Oral Answers to Questions

Elfyn Llwyd Excerpts

Wednesday 12th October 2011 Commons Chamber

[Mr Peter Bone (Wellingborough) (Con)]

8. What progress has been made on establishing a commission on devolution and funding in Wales; and if she will make a statement.

[Mr Elfyn Llwyd (Dwyfor Meirionnydd) (PC)]

10. What recent representations she has received on the proposed Calman-style commission for Wales; and if she will make a statement.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

Yesterday I announced in a written ministerial statement to the House the terms of reference and membership of the commission on devolution in Wales, the Silk commission. The commission will review the present financial and constitutional arrangements in Wales. It will look first at the financial accountability of the National Assembly for Wales and the Welsh Government and will aim to report in the autumn of next year. Following that, the commission will examine the current constitutional arrangements and will report in 2013.

[Mrs Gillan]

Mrs Bone, I am sure, is absolutely right when she says that the economy of this country was left in a complete mess by that lot over there on the Opposition Benches—but my hon. Friend has asked a fairly complex question about the Barnett formula. The Barnett formula is not being examined by the Silk commission; it is the subject of bilateral communications involving the Treasury and the devolved Administration Governments, because it is a matter that concerns the whole of the UK. The Silk commission is focused on matters affecting Wales directly.

[Mr Llwyd]

I very much welcome yesterday’s announcement on the commission on devolution in Wales. That was a commitment of the coalition Government in Wales. Why are the Holtham recommendations specifically not being considered by the commission? If all those recommendations are going to be dismissed there will be difficulty in ensuring cross-party support, which is very important for the commission.

[Mrs Gillan]

I thank the right hon. Gentleman for giving me the opportunity to correct him, because I think he has misunderstood the terms of reference, which were agreed across all four parties. I am delighted to see his party taking part in the work of the Silk commission. What the Silk commission will be looking at is the second part of the Holtham report, which I know the First Minister is not keen on because it is about taxation powers. What is excluded is merely the Barnett formula and something called the “Holtham floor”, which is part of the subject of the bilateral communications. May I reassure the right hon. Gentleman that I want to move forward, if I can, on the basis of consensus? I am delighted that his party has worked with me on the commission so far.

[Mr Llwyd]

As the right hon. Lady says that the report will be produced in 2013, will she ensure that there will be a provisional legislative slot if the commission says that some legislative changes are necessary within this Parliament?

[Mrs Gillan]

The right hon. Gentleman has enough experience of legislation in this House to know that that is not something I can commit to, but let me tell him that the report will come in two parts. The first report will, we hope, come at the end of 2012, and the later report on the shape of powers between the UK Government and the Welsh Government will come towards the end of 2013. I will bear in mind what he has said.