is a very good question. Although the UK Government extend an open invitation to the devolved Administrations to take part in Cobra meetings and ministerial implementation groups, the same spirit of co-operation has not thus far been forthcoming. I was invited to one meeting by Welsh Government Ministers to discuss parts that were reserved to the UK Government anyway. We stand ready to accept the same level of co-operation from Welsh Government as we have always extended to them.
Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)
With cases rising across the UK, the First Minister has called for an extraordinary meeting of Cobra to discuss plans for a so-called circuit-break lockdown. The measures are already under active consideration in Wales and would be implemented by the Welsh Government if they need to be, but of course, any such measures are more effective if we apply them with a four-nation approach across the whole UK. Will the Government now listen to their own scientific advisers and the Opposition and agree to meet the devolved nations to discuss these specific proposals?
David T. C. Davies
Throughout this pandemic, the Government have listened to a wide range of scientific advisers, some of whom will be advising circuit breakers, whereas others will be suggesting that measures are too strict. The Government have listened to all and tried to steer a course through the middle of this. They have listened to Welsh Government Ministers on numerous occasions, with more than 100 such meetings having taken place. We will continue to listen with an open mind and to follow the evidence.
Anna McMorrin (Cardiff North) (Lab)
Unlike this Tory Government in England, our Labour Government in Wales do follow the science. The rules in Wales have stopped people taking the virus with them from high-prevalence to low-prevalence areas, thus protecting people’s lives. We want the same for visitors to Wales from across the rest of the UK, where rates are even higher, so why are this Tory Government ignoring the First Minister yet again, failing to stand up for the people of Wales and playing politics with people’s lives?
David T. C. Davies
We certainly are not playing politics with people’s lives. The hon. Lady will be aware that 25% of the workforce of Wales travel over to England to work there, and playing politics with people’s lives potentially means looking at livelihoods as well. The reality is that we have followed the science all the way through this process and, more or less, the Welsh Government have followed exactly what the UK Government are doing.
Rob Roberts (Delyn) (Con)
The hon. Member for Cardiff North (Anna McMorrin) says we should follow the science, but 10 minutes ago, Public Health Wales told me that it did not even carry out a community-level analysis prior to instigating these lockdown measures. Does my hon. Friend agree that this virus does not respect county borders and that, once again, all the Labour Welsh Government are doing is throttling businesses and letting down the people of north Wales?
David T. C. Davies
First, let me wish my hon. Friend penblwydd hapus for tomorrow. It is the case, of course, that this virus does not respect boundaries, but the UK Government do. Although I fully accept that some people may have concerns about the slightly different approach the Welsh Government sometimes adopt in this matter, the UK Government respect devolution and the reality of Welsh government, and my role as a Minister is to work constructively with Welsh Government Ministers. At this moment, I do not wish to start playing politics and criticising them.
Chris Bryant (Rhondda) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I am committed to driving forward each of the growth deals in Wales and, since March, have taken part in 24 meetings with representatives of Wales city and growth deals. I recently visited Carmarthen West and South Pembrokeshire constituency after approving the Pembroke Dock marine development, one of the many growth deal projects that will be contributing to levelling up in Wales.
Andrew Griffith
Last week, the Prime Minister outlined how we can build back better by investing in areas such as hydrogen, green energy and electric mobility. Does the Minister agree that, while it is an opportunity for the whole United Kingdom, we should particularly put Wales at the heart of that green revolution?
David T. C. Davies
I am very happy to agree with that. The Prime Minister’s commitment last week was a game changer, quadrupling offshore wind energy by 2030, doubling the amount of support for renewables projects and providing £160 million to support infrastructure and one gigawatt of new floating wind projects. That is all clear evidence of this Government’s commitment to a green and resilient economic recovery from the coronavirus.
Aaron Bell (Newcastle-under-Lyme) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The United Kingdom Internal Market Bill will protect seamless trade across the United Kingdom, which will benefit people in all corners of the UK and, indeed, of this House. Our market access guarantee will provide certainty for Welsh businesses as the transition period ends and provide a firm foundation upon which businesses may flourish.
Aaron Bell
Obviously, in Newcastle-under-Lyme, the whole of Staffordshire, and indeed the whole of the west midlands, there are a number of businesses that both source from and supply to Wales. Those businesses need the certainty that standards will be observed and that what they produce will be able to be sold into different markets around the United Kingdom, and particularly in Wales. Will my hon. Friend confirm that the United Kingdom Internal Market Bill will deliver on that?
David T. C. Davies
I can absolutely confirm that. I hope all Members of this House are listening to the wise words of my hon. Friend. The Bill provides a vital guarantee that businesses in his constituency, and in all constituencies across the UK, will be able to continue to trade confidently within our internal market as the transition period ends.
Joy Morrissey (Beaconsfield) (Con)
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Government are committed to rolling out broadband across the United Kingdom, although we have much work to do. I am pleased that 50% of premises in Wales have access to full-fibre broadband, compared with only 14% in the UK as a whole. Only a fortnight ago, I was able to go out with the innovative Welsh SME Beacons Telecom, which is helping to deliver broadband in remote and rural parts of Wales—the parts of Wales that Openreach seemingly cannot reach.
Jamie Stone [V]
I suspect that my question will come as no surprise. I represent one of the most remote parts of the UK, and far too many of my constituents simply cannot get decent connectivity. Could the Minister please share his experience and his know-how with the Scottish Government so that we can get this problem sorted out?
David T. C. Davies
If the Scottish Government care to issue me with an invitation, I stand ready to serve and offer advice such as I can. Actually, I think my advice is that are innovative small companies out there that are able to do things that Openreach apparently cannot do. I saw an example of that in Wales, and I am sure there must be many others. I assure the hon. Gentleman that as a Government who are committed to the Union, our broadband ambitions span not just Wales but the whole of the United Kingdom, from the tip of Penzance right up to the coast of Caithness and beyond.
Marco Longhi (Dudley North) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Government are fully committed to the constitutional integrity of the United Kingdom. Our response to the covid-19 outbreak has clearly demonstrated the value of Wales being a part of the Union, with a package of UK Government support that frankly goes well beyond anything that the Welsh Government could offer alone. It is clear that our four nations are safer and more prosperous when we stand together.
Marco Longhi
It is very good news that the Government have appointed Sir Peter Hendy to undertake a detailed review as to how the quality and availability of transport infrastructure can support economic growth, as well the quality of life, across the UK. Will the Minister advise on what his Department’s priorities are for this review in Wales?
David T. C. Davies
Our priorities, clearly, will be better transport links, ensuring that Wales is better connected to the rest of the Union, but the Government’s ambitions go well beyond transport infrastructure. We believe that Wales is an integral part of the United Kingdom and we want to see not just good transport links but our historical links and cultural links, because we believe that one is quite easily able to be proud to be Welsh and proud to be British in this Union.
Selaine Saxby [V]
From Ilfracombe to Exmoor in my North Devon constituency, it is possible to see south Wales. Does my hon. Friend agree that we should look at the options for better connecting the two areas to strengthen the links between our economies and, ultimately, the Union?
David T. C. Davies
I entirely agree with what my hon. Friend has said. The Government are going to strengthen all links within the United Kingdom. We are a Conservative and Unionist Government, and I look forward to support from all sides of the House.
Oral Answers to Questions
David T C Davies Excerpts(3 years, 7 months ago)
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Kevin Brennan (Cardiff West) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Secretary of State and I have had regular discussions with Welsh Ministers, including the First Minister, on a wide range of matters, including preparations for the end of the transition period. Preparations for the end of the year are well advanced, and build on the plans that we had in place for a no-deal scenario in 2019.
Kevin Brennan
When he has had those discussions with the First Minister, has the Minister discussed how the so-called shared prosperity fund will be spent in Wales? I do not know whether he has seen any opinion polls recently, but far from people in Wales regarding the Welsh Government as a “cosy clique in Cardiff”, as the Secretary of State puts it, they far prefer the Welsh Government to run their affairs to a swivel-eyed bunch of incompetents in Westminster doing so. Will the Minister commit to the House, now, that every penny of that money will be allowed to be spent by the democratically elected Government in Cardiff?
David T. C. Davies
There are no swivel-eyes on this side of the Chamber. The hon. Gentleman ought to restrain himself a little; I do not think anyone would want to be looking at his eyes at the moment. The reality is that far more people voted for Members of Parliament in Wales than voted for Members of the Welsh Assembly—the turnout is always high, which rather rebuts the hon. Gentleman’s point. We have already said that the shared prosperity fund will match the amount of money that came from the European Union, and that will of course be spent in Wales after discussions with Ministers in both the Senedd and Parliament.
Stephen Crabb (Preseli Pembrokeshire) (Con)
The Minister will be aware of the news overnight that Hitachi has decided to pull out of the project to build the Wylfa Newydd nuclear power station on Anglesey—a project that is not only of strategic importance to the Welsh economy but will help the UK to meet its net zero target by 2050. Will my hon. Friend leave no stone unturned in the quest to see whether there is a way forward for the project? In particular, will he continue his discussions with ministerial colleagues here and in Cardiff Bay and continue to work with my hon. Friend the Member for Ynys Môn (Virginia Crosbie), who has worked so hard to get the project moving?
David T. C. Davies
I am happy to confirm that my right hon. Friend the Secretary of State has already had discussions with Horizon about this matter. The announcement was deeply disappointing for us all and came on the back of Hitachi’s concerns, so I am told, about the covid situation and the Japanese economy. None the less, Wylfa is one of the best sites in the world at which to build a nuclear power station and I understand that Horizon has already been sounding out the possibility of the project going ahead with other developers.
Geraint Davies (Swansea West) (Lab/Co-op)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
High street banks have been at the forefront of lending to firms impacted by covid-19. They have provided support to Welsh firms through more than £1.1 billion-worth of loans under the Government’s bounce back loan scheme and £300 million of loans under the Government’s coronavirus business interruption loan scheme. There has also been an additional £100 million of lending through the Development Bank of Wales, which has been a useful contribution.
Geraint Davies [V]
Thank you very much from over here in Wales.
The Development Bank of Wales has been found by the Welsh Affairs Committee to be much more effective in the delivery of coronavirus loans to business than high streets banks, which have been found to be unresponsive, delayed and risk-averse, and not to understand local businesses. Will the Secretary of State and the Minister impress on the Chancellor the need to provide more funding for the Development Bank of Wales and to import this excellent idea into England to help all British business?
David T. C. Davies
I suppose it would not come as a great surprise to the hon. Gentleman, or to anyone who understands economics, as he does, that a high street bank is always going to be slightly more risk-averse than a bank backed by the UK Treasury. None the less, I draw the hon. Gentleman’s attention to the figures I gave earlier, which show that around £1.4 billion has been lent to businesses in Wales via high street banks utilising Government schemes, and £100 million has come via the Development Bank of Wales. This is not some sort of competition; we welcome every single pound that has been lent to Welsh businesses, no matter where it has come from.
Robbie Moore (Keighley) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My hon. Friend will be aware that testing for covid in Wales is a matter for the Welsh Government and we respect their devolved responsibilities. I understand that the Welsh Government have decided to seek support from the UK Government for testing in Wales, which is a responsibility of the Welsh Government, so the Department of Health and Social Care has been working directly with them to offer the help that they need to deliver an efficient testing and analysis programme.
Robbie Moore
We have made huge progress in rapidly scaling up our testing capacity, and I have witnessed that myself in my constituency of Keighley, but there is always more that we can do. What steps is my hon. Friend taking to explore with the Welsh Government the benefits of repeat population testing, and, if that proves effective, how can it be scaled up across Wales and the rest of the UK?
David T. C. Davies
As my hon. Friend will be aware, we have made enormous strides in increasing the amount of daily testing that is available, but it is not yet enough in either Wales or England, or elsewhere in the United Kingdom, to meet the huge rise in demand that we have seen over the past few weeks. The UK Government have set a target of a 500,000-a-day testing capacity for the end of October, and we are also increasing the number of testing sites to 500 by the end of October. Across Wales and the United Kingdom, Governments of all sorts of different political persuasions are working hard and working together to increase testing and to meet the demand.
Fay Jones (Brecon and Radnorshire) (Con)
Oral Answers to Questions
David T C Davies Excerpts(3 years, 9 months ago)
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Stephen Crabb (Preseli Pembrokeshire) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Government’s support to business —the £350 billion package—is helping to limit the long-term damage to the economy, and my Department will continue to work with others in Whitehall and the Welsh Government to drive forward that economic recovery. As the Prime Minister said last week, we must “build, build, build” to ensure jobs and growth as we continue to ease lockdown.
Stephen Crabb
Wales desperately needs new projects to deliver growth and better quality work, so may I ask my hon. Friend if he will look at the proposals coming from the joint venture based in Pembrokeshire between Total and Simply Blue Energy for deploying floating offshore wind technology in the Celtic sea? I also ask him to use his office to ensure that Treasury and BEIS stay fully involved, because it is a serious project that is worth backing.
David T. C. Davies
I entirely agree with my right hon. Friend. Floating offshore wind is a hugely exciting technology. I would be happy to meet those companies. Our commitment to offshore wind is demonstrated by the £28 million, which we, along with the Welsh Government, have invested in the Pembroke Dock marine project.
Ben Lake (Ceredigion) (PC)
Recognising the severity of the economic damage of covid-19 and also the importance of swift responses from the Government, will the Minister consider proposals made by the Wales Governance Centre recently that both the annual drawdown limit from the Welsh reserve and the cap on Welsh Government borrowing should be
“very significantly relaxed—or removed?”
David T. C. Davies
The hon. Gentleman will be aware that my right hon. Friend has already signed off about an extra £800 million for the Welsh Government and if he can wait in his seat for a little while longer, there may be more good news to come.
Dr James Davies (Vale of Clwyd) (Con)
Economic recovery in north Wales will be made all the harder by the devastating news that Airbus in Broughton is to shed 1,435 jobs. I know the UK Government are already supporting the UK aerospace industry significantly, but can the Minister confirm what further the Government can do to assist Airbus?
David T. C. Davies
I can confirm that when I and my right hon. Friend spoke to the leaders of Airbus last week, they were very grateful to the UK Government and said that the UK Government had been one of the most supportive Governments in the world, which is why, no doubt, the numbers of jobs being lost in the United Kingdom is far fewer than in other European Union countries. Airbus has benefited from around £5 billion of UK Government support, and I am absolutely certain that the Government will want to continue to support the aerospace sector.
Alan Brown (Kilmarnock and Loudoun) (SNP)
Marion Fellows (Motherwell and Wishaw) (SNP)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State for Wales and I discussed our future relationship with the EU as part of multiple engagements with the Welsh Government. We will continue to work and listen closely to the Welsh Government throughout the trade deal negotiations. It is, of course, a reserved matter, but we always listen carefully to what the Welsh Government have to say.
Alan Brown
Listen, but probably don’t do anything, Mr Speaker. Michel Barnier told our Select Committee that the EU will introduce full border checks for the UK from 1 January regardless of the UK’s position. Given that exports to the EU from Wales account for 60% of Welsh exports, this will cause huge disruption. Has the Minister secured any additional support for Welsh exporters, or is it Brexit at all costs and who cares about the Welsh exporters?
David T. C. Davies
Ensuring that Welsh exports— and, indeed, those from Scotland and all other parts of the United Kingdom—are able to be traded freely across the world, including with our former partners in the European Union, is a top priority for the Government. Of course, the hon. Gentleman appears to be asking for some sort of extension to the current deal that we have. He had the opportunity to do that on three occasions last year. I voted on every occasion for a deal that would have given a permanent extension; his party voted against it.
Marion Fellows [V]
A recent survey by the Office for National Statistics has found that 46% of Welsh businesses have less than six months in cash reserves—the highest percentage among the UK nations. Without additional support, the looming threat of no deal in less than six months could be the final blow for many businesses. How will the Secretary of State explain to businesses that his Government actively decided to build additional barriers by ruling out an extension when they were already struggling?
David T. C. Davies
I have to remind the hon. Lady once again that SNP Members had the opportunity to vote for the whole of the United Kingdom to remain in a semi-permanent customs union until a deal had been struck. They decided to vote against it, taking a gamble that they could destroy Brexit completely. They lost the gamble, and it is far too late now for them to ask for their stake back. We are leaving the European Union at the end of this year, as we promised to do in our manifesto.
Ruth Jones (Newport West) (Lab)
Over the years, the Erasmus scheme has benefited many young people in Newport West. The Welsh Labour Government have repeatedly requested that Wales should be able to participate in programmes such as Erasmus, even if the Conservatives in England stop England doing so. Can the Minister confirm whether this important request from a devolved Government has been relayed by the UK negotiators, and if not, why not?
David T. C. Davies
I have to declare a slight personal interest, because my wife was on an Erasmus scheme when I met her as a student some 20 or so years ago. Of course, at that time she was a citizen of a country that was not then in the European Union. So I can absolutely assure the hon. Lady that, whatever the future of Erasmus, I and my colleagues are determined to enable young people to be able to travel and study not just in the European Union, but outside the European Union.
Mr Mark Harper (Forest of Dean) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I have regular discussions with the Welsh Government on the effect of their lockdown restrictions on levels of employment in Wales. This Government are continuing to provide unprecedented support to businesses and employees in Wales, and as my right hon. Friend the Secretary of State for Wales has already said, now is the time to look to reopen Wales and keep people in their jobs.
Mr Harper
I am grateful for that answer. The Minister will know that the rules on pubs and restaurants operating in Wales are currently more restrictive than those in England. Can I urge him to say to his constituents that, at least for the time being, if they want to attend pubs and restaurants safely, they are very welcome in the Forest of Dean to safeguard jobs and livelihoods?
In passing, I understand the First Minister is a great fan of cheese, in which case I can recommend Stinking Bishop from Dymock in my constituency, which Claudia Winkleman no less has christened the King of Cheese.
David T. C. Davies
My right hon. Friend and I agree on many things, but I might beg to differ over whether tourists should come to the Forest of Dean or to Wales. I want them to be welcomed in Wales, and I look forward to the Welsh Government reopening the tourism industry in Wales as quickly as possible to save the 160,000 jobs that depend on it.
Feryal Clark (Enfield North) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
My right hon. Friend the Secretary of State has regular discussions with my right hon. Friend the Secretary of State for Business, Energy and Industrial Strategy on support for Welsh businesses. The hon. Lady will no doubt be aware that we have put forward a £350 billion scheme to support businesses and jobs across the United Kingdom, and much of that will go to Wales.
Feryal Clark
Will the Minister join me in welcoming the Welsh Government’s economic contract, which means that any business that receives financial support must demonstrate its commitment to growth, fair work, employee health and skills, and reducing its carbon footprint?
David T. C. Davies
I hope the hon. Lady and everyone in this House will join me in congratulating the United Kingdom Government on bringing forward a furlough scheme that has protected 300,000 jobs in Wales and a self-employment scheme that has protected 100,000 jobs. In addition, we have had bounce back loans, the coronavirus business interruption loan scheme and the coronavirus large business interruption loan scheme. Last week, we protected another 800 jobs—
Mr Speaker
Come on, Minister. You have got to help me get through the questions.
Kevin Brennan (Cardiff West) (Lab)
I welcome some of the wartime-socialism policies of this Government, based on Gordon Brown’s rescue packages under the last Labour Government, which were then cruelly undermined by the Tory Government who followed. But there is room for more fiscal measures, including perhaps looking at VAT on events as a way of trying to stimulate that industry. When the Chancellor sits down next to him, will the Minister whisper in his ear and tell him to do that?
David T. C. Davies
I am happy to accept the hon. Gentleman’s support for Conservative party policies, and if he can just restrain himself for another half hour or so, he might well discover that there is yet more good news for businesses and individuals in Wales. Diolch yn fawr.
Beth Winter (Cynon Valley) (Lab)
Oral Answers to Questions
David T C Davies Excerpts(3 years, 10 months ago)
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Mrs Sheryll Murray (South East Cornwall) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
We have regular discussions with Minsters in the Department for Transport across a wide range of issues, including connectivity within Wales and cross-border, such as our support for the Pant-Llanymynech bypass and the restoration of the Barmouth viaduct, and obviously we have offered the funding for an M4 relief road. I very much hope that the Welsh Government will choose to prioritise these schemes.
Mrs Murray
I welcome that answer, but I have had lots of correspondence from constituents concerned about people travelling to second and holiday homes. What is hon. Friend’s assessment of what can be done about this in Wales?
David T. C. Davies
My hon. Friend raises an important point. The leisure and tourism industry has been hugely affected by covid-19, but now is not the time for people to travel to Wales for a holiday or to a second home. Of course, when this crisis is over, we want to roll out the red and green carpet for visitors from throughout the United Kingdom to come and enjoy everything that Wales has to offer. I look forward to welcoming my hon. Friend.
Lilian Greenwood (Nottingham South) (Lab)
Alison Thewliss (Glasgow Central) (SNP)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
We have worked hand in hand with the devolved Administrations since the start of the outbreak, including through the Cobra ministerial committees and the ministerial implementation groups. We have noted 112 engagements in total since 23 March and the number continues to rise.
David Linden
I want to associate myself with the point made by the right hon. Member for Preseli Pembrokeshire (Stephen Crabb) because there is a danger that the wind-down of the furlough scheme will have an impact on the hospitality and tourism sector in Wales. Given that that is a policy that will be directed from London, does it not make the case for the devolution of fiscal powers, so that the Welsh Government can continue to support businesses for so long as is necessary?
David T. C. Davies
The UK Government have already made it very clear that they are supporting Welsh businesses. We have had the coronavirus business interruption loan scheme, the large business scheme, the furlough scheme, the self-employed scheme and there are other schemes as well. We have shown, at all times, the flexibility and the commitment to support industry, including the tourism industry, and I welcome the interactions that I have had with members of the Scottish Government, as well as with the Welsh Government.
Alison Thewliss
From the outset of this pandemic, the UK Government said that they would take a four-nation approach, which surely requires transparency over how decisions are made. But two unilateral decisions have been made in the past week without consulting or forewarning the Welsh Government: first on shielding advice; and secondly, on university numbers, which affects Glasgow Central, as it does Wales. So how can the UK Government claim to be respecting that four-nation approach? Is it not less hand in hand than thumbing a nose?
David T. C. Davies
I am reliably informed that, in actual fact, there has been a great deal of consultation with the Welsh Government on university numbers and, of course, shielding is a devolved matter and the hon. Lady surely would not expect us to trample all over the devolution settlement. But it is important to say that the people of the United Kingdom—Wales, Scotland, Northern Ireland and England—expect politicians to put aside political grandstanding at the time of this crisis and work together, and the UK Government are committed to doing that.
Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
Office for National Statistics figures show that the number of people claiming jobseeker’s allowance and universal credit in Dwyfor Meirionnydd has increased by 124% since the start of lockdown. This is the biggest increase in any Welsh constituency. A pattern is appearing across Wales and the UK, with regions heavily dependent on tourism and hospitality seeing a desperate increase in unemployment. We will see a corresponding increase in rural poverty if these businesses are left defenceless and facing a three-winter scenario. Will the Minister commit today to working with the Welsh Government to create a tailored long-term package to guarantee the long-term future of the Welsh tourism and hospitality sector?
David T. C. Davies
I thank the right hon. Lady for the question. It is quite obvious that the lockdown will have a huge impact on our economy and it will increase unemployment figures. That is why the UK Government are committed to coming out of lockdown as quickly as it is safe to do so, and I hope that the Welsh Government and members of Plaid Cymru will also support that. I said earlier on that we look forward to rolling out a red and green carpet for visitors from across the United Kingdom, and we want to make absolutely certain that we do not see signs going up in parts of rural Wales saying, “English people are not welcome here”. We welcome tourists from all parts of the United Kingdom and beyond to see what Wales has to offer. I hope the right hon. Lady will talk to members of local authorities across north Wales to emphasise that message.
Liz Saville Roberts
I think some more specific support would have been more useful than political points. The Minister says that both Governments will work together, but we know that this week’s student number controls announcement in response to the covid-19 pandemic was brought out without any consultation whatsoever with the Welsh Government. Given his role in the Government and his role representing Wales, what is he doing to protect the interests of the Welsh higher education sector from such potentially damaging effects and decisions made by his Government?
David T. C. Davies
I discussed this very issue with my officials this morning. I am assured that there was consultation between the Wales and the UK Government and that this is a UK-wide scheme that is being put in place to protect universities and to stop people poaching students from each other across the United Kingdom. I can only say once again that the UK Government are completely committed to consultation with Welsh Government. We have made it clear that Welsh Government Ministers are welcome at Cobra meetings and the ministerial implementation groups, and we have actually asked if we could attend Welsh Government meetings in the same way; thus far we have not had a response. If the right hon. Lady can put pressure on her friends in the Assembly to allow UK Welsh Government Ministers to attend Welsh Government meetings, we would be happy to do so.
Fay Jones (Brecon and Radnorshire) (Con)
The First Minister and members of the Welsh Government have been closely involved in all aspects of the UK Government’s coronavirus response, but despite this the First Minister has been continually critical of the UK Government. Can my hon. Friend put these criticisms to bed and outline just how engaged the UK Government have been with the Welsh Government?
David T. C. Davies
As I have already mentioned, we have had 130 meetings at which Welsh Government Ministers have been present, and we very much hope that the Welsh Government will take a similar view of the importance of having UK Government representation at their meetings. We look forward to invitations coming to me and my right hon. Friend the Secretary of State for Wales from the Welsh Government shortly.
Craig Williams (Montgomeryshire) (Con)
I thank the Secretary of State and the Minister for their mature approach to the Welsh Government and for engaging on so many levels. My hon. Friend was right to outline tourism as important to Wales. As we come out of the lockdown, the language and the relationship between the two Governments working together is key for my constituents and the tourist industry. Will he meet me and push the Welsh Government to work together on coming out of lockdown?
David T. C. Davies
I would be delighted to meet my hon. Friend to talk about how we can support tourism after the crisis is over. We will be meeting with many other representatives of industry groups, including the automotive, defence and aerospace sectors, to discuss how we can support them as well.
Simon Baynes (Clwyd South) (Con)
Transport is an important area of intergovernmental relations between the Welsh and Westminster Governments. Would the Minister agree that both Governments’ transport investment plans are of even greater importance as we come out of the crisis, and would he meet me to discuss the need in Clwyd South for projects such as step-free access at Ruabon station?
David T. C. Davies
I would be delighted to discuss step-free access at Ruabon station with my hon. Friend, and I hope that I will be able to give him news of much greater rail and road infrastructure projects that will be on offer to Wales once the crisis is over.
Robert Courts (Witney) (Con)
Christian Wakeford (Bury South) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
There is no doubt that covid will have an enormous and detrimental impact on the Welsh economy. The Government are doing everything they can to support business and individuals through the pandemic and to ensure that the economy recovers as quickly as possible. I am confident that our policies are the right ones to defeat this virus and to save jobs in Wales.
Christian Wakeford
I thank the Minister for that response. Although our efforts are rightly focused on tackling the coronavirus pandemic, we also need to continue building on our cross-border economic activity; that is now more important than ever. What initiatives has the Department put in place to strengthen the economic links between Wales and the north-west of England?
David T. C. Davies
It is heartening that the Welsh Government have adopted a number of UK-wide programmes, such as the UK-wide coronavirus testing portal. A UK-wide, Union approach is key as we move to the next phase, and it is disappointing that sometimes the Welsh Government have taken a little time to come on board with UK-wide schemes. On testing, England has tested around two and a half times per head more people than Wales. I look forward to closer co-operation in future.
Ruth Jones (Newport West) (Lab)
I am thinking in particular, as we move into the next phase of the covid-19 crisis, about the steel industry, especially in south Wales. Of course we know how vital it is for jobs and livelihoods across the UK, but especially in Newport West, in places such as Island Steel. What discussions has the Secretary of State had with his Cabinet colleagues about the steps that the UK Government plan to take to protect the UK steel industry?
David T. C. Davies
The hon. Lady makes a very important point; the steel industry is vital to the UK and to Wales, and the Secretary of State and I have had discussions with the sector. We have, as she is aware, already put in place a range of schemes, which companies such as Tata and Celsa are taking advantage of—the coronavirus large business interruption loan scheme, the VAT deferral, the covid corporate financing facility and so on—but we will be very happy to have further discussions about specific proposals that could help that industry.
Virginia Crosbie (Ynys Môn) (Con)
This week is National Volunteer Week. Will the Secretary of State join me in thanking the hidden heroes in my constituency of Ynys Môn and all across Wales—five-year-old Alfie Pritchard making rainbows, Stayce Wheeler sewing? Can we please thank those people, who are working so hard to protect the vulnerable at this exceptional time?
David T. C. Davies
I absolutely support the hidden heroes—and the not-so-hidden heroes. I have been delighted to take part in the clapping every Thursday for the NHS and for all members of the emergency services.
Alison McGovern (Wirral South) (Lab)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I have had regular discussions with businesses from north Wales, including a recent webinar with the Under-Secretary of State for Business, Energy and Industrial Strategy, my hon. Friend the Member for Stratford-on-Avon (Nadhim Zahawi), and the Welsh Government Minister responsible for the economy and transport. Earlier this week I had a wide-ranging and useful meeting with the North Wales Economic Ambition Board.
Alison McGovern
I thank the Minister for his reply. Obviously, what happens in north Wales matters to people in the Wirral. The Welsh Government take a social partnership approach, involving employers and trade unions in the situation that we face. So in all those meetings that the Minister has just described, can he tell me—does he take that same social partnership approach?
David T. C. Davies
I am very pleased to say that I do, and it may surprise the hon. Lady—I was cut short earlier—that one of the very useful meetings that I had was with the trade union representatives from across Wales, and I was delighted with their very constructive approach. They are as keen as we are to see Welsh businesses up and running as quickly as possible.
Tonia Antoniazzi (Gower) (Lab)
Welsh Affairs
David T C Davies Excerpts(4 years, 2 months ago)
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The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I thank all Members for their contribution to the debate. I will do my utmost to try to address as many of those contributions as possible.
I thank my friend and constituency neighbour the hon. Member for Torfaen (Nick Thomas-Symonds) for his comments. We may disagree on rather a lot, but on the issue of revolving doors in the Wales Office I stand with him 100%. Perhaps at another time we will discuss some of the other issues.
A third member of the Wales Office team has just been appointed: my hon. Friend the Member for Wrexham (Sarah Atherton). She has in common with the other two members of the team the fact that she, too, has worn the uniform of the British Army, although I believe for rather longer than either I or the Secretary of State did, and in a full-time capacity. I thank her for her help.
As Minister, I look forward to working closely not only with the Secretary of State but with all Members of Parliament from all parties and, of course, Members of the Welsh Assembly from all parties.
The hon. Member for Swansea East (Carolyn Harris) made a powerful contribution, as she always does, and channelled her inner Bonnie Tyler. She made a very good point: she achieved a change in the law, not just in Wales but in the rest of the United Kingdom as well, because people were willing to listen to what she had to say, and she was willing to work with members of other parties. That is something we must continue to do.
I thank my right hon. Friend the Member for Preseli Pembrokeshire (Stephen Crabb), who will take over as Chair of the Welsh Affairs Committee, for his comments. I am sure that he will do an outstanding job and continue the tradition of ensuring that members of that Committee are willing to travel the length and breadth of Wales to find out anything that may be of importance to that Committee’s inquiries.
Let me turn to the flooding that has devastated Wales. We heard about the issues from my hon. Friend the Member for Montgomeryshire (Craig Williams) and the hon. Members for Caerphilly (Wayne David), for Pontypridd (Alex Davies-Jones), for Aberavon (Stephen Kinnock), for Cynon Valley (Beth Winter) and for Newport East (Jessica Morden). I echo the thanks that all Members gave to the emergency services—to the police, the fire service and the rescue services, including the Royal National Lifeboat Institution, the Severn Area Rescue Association and others.
Various Members also mentioned perhaps forgotten heroes. Like a few other speakers, I pay tribute to local authority workers. I was privileged to be able to thank those who helped out recently in Monmouthshire at a depot, where they had worked 24 hours a day to fill thousands upon thousands of sandbags and get them out. I have to say that when I got a complaint from one constituent that somebody’s bin had not been put back in the right place in the garden, I had to restrain myself from sending a rather strong message, given what workers in Monmouthshire and across Wales had been responsible for.
I also pay tribute to other forgotten heroes: the workers of Dŵr Cymru—Welsh Water. The water treatment centre in Monmouth was inundated over that terrible weekend. As soon as it was safe to do so, Welsh Water went in there and took out all the pumps, dried them out, replaced them, and put in more electrical fittings. Again, they were working 24 hours a day, although in 12-hour shifts. At the same time, Monmouth and its surrounding areas faced running out of water within 12 hours, so 40 tankers were sent in to make sure that water was still pumped into homes—ironically, it came from England—and there was bottled water ready. The chief executive of Welsh Water, Peter Perry, did an absolutely outstanding job. He was on the phone to me, my right hon. Friend the Secretary of State and others at all hours of the day and night. He made himself available, and I absolutely pay absolute tribute to him and to Welsh Water—
David T. C. Davies
Indeed, and I will not query that decision at the moment. I remember that taking place 20 years ago in the Welsh Assembly, and if Members are asking me to praise a nationalised, mutual industry, I am very happy to do it in the case of Dŵr Cymru today. I am a pragmatist.
My right hon. Friend the Secretary of State has obviously been meeting the various people involved, and we will continue to do that, but I should gently point out that the leader of Monmouthshire County Council made it clear to me that he did not want politicians going into the flooded areas during the emergency.
Kevin Brennan
The Minister makes the point that the Prime Minister would have got in the way if he had turned up; is that an implicit criticism of Prince Charles for doing exactly that?
David T. C. Davies
Far be it from me to criticise the royal family; that would be a bit above my station. I was simply saying that the leader of Monmouthshire Council made it clear to me that he did not want me or anyone else going into the flooded area while the floodwaters were still there.
Let me move on to other matters. The Secretary of State for Wales and I have been thinking very carefully about the importance of ensuring that when Wales leaves the European Union, we continue working with the Welsh Government, the local authorities and businesses, so that Wales maintains its position at the heart of a strengthened United Kingdom. We are looking forward to negotiating the cross-border Welsh Marches growth deal, and to developing schemes for improving cross-border infrastructure.
My right hon. Friend the Member for Clwyd West (Mr Jones) spoke about the importance of good broadband, and compared Pandy Tudur rather unfavourably with the Pitcairn Islands. Some £200 million has been promised by the UK Government to ensure that areas across the United Kingdom that are not properly connected become so, and we recognise the importance of that. Rail connectivity was mentioned by the hon. Member for Swansea West (Geraint Davies). Again, I absolutely recognise the general point that he made, but I will have to get back to him on the specific point.
David T. C. Davies
Yes, I will get back to the hon. Gentleman on that point. On the general issue of rail services, as he will know, we are spending £1.4 billion on rail infrastructure over the next control period. We could do even better for connectivity if we could persuade colleagues in the Welsh Government to support the M4 relief road, and to accept the borrowing that is being offered to them to build that much-needed road.
I congratulate the right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts), my hon. Friend the Member for Delyn (Rob Roberts) and the hon. Member for Cynon Valley, who all had in common an attempt to see who could use the most Welsh in the Chamber. Dydw i ddim yn siwr pwy sydd wedi ennill y wobr. I will not push my luck. I was on the Welsh Affairs Committee when we changed the rules to allow Welsh to be used at all times. It was right that we should do that. We now allow Welsh to be used, of course, in the Welsh Grand Committee, and it is quite right that we should do that as well. There is more to be done in the Chamber and around the House of Commons. I would be perfectly amenable to supporting further changes and reforms to allow Welsh to be used even more widely in the House.
Wayne David
Can the hon. Gentleman tell us when the next Welsh Grand Committee will be held?
David T. C. Davies
I am told by the Secretary of State that I cannot at the moment, but I am sure that it will be coming soon.
I suspect that I may have left out some hon. Members. If I did, I apologise. I say to the hon. Member for Gordon (Richard Thomson) that like me, he remembered the referendum, but I was on the opposing side at the time. There may be those, as the right hon. Member for Dwyfor Meirionnydd said, who now oppose devolution in Wales, but I am certainly not one of them. I recognise that the people of Wales have spoken not once, but twice on this, and they have made their views very clear. We have a Welsh Assembly, and it has the support of the people of Wales. It would be utterly wrong for anyone, in my opinion, to try to undermine the Welsh Assembly. That is not something that I or the Secretary of State for Wales will do. I am pleased to put on record our support for the principle of having a Welsh Assembly, and of course we will do what we can to ensure that the Government of the Welsh Assembly change.
As we leave the European Union, we stand on the brink of a new chapter—a potentially glorious chapter—in the history of Wales. As we regain control in the United Kingdom of our laws, our borders and our taxpayers’ money, there will be enormous opportunities to ensure that Wales prospers and develops. I very much look forward to being a part of that. I wish everyone a very happy Dydd Gŵyl Dewi Sant. Diolch yn fawr iawn.
Mr Deputy Speaker (Mr Nigel Evans)
Dydd Gŵyl Dewi hapus.
Question put and agreed to.
Resolved,
That this House has considered Welsh affairs.
Oral Answers to Questions
David T C Davies Excerpts(4 years, 2 months ago)
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Andrew Rosindell (Romford) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
Far from lowering standards, the UK already exceeds the EU minimum requirements in several areas, including on workers’ rights and environmental targets. We will continue in that vein, with an independent trade policy, and in so doing, unleash the enormous potential of the UK and Welsh economies.
Stuart C. McDonald
Over 60% of Welsh exports are destined for the EU and dominated by key industries vulnerable to divergence related to trade barriers—agricultural machinery and transport equipment, to name but two. So instead of actively trying to circumvent the Prime Minister’s own withdrawal agreement, why are not the Government pursuing the regulatory alignment that is crucial for Welsh businesses and exporters?
David T. C. Davies
We of course voted to leave the European Union, and that meant voting to leave the customs union and voting to leave the single market. I am quite surprised by the hon. Gentleman’s question, because I should have thought that he would be the first to agree with me that a nation that leaves a union will want full control of its regulatory and trade policy. That is a matter of principle, which I would have expected he and his colleagues to be in full agreement with.
Andrew Rosindell
I share the Minister’s enthusiasm that we can now exceed EU regulations—that is, have better regulations than those set by the EU. Does he agree, though, that the Government’s agenda is proof of our commitment to maintaining the existing high standards that are independent of EU law, and that it is not only businesses that could benefit from that regulatory divergence?
David T. C. Davies
I fully agree with my hon. Friend. Outside the European Union, we are looking forward to exercising the freedom to set some of the highest standards in the world on animal welfare, health and safety and workers’ rights, thus making Britain one of the best places in the world in which to live, work and invest.
Nick Thomas-Symonds (Torfaen) (Lab)
Tomorrow, the Government will publish their position on the EU trade negotiations. That is of particular importance to the automotive sector in Wales. Just to give the Minister an example, if there were to be 5% tariffs on import/exports and 2.5% on components, it could add £1,000 to the costs of production on a car and put jobs at risk. So can he confirm that the Government are seeking tariff-free access for the automotive sector to the single market and that, if that is not obtained, the Government will have a contingency plan in place to support jobs in that sector in Wales?
David T. C. Davies
The hon. Gentleman is right to raise the importance of the automotive sector to south Wales and he is correct in saying that the Government are seeking a full free trade arrangement that will allow full access to the European market. If for any reason the EU does not realise that that is in its interests—it exports more cars and automotive parts to us than we do to the EU—I cannot absolutely say what will happen, but it will be at the forefront of my mind and the minds of all my colleagues that we would want to support the automotive industry in south Wales.
Mr Ranil Jayawardena (North East Hampshire) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
Earlier this week, we announced 2,000 extra weekday seats on CrossCountry trains between Cardiff and the midlands. We have already reduced journey times by 14 minutes on the Great Western main line between Swansea and London, and connectivity to north Wales will benefit from the introduction of HS2, which will shorten journey times and drive economic growth throughout the region.
Mr Jayawardena
I thank my hon. Friend for that answer. As well as rail links—not just the ones he mentioned, but the offshoots from the Great Western line to Guildford and Gatwick—does he agree that to unleash Wales’ potential it will be critical to improve links between the M3 and M4, as Transport for the South East has recently recommended?
David T. C. Davies
My hon. Friend is absolutely right to draw attention to the importance of the road network, particularly the M4, to increasing economic productivity in Wales. I hope that Labour Members are aware of the importance of the M4 and will encourage the Welsh Labour Government to accept the borrowing made available to them to build the M4 relief road in south Wales.
Nick Smith (Blaenau Gwent) (Lab)
The western rail link to Heathrow would really help people travelling from Heathrow to south Wales and could get passengers from Reading to Heathrow in less than 30 minutes, but progress has been badly delayed. When will the construction work on the line properly begin?
David T. C. Davies
I am unable to say when exactly it will begin, but I can assure the hon. Member that it is our policy to make sure it begins. I fully recognise the importance of the links between Heathrow and Reading and the importance of that for the rail network across Wales, which will see £1.5 billion spent on it during control period 6. Overall, he will welcome the fact that we are making the biggest investment in our rail infrastructure in the country since Victorian times.
Mr Peter Bone (Wellingborough) (Con)
Robin Millar (Aberconwy) (Con)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
I have already held constructive discussions with Welsh Government Ministers on various issues, including cities and regional growth deals, which have the potential to create jobs and economic growth in Wales and strengthen cross-border working to benefit both sides of the border.
Robin Millar
Many residents of Aberconwy, and, indeed, north Wales as a whole, rely on good road and rail links along the north Wales coast. Does the Minister recognise the importance of that east-west axis and the connections that it offers with England so that people can have contact with families, public services, work and, dare I say, even the Crewe hub as part of HS2?
David T. C. Davies
We certainly recognise the importance of those east-west links in both north and south Wales, as will be clear from the improvements in the rail and road infrastructure and the growth deals. I recently had a chance to see cross-border working in action when Dŵr Cymru was taking water in from English counties in order to ensure that fresh water continued to run in Monmouth after the floods, and I pay tribute to it for that, but I can assure my hon. Friend that we will recognise the importance and benefits of cross-border working because we are a Unionist party.
Chris Evans (Islwyn) (Lab/Co-op)
As the Secretary of State will know, Henry VII landed next door to his constituency, and he grew up in in Raglan Castle, in the Minister’s constituency. He then gained the crown at Bosworth Field, which brought about the Tudor dynasty. Has the Minister considered promoting the history of our modern royal family by creating a Henry VII trail?
David T. C. Davies
That is an excellent and interesting idea. I know that the hon. Gentleman is an expert on sporting history and the contribution that boxing has made in Wales, but I had not realised that he was also interested in Tudor history. I look forward to discussing that with him outside the Chamber.
Craig Williams (Montgomeryshire) (Con)
My hon. Friend said that he recognised the east-west links between north and south Wales and England, but links with mid-Wales are also important. The Cambrian line—the Shrewsbury-to-Aberystwyth line—needs a signalling upgrade. Will he convene a meeting with me and other interested parties?
David T. C. Davies
It is always a pleasure to meet my hon. Friend, who has done a fantastic job in lobbying for better east-west links in his own constituency, and I shall look forward with interest to hearing what he has to say. No doubt those in the Treasury and the Department for Transport will also take a keen in interest in the subject.
Chris Bryant (Rhondda) (Lab)
Wales took the brunt of the storm last week, and hundreds of people in my constituency lost absolutely everything, because they have had to make a choice between buying food and paying the insurance bill, and they are completely uninsured. Rhondda Cynon Taff Council alone—just one local authority—is going to have a bill of £30 million. What is the point of a United Kingdom if the United Kingdom will not stand by Wales financially when we really need it?
David T. C. Davies
As my right hon. Friend the Secretary of State has already said, he has had meetings with the First Minister. At the moment, there is no way of knowing exactly what the cost of those floods will be—I know that the chief executive of Monmouthshire was unable to tell me—except that it will run into millions of pounds. We have already moved to ensure that people who receive compensation will not see any impact on their benefits. We absolutely stand with Wales, but as the hon. Gentleman will appreciate, it would be impossible for us to go marching into Wales to tell the Welsh Government what to do in what is a devolved area. We stand ready to support the Welsh Government in any way, but they need to come forward with a set of costs and explain exactly how that money will be spent.
Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)
The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)
The Secretary of State for Wales is due to meet the Secretary for State for Transport in the coming weeks, when they will discuss how we can build on the new superfast rail service between south Wales and London and the improved connectivity that HS2 will bring to north Wales.
Stephen Doughty
Of course, I am talking about south Wales, and I am sure that the Minister will welcome the support that the Welsh Labour Government are giving to the St Mellons parkway project to the east of Cardiff. Will he ensure, in his discussions with the Secretary of State for Transport, that as many GWR cross-border services as possible can stop there, as well as services from competitors?
David T. C. Davies
The hon. Gentleman makes an important point, and I would be happy to discuss it with him. I can absolutely assure him of our commitment to rail infrastructure in south Wales as well as in north Wales, which is why we have spent an extra £1.5 billion during this control period and laid on thousands of extra seats between London and south Wales.
Hywel Williams (Arfon) (PC)