Port Talbot Steelworks

Jonathan Edwards Excerpts

Tuesday 30th April 2024 Commons Chamber

[David T. C. Davies]

I am sorry to have to say this to the hon. Gentleman, but it is slightly insulting for him to suggest that the tone in which I have set out the answers suggests casual disregard or a lack of interest. I assure him that nothing whatsoever in the Wales Office at the moment is more important than securing the future of Port Talbot. I am sorry, but frankly, while this Government are putting up £500 million to ensure the future of steelmaking in south Wales and demonstrating an interest in making steel, some Opposition Members are more interested in making headlines.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

My constituents who work in Port Talbot inform me that there has been no progress on enhanced redundancy negotiations between the unions and Tata. Given the scale of the public investment involved, will the British Government use their leverage to ensure that Tata treats its workforce with a degree of dignity?

[David T. C. Davies]

The hon. Gentleman is absolutely right. I think that Tata now needs to come forward with a bit more information about who exactly we can expect to see being made redundant and what their current skillsets are, so that we can begin targeting the help. The challenge up until now is that we have not had the information on who is being made redundant. Tata has made it clear that it will not automatically be the people on the blast furnaces, for example, who are made redundant, because it hopes to retain some of the people who are working there but offer redundancy to people in other parts of the plant. We have not had the information as of yet, but I think the time has come to have that information. We of course want to ensure that any redundancy packages are as generous as possible.

Oral Answers to Questions

Jonathan Edwards Excerpts

Wednesday 13th March 2024 Commons Chamber

[David T. C. Davies]

I would not. My friend in the Senedd has spoken out repeatedly about the Welsh Labour Government’s plans for an overnight tourism tax, which will have a detrimental impact on tourism businesses across Wales. The hon. Lady’s party is in partnership with the Welsh Labour Government, and if she really wants to support the Welsh tourism industry, I suggest she tells it that her Members will vote against Welsh Labour’s Budget, to prevent that tax from coming in.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

3. What discussions he has had with the Secretary of State for Energy Security and Net Zero and the Welsh Government on electricity transmission and distribution policy.

[The Secretary of State for Wales (David T. C. Davies)]

The Government are committed to transforming our electricity network to reach our energy security and net zero ambitions. We recently announced an ambitious electricity network package that will reduce consumer bills, bring forward £90 billion of investment over the next 10 years and allow us to harness Wales’s renewable resources, such as floating offshore wind in the Celtic sea.

[Jonathan Edwards]

Pylon developments for electricity transmission and distribution purposes are very controversial in the communities that are expected to host them. I have four such potential developments in my constituency, and the whole of Carmarthenshire is in uproar. Will the right hon. Gentleman ask the Secretary of State for Energy Security and Net Zero to commission a study on technologies such as cable ploughing, which allow undergrounding and have a comparable cost to pylons?

[David T. C. Davies]

I understand the concerns that have been raised in the hon. Gentleman’s constituency. He has discussed this with me previously, and is championing his constituents’ concerns. The information that I have been given is that laying cables underground would cost five to seven times more, but I hear what he is saying. If he has a presentation or something that he can forward to me, I would be delighted to make sure that officials in the Department for Energy Security and Net Zero see it.

Farming in Wales and the UK

Jonathan Edwards Excerpts

Tuesday 5th March 2024 Westminster Hall

[Ian Paisley (in the Chair)]

I will call Jonathan Edwards to move the motion and then the Minister to respond. There will not be an opportunity for the Member in charge to wind up—as he knows; he is an experienced Member—as is the convention for 30-minute debates. I suspect, however, that he will get a number of interventions.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

I beg to move,

That this House has considered farming in Wales and the UK.

It is an absolute pleasure to serve under your chairmanship, Mr Paisley, and to have the opportunity to raise the concerns expressed in rural Wales in particular, but seeing that there is an honourable turnout from Members from all constituent parts of the UK, I suspect we will hear about the concerns of other farmers across the UK.

Feelings are running at fever pitch in Wales, and last week a mass protest converged on the capital city of Cardiff. For those in the rural heartlands of Wales, Cardiff is not the easiest place to get to. My hon. Friend the Member for Arfon (Hywel Williams) will attest that it is easier to get to London than to Cardiff from Caernarfon.

[Hywel Williams (Arfon) (PC)]

It is easier to get to Dublin.

[Jonathan Edwards]

Yes, it is even easier to get to Dublin. The turnout was extraordinary and showed the strength of feeling that has erupted over recent weeks. I was listening to the Wales podcast on the BBC on the train down over the weekend, and it said it was the largest demonstration that the Senedd has ever seen. That is testament to the strength of feeling in rural Wales.

Although I do not come from farming stock directly, my father and his brother were raised on Ffos y Ffin farm in Capel Dewi following the death of their father from tuberculosis. He got involved in the local young farmers movement, and his best friend was David Woods, who farmed Waunyryddod in Cwmfelin Mynach in the west of Carmarthenshire, near Whitland. Some of my fondest memories as a child include visiting the Woods family at their farm on weekends, watching my father and Mr Woods milk the herd, and helping out as I got a bit older. I witnessed at first hand the unwavering dedication of our farmers and grew a huge appreciation for their work and for the pride they feel in being food producers for the general population.

The pressures farmers work under are considerable. They are open to hugely fluctuating costs and prices while their payments largely flatline, and they work on extremely small margins. One of my first meetings after being elected was with a dairy farmer, who explained the huge financial difference that a 1p increase or decrease in the price of milk would cause his business. The inflationary pressures squeezing our economy are hitting farmers particularly hard, with skyrocketing input costs severely impacting their income. Last year, I received a justifiably angry message from a constituent complaining that fertiliser costs had doubled in less than 12 months. He was talking about having to drastically cut back on production. The inflationary pressures have driven up costs across the industry, yet farmers have not had the option of passing those costs on to consumers due to their position in the supply chain.

Mental health has become a major issue in the agricultural community. Suicide rates are far higher than those of the general population. Economic pressures undoubtably play a role, as do the insular nature of the job, the relentless hours and the demanding schedules. A recent survey revealed that over a third of farmers experience clinical depression and nearly half struggle with anxiety. I have been there myself on many occasions, and it is absolutely no joke. Being in that state of mind while working in an extremely dangerous workplace obviously makes matters even more serious. I know of a farmer who has had his struggles over the years. Recently he walked into a slurry pit before snapping out and phoning the emergency services, which thankfully got there in time. Mental health in farming should be a priority for policymakers, and I pay tribute to charities such as the DPJ Foundation, based in Carmarthen, for their work in providing advocacy and raising the profile of those issues.

From an economic perspective, agriculture is comparatively more important to the Welsh economy than that of the UK as a whole. Take out farming and other sectors will be severely hit. To further make the point, National Farmers Union Cymru recently hosted a meeting with over 100 stakeholders who are worried about the new sustainable farming scheme of the Welsh Government. A wide range of organisations and companies were represented, including agricultural contractors, vets, academic institutions, farming charities, legal firms and trade associations, as well as major meat, milk and food service companies based in and operating in Wales.

[Jim Shannon (Strangford) (DUP)]

I commend the hon. Gentleman on bringing this debate forward. He is absolutely right to highlight the issues for Wales, and indeed for the whole of the United Kingdom. Does he agree that there are many issues facing farmers UK-wide, and that the farming community needs support to ensure that we are providing opportunities to not only those from farming backgrounds but those outside, so that they can realise that there is potential for a fulfilling career in the countryside? Perhaps we need to push for this vocation as passionately as we do for the NHS or even engineering.

[Jonathan Edwards]

I am extremely grateful for that very valuable contribution. Later in my speech I will talk about how the agricultural community needs to perceive us as wanting to work with them, as opposed to being unsympathetic towards them, which, unfortunately, is especially the case in Wales at the moment.

Returning to my point about the NFU gathering, following the meeting, NFU Cymru president Aled Jones said:

“The food and farming supply chain is an £8 billion industry in Wales that employs some 233,000 people, Wales’ biggest employer. As a sector we are completely interlinked with each part of the supply chain relying on the other for their viability.

A productive, progressive and profitable Welsh farming sector is essential to the wider supply chain, farmers spend around £1.4bn annually on products such as feed, fertiliser, veterinary and medicines, farm machinery and contract work. The produce from our farms is processed and sold in retail and food service markets in Wales, across the UK and globally.”

To return to the issue of intervention, we get the impression that policymakers at a Welsh level in particular view our farmers as some sort of economic burden. Their mindset needs to be turned around, and a key part of that is accepting the anchor status of farming for the whole rural economy.

[Dr Dan Poulter (Central Suffolk and North Ipswich) (Con)]

I congratulate the hon. Member on securing this debate, and I very much agree with all the points that he has made. He will be aware that in much of East Anglia, just as in Wales, one in eight jobs in rural communities are linked to agriculture, food and drink, and the wider supply chain. I wonder whether more can be done to support the agricultural sector through public sector procurement, such as the UK Government and the devolved Governments introducing minimum requirements for food in our hospitals and our schools to be purchased from local farmers.

[Jonathan Edwards]

I am extremely grateful for that intervention. I think that such a policy would give the added bonus of providing high-quality food in hospitals and schools, which we should be aspiring to achieve as policymakers.

[Sir Bill Wiggin (North Herefordshire) (Con)]

Does the hon. Gentleman agree that what is going on in Wales—the real disappointment faced by Welsh farmers under the Labour Government provided by the Welsh Assembly—is the gypsy’s warning for farming across the whole of the UK? If we were unlucky enough to get a Labour Government, what is happening in Wales would happen in the rest of the UK, and there is not even a Labour MP present to defend the Welsh Government. It’s a shocker!

[Jonathan Edwards]

I am grateful to the hon. Member for his passion and his support of the farming industry. I do not want to write his election leaflet for him, but I will certainly be concentrating on Welsh Government policy further on in my speech.

Earlier this month, 3,000 farmers converged on Carmarthen market under the protest banner “Digon yw Digon”, which translates to “Enough is Enough”. I pay tribute to my constituents Gary Howells and Aled Rees for mobilising so many farmers in my home county. Indeed, protests have been erupting across Wales and England. As an aspiring historian in a past life, I have to mention that those massive protest meetings have parallels with the Rebecca rioters’ mass gathering at Mynydd Sylen, near Pontyberem, in the summer of 1843—I had to get that in. What we are witnessing today, however, is colossal discontent in the agricultural community. Thankfully, organisers and the unions have done a great job in ensuring that matters have remained peaceful and within the law.

Much of that anger has been growing since the EU referendum, as farmers have witnessed the destructive approach taken by policymakers to the development of post-Brexit agricultural policy. There is no doubt that leaving the European Union has been a disaster for Welsh farming. They were promised sunlit uplands by the leave campaign but have been let down, and in the post-Brexit trade deals that have been signed, the interests of our farmers have been sold down the river by the UK Government. I acknowledge that there seems to have been a slight change of approach with the current deals, such as the one with Canada. However, that is too little, too late in relation to some of the previous deals.

The Welsh Government calculate that, for the period 2021-25, rural support funding will be £243 million less than had we been under EU farming support policy, and that figure does not account for inflation. The difficulty faced by the Welsh Government in managing an overall budget declining in real terms perhaps explains some of the unfavourable policy approaches that we have seen towards agriculture over the last few years. If the UK Government have left themselves open to accusations that they have neglected agriculture, the Welsh Government are open to accusations of hostility.

[Hywel Williams]

I congratulate my hon. Friend on securing this debate; he is making a fine speech. He points to the double whammy facing Welsh farming. It is not only Brexit and the subsequent disaster—of course, the Canada deal is far from settled; a cruel pantomime is going on at the moment, as we shall see later in the main Chamber—but there is also the incompetence and lack of understanding and listening from the Welsh Labour Government, as witnessed at the very large protests last week. Clearly, we need a change.

[Jonathan Edwards]

My hon. Friend’s point about the Welsh Government is well made. I do not know of any farmer who votes for the Labour party, and I suppose one can understand why the Labour party takes the approach it does. But it is disastrous for agriculture to have a Government who are open to the accusation of being hostile to farmers.

One of the most emotionally difficult meetings I have had as an MP was on the case of the farm that was struck down with bovine TB. It is difficult to explain the mental health impact on those affected. Earlier this month, “Ffermio”, an agricultural programme on S4C, unmasked those horrors graphically on the Castell Howell farm of Mr and Mrs Davies in Capel Isaac in my constituency. The family had to witness their cattle herd shot in front of them, one by one. It was absolutely harrowing for the viewer and utterly despairing for the family. It has become a tipping point for the emotional outpouring we are witnessing in rural Wales at the moment. It was an incredible piece of filmmaking by the “Ffermio” programme team, led by my constituents Ellen Llewellyn and Meinir Howells.

The failure of the Welsh Government to get to grips with bovine TB, and the continued faith in the policy of destroying cattle herds, has become a perfect metaphor for the unsympathetic environment farmers face from their own Government. I am glad that the Welsh Government committed to reviewing their policy on farm slaughter last week, but there should be a wholesale review of policy, including dealing with TB in wildlife.

To compound matters, the Welsh Government partnership parties have acted with blatant disregard on changes proposed to school terms and the potential impact on the Royal Welsh show, one of the marquee events in the Welsh national calendar. Proposed school term changes could see the show fall outside the traditional summer holidays, with the organisers warning that they will face a £1 million-plus shortfall, making the event unviable. Last week, the Minister hosted an event by the Royal Welsh Agricultural Society in the very room where the idea to form it came to fruition, Committee Room 12, to celebrate the 120 years since that initial meeting. England has lost its royal show, and we in Wales now have the most successful, and possibly the largest, agricultural event in Europe. Yet the event operates on small margins, and a £1 million operational loss could be fatal. The Welsh Government need to sit back and think this policy through, and make sure that the Royal Welsh show and the National Eisteddfod are protected.

The all-Wales blanket approach to nitrate pollution by the Welsh Government has irked farmers further due to its disproportionality and the estimated cost of £400 million to the industry. Everybody acknowledges the need to reduce agricultural pollution. However, why the Welsh Government feel the need for a sledgehammer approach is beyond me. Coleg Sir Gar’s Gelli Aur Agricultural College in my constituency has been pioneering slurry treatment technology that separates waste into two reusable products by separating the water. Water can then re-enter the environment safely or be reused on the farm, with the remnants being a dried product that can be used as fertiliser with little pollution risk.

Instead of coming down on farmers like a ton of bricks, why are the Welsh Government not providing grants for farming businesses to upgrade their waste systems? That could be done on a collaborative basis among farmers. One system could service a number of farming businesses and would potentially provide an income source from a waste product. It ticks all the boxes.

There is huge innovation in Wales. Aled Davies and his company, Pruex, also based in my constituency, is pioneering using natural bacteria to disinfect chicken and cattle sheds from ammonia pollution instead of chemicals. The results I have seen look very impressive. I was delighted to receive an email last week from Mr Davies saying that he had secured a research contract from the Welsh Government—I will give them a bit of credit for that. That shows what can be achieved if the Welsh Government work with the sector. Wales can pioneer change.

Unfortunately, that brings me to the new sustainable farming scheme for agricultural payments proposed by the Welsh Government. Their own assessments indicate that the scale of job losses in the agricultural sector would be around double the expected steel job losses in Port Talbot. Unamended, the new policy would also lead to a loss of £199 million to farm incomes and an 11% reduction in livestock numbers—that is the Welsh Government’s own figures. The knock-on effect on the wider rural economy would be catastrophic.

Page 6 of the partnership agreement between Labour and Plaid Cymru endorses the SFS as a commitment in which both parties will develop the new agricultural support regime.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

On support for farmers, yesterday I was speaking to a former president of the Aberdeen-Angus Cattle Society, a Mr Finlay Munro, a farmer in my constituency. He made the point, which I found quite thought provoking, that when we talk about carbon sequestration, we are not really giving grassland its full value, and that, if that could be worked into the equation, it might be a support mechanism for our farmers. Does the hon. Gentleman—who is making an excellent speech—agree that the Government should look at that?

[Jonathan Edwards]

I thank the hon. Gentleman for his intervention; indeed, that is the criticism of the SFS coming from farmers. The Welsh Government made a statement last week saying they were going to review it, which is a positive step forward in response to the protests. However, reviewing is one thing; what we want is policy implementation. The hon. Gentleman’s point is well made, and it is often made to me by my farmers in Carmarthenshire.

Returning to what I was saying, it is worth reading out the section on the SFS in the partnership agreement, so that it is on the record. It says that both parties will work together to:

“Introduce a transition period as we reform the system of farm payments so stability payments will continue to be a feature of the Sustainable Farming Scheme during and beyond this Senedd term. We will agree the longer-term arrangements for Welsh agriculture, recognising the particular needs of family farms and acknowledging ecologically sustainable local food production.”

It pains me to say this, and I am sure my hon. Friend the Member for Arfon (Hywel Williams) will not be too happy with what I am about to say, but it seems to me that Plaid Cymru has been completely outmanoeuvred by the Labour party in the partnership agreement. They have effectively been lead down an endless 20 mph road to nowhere by Labour.

There is a clear case that the farming community has a vital role in helping the Welsh Government to reach their environmental targets, especially in terms of carbon sequestration—to return to the point made by the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone). The alternative is letting the speculators buy up Welsh agricultural holdings—as has been happening—and planting trees on productive Welsh farming land. As always, the Welsh Government would be better advised to take farmers with them on a journey, as opposed to dictating and imposing. Just to reiterate the point I made in response to the hon. Member for Caithness, Sutherland and Easter Ross, there has been a Welsh Government statement saying that there will be a review, but what we really want to see is action.

My understanding is that in Scotland the SNP aim to enable farmers to continue to access a level of basic payments, which seems to be a better approach. In Wales, we would do well to rethink the SFS, look at what Scotland is doing and meet the demands of the farming unions for a new universal baseline payment. As my constituent Ian Rickman, the president of the Farmers’ Union of Wales, has said:

“The reality is that if the scheme remains in its current form, and if the modelling report is correct, farmers uptake will be minimal and everyone will lose out—Welsh farmers, the environment, the public and ultimately the Welsh Government. There is a real worry that even under a scenario where scheme payments come nowhere near to compensating for the loss of the Basic Payment Scheme, there will be some farm businesses that will have no choice other than to participate in the SFS. This will, no doubt, place further pressure on farmers’ workload and mental health.”

He continued:

“The Sustainable Farming Scheme must be accessible by all, and provide long-term stability for farming businesses and the wider rural economy that relies upon agriculture. The SFS needs to provide a meaningful income stream which properly rewards farmers and underpins the importance of a high quality food supply chain, produced here in Wales.”

The deadline for the final stages of the Welsh Government’s consultation on the SFS is later this week, and I will be sending them a copy of this speech. As Ministers and negotiators on behalf of Plaid Cymru and the Government consider the responses, I urge them to tread very carefully before announcing their final plans. Conceding reviews is one thing; what matters is the policy environment that will be implemented, and unless concerns are addressed, the protests that we have witnessed to date will be magnified.

[Hywel Williams]

May I just say that the hon. Gentleman does a slight disservice to my party by lumping Plaid Cymru in with the Welsh Labour Government. We do have an agreement, as he knows full well, having been involved in discussions on this issue in past times, but that is far from being jointly responsible together as a coalition—as some parties have recently titled it.

[Jonathan Edwards]

I am grateful for the hon. Gentleman’s intervention because what he said is what a lot of the public discourse around the protests has been. However, I read out the actual partnership agreement—

[Hywel Williams]

Which has since developed.

[Jonathan Edwards]

Yes, there is a negotiation going on, and the hon. Gentleman is aware that his colleague in Arfon is the lead negotiator. I think she has been blindsided by the Labour Government.

He will like this bit now, though—

[Ian Paisley (in the Chair)]

Order. I encourage the hon. Gentleman to bring his remarks to a close.

[Jonathan Edwards]

R. S. Thomas, one of our greatest national poets, would often portray in his work how farmers and the land of Wales are one and the same. I have to be honest: I find the culture war tactics used against farmers difficult to comprehend. As R. S. observed, nobody understands nature and the intrinsic link between the preservation of nature, industrial toil and food production better than our farmers. Everyone understands that practices will have to evolve, but the role of policymakers must be to lead industry on a journey that it can buy into, as well as one that safeguards farming, as opposed to one that industry considers to be undermining it.

Farming

Jonathan Edwards Excerpts

Monday 4th March 2024 Commons Chamber

[Fay Jones]

I congratulate my hon. Friend on raising that point, and I congratulate Andrew on his innovation. That is exactly the type of thing that the Government want to support, which is why we have announced the biggest ever package of funding—as I have said, about £427 million.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

I look forward to debating this subject with the Minister in Westminster Hall tomorrow. I think that the Government have left themselves open to the accusation that they have neglected farmers’ interests in the post-Brexit trade deals that they have signed. What assurances can she give the House that in future trade deals the interests of farmers will be at the top of the pile?

[Fay Jones]

I would not want to give away all my best lines before tomorrow’s debate in Westminster Hall, and I look forward to seeing the hon. Gentleman there. I will say, however, that I do not agree with his assessment of the trade deals that the Government have been able to strike outside the European Union. They represent real opportunities for farmers across England and Wales, and he would do well to support them.

Spring Budget: Wales

Jonathan Edwards Excerpts

Wednesday 29th March 2023 Westminster Hall

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

Diolch, Mr Hollobone; it is a pleasure to serve under your chairmanship. I congratulate the hon. Member for Newport West (Ruth Jones) on securing this debate and on her opening remarks.

During my time as a Member of Parliament, I have often found that the key document to read following any Budget is the Office for Budget Responsibility report that accompanies it. This often provides a more sober analysis of the state of the economy, as opposed to the offerings from Ministers at the Dispatch Box. The OBR analysis indicates a future of a stagnating economy, which should worry us all. Economic growth by the end of the forecast period in 2028 is projected to be a pathetic 1.75%.

Let us remember that the projections are for UK economic growth. Over many decades, the Welsh economy —as a result of the sectoral and geographical priorities of UK economic policy—has lagged the UK average, meaning that economic performance in Wales will in all likelihood be even more anaemic. The old problems of low business investment and low productivity haunt economic policy. The hard Brexit policy of the British Government makes the situation worse. The OBR is clear that nothing that the British Government have done has changed its forecasts that productivity will be 4% lower in the long run than if the UK had remained in the EU’s economic frameworks.

Weak economic growth has inevitable consequences for living standards. The OBR analysis estimates that real household disposable income is expected to fall by 2.6% in 2023, following a fall of 2.5% last year. That is the largest two-year fall in real living standards since records began in the 1950s, as we have heard. Economic stagnation and falling living standards—that is where the UK economy is heading following the Budget. Those are the hallmarks of a failing economy, and they should set off alarm bells among not only Ministers, but the official Opposition, who I suspect will inherit that legacy shortly.

Of the UK Government’s five priorities announced at the beginning of the year, three were economic: reducing inflation, reducing Government debt and getting the economy back into growth. The pledge on inflation was particularly cynical for two reasons: first, inflation was always likely to normalise due to global factors, so the pledge could be achieved without any sort of Government intervention; and secondly and more importantly, the reduction of inflation over the remainder of the year—notwithstanding the worrying acceleration last month to a rate of 10.4%—is being spun as if the cost of living crisis were over, as if somehow prices were falling. Of course, that is not the case.

The increases in prices over recent years are now baked in. Without people’s incomes increasing to compensate, it will mean that the squeeze on living standards will become embedded, with its effects felt more acutely in those areas of the UK—like Wales—where incomes are lower than the UK average. The Institute for Fiscal Studies estimates that the real inflation rate for the poorest-income 10th of households was an eye-watering 14%, proving that the disproportionate impact of inflation depends on a household’s income situation.

As I have more time than I was expecting, I will caveat what I said about inflation falling during the next year. We are acutely aware of events in the financial sector at the moment, with the turmoil in the banking sector. I had never heard of Silicon Valley Bank before two weeks ago, but it appears that issues with that bank in the US are affecting other banks across the world. We know what happens when the financial sector is under duress. What do central banks do? They ease monetary policy and, if we ease monetary policy at this time, what would that mean for inflation? I have never wanted to be a central banker, and I fear that unless the situation in the financial sector stabilises, they may find themselves with a very difficult choice: do they preserve the financial sector, or do they squeeze the living standards of ordinary people?

Given that I have more time than I thought, I should perhaps mention the Edinburgh reforms, which were really pushed by the British Government before Christmas. They should set off massive alarm bells for us all, considering what is happening at the moment. The British Government’s approach is to minimise the regulation of the banking sector at a time of banking turmoil. In 2008, it was not the bankers that paid for the financial sector’s business model going wrong; it was ordinary people who have faced over a decade of squeezed incomes and reduced public services. History often repeats itself as farce; I hope that I am wrong.

On all the UK Government’s priorities—the three that I mentioned on the economy, and the other two on NHS pressures and small-boat crossings of the English channel—they would benefit from closer collaboration with the European Union and its economic frameworks. Although I understand the politics of the situation for Labour as we approach the general election next year, I sincerely hope that, when it is in power, it will take a far more rational approach to European relations for all our sakes.

Most of the post Budget commentary has focused on the announcement about abolishing the cap on the lifetime allowance on pension contributions. In several debates over the years, I have called for flexibility for NHS consultants to help ease NHS pressures, but what I had in mind was a specific carve-out, as is already available to judges. I am uncomfortable with the universal nature of this policy, as it is clearly a tax cut for the wealthiest in society. At the same time, the Chancellor has introduced tougher sanctions for those on universal credit. Why is it always carrots for the rich and sticks for the poorest?

I turn to the investment zones announced in the Budget. The OBR analysis indicates that their impact would be negligible. However, it would be useful if the Minister, in winding up, outlined how the policy will work in Wales, and specifically whether an equitable amount of funding will be made for any investment zones in our country.

Meanwhile, as the right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts) mentioned, we know that 60 Welsh university projects, which support 1,000 research jobs, face immediate threat next month when the European structural funds come to an end. The Budget would have been an ideal opportunity to announce the bridge funding needed to preserve those jobs and projects. It is disappointing that the warnings of several Welsh representatives have gone unheeded.

The Welsh Government’s overall budget in 2023-24 will be £900 million less in real terms than it was expected to be in 2021. The Welsh Government have also rightly criticised the Budget for awarding only £1 million extra in capital funding for 2024-25. We all know that capital funding is vital if we are to tackle low productivity and business investment.

If the UK Government are to address the sluggishness of the economy, which will last for the remainder of this decade as projected, I propose three main priorities. First, forget the Brexit fantasies and rejoin the European economic frameworks. Secondly, channel investment into geographic areas with low productivity, as that would have a far greater impact on overall UK productivity levels, as opposed to prioritising investment in London and the south-east. Lastly, follow the United States, where President Biden has thrown a trillion-dollar kitchen sink at improving US transport links and public utilities, such as broadband and telecommunications, and investing in renewables, electric vehicles and research into the technologies of the future. Diolch yn fawr iawn.

Menai Suspension Bridge: Impact of Closure

Jonathan Edwards Excerpts

Tuesday 1st November 2022 Commons Chamber

[Virginia Crosbie]

My hon. Friend makes the point clearly that the impact of the bridge closure is far-reaching, touching not only other constituencies but every single person’s life in mine—and yes, it should have been avoided.

The Welsh Government have said that the bridge will be closed for 14 to 16 weeks. The impact on my constituents has been huge. I have had parents on the phone in tears because they do not know when or how their children will get home from school. For those working on the mainland, attending appointments, visiting loved ones in Ysbyty Gwynedd or simply trying to go shopping, a journey that previously took 20 minutes now takes two to three hours.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

I congratulate the hon. Lady on securing this debate; this is a vital issue, and it is right and proper that it is addressed and discussed in this House. Does she support the words of Anglesey or Ynys Môn council, which is asking drivers travelling to the mainland not to go off the A55 at Gaerwen and take the shortcut, because it is creating more problems at a pinch point nearer the bridge in Llanfair?

[Virginia Crosbie]

I thank the hon. Gentleman; he makes a very good point about Isle of Anglesey County Council’s directing traffic. The closure has huge implications for local traffic and local businesses, which I will go into further in my speech. Constituents in Llanfairpwllgwyngyll cannot leave their homes because the roads through the village are blocked by drivers trying to shortcut the A55 queues.

Businesses in Menai have seen their takings plummet; one shop holder contacted me to say that the usually bustling town centre was empty and one day last week she had taken no money at all for the first time in her shop’s history. People on Anglesey, already worried about how long it takes to get an ambulance in an emergency, now know that ambulances will also have to tackle huge traffic jams in both directions.

Hauliers using the port of Holyhead are already looking for alternative routes to Ireland because of the extra hours now being built into transportation time. Holyhead is the second busiest roll on-roll off port in the UK and a hugely important link for passengers and freight between the UK and Ireland. It is also a major local employer, both directly and indirectly.

One would think that, with such an important strategic piece of infrastructure, a sudden and unplanned closure would be the result of some kind of unforeseen event. However, in a statement in the Senedd a week ago, Lee Waters, the Deputy Minister for Climate Change—the Welsh Government does not have a Transport Minister—said:

“As part of the last principal inspection in 2019, a concern about the resilience of hangers that support the suspension bridge were identified and led to a weight restriction being imposed on the bridge while further studies were carried out.”

In a meeting last week with local Arriva UK Bus managers, we discussed the fact that the weight restriction was put in place only in June 2022, almost three years after the review. Arriva told me that because it was introduced at very short notice, it had been forced to restrict bus services because of the extra time now needed to cross the Britannia bridge instead of the Menai bridge. The impact locally has been most severely felt at a care home in Penmon that the bus service can no longer serve, affecting carers, residents and visitors.

The delays now being caused by the full closure of the Menai bridge mean that Arriva has had to rip up its timetable completely. It now faces the financial burden of increased fuel costs, longer trips, bus drivers unable to get to work and the loss of some passengers.

I spoke earlier about the port of Holyhead, which is a significant UK port. In 2019, 1.9 million people and 5.3 million tonnes of goods moved via the port of Holyhead to and from the island of Ireland. Back in 2020, in the run-up to Brexit, amid concerns about delays at the port, the Welsh Government recognised the importance of Holyhead when it said:

“Holyhead is the second busiest roll on/roll off port in the UK…The Welsh Government is responsible for the trunk road network, and we must ensure that plans are in place to deal with any potential disruption at this major port. We want to ensure access to the port of Holyhead remains as easy as possible. We want to minimise disruption for the communities of Anglesey and the travelling public”.

[Interruption.] It is disappointing that they did not extend that consideration when it came to maintaining the Menai bridge. It is disappointing too that, for what effectively constitutes a local emergency, they are not meeting key stakeholders to answer these important questions until 8 November—20 days after the closure.

Oral Answers to Questions

Jonathan Edwards Excerpts

Wednesday 19th October 2022 Commons Chamber

[Sir Robert Buckland]

I will be interested to take up that case in more detail with the hon. Lady. However, the Government, in acting radically on energy price intervention and with our Energy Prices Bill, which seeks to break the link between electricity and gas prices, are taking the sort of action that is absolutely necessary to help households such as her constituent. Of course, I will be happy to talk further about the particular disadvantage that her constituent faces.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

7. What discussions he has had with the Chancellor of the Exchequer on helping people in Wales with the rising cost of living.

[The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)]

I have frequent discussions with ministerial colleagues on a range of matters, including the cost of living. As I have previously said today, we are supporting households and businesses across Wales with the cost of living challenges, including on energy costs.

[Jonathan Edwards]

People in Carmarthenshire who are off the gas grid have seen huge increases in heating costs—for oil, LPG and solid fuels. The alternative fuel payment of £100 does not seem to be equivalent to the cap for gas. Will the Minister write to Welsh MPs outlining the methodology used by the British Government to calculate the AFP rate?

Support for the Welsh Economy and Funding for the Devolved Institutions

Jonathan Edwards Excerpts

Tuesday 5th July 2022 Commons Chamber

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

It is a pleasure to speak in this debate on the Welsh estimates. Let me start by congratulating the right hon. Member for Preseli Pembrokeshire (Stephen Crabb) on securing this debate and on making a fine speech, which seemed to be a damning indictment of the failures of Westminster economic policy as it applies to Wales—I hope he will be sending a copy of his speech to YesCymru.

When we have discussed regional economic policy over the years, I have often equated the scale of the challenge facing the British state to that which faced the German state following reunification. That is itself a damming indictment of the state of matters in this disunited kingdom. Germany, of course, had literally been split in two, and not only in terms of political entities and economic systems; there was a physical barrier between east and west. The Prime Minister mentioned the German example when launching his levelling-up mission.

What lessons can be learned from Germany? Although it has not fully managed to close the gap between east and west, the east of Germany now outperforms most of the geographical parts of the British state outside the south-east of England. The first lesson that all political parties need to learn is that levelling up will not be a one-term or one-Government policy agenda; such is the scale of the challenge that it will take decades, and Governments of different colours will have to be committed to the agenda. Secondly, it will not come cheap and will require considerably more funds than have been allocated to date. The flagship fund, the levelling-up fund, has an allocation of £4.8 billion. The Centre for Cities estimates that the federal German Government have invested €2 trillion between 1990 and 2014, equating to £71 billion per annum. Of course, a large part of that sum represented fiscal transfers in the shape of pensions and benefits, but 21% was deliberate financial equalisation, 13% was infrastructure investment and 9% was business support. Redistribution in the context of the British state is mostly based on welfare payments, which are largely required as a result of a failed macroeconomic policy. Without serious investment, there will not be serious levelling up. Infrastructure investment should be redirected to low-productivity areas.

[Stephen Kinnock (Aberavon) (Lab)]

I am interested in the hon. Gentleman’s comparison with Germany. Does he agree that one secret of the German success is a radical devolution model, held together in a federal state—but very much together? It is interesting that he is making the case for the German model, which is based, by definition, on a federal state, not on separating. If the German Länder had separated from each other, it probably would have ended in disaster.

[Jonathan Edwards]

I will get to the point about government structures later, but there is a definitely a debate to be had about the constitutional question. In my view, the constitutional question in Wales is very much an economic one, which is why I ultimately support independence for my country.

Finally, the post-reunification German constitution is underpinned by a coherent political structure based on powerful Länder and local governments, as the hon. Gentleman said in his intervention. Levelling up cannot be delivered from Westminster alone. What English politicians want to do with regional governance in England is a matter for them, but the Welsh, Scottish and Northern Ireland Governments must be empowered with a full portfolio of fiscal powers. I was no Brexiteer, but I will say that if the British Government were genuinely interested in maximizing their new freedoms to boost levelling up, Wales should have full powers over income, corporation tax and VAT. Of course, not only are this British Government anti-European, but they are anti-devolving powers from Westminster, and that is leading to complete economic and political stasis.

Talking about ironing out Brexit teething problems will not solve the crisis either. I often consider political discourse in this place to be outside the paradigm of reality, but the truth is that Wales and the UK are in a state of limbo. The UK is facing an inflationary spiral not witnessed in my lifetime, and it is running the worst current account deficit since records began, at a staggering 8.3% of GDP. As Will Hutton wrote in The Observer over the weekend, this is the sort of deficit

“recorded by banana republics before they collapse”.

As a direct result of post-Brexit trade policy, real export volumes are down 4.4% and import volumes are up a staggering 10.4%. Within the EU single market and customs union, the UK was the leading destination for foreign direct investment, but that is no longer the case.

All that is leading to reduced investor confidence and a slump in the value of sterling, adding fuel to the inflationary fire, which hurts every one of our constituents. The Bank of America warns that sterling is facing an existential crisis. This place should be in complete panic mode, yet Westminster plods along sticking its fingers in its ears and whistling to itself in a happy bliss of ignorance. If the British Government are unwilling to provide economic levers for Wales to solve its own problem, the only sensible solution is to rejoin the safe harbour of the European Union economic frameworks. That would boost exports, help investment and, critically, return some much-needed economic confidence and strengthen sterling.

In the time left to me, I turn to capital projects associated with the city deals. Jonathan Burnes, the director of the Swansea Bay city region deal, has warned that construction costs were high as a result of inflationary pressures, which might endanger some of its proposed projects. Furthermore, there are worries that the promised private sector investment that makes up the vast majority of the Swansea deal could fall if economic conditions worsen as expected. The key plank of the British Government’s economic policy for the communities I represent is therefore at “red” risk level. It would be helpful if Ministers could outline, in winding up, what they will do to make up the expected shortfalls.

Lastly, I highlight the challenges facing the Welsh Government’s budget, as day-to-day funding for Wales remains slightly below the 2010 level. Furthermore, the rate of real-terms reduction is currently greater than the British Government’s departmental average. When Unionists speak of the dividend that Wales gets from being part of the British state, it clearly does not apply to the funding we receive as a nation.

--- Later in debate ---

[Simon Baynes]

With all due respect, I have been part of that process. As the Member for Clwyd South, I sponsored a bid, which was granted. One point I would make—[Interruption.] Opposition Members can make their point, which I know and which I anticipated, but let us take the world heritage site at the Trevor basin in my constituency, which includes the wonderful Thomas Telford aqueduct. Hitherto, it has never had any public money invested in it by the Welsh or UK Governments. I think that the constituencies of Opposition Members have received money for so long that they do not understand how starved places such as my constituency have been over a long time.

The hon. Member for City of Chester (Christian Matheson) said that the process pitted councils against each other, but that is not how I see it. Let us look at the process, in which I have been involved. Every council can apply, although some Labour councils do not because of a political point of view, which seems a very strange approach when the money and availability are there. It is not really pitting people against each other; it is an application. The Welsh Government are themselves an opaque mechanism for distributing money to regions such as north Wales. Those of us who represent north Wales constituencies are fed up with north Wales being starved of investment and south Wales in particular getting the lion’s share. For us, it is a much fairer system.

The hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) referred to the financial problems that are besetting the country. I accept that we have high inflation and so on, but if Wales were independent, how would he get round the fact that its national net fiscal deficit—the gap between total public spending for Wales and public sector revenues from Wales—amounted to £25.91 billion at the financial year end in March 2021? This is about £8,200 per person compared with the UK average of about £4,700 per person. It seems to me that, if we went down the route suggested by Plaid Cymru Members, we would have a huge financial problem in Wales, and we never ever hear any cogent arguments to oppose that point of view. If they are going to vote for independence and to go for independence, they have to prove to the country how they would make the books balance.

[Jonathan Edwards]

I am grateful to the hon. Gentleman for taking an intervention and inviting me to respond to him. Does he not accept that the fiscal deficit is a damning indictment of failed Unionism? That is what it is: it is because of the failure of the Westminster system.

Oral Answers to Questions

Jonathan Edwards Excerpts

Wednesday 9th February 2022 Commons Chamber

[David T. C. Davies]

I would be delighted to meet the hon. Gentleman to discuss that issue. I would approach it with an open mind. I will perhaps remind the hon. Gentleman that it was a Conservative Government who established S4C. It was also a Conservative Government who introduced the Welsh Language Act 1993. He may also know that it was a Conservative Chairman of the Welsh Affairs Committee who allowed Welsh to be spoken for the first time in Select Committee hearings. Modesty prevents me from saying any more on that, but I can assure him that we will always want to support the Welsh language.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

4. What recent discussions he has had with (a) Cabinet colleagues and (b) the Welsh Government on improving broadband coverage and speeds in Wales.

[The Parliamentary Under-Secretary of State for Wales (David T. C. Davies)]

The Secretary of State recently met the Culture Secretary to discuss the delivery of the UK Government’s £5 billion Project Gigabit, which will deliver gigabit connections to the hardest to reach 20% of the UK. Up to 234,000 homes and businesses in Wales should benefit from this investment.

[Jonathan Edwards]

Diolch, Mr Speaker. According to the House of Commons Library, 17.4% of lines in my constituency receive less than 10 megabits per second, one of the worst records in the British state. It is clear, therefore, that the UK Government and Welsh Government broadband strategies are failing large parts of Carmarthenshire. Will the Wales Office emphasise that mission 4 of the levelling-up White Paper published last week prioritises areas that have been neglected so far?

[David T. C. Davies]

Those figures are concerning, and I agree that that connectivity needs to become a priority. However, the statistics will also show that the number of homes connected to fast broadband in Wales has risen from just 11% in 2019 to 47% in 2022. That number continues to rise and later this week—in fact, tomorrow—I shall be visiting the Swansea Bay growth deal to look at a project that will further increase connectivity in Wales.

Oral Answers to Questions

Jonathan Edwards Excerpts

Wednesday 17th November 2021 Commons Chamber

The Prime Minister was asked—

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

Q1. If he will list his official engagements for Wednesday 17 November.

[The Prime Minister (Boris Johnson)]

This morning I had meetings with ministerial colleagues and others. In addition to my duties in this House, I shall have further such meetings later today.

[Jonathan Edwards]

The Prime Minister will be aware of the considerable public concern in relation to the impression that significant political donations can help acquire a peerage. The hon. Member for Na h-Eileanan an Iar (Angus Brendan MacNeil) will publish a Bill later today that will prohibit large party donors from being nominated to the other place for a period of five years. Will the Prime Minister offer full Government support to my hon. Friend’s efforts?

[The Prime Minister]

I will study his proposals with care when the Opposition parties commit to stop taking funds from the unions in order to control their politics.