Oral Answers to Questions

Guto Bebb Excerpts

Wednesday 1st November 2017 Commons Chamber

[Paul Masterton (East Renfrewshire) (Con)]

2. What discussions he has had with Cabinet colleagues on the potential benefits for Wales of the proposed expansion of Heathrow airport.

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

My right hon. Friend the Secretary of State has regular discussions with Cabinet colleagues on a range of different UK investment projects, including the proposed expansion of Heathrow airport. Estimates suggest that Heathrow’s proposed expansion would require 370,000 tonnes of UK steel, securing 700 British steel jobs, which would be welcome news for communities such as Port Talbot.

[Paul Masterton]

In addition to the benefits to Wales from construction related to the expansion of Heathrow, does my hon. Friend agree that there are opportunities for Welsh industry to support the ongoing operation of Heathrow when the expansion is complete, as many of my constituents in East Ren do for nearby Glasgow airport?

[Guto Bebb]

I agree entirely with my hon. Friend. The development of Heathrow offers significant opportunities for Wales and for the supply chain in Wales. That is why the Wales Office, working with the Welsh Government, have been involved in ensuring that we have roundtable discussions and “meet the buyer” events with Heathrow in Wales—south Wales and north Wales—so that Welsh companies will be in a position to benefit from investment in Heathrow.

[Nick Thomas-Symonds (Torfaen) (Lab)]

Hub airports are more important than ever, so will the Minister join me in congratulating the Welsh Government on purchasing Cardiff airport, which has led to a great increase in passenger numbers? Should not the Tory party back that as well?

[Guto Bebb]

The hon. Gentleman raises an interesting point. The Wales Office is very proud of its involvement in the Qatar decision to have direct flights from Cardiff airport. The hon. Gentleman is right about the importance of hub airports, and a recent meeting I had with Heathrow highlighted the possibility of direct flights from Liverpool to Heathrow, which would be a significant advantage for businesses in north Wales.

[Colin Clark (Gordon) (Con)]

I am delighted that my hon. Friend agrees about the importance of hub airports to the regions. Will he keep up pressure on his colleagues to give slots to the distant regions in the north and in Wales?

[Guto Bebb]

Again, I agree with my hon. Friend. The importance of hub airports is understood by businesses across the United Kingdom. It is therefore imperative to have regular flights into Heathrow, which is one of the reasons why we need the expansion of Heathrow. That expansion will be good not only for the United Kingdom, but for regional economies, as connectivity into a major hub airport such as Heathrow will be beneficial to our local economies.

[David Hanson (Delyn) (Lab)]

Trade unions, the CBI and local authorities all support the potential £6.2 billion of investment that Heathrow expansion will bring, but that depends on two things: the extension of HS2 to the Crewe hub; and a final decision on Heathrow. When are they both going to happen?

[Guto Bebb]

The right hon. Gentleman makes a really important point. I hope that the decision on Heathrow will be forthcoming very soon. I agree entirely with him about the Crewe hub. A development in Crewe that links HS2 services into the north Wales main line represents a real opportunity for north Wales. We in the Wales Office have been involved in that with our colleagues in the Department for Transport.

[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.

[Emma Hardy]

Lasting economic success will come only from a long-term approach to major economic decisions, which is why it is so great that the Welsh Labour Government are supporting strategic investment in infrastructure. A Labour Government will ensure that they work with rather than against the devolved Governments. Is that the same for the Conservatives and, if so, will the Minister assure the House that Wales will get its full Barnett consequentials funding from HS2?

[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.

[David T. C. Davies (Monmouth) (Con)]

The excellent History of Parliament website yesterday tweeted a link to a 1606 Bill to build a new bridge at Chepstow. Does my hon. Friend agree that it is a pity that those involved did not add an amendment calling for a M4 relief road, because by now the Welsh Assembly Government might have got their act together and actually built one?

[Guto Bebb]

I thank my hon. Friend for that comment. It is indeed disappointing that we are still waiting for a relief road for Newport. I understand that the Welsh Government are going for another consultation, but it is imperative for the sake of the economy of south Wales and the south Wales valleys that we see action on a relief road for Newport sooner rather than later.

[Ian C. Lucas (Wrexham) (Lab)]

11. I was pleased that the Minister mentioned the north Wales growth bid. It is now 10 years since the step change in services between Chester and Shrewsbury that was caused by the introduction of an hourly service. Does he agree with everyone else in north Wales that it is high time that that step change was repeated through the reintroduction of the north Wales growth bid and better transport services across the border?

[Guto Bebb]

The hon. Gentleman is a key supporter of better transport links in north Wales, and his work on Growth Track 360 is appreciated by the Department. The north Wales growth deal is a key priority for the Wales Office. Cross-border connectivity is crucial to that growth deal, and I agree that we need to improve transport links, whether road or rail, as part of the development of the north Wales growth deal.

[Chris Ruane (Vale of Clwyd) (Lab)]

I would like to add my condolences, and those of Labour Members, to all those affected by the heartbreaking tragedy at Llangammarch.

Wales is one of many areas in Europe that have received EU structural funds to help to improve their infrastructure. After 2020, will Wales receive the same funding as those comparator regions of Europe or will there be a reduction in funding to Wales by this Conservative Government?

[Guto Bebb]

The hon. Gentleman raises the question of EU structural funds as if they were a success story in the Welsh context. They were actually a failure: £4 billion of investment, yet our comparative economic performance fell. This Government are committed to the UK shared prosperity fund, which will work for the benefit of the Welsh economy, rather than being wasted in the way in which the Welsh Government wasted our structural funds over the past 18 years.

[Chris Ruane]

I am afraid that the Minister did not answer my question, so I will come back to it. There is a lack of clarity about what will happen in Wales after 2020. I thank the Secretary of State for meeting me to discuss these issues, but will he and the Minister convene a meeting of the Wales team, the shadow Wales team and the Chancellor of the Exchequer to sort these issues out so that there is absolute clarity for the people of Wales?

[Guto Bebb]

The offer of a meeting is something I would always be happy to accept, but it has to be at the right time. In the context of structural funding, the key thing is that, for example, a strategic approach across north Wales was not possible because four counties were receiving European structural funds and two were not. We now have an opportunity for a strategic approach across north Wales, which will be supported by a UK shared prosperity fund in due course.

[Chris Evans (Islwyn) (Lab/Co-op)]

5. What assessment he has made of the effect of the UK leaving the EU on inward investment in Wales.

--- Later in debate ---

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

8. What recent discussions he has had with Welsh business groups, universities and the Farmers Union of Wales on the effect of the UK leaving the EU.

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

Since the referendum, the Secretary of State and I have discussed the impact of the UK’s exit from the European Union in meetings with stakeholders across Wales. We have met businesses, universities and farming unions, among others, and the next meeting, the Secretary of State’s expert panel on EU exit, will take place on Monday.

[Chris Davies]

I thank the Minister for his answer, but does my hon. Friend agree that this needs to go even further as negotiations with the EU continue? Will he encourage other Cabinet Ministers to come to Wales to hear the views of Welsh business, Welsh farmers and Welsh universities first hand?

[Guto Bebb]

I thank my hon. Friend for his question. He is a champion for the agricultural industry, which is no surprise in view of the constituency he represents. I can assure him that the discussions with the farming unions will intensify, and I am very pleased to announce that the Secretary of State for International Trade will be in Wales this week.

[Albert Owen (Ynys Môn) (Lab)]

rose—[Interruption.]

[Albert Owen]

I am very pleased that the Prime Minister is here to listen to my question, because on a number of occasions I have asked her about the importance of the port of Holyhead in my constituency to Irish trade. Last week, a company from Ireland suggested a new route to Holland and Belgium, circumnavigating Britain. Stakeholders in my constituency are concerned about that. The Irish Government are concerned about that; so are the Welsh Government. When will the UK Government wake up?

[Guto Bebb]

The hon. Gentleman raises an important point about the port of Holyhead and the concern is shared by my right hon. Friend the Secretary of State for Wales, who visited the port with him. These concerns have been heard in the Wales Office; we have met stakeholders and Irish businesses. I can assure him that our intention is to ensure a frictionless border in Holyhead, in the same way as in Ireland.

[Ben Lake (Ceredigion) (PC)]

EU students contribute upwards of £130 million to the Welsh economy, and thousands of academic staff from across Europe have been vital to the success of Welsh institutions. Given that we already know of an 8% decline in applications from EU students to Welsh universities, what discussions has the Minister had with Cabinet colleagues to ensure that visa arrangements do not further harm our higher education sector?

[Guto Bebb]

The hon. Gentleman makes an important point about the universities sector in Wales. I recently visited Bangor University and Aberystwyth University and discussed these matters. I can assure him that the Wales Office is in constant discussions with other Departments on the issues raised by the sector, including EU visas.

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

I welcome the fact that the UK and devolved Administrations have agreed the principles on which the common frameworks will be constructed, which will be of particular interest to business groups, universities and the National Farmers Union of Wales. I encourage the Minister to continue these exchanges with the devolved Administrations, so that we can reach agreement on how the common frameworks should be established.

[Mr Speaker]

There is no obligation for the Minister’s reply to exceed a sentence.

[Guto Bebb]

I agree with my right hon. Friend on how important it is to continue having deep engagements with farming unions and the universities sector in Wales.

[Martyn Day (Linlithgow and East Falkirk) (SNP)]

9. If he will hold discussions with the National Assembly of Wales on the effect of the UK leaving the EU on the balance of powers held between the UK Government and the Welsh Government.