Ford in Bridgend

Gerald Jones Excerpts

Monday 10th June 2019 Commons Chamber

[Alun Cairns]

The way in which the hon. Gentleman is pursuing the question suggests that this is a debate about Brexit, but Ford has said that it is not and is acting in a way that demonstrates that it is not. It is not about judging Ford’s statements; it is about judging its proposals and the actions it plans to take arising from this issue. He is right in that the manufacturing sector, in particular, wishes to seek some certainty, and that is what we are seeking to bring about, but by voting against the deal on three separate occasions, the uncertainty over the economy has obviously been created.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

Coming on the back of the similar announcement by Honda, this announcement by Ford will have a devastating impact on its workers and on the supply chain right across south Wales, including in my constituency. We absolutely need a co-ordinated response with the Welsh Government, local government and others, but may I ask the Secretary of State what immediate priority he will give in the coming days to ensuring that those in the company—the workers and the trade unions—are afforded all the support they need?

[Alun Cairns]

I am grateful to the hon. Gentleman for raising an important question, which absolutely will affect the employees in his constituency who work at the site. I have mentioned that the taskforce being established will have an industry leader, and Ken Skates and I will be the joint vice-chairs of that group. We will, of course, work closely with the UK Government Departments, the Welsh Government and the unions. I should also pay the greatest respect to the Welsh Automotive Forum for the work it has done in helping us to map the supply chains, many of which will be across not only Wales, but the rest of the UK. Over the coming days, we expect to be able to announce the chair of the taskforce. We have agreed that we want the taskforce to meet as quickly as possible and frequently, certainly in the early stages, and that we want to set up a number of working groups to tackle the individual issues that the taskforce will highlight, be it people, place or the potential for investment on that site.

Shared Prosperity Fund: Wales

Gerald Jones Excerpts

Wednesday 14th November 2018 Westminster Hall

[Ian C. Lucas]

Absolutely. Certain areas of Wales have benefited much more than others. East Wales received £406 million in investment between 2014 and 2020—a lot less than west Wales and the valleys. Investment is determined by rules set at EU level that govern the distribution of state aid and are intended to compensate for regional disparities.

Since the 1980s, one of the fundamental drivers of the UK national economy has been the inexorable rise of south-east England. The huge investment that it has received at the expense of the rest of the country has had a long-term negative effect on many of the areas that we represent. EU structural funds have gone some way towards compensating for its dominance, but have failed to check it altogether or to bring about a fairer long-term distribution of wealth and investment across the UK. If we are leaving the EU, we need that move to achieve a benefit for our constituents in the future. It is imperative that a system is put in place to benefit the regions of the UK that have been left behind by economic development.

It is unfortunate that notwithstanding the importance of the issue, the Government have given very little indication of how the UK regional prosperity fund will operate. I do not believe that they have even given a commitment that the amount of money distributed to Wales will not fall. I have asked the Secretary of State for that assurance and for more detail on what the fund’s rules will be, but I have had very little information from the Government. It is high time for it, because we are at a hugely important moment and lots of businesses and organisations in all our constituencies are interested in exactly what will happen. Will the Government please answer some of our questions?

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

Does my hon. Friend share my concern that many regeneration projects in Merthyr Tydfil and Rhymney and across Wales simply would not have happened without EU structural funds? That makes it all the more important that we get some certainty about the prosperity fund. Wales needs to play a part in how the fund is managed.

[Ian C. Lucas]

Certainty is something that all our constituents and all the businesses in our constituencies crave, but it has been sadly lacking in the period since 2016, so I would like the Minister to provide some in his début today. First, can he assure us that Wales will not receive less in funding under the new UK regional prosperity fund than it does under EU structural funds? Secondly, and importantly, will the rules of the UK prosperity fund be set at UK level, with the same rules applying across the devolved nations and regions? Will there be any difference between rules in Scotland, in the regions of England, in Wales and in Northern Ireland, or will the rules apply in the same way as the current EU rules?

Oral Answers to Questions

Gerald Jones Excerpts

Wednesday 1st November 2017 Commons Chamber

[Emma Hardy (Kingston upon Hull West and Hessle) (Lab)]

3. What recent discussions he has had with the Chancellor of the Exchequer on infrastructure investment in Wales.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

6. What recent discussions he has had with the Chancellor of the Exchequer on infrastructure investment in Wales.

[The Parliamentary Under-Secretary of State for Wales (Guto Bebb)]

I hold regular discussions with Government Departments and the Welsh Government about infrastructure investment in Wales. We have invested £212 million in the new HMP Berwyn and committed more than £600 million to city deals in Cardiff and Swansea. Just last week, my right hon. Friend the Secretary of State was in Swansea to announce our £800,000 investment in important innovative infrastructure—the UK’s first energy-positive office, which is capable of generating more energy than it uses.

[Guto Bebb]

The hon. Lady raises an interesting point, but I regret to say that it probably shows that she does not really understand the relationship between the Wales Office and the Welsh Government. It is fair to say that infrastructure investment in Wales does depend on a partnership approach, which is why the growth deals secured for Swansea and Cardiff have been crucial examples of co-operation, and why I am working so closely with the Economy Minister to develop a north Wales growth deal.

[Gerald Jones]

Like many constituencies across Wales, Merthyr Tydfil and Rhymney has seen huge benefits from European structural funds, but there is great uncertainty about the future. Will the Minister assure the House that the level of financial benefits that we currently enjoy from structural funds will be replicated when we leave the European Union?

[Guto Bebb]

The hon. Gentleman makes a point about structural funds, but the reality is that structural funds in Wales did not make the difference that we anticipated. This Government are committed to a shared prosperity fund for the entire United Kingdom. Communities such as Merthyr Tydfil want good long-term jobs—the type of jobs I saw when I visited General Dynamics, which is recruiting apprentices and creating quality jobs in Merthyr Tydfil. That is exactly what the south Wales economy needs.

Oral Answers to Questions

Gerald Jones Excerpts

Wednesday 8th March 2017 Commons Chamber

[Alun Cairns]

My hon. Friend is absolutely right to suggest that significant steps have been taken since 12 months ago when the crisis broke. Energy-intensive industry support has meant that £134 million has now been paid to the steel sector, and I have already mentioned the fact that 41 trade defence measures are in place. We have also introduced flexibility over EU emissions regulations. We are determined to ensure that everything will be done to make the steel industry sustainable over the longer term.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

There has been much discussion in the past week about the automotive industry, particularly about Ford in Bridgend and the acquisition of Vauxhall by PSA, which are of major importance in south Wales and north Wales respectively. The presence of a domestic steel industry is key to our automotive industry, so will the Minister tell us what discussions he has had with his Cabinet colleagues about the automotive and steel industries and what assurances he can give to both industries about the Government’s commitment to their sustainability?

Wales Bill

Gerald Jones Excerpts

Ping Pong: House of Commons
Tuesday 24th January 2017 Commons Chamber

[Guto Bebb]

It is important to highlight that the Bill is not devolving competition power; it is being reserved. Therefore, the Welsh Government—and this place, obviously—will have the ability to ensure that the views of electors in Wales on this important issue are taken into account.

Of course, the Silk report recognised that water and sewerage devolution is complex and that further work was needed to consider the practical implications of implementing the commission’s recommendations. Immediately after the St David’s day agreement, the Government set up the joint Governments’ programme board with the Welsh Government to look at these issues and to report on the likely effects implementing the recommendations would have on the efficient delivery of water and sewerage services, on consumers and on the water undertakers themselves.

After considering the conclusions of that work, the Government brought forward amendment 28, which provides for new schedule 7A to the 2006 Act, which is inserted by schedule 1 to this Bill, to be amended to devolve water and sewerage policy as it relates to Wales. While, on paper, this simplifies the devolution arrangements, it will involve the unpicking of a considerable number of provisions in primary and secondary legislation to align respective ministerial powers and duties with the England and Wales border.

Amendment 29 provides an order-making power limited to making changes to previously transferred functions and to functions directly conferred by primary legislation relating to water and sewerage, so that we will be able to make the various associated changes through secondary legislation once the Bill has been enacted.

The amendments in this group provide a significant package of water devolution to Wales. They deliver a stable, mature and effective devolution settlement by aligning powers over water and sewerage with the national border and replacing the Secretary of State’s intervention powers relating to water with an intergovernmental protocol. These new arrangements are in the best interests of water consumers on both sides of the border. I urge the House to accept these Lords amendments.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

The devolution of water and sewerage matters to the Welsh Government is welcome—and, if we are honest, somewhat overdue. The tragedy of Tryweryn will never be forgotten, but the amendments in this group should, I hope, be another step forward in ensuring that something like it will never happen again. More broadly, while some cross-border aspects of water regulation will remain, we are pleased that the Secretary of State has given up his ability to intervene on this issue. Like my hon. Friend the Member for Cardiff Central (Jo Stevens), I find myself in the somewhat strange place of thanking the Government for their movement on this issue, albeit after some prodding both here and in the other place.

However, also like my hon. Friend, I still believe that these amendments do not go far enough. While they correct some problems, there remain discrepancies. As my hon. Friend the Member for Torfaen (Nick Thomas-Symonds) said, there is the issue of Ofwat’s accountability to the Welsh Government. When Ofwat is discharging its functions in Wales, surely it ought to be accountable in some way to the National Assembly for Wales and Welsh Ministers. As it stands, Welsh Ministers regulate water and sewerage operators in Wales, but with the Secretary of State being able to exercise his function of giving a general direction to Ofwat without any legally mandated consultation with Welsh Ministers. To be clear, we would argue that only Welsh Ministers should be able to provide directions in connection with matters relating to water and sewerage operators in Wales, or where licensed activities are carried out using the supply system of water or sewerage operators in Wales. Does that not seem a very reasonable and straightforward request? Surely it is not a step beyond imagining for the Minister that the regulator for a sector should be mandated to consult and speak to the politicians dealing with the implementation of that sector.

As my hon. Friend the Member for Wrexham (Ian C. Lucas) may well detail, it is not sufficient to believe that regulation from London will always work in the interests of communities in Wales. I will let him expand on that point and the ramifications of these amendments for the campaign he is fighting in his community. I pay tribute to him for his work in raising the issue, and assure the House that we support him on it.

Echoing my hon. Friend the Member for Cardiff Central, despite the gaps in these amendments and the problems we have with them, we will not vote against them. However, I would like the Minister to provide a substantive response to the points I have raised, to give us an assurance that the issue of Ofwat and the Welsh Government could be looked at, perhaps through some mechanism outside the Bill, and to keep the House informed of his progress on that.

[Ian C. Lucas]

I, too, welcome this Bill. As a firm believer in the adage that there are no coincidences in politics, I would go so far as to say that its existence is having an impact before it hits the statute book, because just as these amendments were being proposed in the Lords, the news came to my constituency and that of my hon. Friend—my very good friend—the Member for Clwyd South (Susan Elan Jones) that our local water company, Dee Valley Water, was the subject of a takeover bid from Severn Trent Water. I suspect that the takeover bid is not unconnected to the existence of the clauses that will give more powers and a greater role to Wales, the Assembly for Wales and the Welsh Government. I suspect that, with the transfer of regulation and accountability from the UK Government to the Welsh Government, it will be much more difficult to advance the present policy course as the Severn Trent bid is being made.

Leaving the EU: Infrastructure in Wales

Gerald Jones Excerpts

Tuesday 17th January 2017 Westminster Hall

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Flello. I congratulate my hon. Friend the Member for Cardiff South and Penarth (Stephen Doughty) on securing this debate and on outlining a powerful case. He made the point that it is important that powers returning to the UK are devolved to Wales to help the Welsh Government to drive forward the regeneration of Wales. He also mentioned the current programme of EU funding, which involves some £3 billion in investment across Wales. In 2014 alone, the net benefit to Wales was £245 million, which demonstrates exactly how much benefit Wales gets from the European Union. He was right to point out that we heard vague commitments from the Prime Minister today, but nothing to give certainty on the regeneration infrastructure that Wales needs to continue. He was also right to point out that Wales did not vote for cuts to regeneration infrastructure projects. That is developing from the chaos unfolding before us.

Hon. Members have made significant points clarifying what risks our exit from the European Union will bring to infrastructure in their constituencies and across Wales. We heard from my hon. Friends the Members for Alyn and Deeside (Mark Tami), for Cardiff West (Kevin Brennan) and for Cardiff South and Penarth about Airbus, Ford, Celsa and many other firms that develop their products across Europe, and the major and problematic impact that a hard Brexit would have on those businesses and many others.

We heard from my hon. Friends the Members for Newport East (Jessica Morden), for Swansea East (Carolyn Harris) and for Blaenau Gwent (Nick Smith) about infrastructure projects such as the metro, electrification of the valley lines and the Swansea Bay tidal lagoon. My hon. Friend the Member for Newport West (Paul Flynn) outlined the unique issues facing Wales from our exit from the EU, and the need for a red, white and green project to develop policies that take account of our unique heritage. We also heard from my hon. Friend the Member for Ogmore (Chris Elmore), who discussed the impact that uncertainty will have on local government’s ability to deliver larger-scale projects. My hon. Friend the Member for Torfaen (Nick Thomas-Symonds) stated that, although he respects the result of the referendum, whether we are leave or remain, we need a clear vision. As he pointed out, that is sadly lacking in this Prime Minister, who seems fixated on internal factions within the Tory party.

My hon. Friend the Member for Bridgend (Mrs Moon) highlighted the impact that European funding has had on her constituency, including a total of £40 million within the Bridgend County Borough Council area since 2000 for educational and infrastructure projects. As in many constituencies across Wales, the strategic development sites have supported small and medium-sized enterprises. There have also been town centre enhancements, which again are common in lots of constituencies across south Wales. My hon. Friend the Member for Neath (Christina Rees) talked about the fact that Wales is affected by deindustrialisation and a lack of investment that dates back to the ’80s and ’90s. She said that Wales still has a significant need for structural funds and spoke about projects such as the integrated transport hubs, which again are regeneration projects that have happened in constituencies across south Wales.

In our last debate in this Chamber just before Christmas, I asked the Minister a number of questions, which unfortunately he did not answer. I say to him today that I approach this debate with a genuine desire to have a response from the Minister on the record. I expect him to tell me that he has already answered some of my questions, so, with the greatest of respect, I hope that he will have no problem repeating and clarifying that information and putting it on the record today.

I have no desire to use this debate for gamesmanship or to score cheap political points. The impact of the exit from the European Union on our constituencies and on Wales as a whole is far too important for that. But we need answers. Leaving the European Union will have a significant impact on the funding and development of infrastructure across Wales. That is in absolutely no doubt.

Wales has received more than £2 billion of capital investment in social housing, transport, energy, water and education through the European Investment Bank in the past decade. As my hon. Friend the Member for Cardiff South and Penarth outlined, between 2014 and 2020, £1.9 billion of European structural funds will have driven total investment of almost £3 billion across Wales.

The benefits of that European investment have been seen in major projects, such as the Cardiff University Brain Research Imaging Centre, the Menai Science Park, the Swansea University Bay Campus in the Neath-Port Talbot area, and the Deep Green marine energy technology. In my constituency, we have seen the dualling of the A465, the heads of the valleys road, which historically has had a poor safety record and links west Wales, across the top of the south Wales valleys, to the midlands, so it is a key route for business. We have also seen the investment in jobs created in our communities and various funding streams for social programmes to support the most marginalised and vulnerable in our society.

As those facts demonstrate and as we have heard from hon. Members today, Wales has done incredibly well from European funds and support. So there are now serious and vital questions that the Government need to answer about what will happen to infrastructure support for Wales post-2020 and about what will replace EU funding.

[Stephen Doughty]

My hon. Friend is making a strong speech and summarising many of the key challenges, specifically the challenges about infrastructure funding. However, does he share my worry that there is a wider challenge? In the Chancellor’s comments the other day, translated I believe from German, he said that

“we will have to change our model to regain competitiveness. And you can be sure we will do whatever we have to do.”

Does my hon. Friend worry that we may be moving away from a programme of investment to reduce inequality and to focus on jobs, to one of a race to the bottom on tax, regulation and all those issues, which would damage the prospects for Welsh workers and businesses?

[Gerald Jones]

I do indeed; that is a very real concern. My hon. Friend highlights some of the chaos in the Government’s thinking on this matter. I hope that we will hear more from the Government in the near future to end the uncertainty and to provide some clarity about exactly what they intend to do.

During the referendum, we were assured by leave campaigners, including a number of senior Tory Ministers, that the UK and Wales would not lose out as a result of our exiting the EU. It is now time for the Government to deliver on the assurances that were given. Businesses and investors need certainty about the infrastructure and environment that will support their long-term decisions, so it is vital that the Government now make it clear how they will offset the negative consequences of EU exit for infrastructure in Wales. I hope that the Minister can give some clarity on what funding streams he envisages will replace EU funding post-2020, and outline his Department’s assessment of how much funding there will be.

Furthermore, even before we reach 2020, we need clarity on the guarantee made by the Chancellor, which was mentioned by the Minister and the Secretary of State for Wales in the media. To be fair, the Chancellor has announced that the Treasury will guarantee all multi-year EU business funding agreed before our exit. However, the detail appears to be a little more complex. For what it is worth, the Treasury said that it will

“put in place arrangements for assessing whether to guarantee funding for specific structural and investment fund projects that might be signed after the [2016] Autumn Statement but while we remain a member of the EU. Further details will be provided ahead of the Autumn Statement.”

However, as my hon. Friend the Member for Neath commented, the specific assessment criteria mentioned in the Treasury’s statement were not provided ahead of the autumn statement and they have not been formally put on the record or disclosed in specific terms.

The Minister and the Secretary of State for Wales have repeated the claim that all projects before we leave the EU are secure, but can the Minister now say—purely for clarity and to have it on the record—what the assessment criteria will be to guarantee funding for specific projects that are signed between now and when we leave the EU? Can he also be clear exactly what will be used to assess that and which projects, if any, he expects not to pass that assessment?

Can the Minister also pledge today to guarantee loans made by the EIB to projects in Wales before we leave the EU? When my hon. Friend the Member for Cardiff Central (Jo Stevens), who is the shadow Secretary of State for Wales, raised that issue at the last Welsh questions, the Secretary of State for Wales said only:

“Our negotiations with the EIB will run in parallel with our negotiations with the European Commission. The hon. Lady has a responsibility to try to instil confidence in investment in Wales, not to undermine it.”—[Official Report, 30 November 2016; Vol. 617, c. 1505.]

To accuse the Opposition of undermining investor confidence in Wales simply by scrutinising the Government and asking them to reveal to Members, investors and the Welsh public what their plans are is, clearly, remarkable.

Consequently, in a spirit of openness and constructive dialogue on this most crucial of issues, will the Minister tell us whether the Government plan to guarantee loans made by the EIB to projects in Wales before we leave the EU? If not, what assessment has been made of the projects that will not be underwritten, the potential cost of that to the Welsh economy and what jobs may be at risk as a result?

Time is marching on and the longer the uncertainty goes on, the more detriment will be caused to projects, businesses and communities across Wales. I hope that the Minister will provide some answers this afternoon to allay the genuine and growing fears that we now hear almost daily. Will he also take this opportunity specifically to address the issue of the funding received from the European Territorial Cooperation programmes, which provide opportunities for regions in the EU to work together to address common social, economic and environmental challenges? Wales has benefited hugely from that. Examples of other such projects include the Ireland Wales programme, the Atlantic Area programme, the North West Europe programme, Interreg Europe, the European Spatial Planning Observation Network and Interact, which are worth billions of pounds to Wales. Will the Minister clarify what discussions the Government have had about whether the UK, outside the EU, would be eligible for any of those programmes? If it is not eligible and if Wales is no longer able to secure funding through those EU initiatives, what plans do the Government have to replace the funding?

Long-term infrastructure investment in Wales is vital for the future of our economy, jobs, investment and growth. The Government have a responsibility to ensure that we get the best possible deal from Brexit. It is not good enough just to say that we will get the best deal, whatever that means. Our constituents, businesses and investors need details of what funding will be available, what infrastructure projects will go ahead and what criteria other projects will have to meet before they can go ahead.

The Minister needs to get away from the rhetoric of our previous debates and earnestly give some answers today. I hope that he will take this opportunity to provide us with some answers. I hope that he appreciates how important these decisions and this debate is.

Exiting the EU: Businesses in Wales

Gerald Jones Excerpts

Wednesday 14th December 2016 Westminster Hall

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

It is a pleasure to serve under your chairmanship, Mr McCabe. I congratulate my hon. Friend the Member for Ogmore (Chris Elmore) on securing his first Westminster Hall debate on this important subject and on the powerful case he made. He was right to underline the huge uncertainty for businesses in Wales at the moment and the role that the Welsh Government have played in utilising EU funds to support jobs in Wales through initiatives such as Jobs Growth Wales, which, as he outlined, will lead to 8,955 new job opportunities. He also highlighted the work to support initiatives such as the south Wales metro, Horizon 2020 and the support the Welsh Government have given to universities.

We have heard from a number of hon. Members from across Wales, who have made clear the risks of our departure from the EU for businesses in their constituencies. It is really positive to see the number of constituencies represented by Opposition Members—my hon. Friends the Members for Ogmore, for Wrexham (Ian C. Lucas), for Swansea West (Geraint Davies), for Caerphilly (Wayne David), for Neath (Christina Rees), for Aberavon (Stephen Kinnock), for Alyn and Deeside (Mark Tami) and for Cardiff South and Penarth (Stephen Doughty), as well as my right hon. Friend the Member for Delyn (Mr Hanson) and the hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts). That is in complete contrast with the lack of Members on the Government Benches, which I hope is not an indication of their view on businesses in Wales.

It is important that we highlight the risk of the Government’s lack of certainty and clarity about their post-exit plans and the huge uncertainty that is causing businesses. As my hon. Friend the Member for Wrexham underlined, businesses and investors hate uncertainty, yet at the moment that is all we have from this Government. That reflects the views expressed in discussions that I have had with businesses in my constituency of Merthyr Tydfil and Rhymney.

My hon. Friend the Member for Caerphilly highlighted the view of Norgine in Hengoed in his constituency and its hope for a soft Brexit. That message is repeated by businesses across Wales.

My hon. Friend the Member for Alyn and Deeside highlighted the work that Airbus does, the various plants that it has across Europe and the need for flexibility to travel. When I met Airbus representatives some weeks ago, they talked about workers who may go to European plants for two hours, two days or even two weeks—it is very uncertain, so there is a need for flexibility.

My hon. Friends the Members for Swansea West and for Aberavon highlighted the role that universities play and particularly research and development, the risk to future funding and the uncertainty that that is causing at the moment. My hon. Friend the Member for Neath highlighted the absence of a plan for exiting the EU and the uncertainty that that is causing for business.

[Christina Rees]

Does my hon. Friend agree that once article 50 is triggered, all the MEPs will be involved in the negotiations because they will have to have a vote at the end of the negotiations to ratify the proposal before it goes to the European Council to be ratified, so it would be fair for all Members of this House to be involved in the negotiations as well?

[Gerald Jones]

My hon. Friend makes a very important point. It underlines the position that we are in: we have no direction from the Government. They say that Brexit means Brexit and they are not willing to give a running commentary on what is happening. We understand that up to a point, but we are not asking for a running commentary. As hon. Members know, we are asking for the UK Government’s direction of travel, but unfortunately that has not been forthcoming.

I pay tribute to the comments of my hon. Friend the Member for Cardiff South and Penarth on the work of the Wales MEP Derek Vaughan, who continues to stand up and speak out for Wales. I also agree with my hon. Friend’s comments on the Welsh Government continuing to promote Wales and secure funding for infrastructure projects. We heard just today the announcement about a range of large-scale infrastructure projects taking place across Wales.

The last time that I spoke in a Westminster Hall debate from the Front Bench, I said:

“The Government have a clear and pressing duty to reduce…uncertainty. We have all heard of investment decisions that have been delayed and of businesses that are genuinely worried for their futures. People voted to leave, but they did not vote to damage our economy, so the Government need to step up and set out their plans more clearly to deliver the clarity and business confidence we so badly need.”—[Official Report, 25 October 2016; Vol. 616, c. 40WH.]

I still stand by every word of that today. Despite the time that has passed, neither the Minister nor the Government have done anything to give businesses any clarity or certainty, leaving people, as my hon. Friend the Member for Ogmore so clearly pointed out, in the dark about their futures, their careers and their businesses.

At the recent Welsh questions, my hon. Friend the Member for Clwyd South (Susan Elan Jones) quite reasonably asked the Minister:

“Can he tell us whether his officials have made any estimate of how many jobs in Wales will be lost if the UK leaves the single market and what he and his Government are planning to do about it?”

We are elected to Parliament to represent our constituencies and their interests. As the Opposition, it is our democratic duty to scrutinise and challenge the Government. That was not an unfair, partisan or trick question from my hon. Friend. It was asking what assessment the Minister’s Department has made of the biggest issue facing our country since the second world war and what plans the Government have to help mitigate the negative effects. However, the Minister replied:

“I am somewhat disturbed by the hon. Lady’s comments. Time and again, I hear Opposition parties talking down the Welsh economy.”—[Official Report, 30 November 2016; Vol. 617, c. 1509-1510.]

That was not an appropriate response. In fact, it was quite shameful, and it does a disservice to the office that the Minister holds not to engage with that as a genuine question.

If the Government are planning to offer support to protect jobs, businesses in Wales need to know what that package will look like and when it will come. So far, this has been a Government of smoke and mirrors, confusion and obstinacy. Whether through ignorance or incompetence, they will not give a straight answer to the simplest of questions.

Furthermore, in a written question, the shadow Secretary of State, my hon. Friend the Member for Cardiff Central (Jo Stevens), asked what estimate the Secretary of State has made of the economic value to Wales of the UK’s membership of the single market. However, again, rather than answering the question, which might help to highlight what the impact of a hard Brexit could be on Wales, he said:

“I recognise many businesses in Wales trade with the single market”.

Given the significant impact that the EU exit could have on Wales and, more importantly, the impact that the wrong deal could have on our country, that excuse for an answer is completely unacceptable. Is it asking so much for the Minister to share with us the assessment that he has made of the biggest challenge facing our country? Will he today put on the record the Government’s assessment of the economic value to Wales of the UK’s membership of the single market?

My hon. Friend the Member for Cardiff Central also asked at the last Welsh questions whether Ministers would commit to supporting jobs at the Ford plant in Bridgend post 2020 by offering Ford the same post-Brexit guarantee as the Government recently gave its competitor, Nissan. It is vital for the future of that site and the jobs that are linked to it through the supply chain, as we have heard this afternoon, that post Brexit, it is able to operate on the same terms as competitors such as Nissan. In refusing to give guarantees to Ford, the Secretary of State is offering businesses in Wales a worse deal than those in Scotland or Northern Ireland. We know that because his Cabinet colleagues, the Secretaries of State for Scotland and for Northern Ireland, committed at the Dispatch Box to offering the same protections for businesses in their respective countries as those offered to businesses in England. Is Wales getting a worse deal than Northern Ireland and Scotland? If so, can the Minister tell us why? If not, why will he not guarantee Ford the same deal as its competitors? It looks like a game of playing favourites. My right hon. Friend the Member for Delyn highlighted the support needed for industries such as the automotive industry.

Labour Members believe that a modern industrial strategy for Wales should be more than just picking winners from Whitehall. Companies in Wales should get at least the same deal from the Westminster Government as companies in England. If the Minister will not give that commitment to Ford, perhaps he will consider another major company in Wales, one of the biggest employers and investors—Airbus. It, too, needs to know what the future looks like. We need a straight answer from the Minister. Will Airbus get the same deal from the Government as Nissan? Airbus spends £4 billion with suppliers, supporting approximately 110,000 jobs. Millions of pounds and hundreds of thousands of jobs are on the line, so we need answers from the Minister. Will he offer a deal and protect the future of 100,000 jobs in Wales?

I have said this previously, but for the avoidance of doubt I will repeat it. Labour respects the result of the referendum, but we must get the best deal for people and businesses in Wales from the coming negotiations, and we will get that only if the Government provide some clarity on what their strategy is and what businesses can expect. It is essential that the UK Government work closely with the Welsh Government and the other devolved Administrations in preparing for the EU exit. They owe that to the businesses and people of Wales. I look forward to some clarity from the Minister on what he and the Government are doing to provide any reassurance to the people and businesses of Wales.

Oral Answers to Questions

Gerald Jones Excerpts

Wednesday 30th November 2016 Commons Chamber

[Guto Bebb]

I am surprised to hear that question from the hon. Lady; the apprenticeship levy is important, but the settlement between Her Majesty’s Treasury and the Welsh Government has been welcomed by the latter as both fair and comprehensive. It is therefore essential that she and other Members call on the Welsh Government to make sure that the money allocated through the apprenticeship levy is spent where it is needed.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

Given that the UK Government and, in particular, senior Ministers are currently doing their best to offend the international community, it falls to Wales and the Welsh Government to promote inward investment. So will the Minister join me in congratulating the Welsh Government on the role they have played in promoting Wales and securing the highest level of inward investment on record? Furthermore, what support will he give to ensure that this success is sustained following the UK’s exit from the European Union?

[Guto Bebb]

I thank the hon. Gentleman for the question. It is important to state that the relationship between the Welsh Government and the UK Government on this issue is very productive. I recently visited Wales with a Minister for International Trade, and the Secretary of State for International Trade will be in Wales on Friday. We work constructively with the Welsh Government to ensure that we sell Wales and the United Kingdom as a good place to do business. We have a strong relationship, which the hon. Gentleman should welcome.

Leaving the EU: Wales

Gerald Jones Excerpts

Tuesday 25th October 2016 Westminster Hall

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Bailey. I congratulate my hon. Friend the Member for Aberavon (Stephen Kinnock) on securing this important debate and on the powerful case he made. We have heard from an array of hon. Members from across Wales who have a variety of views on what leaving the EU will mean for their constituencies, for Wales and for the people of Wales. The one theme that has come through is that the next few years will be an uncertain period for all, and for our communities and businesses in particular, as highlighted by my hon. Friend the Member for Swansea East (Carolyn Harris).

The Government have a clear and pressing duty to reduce that uncertainty. We have all heard of investment decisions that have been delayed and of businesses that are genuinely worried for their futures. People voted to leave, but they did not vote to damage our economy, so the Government need to step up and set out their plans more clearly to deliver the clarity and business confidence we so badly need.

As my hon. Friend the Member for Islwyn (Chris Evans) highlighted, Wales currently receives a significant net gain from the European budget because west Wales and the valleys qualify for the highest level of EU regional development funding. The Welsh European Funding Office estimates that projects in the 2007-13 round of funding created 11,925 enterprises, supported nearly 40,000 jobs and helped more than 72,000 people into work and 56,000 people into further learning. As my hon. Friend the Member for Neath (Christina Rees) said, 16,000 farmers in Wales get direct subsidies from the common agricultural policy, without which 90% would be in financial difficulty. My hon. Friend the Member for Ogmore (Chris Elmore) highlighted the positive impact that that funding has on farmers and the risk posed by leaving the EU.

Wales is set to receive £2.7 billion in structural funds up to 2020. We have heard examples of local regeneration already delivered across Wales. Many communities have been transformed with the support of EU funding, including many in my constituency. We heard my hon. Friend the Member for Aberavon outline the iconic Swansea University campus and the Workways+ and BEACON schemes, which have been supported through the EU.

My hon. Friend the Member for Ynys Môn (Albert Owen) highlighted the important point of matched funding and what that means in supporting EU funding to go even further in regenerating Wales. My hon. Friend the Member for Swansea West (Geraint Davies) highlighted the regeneration projects in his area and the lack of reassurance coming from the Government.

Despite that, Wales voted in line with England to leave the European Union, and we respect that decision. However, Wales did not vote to become poorer or to damage its public services. That is why, as we begin the process of leaving the EU, we need to work together to ensure that Wales, its economy and its communities get the best deal.

[Albert Owen]

Does my hon. Friend understand that many people who voted to leave were under the impression that some £350 million saved from Europe was going to be spent on the health service in the UK? Five percent under Barnett would give Wales about £17 million. Does he think that should be honoured by the Government, or at least debated?

[Gerald Jones]

My hon. Friend makes a correct point. During the referendum campaign lots of lies were told and comments made, and the people of Wales and the rest of the UK voted for a specific set of circumstances. They did not vote to make our services poorer. Indeed, the investment promised by the Brexiteers—as highlighted by my hon. Friend the Member for Torfaen (Nick Thomas-Symonds)—in the pledge signed on 14 June should be honoured.

[Geraint Davies]

Further to that, will my hon. Friend accept that the people of Wales and Britain voted in good faith in principle to leave and that that was subject to the exit package set out? There is a strong case for another vote not on the principle of whether to leave but on the exit package and whether it represents the reasonable expectations of voters, because already something like 7% of the people who voted to leave now say they do not want to leave. As this is a once-in-a-lifetime choice, surely they should look at the exit package in a referendum.

[Gerald Jones]

As I mentioned earlier, it is important that we respect the result, but it is also important that we ensure we get the best deal for Wales and for the UK in the coming negotiations. Despite the many challenges ahead, we must ensure that Wales has a positive voice throughout the negotiations to secure the best possible outcome. It is essential that the UK Government work closely with the Welsh Government and other devolved Administrations to ensure that their negotiating strategy works for the whole of the UK, not just for England.

The Joint Ministerial Committee met yesterday, although clarity was lacking on the current position and on what future discussions will look like. As we begin the process of exiting the EU, Wales has several priorities. We must prioritise the protection of jobs and ensure business confidence in the aftermath of the referendum. Full and unfettered access to the EU single market is crucial for Wales. Welsh businesses currently benefit from our trading relationship with the EU. If we were to leave the single market, and if tariffs were to be imposed on Welsh goods, that could have a crushing impact on our manufacturing and agricultural sectors. We need certainty about funding for current and future EU programmes.

The First Minister of Wales sought an urgent guarantee, immediately following the referendum, that Wales would not lose a single penny of EU funding up to the end of the EU financial perspective, running until 2020. This month the Treasury pledged to extend the guaranteed funding for all projects agreed before the UK leaves the EU. However, it has not given any commitment to replace the funding, further into the future, that we would reasonably have expected to receive if the UK were to remain in the EU. That is vital to our universities and agricultural businesses. Wales currently receives £650 million in EU funding, in particular through the common agricultural policy and structural funding. Campaigners for leave said that Wales would not lose a single penny in European funding, and we will hold them to that promise.

As my hon. Friend the Member for Aberavon outlined, the case for revision of the Barnett formula arrangements for Wales is now even stronger, to ensure fair funding for Wales during and after the current EU programmes. The Wales Bill provides an important opportunity to consider future funding arrangements for Wales. I urge the Government to reconsider their opposition to delivering a much needed fiscal framework to Wales as part of the Bill, and perhaps the Minister will comment on that.

It is my view, and the view of my party, that EU citizens working and living in Wales now should be able to remain here after the UK’s exit from the EU. EU citizens should not be used as bargaining chips in the negotiations, and we must stamp out the unacceptable abuse that has, sadly, risen since the referendum result.

[Christina Rees]

Since the referendum the UK Government have said little more than “Brexit means Brexit,” but Ministers have alluded to a hard Brexit. Will my hon. Friend agree with the Welsh Labour MEP Derek Vaughan who has said that as a result of that stance the EU has withdrawn behind its lines, and we will end up with a hard Brexit?

[Gerald Jones]

I do indeed agree. As I said in my speech, the people of Wales and the UK voted to leave but not to reduce public services. They certainly did not vote for a hard Brexit. It is important to have the clarity that we need as we go forward. It is essential that we remain outward looking, internationalist and pro-business. We require that we remain committed to fairness and opportunity for all, and I look forward to some reassurances, perhaps, from the Minister this morning.

Oral Answers to Questions

Gerald Jones Excerpts

Wednesday 19th October 2016 Commons Chamber

[Alun Cairns]

The hon. Gentleman tempts me, but he knows that that decision will be coming soon. He makes an important point about the use of steel in infrastructure projects. The UK Government have already changed procurement rules, making it easier for British steel to be used in contracts. For example, Crossrail, Europe’s largest civil engineering scheme, uses almost entirely British steel.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

As the representative for Merthyr Tydfil and Rhymney—[Interruption.]

[Mr Speaker]

Order. The hon. Gentleman has a very personal constituency reason for wishing to acknowledge the anniversary of the Aberfan tragedy. Let us hear him with the courtesy he warrants.

[Gerald Jones]

Thank you, Mr Speaker. As the representative for Merthyr Tydfil and Rhymney, I too would like to associate myself with the comments of the Secretary of State and the shadow Secretary of State, my hon. Friend the Member for Cardiff Central (Jo Stevens), in relation to the 50th anniversary of the Aberfan disaster, an unimaginable loss for the families and, indeed, the whole community.

One major challenge—if not the major challenge—facing the Welsh steel industry is that its energy costs are far higher than those of our competitors. Despite warm words, little action has been taken. What action is the Secretary of State or the Government taking to bring down energy costs faced by energy-intensive industries?

[Alun Cairns]

I welcome the hon. Gentleman and his hon. Friend the shadow Secretary of State to their positions. He makes an important point on steel-making capacity and energy costs. He will be well aware that the energy-intensive industry package the Government have brought forward responded to the demands from the industry and from Tata specifically. We have reduced energy costs to the steel sector by £109 million, which has been welcomed and has put the sector in a much stronger position, with a turnaround in finance from a loss of £64 million to an operating profit of £95 million.

--- Later in debate ---

[Mr Speaker]

It is fitting that we finish with a question from Mr Gerald Jones.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

May I thank the Prime Minister, the Leader of the Opposition and other Members for their comments about the Aberfan disaster, and about the resilience and quiet dignity shown by the people of Aberfan? At 9.15 on Friday morning—the anniversary of the disaster—the people in that community and communities across Wales will mark the disaster with a minute’s silence. As the disaster affected communities right across the country, if not the world, will the Prime Minister support that minute’s silence being marked across the UK as well?

[The Prime Minister]

I know that the Secretary of State for Wales will be attending the memorial that will take place in the hon. Gentleman’s constituency on Friday. It is appropriate that we all show our respect for those who lost their lives and for the families who suffered as a result of the Aberfan tragedy 50 years ago. As we said earlier, it was a terrible tragedy not just for individual families, but for a whole community, and it is right that we recognise that and mark it.