Oral Answers to Questions
Jonathan Edwards Excerpts(8 years, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Guto Bebb
The meetings that we are having in north Wales have been with council leaders, further education leaders and leaders of Welsh businesses, and I am glad to say that they have involved both male and female leaders. The key point is that our approach in north Wales is inclusive and supported by all stakeholders. People realise the potential of north Wales joining the northern powerhouse for the benefit of all the residents of north Wales.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
Exports are central to any rebalancing strategy. Unlike the British state, which has a gigantic trade deficit, Wales has a significant trade surplus. It is the best performing component of the UK. What assessment has the Minister made of the number of countries across the world to which Welsh companies export, and the number of trade deals that will therefore have to be renegotiated? Does he not realise that tariff-free access to the single market is vital to the Welsh economy and that—
Mr Speaker
Order. We are grateful to the hon. Gentleman. We have got his drift.
Wales Bill
Jonathan Edwards Excerpts(8 years, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
The hon. Gentleman mentions Tryweryn, and it is of course 50 years since Gwynfor Evans won that famous by-election in Carmarthen in 1966. The major stimulus of that great victory that changed Welsh, and, arguably, UK, politics was, of course, the drowning of Tryweryn. Does the hon. Gentleman think it would be a fitting memorial to that great victory by Gwynfor Evans that this Bill finally contains the devolution of water resources to Wales?
Paul Flynn
I think that would be entirely appropriate. The hon. Gentleman reminds us of matters that were subjects of great passion at the time. I believe they did—as many points in history have—concentrate the feelings of those in Wales about their national identity and what was seen to be an injustice against the people of Wales. I remember the events vividly.
Jonathan Edwards
As always, my hon. Friend is making a compelling case, full of strong arguments. Does she agree that it is slightly ironic that a referendum has just been won by those arguing for the UK to leave the European Union, partly on the basis of democracy and sovereignty, yet here we are, debating a Wales Bill which, compared with the settlement for Scotland and Northern Ireland, seems to deny sovereignty and democracy to Wales?
Liz Saville Roberts
With the Bill we are moving ahead in small steps—inching forward, painfully. I await the time when we will move ahead in a way that grants sovereignty to the people of Wales.
Many of the amendments that I have discussed so far were recommended by the Silk commission, as I mentioned previously. Other amendments in the group include amendment 85, which would remove prostitution from the list of reserved powers; amendment 117, which would remove the reservation of knives; and amendment 109, which would remove the reservation of abortion, to bring Wales into line with Scotland and Northern Ireland. Again, I challenge the Secretary of State to stand up and tell us why he voted for Scotland to have those powers, but is now telling us in Wales that we cannot have equivalent powers.
Amendment 155 is distinct in that it seeks to clarify a reservation contained in schedule 7A, and not to omit it entirely. The amendment would clarify as a reserved matter “the Crown Prosecution Service”, rather than the broader term “prosecutors”, as currently drafted. This amendment is crucial, as the existing wording of the schedule could prohibit Assembly legislation from enabling devolved authorities, such as local authorities and Natural Resources Wales, to prosecute. I hope that the Government will take note of this distinction and amend the schedule accordingly.
Amendment 156 would remove the necessity test in relation to the law on reserved matters. The test of necessity is objectionable on grounds of clarity and workability, as it is capable of a number of different interpretations. One possible interpretation is extremely restrictive and would represent a reduction in the Assembly’s current competence. The difference between a “reserved matter” and the “law on reserved matters” is explained in paragraphs 409 to 411 and 413 and 414 of the explanatory notes to the Bill.
The notes give the example of an Assembly Bill which related entirely to planning, which is not a reserved matter, but which modified a provision of a UK Act concerning telecommunications. That modification might be within the Assembly’s competence, as its purpose might relate entirely to planning, and so it would meet the test set out in new section 108A(6) of the Government of Wales Act 2006, inserted by clause 3. However, by modifying a provision of a UK Act of Parliament, which concerned a reserved matter, it would modify the “law on reserved matters”. The Assembly should be able to do so in a purely ancillary way, without also having to show that the modification made has
“no greater effect…than is necessary”.
An equivalent to the Bill provision is contained in the Scotland Act 1998. However, in the context of the Scottish devolution settlement, it is much less restrictive, as the Scottish Parliament has competence over considerably greater fields, including, of course, justice matters, and the Scottish system of civil and criminal law. Therefore, what might appear to be wider latitude for the Assembly would in practice still amount to narrower competence than that of the Scottish Parliament.
Amendment 157 would remove the criminal law restriction in paragraph 4 of schedule 7B and replace it with a restriction which provides that the Assembly cannot modify criminal law unless that is for a purpose other than a reserved purpose. It reflects the Assembly’s current competence—that is, the criminal law is a silent subject, and the Assembly can modify the criminal law if it relates to a devolved subject, or if the modification is ancillary. The Assembly, therefore, could not modify the criminal law if it was for a reserved purpose, thus protecting the criminal law around the 200 or so reservations in the Bill. The amendment would also make it clear that the Assembly could not modify the criminal law for its own sake: there must be a devolved purpose behind the modification of the criminal law. It would align the criminal law restriction with the private law restriction in paragraph 3 of schedule 7B. This would provide consistency and clarity.
I have already spoken of my party’s dismay that the Bill threatens in places to dilute, rather than augment, the legislative competence of the Assembly. In this vein, a number of the amendments in this group seek to clarify the Assembly’s powers in relation to its internal functions, as well as its overall competence to legislate. Amendments 148 and 149 seek to restore the Assembly’s competence closer to its current level. Currently, the Assembly is able to affect, in a minor way, matters that are listed as exceptions from competence in schedule 7 to the Government of Wales Act 2006. Most of these exceptions have been converted into reservations in the proposed new settlement—for example, consumer protection. However, under the new settlement, the Assembly would have no competence to legislate in a way that touches on reserved matters at all.
The Assembly can currently legislate in relation to “silent subjects”—that is, topics that are not listed either as subjects of competence, or as exceptions from competence, in schedule 7 to GOWA. The Assembly can do so only where it is also legislating on a subject that is specifically devolved by schedule 7. Many of these silent subjects—for example, employment rights and duties—have been converted into reservations in the Bill. The amendment would restore the Assembly’s competence to affect those topics in a purely ancillary way. However, that ancillary competence would still be narrower than the Assembly’s present competence to legislate on “silent subjects” when that legislation also relates to expressly devolved subjects.
In an attempt to allow the aforementioned institution to have control and oversight over its law making, amendment 6 would give the Assembly the power to consolidate, in both English and Welsh, the statutes containing the current constitutional settlement affecting Wales. No matter what our position on empowering the Assembly, I am sure we can all agree that it is important, whatever settlement we have, that that settlement is easily understood. It is disappointing that this Bill does not consolidate all existing legislation, but the amendment would allow the National Assembly to do that, in the interests of clarity. It would not allow the National Assembly to go beyond current legislation and broaden its competence.
Amendments 34 to 37 would amend paragraph 7 of schedule 2, which sets out the sections of the Government of Wales Act 2006 which the Assembly will have competence to modify. Paragraph 7(2)(d) specifically refers to those sections of part 5 of the 2006 Act which are amendable without restriction. As it stands, this does not include the ability to amend sections 120(1) or 124(3) of the Government of Wales Act 2006 which provide for “relevant persons”—otherwise known as “direct funded bodies”—which receive funding directly from the Welsh consolidated fund. That means, for example, the Welsh Government, the Assembly Commission, the Auditor General and the public services ombudsman for Wales.
Amendments 35 and 36 would allow the Assembly competence to add to, but not remove from, the list of “relevant persons”. It would allow it to enable a body that is independent of the Welsh Government also to be financially independent where that is deemed appropriate. Any use of such competence to add to the “relevant persons” would require an Act of the Assembly.
Paragraph 7 of schedule 2 provides that the remaining provisions of part 5 of the Government of Wales Act 2006 are amendable where the amendment is incidental to or consequential on a provision of an Act of the Assembly relating to budgetary procedures, and the Secretary of State consents to that amendment. I see no reason why the consent of the Secretary of State should be required to an amendment that will have no impact beyond the Assembly’s financial procedures, so amendment 37 removes that requirement.
On the remaining amendments in this group tabled in my name and the names of my hon. Friends, as I have already said, the majority of these amendments highlight areas of competence that are devolved to the Scottish Parliament, yet for some unstated reason are being reserved to Westminster in the case of Wales. No justification has been given for reserving those matters. Consequently, I shall list a number of amendments: 84, 87, 88, 90, 91, 92, 93, 94, 95, 97, 98, 106 and 103. I give the amendment numbers for a reason. It feels like the Secretary of State is allowing Whitehall to pick and choose the powers it wants to hold on to. We argue strongly that he must draw up a list of reservations based on principles. These reservations make no practical sense and the absence of principle is obvious. They range from the reservation of dangerous dogs to hovercraft, sports grounds and health and safety. We need a reason why those areas should be reserved.
In addition, there are amendments 105, 107, 104, 112, 113 and 89, which is on Sunday trading and safeguards the long-standing tradition in Wales of protecting shop workers’ terms and conditions, and amendments 114 and 115. Over and above that, Plaid Cymru has long argued that Department for Work and Pensions functions should be devolved to the Assembly. Thus amendment 100 would devolve all working age benefits that are to be replaced by universal credit and any benefit that is introduced to replace universal credit. Amendments 101, 102, 108 and 99 all relate to those areas of DWP functions that we have long argued should be devolved.
Amendments 96, 61 to 63 and 69 deal with the newly created Welsh harbours of “reserved trust ports”. Once again, this creation has no justification. A port will now be devolved unless it has a turnover of above a certain threshold. Again, that is the case not for Scotland or Northern Ireland, but only for Wales. It is yet another example of Westminster holding on to as much power as possible while appearing to be offering significant devolution. Once again, I challenge the Secretary of State to tell us why this is necessary in Wales, when he voted to devolve full control to Scotland.
Amendment 2 is consequential on new clause 1, which seeks to devolve Executive and legislative competence of the Crown estate in Wales to the Welsh Government and the National Assembly for Wales, as has been done in Scotland. New clause 7 would devolve general legislative competence in respect of agricultural, aquacultural and fisheries levies. Again, those are areas that Plaid Cymru has long argued should be devolved to the National Assembly.
Before I come to a close, I wish to note concerns expressed to me by the Welsh language commissioner regarding the Bill’s potential effect on the National Assembly’s powers to legislate in matters concerning the Welsh language. A possible effect of schedule 2 is that the National Assembly, should it wish to legislate for the Welsh language, would require the consent of the relevant UK Minister to confer, impose, modify or remove within that legislation the Welsh language functions of Ministers of the Crown, Government Departments and other reserved authorities. Under the current settlement, that ministerial consent is required only when legislating to impose Welsh language functions on Ministers of the Crown. The ministerial consent provisions of the Wales Bill in relation to the Welsh language would appear to be applicable to a wider range of persons than is currently the case, and would thus be more restrictive. I hope that that can be considered in the later stages of the Bill.
The amendments in this group should not be considered as mere separate, distinct “tweaks” to the Wales Bill. Rather, we present them as a collection of amendments, which, by their sheer number, make evident the many ways in which the current proposed legislation is deficient. No justification has been given by the Government as to why these many policy areas have been reserved, and no justification has been given as to why the Welsh Assembly should not be granted the same competence as the Scottish Parliament in these areas.
Alun Cairns
I will cover those points, but I have sought to underline the importance of the tests because they are so fundamental to the reserved powers model. Of course, the reservations will be equally fundamental. The hon. Lady mentioned a significant number of them. As I make progress, I will cover many of the points she made and invite her to intervene then.
Amendments 118 and 119, tabled by the main Opposition party, and Plaid Cymru’s amendments 148 and 149 seek to broaden the Assembly’s competence significantly by enabling it to legislate in relation to reserved matters so long as the provision is ancillary to a provision on a devolved matter. These amendments would drive a coach and horses through the key principle underpinning the new model, which is a clear boundary between what is devolved and what is reserved. They would give the Assembly the power to make unfettered changes to reserved matters such as the justice system, which we debated in detail last week, provided only that some connection to a devolved provision was established. What is more, they are simply not needed. We want to ensure that the Assembly can enforce its legislation and make it effective. We provide for this in paragraphs 1 and 2 of new schedule 7B by enabling the Assembly to modify the law on reserved matters. This is suitable to ensure that the Assembly’s devolved provisions can be enforced without compromising the principle of reserved matters.
I turn now to the proposed new schedule 7A to the Government of Wales Act, which sets out the reserved matters, referred to in general in the legislation as the “reservations”. These matters must be seen through the prism of the purpose test. A reservation is a succinct description of the subject area covered. It includes reserved authorities carrying out functions relating to that subject and criminal offences relating to that subject.
The general reservations in part 1 of the new schedule reserve the fundamental tenets of the constitution: the Crown, the civil service, defence and the armed forces, the regulation of political parties, and foreign affairs. As a single legal jurisdiction operates in England and Wales, we also reserve matters such as courts and non-devolved tribunals, judges, and civil and criminal proceedings. However, we have made appropriate exceptions to these reservations to enable the Assembly to exercise devolved functions. For example, the Assembly can confer devolved functions on the courts or provide for appeals from devolved tribunals to reserved tribunals.
Amendment 6, tabled by Plaid Cymru, seeks to modify these core reservations by allowing the Assembly to consolidate the constitutional arrangements for Wales. It surely must be a fundamental principle that the UK’s constitutional arrangements, including Parliament’s authority to devolve its own powers, are reserved. We have a constitutional settlement for Wales, the Government of Wales Act 2006 as amended, and amendment 6 is simply not necessary.
Part 2 lists the specific reservations. We want there to be no doubt where the boundary of the Assembly’s legislative competence lies. The list is lengthy because it is quite specific in its reservations and provides exceptions to those reservations. Previously, in the draft, there were some broad headlines, but the current Bill is far more specific, which necessitates further detail on what is included.
Jonathan Edwards
During this afternoon’s debate, the Secretary of State has been challenged on many of the reservations listed in part 2. In the interests of transparency, and before we get to the remaining stages of the Bill, will he commit the Wales Office to publishing a document outlining why each reservation has been made?
Alun Cairns
The hon. Member is aware that I have an open style and am happy to maintain dialogue and work with all opposition parties, as well as with the Welsh Government, in seeking to come to an accommodation. However, hovercrafts, for example, have been highlighted a couple of times. That reservation relates to technical standards and is about a distinct class of transport, such as ships in relation to shipping and planes in relation to aviation. Therefore, although, on the face of it, one might ask what the purpose of a reservation is, very often there are technical issues well beyond that. I am happy to continue a dialogue in that respect, as we continue to do with the Welsh Government.
Alun Cairns
The hon. Gentleman will know that I am happy to continue open dialogues. As Secretary of State, that is the style I have sought to use, to build on that set by my predecessor. I hope that the hon. Gentleman will want to continue working in such an open and constructive way.
Alun Cairns
I would like to make further progress, if I may.
A whole host of amendments have been tabled in relation to policing and justice. The St David’s day process found no consensus to devolve the criminal justice system in Wales. The Government gave a clear manifesto commitment that policing and criminal justice will remain reserved. In our first day in Committee last week, I made clear the Government’s commitment to maintain the single legal jurisdiction of England and Wales. Crime, public order and policing are inextricably linked to the criminal justice system. There already exists an All Wales Criminal Justice Board, which consults fully with the Welsh Government and extends to prison provision. The Welsh Government are also in regular dialogue with the National Offender Management Service about its functions.
Amendment 116, tabled by Plaid Cymru, and amendment 87, tabled by Labour, seek to remove the reservations for late-night entertainment and alcohol licensing respectively. There was much debate within this group surrounding this. The Government consider both subjects to be closely connected to policing and maintaining public order. Given that policing and criminal justice remain reserved matters, late-night entertainment and alcohol licensing should also be reserved under the principle that has been established.
Amendment 155, tabled by Plaid Cymru, seeks to reserve “the Crown Prosecution Service” rather than “prosecutors” in the general reservation on the single legal jurisdiction. There is no intention to prevent the Assembly from continuing to specify devolved prosecutors for devolved offences in the legislation. The reservation of prosecutors would not prevent the Assembly from legislating to, for example, make local authorities in Wales the prosecuting authority for particular devolved offences, as was highlighted by the hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts). I agree, however, with the underlying policy intention of the amendment and will consider further, before Report, whether the reservation of prosecutors should be modified. I am happy to return to this at that stage.
Government amendments 53 to 58, tabled in my name, seek to put Wales in the same position as Scotland in respect of the reservations in C5, which reserves all prohibition and regulation of imports and exports in and out of the United Kingdom. It does, however, allow the Assembly to control movements of certain things, such as plants, animals, foods and fertilisers, for specified purposes. The amendments seek to put the Assembly in the same position as the Scottish Parliament by extending its competence to regulate movement of these things both within Wales and in and out of Wales.
Significant attention has been given to transport reservations, with a number of amendments being tabled by both Plaid Cymru and the Labour party. The transport reservations were subject to close scrutiny when the Bill was at a draft stage, and there is no basis on which to devolve railway services, coastguard services or aspects of road transport, as the hon. Member for Arfon (Hywel Williams) proposes. It is not what the Silk commission recommended, and my focus has been on delivering powers for a purpose.
Mr David Jones
I shall speak briefly in support of amendments 158 to 160 in the name of my hon. Friend the Member for Brecon and Radnorshire (Chris Davies). He has dealt very well with the thrust of the amendments and I do not wish to repeat what he has said. However, I would like to focus on proposed new subsection (4D) which provides:
“The Secretary of State may give a direction to Welsh Ministers that applications for consent for the construction or extension of stations generating electricity from wind which would have a capacity less than 51 megawatts must be determined by local planning authorities and must not be called in or determined by Welsh Ministers.”
As I mentioned on Second Reading, there have been unintended consequences of the Energy Act 2016, which is a development of UK Government policy that provides that all applications for onshore wind generating stations should no longer be governed by the Planning Act 2008, but should instead be determined by local planning authorities. This applies also in Wales, but as a consequence of Welsh legislation, the Welsh Government have designated all wind farm developments in Wales as so-called developments of national significance, which fall to be considered by the Welsh Government.
My hon. Friend the Member for Brecon and Radnorshire is right to insert this provision. We both come from parts of Wales where the development of wind farms has caused huge problems. They have been disproportionately scattered across rural Wales and there are large areas that almost literally have a turbine on every hillside. Local communities certainly want these applications to be determined at local level, and it is entirely right that the Welsh Government, having taken it upon themselves to adopt this power, should now have it taken away from them. The power should be returned to local authorities.
As I have suggested, this has been an example of the law of unintended consequences. I am absolutely sure that the Government did not expect that, as a consequence of the Energy Act 2016, all such applications would fall to be determined by the Welsh Government. That is what has happened, however, and local communities have been disfranchised. This proposal is therefore a sensible one, and I ask my right hon. Friend the Secretary of State to give consideration to it. If he cannot accept it this evening, will he take it away and come back with another proposal on Report to address the concerns that I have outlined?
Jonathan Edwards
I rise to speak to new clauses 4, 5, 8 and 9. I also refer Members to my speech on new clauses 2 and 3 and income tax during our first day in Committee last week.
New clause 5 would devolve air passenger duty to Wales. In 2012, the Silk commission recommended the devolution of a block of financial powers, including air passenger duty, to the National Assembly. That was a carefully crafted package of measures. Those minor taxes were clearly listed as pressing, and the commission recommended that they be devolved in the next possible legislative vehicle, which happened to be the 2013 Finance Bill. For whatever reason, however, APD was missing from that Bill and a Plaid Cymru amendment that would have included it was defeated.
On the publication of its recommendations, the commission had cross-party and governmental support. However, four years on, I am disappointed that the Government have turned their back on the commission and its recommendations. They are instead simply cherry-picking the amendments that will be the least disruptive to the current devolution arrangement for Wales. In that period, we have had a Northern Ireland Act and two Scotland Acts through which APD was devolved to those countries and, needless to say, Labour and Tory MPs based in Wales supported those Acts. Wales is, once again, getting the short end of the stick when it comes to devolved taxation.
I am disappointed that the hon. Member for Cardiff Central (Jo Stevens) is not in the Chamber. Although she is apparently oblivious to her party’s inability to support the devolution of APD twice in the previous Parliament, she has rightly stated:
“Air passenger duty has already been devolved to the Northern Ireland Assembly and…to the Scottish Parliament, but despite this, the Budget did not propose that it be devolved to the Welsh Assembly.”—[Official Report, 25 May 2016; Vol. 611, c. 521.]
She asked for it to be devolved, and that is an unimpeachable argument—I agree with every word she said.
Mr David Jones
Has the hon. Gentleman given any consideration to the impact that his proposals might have on north Wales’s local airports in Liverpool and Manchester?
Jonathan Edwards
The whole point of devolving APD to Wales is to allow Welsh Ministers to set their own priorities for the aviation industry in Wales. At the end of the day, it will be up to Welsh Ministers to consider the most appropriate APD policy for Wales to maximise revenues from their own public asset. Let us remember that Cardiff airport is owned by the people of Wales. Clearly, increasing footfall at the airport could generate substantial revenues elsewhere, primarily by boosting economic performance across the whole of the economy, especially in the Secretary of State’s own Vale of Glamorgan constituency.
I am not privy to the Cardiff airport’s strategic planning, but my understanding is that the element of APD that the airport is most interested in is long-haul taxation. As I mentioned, the airport has a superb runway that can accommodate transatlantic flights, which Bristol airport cannot. If Cardiff were to develop that angle of its business, that could surely be of use to Bristol airport, if transport links between both airports could be improved. There lies a challenge for the Welsh Government, because our international airport urgently needs public transport upgrades to get people from Cardiff—and indeed Swansea—to and from the airport. The current infrastructure is awful, compared with that of Belfast, Glasgow and Edinburgh.
Recent public opinion polls suggest that 78% of Welsh voters agree that APD should be devolved. That does not quite compare with the percentage who support the introduction of Welsh bank notes, but that incredibly high number is still a clear indication of public opinion. It takes a brave politician to ignore opinion poll figures of those proportions.
Furthermore, the National Assembly should have more responsibility for the money it spends. The Secretary of State for Wales himself has said that increasing its taxation responsibilities makes the Assembly “truly accountable” to the people of Wales, so why not include air passenger duty in the list of devolved taxes? Why continue to limit the financial responsibilities of the Welsh Government? Jane Hutt, the former Minister for Finance and Government Business in the Welsh Government, who I am not in the habit of quoting, has said:
“It is…disappointing that the UK Government has decided to continue its procrastination over the devolution of Air Passenger Duty. This discriminatory approach is unacceptable and unjustifiable”.
We have seen during the progress of the Bill that what the Labour Government say in Wales does not necessarily translate into voting behaviour where it counts down here in Westminster. Official Opposition Members might be relieved to hear that I do not intend to press the new clause to a Division, but I will return to the matter on Report. I hope that, in the meantime, the Secretary of State will listen to one of the most important strategic players in his constituency and his country, and I look forward to him bringing forward Government amendments to devolve APD before the Bill completes its progress through the House.
I now turn my attention to new clause 4, which would equalise the situation between Wales and Scotland when it comes to VAT revenues. The Scotland Act 2016 stated that revenues from the first 10 percentage points of the standard VAT rate would be devolved by the 2019-20 financial year. The current UK VAT rate is 20% and half of all the VAT raised in Scotland will be kept in Scotland. It is important to note that the Scottish Government will have no ability to change VAT rates.
Sales taxes in the United States are state taxes, not federal taxes, so different states have different levels of their version of VAT. We propose equalising the situation with Scotland because although EU rules prohibit different sales tax levels within the boundaries of a member state, adopting the Scottish model could pave the way, in a post-Brexit scenario, to devolving VAT in its entirety to Wales, to Scotland and to Northern Ireland. In a post-Brexit UK, it seems clear that significant political and fiscal power will have to be conceded by Westminster unless the post-Brexit vision is an even more lopsided state in which power and wealth are even more concentrated in London and the south-east.
The Scottish model has some incentivising benefits as it would help to galvanise the Welsh Government to boost the spending power of our citizens by basing a job creation strategy around well-paid jobs and seriously getting to grips with our low-wage economy. As page 4 of Cardiff University’s excellent “Government Expenditure and Revenue Wales 2016” report states:
“VAT was the largest source of revenue in Wales (raising £5.2 billion), followed by Income Tax (£4.6 billion) and National Insurance Contributions (£4.0 billion). The composition of revenues in Wales is markedly different from the UK as a whole. Large direct taxes…make up less of a share of total Welsh revenue, while a greater share is raised through indirect taxes”.
The report’s point is that indirect taxes such as VAT generate more revenue in Wales than direct taxes such as income tax. The report also indicates that Welsh tax revenues have grown by 12.3% since 2011, the main component of which was VAT revenues.
As long as we have a Tory UK Government, economic growth will continue to be based around consumer spending. If that is the case, it is all the more important that the people of Wales directly benefit from that growth and from their own spending power. Denying Wales the same powers as Scotland on VAT seems to be a deliberate attempt to undermine revenues for the Welsh Government.
New clause 4 is probing, so I will not be pressing it to a vote at this stage, but I look forward to hearing the UK Government’s justification for why they have not given Wales the same status as Scotland, especially considering the good performance of Wales—for whatever reason—in generating VAT revenues. I may return to this matter during the Bill’s later stages.
Similarly probing are new clauses 8 and 9, which would devolve corporation tax to mirror the situation in Northern Ireland. As a proud Welshman, I want my country to succeed. I desperately want our GDP to increase and to close the gap between the GDPs of Wales and the UK. If that is to happen, we unquestionably have to make Wales a more attractive place to do business. I want to make Wales the most attractive place in the UK to do business, and I hope that the Secretary of State for Wales would want the same for his country.
Most other countries are able to set their own rates of corporation tax. It is a lever with which a national Government can influence their country’s desirability to potential investors, but Wales is restricted from doing so. We are forced to compete with the other UK nations with our hands tied behind our backs. Northern Ireland has a huge competitive advantage over Wales, and we know about the rate in the Republic of Ireland, with which we share a sea border. We cannot build a High Speed 2 for Wales. We cannot electrify our railways and we cannot offer tax incentives. We are constantly forced to come to Westminster with a begging bowl. We are still waiting for even an inch of electrified railway. We are still not getting full Barnett consequentials from HS2, let alone getting our own high-speed rail, and we are once again being told that we cannot use corporation tax as a way of attracting business.
Alun Cairns
I am listening carefully to the hon. Gentleman’s proposal on devolving corporation tax. How would Wales cope with the significant volatility of corporation tax income?
Jonathan Edwards
I am grateful for that intervention because it provides a great insight into the Secretary of State’s thinking. If that is his argument on fiscal powers, he should align himself with the Labour party, which opposes Wales having income tax powers for exactly the same reason. This is about whether one believes that the Welsh Government can use such levers effectively to create jobs in our country. That intervention is indicative of the Secretary of State’s mindset.
Given that corporation tax is devolved in Northern Ireland, I hope that the Secretary of State will do his job, stand up for Wales and make it a devolved tax in Wales, as was recommended by the Silk commission’s report.
Glyn Davies (Montgomeryshire) (Con)
Thank you, Sir Alan, for calling me to speak in this hugely important debate. All Welsh Members recognise the Bill as an attempt to create a stable, long-lasting devolutionary settlement for Wales that provides financial accountability to the Welsh Government. I associate myself with many of the comments from both sides of the Committee, although I do not agree with everything that has been said.
I want to refer specifically to amendments 158 to 160, which have featured quite a lot in today’s debate. I have been inspired to speak in part by the contribution of the shadow Secretary of State for Wales, in which he was positive about energy. There is real potential for Wales to become an energy giant. I have been to Dinorwig about three times and have been inspired by the history of what Wales has achieved in energy production. We have even had—the shadow Secretary of State will not agree with me on this subject—nuclear energy generation in Wales on a considerable scale. It has formed part of a real decarbonisation effort, which I have supported and which we may well carry on at Wylfa B. We have the Swansea Bay tidal lagoon project and other such projects, and there is wonderful potential for Wales if they go ahead. At this stage, the issue is clearly one of whether they will become financially viable. There is no doubt that the tidal range is amazing, and I certainly hope that those schemes can be approved and that Wales can carry on its history of making a contribution to energy generation.
I am also inspired by those who tabled the amendments, including my hon. Friend the Member for Brecon and Radnorshire (Chris Davies) and my right hon. Friend the Member for Clwyd West (Mr Jones). The devolution of energy is a difficult issue for me, and I want to run through the reasons why. My concern is about onshore wind farms and the implications of onshore wind, particularly for my constituency. I am desperately keen to support the devolution process and keen that the Wales Bill be successful, particularly in relation to financial accountability. The Bill will enable the Assembly to become a Parliament and to grow up. However, the Welsh Government’s history when it comes to onshore wind causes huge problems, certainly in my constituency. They are landscape vandals—landscape philistines. That has been the general approach of the Welsh Government to onshore wind in my constituency. There are probably more wind turbines in Montgomeryshire than anywhere else in Wales.
Turning to the scale of what the Welsh Government want, they wanted another 500 turbines and a 40 km, 400 kV cable into Shropshire, which would have devastated my entire constituency. Powys County Council had to spend a huge amount of money simply to defend its constituency. The Ministers know what I am about to say, as they have heard me say it before. The only reason I can support this Bill is, ironically, that the Welsh Government have behaved in a centralising way when the UK Government devolved power to local authorities to decide on onshore wind farms. On the same day they devolved this to local authorities in Wales, the Welsh Government took that power back to themselves, like some old Soviet republic grabbing power to itself and away from the people. It was scandalous but the Welsh Government did that.
Gwynfor Evans and Welsh Politics
Jonathan Edwards Excerpts(8 years, 5 months ago)
Westminster HallRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
I beg to move,
That this House has considered the commemoration of the contribution of Gwynfor Evans to Welsh politics.
Diolch yn fawr iawn, Mr Stringer. It is an absolute pleasure to serve under your chairmanship and to introduce this debate in honour of the late, great Gwynfor Evans. Before I start in earnest, I thank Lord Dafydd Wigley for sharing his 2012 lecture on the life and work of Gwynfor. I am also indebted to Gwynfor’s former chief of staff, Peter Hughes Griffiths, for his invaluable input. As one of his parliamentary successors, it is an enormous honour for me to pay tribute to him in this House for his achievements and contribution.
Gwynfor was the greatest Welshman of the 20th century. I never had the privilege of meeting him, which is one of the greatest regrets of my life. I travelled to his funeral in Aberystwyth with my predecessor, Adam Price, a matter of days before the 2005 Westminster election. We do not do state funerals in Wales yet, but that day was most certainly an unofficial one. The town ground to a standstill as people travelled from all parts of our country and beyond to pay their respects.
In his lecture, Dafydd Wigley answered his own question on why Gwynfor was so important to Wales and our nation. At the funeral, he said in his tribute:
“If Gwynfor had not believed with such passion, exhibited such an unwavering commitment, such an incredible perseverance, then Wales would not be what it is today. It was he who created the aspiration within us”.
That is why Gwynfor is seen as the father of modern Wales. Without him, we would not have our own Senedd, our own Government, or a clear demand among our fellow citizens for greater autonomy. It is a fitting tribute that the latest YouGov poll last night put Welsh support for independence within the EU at 35%.
Without Gwynfor, we would not have our own dedicated Welsh language channel. Perhaps more importantly, we would not have our clear sense of Welsh nationhood—that common bond displayed so wonderfully over recent weeks at the Euro 2016 championship in France. Without him, we would not be discussing yet another Wales Bill later today. Of course, his influence goes far beyond our country. Arguably, without him Scotland would not be on the verge of independence—an inevitability hastened by the events of 23 June.
The brilliant Wales football manager Chris Coleman said after the famous 3-1 victory over Belgium in the quarter final of the Euro 2016 championship last Friday:
“Don’t be afraid to have dreams. Don’t be afraid to fail”.
He was not referring to Gwynfor when he said those words, but they sum up the impact that the great man had on the thinking of the generations of Welsh nationalists who followed him.
The stimulus for this debate was, of course, Gwynfor’s incredible victory in the Carmarthen parliamentary by-election in 1966, exactly 50 years ago. Perhaps one of the most iconic photographs in Welsh political history is the one of Gwynfor, perched on the balcony of the guildhall in Carmarthen, addressing the thousands upon thousands of people who had converged on the town that summer evening on 14 July 1966.
At the time of the by-election, Plaid Cymru was in a very bad position. We had contested 23 Welsh constituencies in the 1966 general election and lost deposits in every seat but two. There were real divisions within the national movement about the way forward following the election, and about the despair felt at the powerlessness of the people of Wales to stop the drowning of our valleys for English exploitation once Tryweryn had been opened.
The party, in a Brexit state of financial despair, was only able to fight the by-election following the generosity of that other great political leader of Carmarthenshire, D. J. Williams, who sold his family home, Penrhiw in Rhydcymerau. In a result that changed history, Gwynfor won 39% of the vote and secured a majority of 2,000. It was an earthquake that shook Welsh and UK politics to its core. It blew apart the myth that Plaid Cymru could never win a parliamentary election. It inspired generations to fight for the cause of Wales and, thankfully, secured the principle that the national movement could achieve its political objectives via constitutional means.
Mike Weir (Angus) (SNP)
I join in the tribute to Gwynfor, who I met once when he was campaigning for S4C. The Carmarthen by-election laid the ground for the fantastic by-election in Hamilton the following year, when Winnie Ewing won for the Scottish National party and started the rise of our party. We pay great tribute to Gwynfor and to the history of both our parties.
Jonathan Edwards
I am grateful for that intervention, which shows the very close links between Plaid Cymru and the SNP. I shall be referring to the Hamilton by-election shortly.
Gwynfor’s victory was no fluke. In March 1967, Vic Davies won 39.9% of the vote in the Rhondda and cut the Labour majority to just 2,000. In 1968, the polymath Professor Phil Williams won more than 40% of the vote in Caerphilly, losing by only 1,800 votes, with a swing of 29%. The Prime Minister, Harold Wilson, was in a state of panic about the national upsurge in Wales and Scotland, where the SNP’s Winnie Ewing had won the Hamilton by-election in November 1967, so he set up a royal commission. The resulting report by the Kilbrandon commission was published in 1973 and recommended legislative Parliaments for Scotland and Wales.
For Plaid Cymru, Gwynfor’s victory led to representation in this House over the past 50 years by politicians of incredible calibre. Gwynfor was followed by Dafydd Wigley and Dafydd Elis-Thomas in 1974; Ieuan Wyn Jones in 1987; Cynog Dafis and Elfyn Llwyd in 1992; Simon Thomas in a by-election in 2000; and my direct predecessor, Adam Price, and Plaid Cymru’s current parliamentary leader, my hon. Friend the Member for Arfon (Hywel Williams), in 2001. I was elected in 2010, and my talented hon. Friend the Member for Dwyfor Meirionnydd (Liz Saville Roberts) was elected in 2015. I genuinely stand on the shoulders of giants—politicians whose names will be celebrated in Welsh history for eternity. Without Gwynfor, though, it is highly unlikely that any of the aforementioned individuals would have graced this place and made their own vital contributions in developing our nation.
In this House, Gwynfor made his mark on a plethora of political subjects. His deep commitment on issues such as nuclear disarmament, industrial democracy, social co-operation and international concord allowed him to make a significant impact on Westminster politics. Men of conviction often face ridicule from their detractors. As they say, “First they ignore you, then they fight you, then they agree with you”. That was certainly the case for Gwynfor, who faced personal hostility unworthy of this House. However, much like other great political leaders across the world, from Ghandi to Mandela, at the time of his death there was a general recognition across the political spectrum that his contribution transcended partisan lines.
Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
Does my hon. Friend agree that it is a credit to Gwynfor Evans’ vision of nation building that the poll to which he referred earlier shows that Plaid Cymru’s support is at its highest ever level?
Jonathan Edwards
I am grateful for my hon. Friend’s intervention. I definitely believe that we would not be where we are without Gwynfor’s contribution. Even if they did not agree with him, everybody accepted that he based his politics on principle, and that everything he did was aimed at creating a better Wales.
Gwynfor was born in 1912 in the Barry. He was brought up in a deeply Christian family, and his religious non-conformism was very important to him. Despite the huge political pressures on him, Gwynfor continued to teach Sunday school at his local chapel in Llangadog after moving to Carmarthenshire. While I was doing research for this speech, I learned of Gwynfor’s great love of cricket. He represented the Welsh schools team during the 1930 season. Since being elected, I have campaigned for a Welsh national side. Considering the fact that in the past decade our great nation has reached a rugby world cup semi-final and won three grand slams, and that tomorrow our football team will play for a place in the Euro 2016 final—I am wearing a Welsh national football tie in their honour—it is about time we had a national cricket team.
Gwynfor awakened to the cause of Wales while at Aberystwyth University. It must be contagious, as both myself and my hon. Friend the Member for Dwyfor Meirionnydd were fortunate enough to study there, as was the Under-Secretary of State for Wales—I am delighted to see him in his place and that he will be responding to the debate. I am informed that the piece of literature that sealed the proverbial deal was the masterpiece “The Economics of Welsh Self-Government”, by my political hero D. J. Davies. D. J. had written his booklet in 1931, and by 1934 Gwynfor was a fully paid up member of Plaid Cymru. As Gwynfor’s biographer, the BBC journalist Rhys Evans, said, that changed Welsh history:
“It was Gwynfor who created the national movement…Gwynfor was also the founder of the Parliament for Wales campaign…There is now a lasting memorial to that organisation in Cardiff Bay—it is the Assembly, the unmistakable symbol, for better or worse, of the desire of the people of Wales to live as a democratic nation.”
In 1937, Gwynfor became a member of the party’s national executive committee and by 1943 he was vice-president. Then, at the Llangollen conference of 1945, just five days before the atomic bomb exploded over Hiroshima, he was elected as president of Plaid Cymru, aged just 32. He would remain the party’s leading political figure for the next 36 years.
Despite his burning nationalism, it is important to remember that Gwynfor was a great internationalist. He was also a committed pacifist, so I am sure that he would have been proud that I am probably the only living person on Earth who has entered the Pentagon and proclaimed, in a meeting with the top military brass, that I am a member of an anti-war party. I am sure Gwynfor would have enjoyed my mischievous intentions.
For Gwynfor, his pacifism was arguably even more important than his nationalism, and he campaigned vigorously against the Vietnam war. His economics strongly supported economic units that are larger than nations, which I suppose is a lesson for Brexiters. He believed that a free market is a device that safeguards the individuality of nations. He strongly supported a British single market and I suspect that if he were alive today he would be doing everything he could to secure tariff-free access to the European single market.
It is not called “the national struggle” for nothing, and Gwynfor’s career is living proof of that. He had to overcome several bitter electoral losses. In his darkest moments, he would walk from his home in Talar Wen, near Llangadog, and climb the slopes of the Garn Goch. Like many of my fellow citizens, I find that our beautiful landscape is a source of endless inspiration and therapy. The love for our land and our people is the basis of our politics. It is fitting, therefore, that Gwynfor’s memorial is suitably located on that barren mountain, which overlooks the beautiful Tywi valley.
However, there is no doubt that for Gwynfor the biggest political blow was the devastating loss of the 1979 referendum. With a Government majority of only three, Plaid Cymru and Scottish National party MPs skilfully forced the concession of national referendums in their respective countries. While Scotland voted yes, only to be denied their own parliament by a clause that required a threshold of 40% of the electorate voting for change, Wales voted overwhelmingly against even a meagre form of self-government.
Dafydd Wigley wrote that Gwynfor wanted to accept that the Labour Government were sincere in their promise that they supported devolution, despite the proposed model being far weaker than the model recommended by the Kilbrandon Commission, as it had no legislative or taxation functions. However, Labour allowed its MPs based in Wales to campaign for a no vote. In the end, 79.74% of people voted against self-government, and there is no doubt that Gwynfor took the loss personally. He felt completely betrayed by Labour, which had allowed its MPs to work with the Tories against their own party. Soon after, the Labour Government lost a vote of no confidence and a general election was held, which the Tories, under Margaret Thatcher, won by a landslide. Gwynfor, after the morale-sapping defeat of the referendum, lost Carmarthen. He would never hold elected office again and there were genuine concerns about his health.
Gwynfor was offered a peerage, but he turned it down flatly, telling the party’s new Westminster Leader, Dafydd Wigley, that there was only one Lord and that he did not abide in a palace on the banks of the Thames. A lesser man would have been crushed mentally and physically by the twin political blows of 1979. However, Gwynfor was about to embark on arguably his most famous battle.
The new Conservative Government had pledged during the election in 1979 to create a new Welsh language television channel. Gwynfor viewed such a channel as a vital step to help secure Welsh as a living language in the modern world. In his epic autobiography, “For the Sake of Wales – The Memoirs of Gwynfor Evans”, he recounts the battle for S4C in great detail. On 12 September 1979 in Cambridge, the new Home Secretary, William Whitelaw, announced in a surprise statement that the new Government would not honour their pledge to set up a new Welsh language channel.
Gwynfor suspected that the decision of the Home Secretary was a case of the Westminster establishment taking advantage of the desperation in the national movement. The response in Wales to the decision was uproar. Getting both main Westminster parties to agree to a Welsh TV channel had been one of the great successes of the Welsh national movement in the 1970s, which was won only after heavy terms of imprisonment had been imposed on many patriots. For the language campaigners of Cymdeithas Yr aith, the TV channel was a priority if Welsh had any hope of surviving as a living language.
Gwynfor saw the decision as a direct attempt to break the spirit of the Welsh people once and for all. In his memoirs, he quotes the bard T Gwynn Jones:
“Ysbryd Gwlad! Os badog lu
Cas Iwyth fu’n ceisio’i lethu
Iddo trwy hyn ni ddaw tranc
Heb ddiwedd y bydd ieuanc.”
That roughly translates as:
“A country’s spirit! If treacherous and vicious throng ‘have tried to quench it, it will never be overcome by this, but will remain endlessly young.”
Gwynfor therefore viewed the decision as a direct challenge to the existence of the Welsh nation. Considering the crushing personal blows that he had just received, it says everything about the stature of the man that he had the clarity of thought to motivate himself once more. With patriots across the country—including some of the greats of the nation, such as Cynog Dafis, Meredyth Evans, Ned Thomas and Pennar Davies—up in arms and even taking direct action against TV transmitters, Gwynfor committed himself to one last action for his country.
Dafydd Wigley has recounted how he and Gwynfor were returning in a car from a St David’s day dinner in Llanberis in 1980 when Gwynfor said, out of the blue, that he would not be with Dafydd the following year as it was his intention to fast until death over the betrayal of the new Government. Gwynfor did not expect the Thatcher Government to back down; he expected to die. However, it was a sacrifice he was willing to make, because his primary aim was to motivate the Welsh nation to believe once again in their country and face down the challenge of the British establishment.
Gwynfor decided that he would make his statement in May and, following the advice of his son-in-law, the great language campaigner Ffred Ffransis, he decided to give the Government five months’ warning before beginning the hunger strike in his study in Talar Wen. He would begin his fast to death on 5 October 1980, but before then he embarked on a national tour. The response of the Welsh establishment was hostile to say the least, but Gwynfor galvanised the national movement.
Media coverage extended far beyond the borders of Wales; The Sunday Times even carried a sympathetic article in the language of heaven itself. TV crews from Canada and Germany turned up at Talar Wen. Articles appeared in the main newspaper of Catalonia, in Scandinavia and in The New York Times. The campaign gained momentum, leading many people to plead with Gwynfor that he could achieve far more if he called off his threat to fast. However, his mind was set; he felt that he could achieve far more for Wales by dying than by living, and that that was the appropriate action to take.
Peter Hughes Griffiths and the party’s chief executive, Dafydd Williams, helped Gwynfor to arrange 22 meetings between 6 September and the beginning of the fast. About 2,000 people turned up to the launch of the series of talks at Sophia Gardens in Cardiff, the home of Welsh cricket. The following night, Gwynfor was in Glasgow, where over a thousand people attended the meeting at the McLellan Galleries. At the same time, the great and the good of Wales, including the Archbishop of Wales, Gwilym O Williams, Sir Goronwy Daniel, Michael Foot and Cledwyn Hughes, held meetings with Government Ministers and implored them to reconsider. However, Gwynfor received feedback that the Government had no intention of making a U-turn.
The speaking tour continued and, as Gwynfor wrote in his memoirs, there were signs that Welsh nationalism was on the verge of becoming an overwhelming force. He wrote that it is a simple truism that that is the only thing that Westminster fears in Wales, and it fears it greatly. I personally live for the day when the people of Wales grasp this simple reality, as the people of Scotland have.
On Wednesday 17 September, the Government yielded and Margaret Thatcher would perform her first and possibly her only U-turn as Prime Minister. However, Gwynfor’s first reaction was disappointment, not elation. He thought that a few more weeks of campaigning would have shifted the tectonic plates in Wales for ever.
The meeting that night was scheduled for Crymych, and when Gwynfor announced his intention to withdraw his threat of going on hunger strike, the 800-strong crowd erupted in emotion. It was his greatest political victory and to make the point somebody mischievously painted on the banks of the Embankment, opposite this House, “Gwynfor 1 - Thatcher 0”. We will settle for that score tomorrow night, Mr Stringer.
A half-hour debate of this nature could never do justice to the contribution of Gwynfor Evans. If I had a full day of debate, I could talk about Gwynfor the Christian, Gwynfor the internationalist, Gwynfor the pacifist, Gwynfor and Europe, and Gwynfor the historian. He was also a prolific writer, publishing well over a million words. If the opportunity to speak about Gwynfor arises again in future, I am confident that I would comfortably beat the record four-hour speech that William Gladstone made in this House when he delivered his 1853 Budget.
Following the events of the last few weeks, I have given some thought in preparing this speech to how Gwynfor would have reacted if he was alive today. It would not be right of me to presume to know the thinking of a far superior intellect than mine, but based on his writings I think we can safely assume that he would now be advancing the need for our country to position ourselves economically within a tariff-free single market as an imperative; that politically Wales must have the freedom to choose its own future; and that when the UK ceases to exist following Scottish independence, as I foresee, that will be a material change in condition, and our nation will again need to have a debate and a vote about where our future lies.
Gwynfor’s place in history is secure. He was chosen by readers of Wales on Sunday and the weekly Welsh-language publication Y Cymro as a millennium icon, ahead of Lloyd George and Aneurin Bevan, and even ahead of Owain Glyndwr. Glyndwr was ranked the seventh most prominent global figure of the past millennia by The Sunday Times, which gives an indication of the esteem in which Gwynfor is held within Wales, and across the world.
Gwynfor Evans died at his home in Pencarreg on the morning of Thursday 21 April 2005, at the age of 92. His biographer, Rhys Evans, says:
“Gwynfor wanted to return to Garn Goch, to the soil, the land of Wales where his politics had taken root. Nevertheless, as his ashes blow in the wind, his legacy survives.”
As I said earlier, my great friend Dafydd Wigley offered incredible help in composing this speech. When I asked him to summarise Gwynfor’s political contribution to our country—and I will finish with this as I could not put it better myself—he replied:
“Gwynfor Evans was Wales’ greatest 20th century patriot. Without his dedication and unswerving determination, Wales wouldn’t today have the degree of national autonomy we enjoy and neither would the Welsh language have secured its official status. Future generations will look back to the 1966 by-election as a turning point in our history and salute the good people of Carmarthenshire for making it happen.”
Diolch yn fawr iawn.
The Parliamentary Under-Secretary of State for Wales (Guto Bebb)
It is a pleasure to serve under your chairmanship, Mr Stringer. I congratulate the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) on his speech, which was very passionate, as I would have expected. It was slightly OTT at times, not in relation to Gwynfor Evans but in his comments about the way in which politics is moving in Wales. It is early days to measure the impact of the EU referendum on Wales, but I certainly join in with the mood of the Chamber in highlighting Gwynfor Evans’s contribution of to the life of Wales over the past century and his continuing influence on the way in which Welsh life and politics are developing. It is a sad reflection on that contribution that Carmarthen voted to leave the European Union, which must have been a great disappointment to the hon. Member for Carmarthen East and Dinefwr—it certainly was to me.
Jonathan Edwards
In our sampling, Carmarthen East and Dinefwr voted conclusively for remain. It was Llanelli that let us down, so it is the Labour party’s fault.
Guto Bebb
I am more than happy to accept that straw poll evidence, but it is important to say that Gwynfor was associated with Carmarthenshire and with Wales, and there is no denying that in both contexts the result was a disappointment.
This is a great opportunity to join in the tributes to the life of Gwynfor Evans, 50 years after the political earthquake of the 1966 by-election. As the hon. Gentleman clearly stated, the party of which Gwynfor Evans became the first MP was not performing particularly well in the 1960s; there was a question mark over its future, so the 1966 result was transformational. Indeed, it contributed to the development of the Scottish National party, with the 1967 Hamilton by-election. Subsequently, even though the 1970 general election saw Gwynfor Evans lose his seat, before regaining it in 1974, there was an SNP victory in Western Isles. As a result, there has been SNP or Plaid Cymru representation in this place since 1966, which, I would argue, has contributed to the gaiety of the Chamber.
As has been mentioned, it is fair to say that Gwynfor Evans was a great writer, although whether he was a great historian remains to be seen. My grandfather was considered to be a historian and he knew Gwynfor Evans very well. I am glad that, unlike the hon. Gentleman, I met Gwynfor Evans on more than one occasion. I was at a victorious rally in Porthmadog back in 1980 when Gwynfor Evans was carrying on with his tour in relation to the S4C issue, obviously after the U-turn. I think Gwynfor took a leaf out of my grandfather’s book regarding history. My grandfather used to say that history was about saying good things about good people and I think that Gwynfor Evans’s view of history was to say good things about Wales, regardless of the evidence, but that is no bad thing. The purpose of his writing was to inform but also to persuade, and that is something we can forgive in an activist historian. I would argue that there is a place for such a historian.
If ever there was a political career that tried to replicate that of Robert the Bruce, Gwynfor’s was it. Time and again he failed, and time and again he carried on regardless. He stood unsuccessfully in Meirionnydd on at least two occasions, if not three, but there was never a situation in which he acknowledged defeat. The way in which Gwynfor took on adversity and carried on campaigning for what he believed in is a lesson for anyone involved in politics, and it clearly shows that political success is not necessarily measured in election success. I think I am right in saying that Gwynfor won only two elections in his entire career, but his contribution is much greater than that of many other Welsh MPs who won many more.
It is important to highlight Gwynfor’s political career, but the influence of that career relates not to the fact that he was elected to this place but to the way in which he fought for the Welsh language and culture, and the way in which he put those issues on the agenda. Early in his career, Gwynfor argued for the need for official recognition of the Welsh language. That came to pass. We had the Welsh Language Act 1967, which was rather weak but a step in the right direction, and I am proud to be a member of the party that delivered the Welsh Language Act 1993. I would go as far as to say that perhaps that Act was more carefully considered than the Welsh Language (Wales) Measure 2011, which was passed by the Welsh Assembly, but that would be a controversial statement at this point in time, and would go against the nature of the debate.
It is fairly clear that without the victory that Gwynfor Evans secured in 1966, the 1967 Act and the 1993 Act would not have been passed. The contribution of the two Acts was to normalise the concept of the Welsh language as part and parcel of everyone’s daily life. It is important to realise that before the Acts were passed, it was perfectly conceivable for children to be raised speaking Welsh at home and knowing that they lived in Aberteifi, yet to see a sign saying “Cardigan” when they were driven in and out of the town. The difference that 50 years has made is that everyone in Wales is now aware, when they drive into Wales, that Wales is a bilingual country. Back in 1966, when Gwynfor won that by-election that was certainly not the case, and we should acknowledge his contribution to the Welsh language. Clearly, there is still work to be done, but there is no doubt that the work that was started with such passion by Gwynfor Evans should be continued.
It should also be highlighted that Gwynfor Evans’s commitment was not just to the Welsh language as a stand-alone issue but to Welsh culture as well. I think I am right in saying that he chaired more national Eisteddfod days than any other politician and probably more than any other figure in the 20th century. His commitment was total: he was a Welshman through and through and he lived and breathed the language. We should also acknowledge the contribution that his family have subsequently made. Gwynfor was not someone who spoke in public about the need for the Welsh language and Welsh culture and then did nothing at home; he also delivered, ensuring that his family followed in his footsteps.
A few other issues are worth touching upon. S4C was undoubtedly the pinnacle of Gwynfor Evans’ career. S4C has been a political hot potato since I came into this place in 2010, and I hope I have contributed to protecting the funding of the fourth channel. It is genuinely superb to have been able to follow the Welsh football team all the way to the semi-finals of the European championship, and to do that with Welsh commentators. I pay tribute to players such as Aaron Ramsey who have been happy to tweet in Welsh during the tournament. The fact that we have Welsh coverage and Welsh pundits, such as Malcolm Allen—a credit to Wales, who could challenge the Icelandic commentator—is entirely due to the contribution made by Gwynfor Evans. It is crucial, therefore, that we maintain the support for and the funding of S4C because of its contribution not just to the culture of Wales but to its economy.
I am pleased to have been able to respond to the debate in the manner that I think would have been expected. The debate is a tribute to an important parliamentarian, but also to a politician who made much more of an impact outside the Chambers of this place than within them. I was not aware of the comment Gwynfor Evans made when he was offered a peerage—that there was only one Lord and that he did not reside on the bank of the Thames—and I leave hon. Members with this controversial comment: it is interesting that two of Gwynfor’s successors as party leader did not share that view.
Question put and agreed to.
Wales Bill
Jonathan Edwards Excerpts(8 years, 5 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Liz Saville Roberts
I agree entirely with the hon. Gentleman. The sheer weight of that evidence underlines the fact that we struggled to find other points of view.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
Amendment 5 is very well worded, if I may say so, because it was drafted, word for word, by the Labour Government in Cardiff. They wanted a separate legal jurisdiction for Wales, and they promised it as a major pledge before the Assembly election. What does my hon. Friend think it will say about the authority of Carwyn Jones among his colleagues here in London if the Labour party does not support that amendment today?
Liz Saville Roberts
I agree with my hon. Friend. I would expect there to be some concordance between both points of view, but that seems not to be the case.
Nick Thomas-Symonds
At the moment, anyone who issues a claim would have a choice about where to issue it. For example, when I practised in Cardiff, it was easy for me to issue something to my client in Bristol if I wanted to, so in a sense those statistics do not really add any meaning to my argument. Companies would have an element of uncertainty introduced to their business if they were to trade on a cross-border basis—the last thing I want is for Offa’s Dyke to become an additional barrier to access to justice.
Jonathan Edwards
The hon. Gentleman will be aware that Scotland and Northern Ireland have their own separate legal systems. Using his vast experience in that field, how does he think they should overcome those problems? I have been listening carefully to what he has been saying, and it seems as if he is fundamentally disagreeing with those on his Front Bench on this issue.
Nick Thomas-Symonds
I am not disagreeing with those on my Front Bench—I have made it clear that we are looking for a pragmatic way forward. For Scotland and Northern Ireland the history is very different, as I am sure the hon. Gentleman is aware. In Wales we can go back to the 1530s and the Tudors for the origins of the single legal jurisdiction, but the position is very different for Scotland and Northern Ireland.
Why do we now have the opportunity to consider a more pragmatic way forward? Amendment 7 makes it clear that there will be a review to consider the functioning of the system. The hon. Member for Dwyfor Meirionnydd made a point about having two legislatures within the single legal jurisdiction. That is unusual, but it does not mean that there cannot be a pragmatic way forward for the years ahead. Indeed, the amendment includes a proposal to always have regard to the divergence in the law. The Bill explicitly recognises the Welsh body of law, and there will be one because as the legislature goes forward, it will produce the case law to form that. There must be an annual report on the functioning of the justice system—something that I suggest all Members of the House should welcome.
Jonathan Edwards
I honestly mean it when I say that I warmly welcome the hon. Gentleman to his post. He is a man of great principle, and I am a great admirer of his. Because he is a man of great principle and because he says he supports the meaning and wording of amendment 5, should he not act on those principles and support Plaid Cymru in the Lobby later?
Jonathan Edwards
There has, of course, been a material change in conditions, following the events of the last few weeks and the EU referendum. From our perspective, we just want to get the Bill on the statute book, so that we can move on to the next big debate about the future of our country. Is the Minister seriously saying from the Dispatch Box today, after the events of the last few weeks, with Scottish independence imminent in the next few years and with Irish unification never being closer since Lloyd George decided to split that country in two, that this Bill will hold Wales together for the next generation?
Guto Bebb
The hon. Gentleman is a passionate speaker and a strong advocate for his position. In a debate in Westminster Hall this morning, however, I warned of the dangers of creating history as we want to believe it to happen. I am not as yet convinced that there is enough evidence to suggest that Scotland is imminently about to leave the United Kingdom—[Interruption.] I am not convinced. There was a referendum two years ago that provided a fairly clear result. I think it would therefore be inappropriate to legislate on the basis of the wish list of the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards)—much as I enjoy that wish list and the passion with which it is articulated.
The Government are fully committed to maintaining the single legal jurisdiction of England and Wales. It has served Wales very well. It is also our firm view that it is the most effective, efficient and consistent way to deliver justice. The issues raised by the hon. Member for Torfaen (Nick Thomas-Symonds) highlighted some of the complexities that would be created if we moved away from that single jurisdiction at this point in time. The vast majority of law is not devolved, so there is no justification for a separate jurisdiction that would create significant upheaval and huge costs. It is worth highlighting that cost issues cannot be swept under the carpet. There would be a cost implication with very little benefit. I wonder whether Plaid Cymru Members have carried out a cost-benefit assessment to weigh up the benefits and the costs that would be incurred.
Amendment 5 envisages separate legal and court jurisdictions, administered by a common judiciary and court staff. It is designed to provide clarity, but I am not sure that it would. I think it would create more confusion, having the opposite effect—a point made by the hon. Member for Cardiff West (Kevin Brennan). The same people would be charged with administering two separate legal regimes where there is currently a commonality of law and procedure. This would have downstream consequences and it would impact on how the legal system works. It is difficult to justify such an impact on the basis of the current body of Welsh law.
We have heard the argument that the situation in Scotland and Northern Ireland is simpler because they have separate legal jurisdictions. I expected to hear that argument, but it ignores the historical reality that there has been—there always has been for that matter—a separate Scottish legal jurisdiction. I have engaged previously with the hon. Member for Carmarthen East and Dinefwr on the laws of Hywel Dda, who is rightly remembered for the legal system he put in place.
Hywel Williams
I have considered that, and it is my opinion and that of the Presiding Officer that it would not put her in that difficult position. These amendments are hers, after consideration. The point about parity and similarity with Scotland is persuasive, to our minds.
Jonathan Edwards
Is it not the case that under the Bill as drafted, the Welsh Government could act unilaterally if they so decided, whereas if the spirit of the amendments were accepted, adapted by the Government and incorporated in the Bill, the power would reside with the Presiding Officer, but only with the support of the legislature, which means that there would have to be cross-party support before she acted?
Hywel Williams
I take my hon. Friend’s point entirely. The four Assembly elections held so far have not produced a majority Government, so the consent of the Assembly collectively would be required in that situation. I am not casting any aspersions on the motives of Governments in Cardiff, London or anywhere else, but the amendment would remove any suspicion of political advantage being sought.
By adding a strict seven-day timeframe, during which period the Assembly must meet and elect a Presiding Officer, the Bill once again puts Wales on an unequal footing with Scotland. The Scottish Parliament is allowed 14 days to carry out this function. Given the history of the outcomes of elections to our Assembly, as I said a moment ago, and the obvious consequence that time has been required for the parties to discuss all manner of arrangements, seven days for this particular exercise seems unreasonable. That is why amendment 29 extends this period to 14 days for the Welsh Assembly.
Amendment 30 amends the Government of Wales Act 2006 so as to confer powers over varying the date of an ordinary general election to the Presiding Officer, as opposed to transferring this power directly to Welsh Ministers under the Bill as currently drafted. Finally, amendment 31 amends the 2006 Act so as to ensure that powers over proposing the date of an extraordinary general election are given to the Presiding Officer. The amendment once again extends the timeframe during which the Assembly is required to meet following an election to 14 days, thus establishing parity with Scotland.
These amendments are meant to probe and promote discussion. We do not intend to press them to a vote.
Jonathan Edwards
I am grateful to the Minister for the tone of his reply and for his clarification. Having read up on the potential implications of the Brexit situation, whereby the new Prime Minister may decide to call a snap election, I wonder whether it would be possible, under the terms of the Fixed-term Parliaments Act, for the new Prime Minister to call a vote of no confidence in him or herself, therefore triggering an election.
John Penrose
If the hon. Gentleman is not already in his party’s Whips Office, he probably should be, because that is a proper Whips Office wheeze. Were such a thing legally possible—I defer to others to decide whether it would be—I do not think it would pass the test of democratic credibility. Any Government who sought to precipitate their own downfall through that kind of mechanism—voting against themselves and saying they were not competent—would, as a practical matter, probably be judged quite harshly by voters in the polls. However, I appreciate that we are talking about theoretical circumstances, and we will have to leave that issue to the future to decide.
The point I was trying to make is that there are legitimate arguments on both sides, and both systems—one here, and one in Scotland—already persist quite happily side by side in British constitutional arrangements, and the question is now being raised in relation to the Welsh Assembly. I do not want to say that one system is inherently legitimate or illegitimate, or that one is necessarily better or worse than the other. It has to be a question of what is acceptable to local decision makers—in this case, Assembly Members and their officials in the Welsh Assembly.
We are therefore sympathetic to taking this issue away and thinking about it carefully. I thank the hon. Gentleman for raising it, and he makes a thought-provoking case. If he agrees, I would be happy to take his amendments away—I think he indicated they were probing amendments—to see whether we can take this issue forward or at least develop his ideas and thinking a little further.
Question put and agreed to.
Clause 5 accordingly ordered to stand part of the Bill.
Clauses 6 and 7 ordered to stand part of the Bill.
Clause 8
Super-majority requirement for certain legislation
Stephen Doughty
I am not going to be taken down that rabbit hole. I want to concentrate on the details of the Bill. I make my point because, despite having those views and pro-devolutionary instincts in supporting the most of the Bill—as I said, I am even willing to go further—I have also always believed in applying two tests to proposals put before us.
First, whatever is proposed must deliver better outcomes for the people of Wales. It is absolutely crucial that we look at this in the context of our unique history. Our history is not the same as that of Scotland, our legal history is not the same as that of Scotland, and the nature of our polity and development is not the same as that of Scotland. There are distinct and unique things about Wales that we should consider that do not apply to Scotland. We always have to ask: is this the right solution? I apply that particularly to issues such as policing, the justice system and criminal jurisdiction. I am not saying that they should not be looked at in the future, but I believe in a practical test of whether they will deliver better outcomes. It is not just about sticking a dragon on something and saying it will be done better; this has to be approached in a very cold and hard-headed way.
Secondly, I have always believed in the consent of the Welsh people when making major constitutional change. I support very much the intent of amendment 11, which I will support if it is pressed to a Division. We have considered the fiscal framework for Wales before moving forward with any devolution of income tax powers. There is a fundamental principle at stake here. Clause 16 would remove the requirement for a referendum. We have had two referendums in this country, one in Wales and one in Scotland. In Scotland, the question related to the devolution of income tax powers. It was the second question in the Scottish referendum of 1997 and it passed by 63.48%. The Scottish people were asked that question and voted for it separately from the question on whether there should be a Scottish Parliament. In Wales, we had a referendum on 3 March 2011 on a much lesser question, which was whether the Assembly should be able to make laws on the areas for which it already has responsibility. I did not think we needed that referendum at all. It was obvious that Wales should have had primary law making powers—it should have had them from the beginning. I always thought it absurd, sitting there in the early days of the Assembly discussing odd details of secondary legislation, that we did not have that primary law making power, so I am glad we have moved in that direction in terms of the Assembly’s core competences.
Whether or not people agree with devolving income tax powers, the question is a very fundamental one that changes the nature of the settlement for the Assembly and the Welsh Government. The question should be put to the Welsh people. I think it would pass in the current context, despite what some people say. Many in Wales would want to see it pass, and it should be put to them. It is a matter of precedent: we have had the two previous referendums, but we are not getting one on this question. I cannot understand why. We are not giving the Welsh people a voice. Whatever side people were on in the referendum campaign, it was crucial that the British had their say on such a fundamental decision.
I think that clause 16 is a mistake, but I will support our amendment 11, which goes fundamentally to the question of getting a fair fiscal settlement for Wales.
Jonathan Edwards
I rise primarily to speak to new clauses 2 and 3 in my name and those of my hon. Friends the Members for Arfon (Hywel Williams) and for Dwyfor Meirionnydd (Liz Saville Roberts). I intend to push them to a vote, with the leave of the Committee, but I understand that that will take place on the second day of the Committee, as opposed to today.
Amendment 32 is a technical amendment that should not be controversial. The Welsh language has thankfully gained official status in Wales. The National Assembly is a bilingual body and official statements must be made in both languages. There is, therefore, no need for the Bill to include such a provision. I support the principle of clause 8, which essentially means that before any changes can be made to the new constitutional powers devolved in the Bill, the support of two thirds of Assembly Members would be required. This would essentially require cross-party consensus to change the name of the Assembly, people’s entitlement to vote, the electoral system, constituency numbers and the number of elected representatives in the National Assembly.
I look forward to a swift consensus developing around renaming the National Assembly “the Senedd”, which would help to create clearer boundaries between the legislature and the Executive. Despite previous changes to the Welsh constitution, far too many people and commentators cannot distinguish between the work of the Executive, the Welsh Government, and the work of the legislature, the National Assembly. I also look forward to a consensus developing around votes for 16-year-olds. If an individual is old enough to start full-time employment or serve in the armed forces, they must have a say over who gets to form the Government. Extending the franchise to 16-year-olds during the Scottish referendum was a huge success, and we should aim to replicate it in Wales, not least because it would mean only eight more years before my daughter can vote for herself, as opposed to filling in my ballot paper—following strict instruction, I hasten to add.
Stephen Doughty
The hon. Gentleman and I disagree on many issues, but on this we are in firm agreement. I have heard from many constituents, particularly when visiting schools and colleges, that young people want the franchise extended to 16 and 17-year-olds. I spent a lot of time campaigning on the Scottish referendum, and it was clear to me that, if we engage younger people in the political process, not only can they take part fully in the debate but they can add to it. We should all support that.
Jonathan Edwards
I am grateful for that intervention. I think that we can move swiftly on this in Wales and build a consensus in the Assembly. It would be a very progressive move, as the hon. Gentleman has just outlined.
Mr Mark Williams
Did the hon. Gentleman also detect from polls in the last fortnight a healthy appetite among 16 and 17-year-olds for participation in the decision that we, as adults, were able to make and which they, as young people, should have been able to make?
Jonathan Edwards
That is another valid dimension. It was clear that the younger generations were very much in favour of remaining a part of the EU. The morning after the referendum, I was the guest speaker at the graduation service of Coleg Sir Gâr, the local further education college, and in particular the Gelli Aur campus, which specialises in agriculture courses. I started my speech by apologising to those generations of young people—mostly 16 and 17-year-olds—who had been unable to participate in the referendum but for whom the decision made on their behalf will arguably leave a far greater legacy.
Albert Owen (Ynys Môn) (Lab)
A consensus seems to be growing here on 16 and 17-year-olds having the vote. Rather than Wales mirroring some other parts of the United Kingdom, we should be radical in moving forward even further by talking about compulsory voting in Wales. Seventy four per cent. voted in a referendum, but if those others who felt disfranchised voted, the result might have been different. What we are talking about is radical Welsh politics.
Jonathan Edwards
I am grateful for that intervention, and what the hon. Gentleman says will be part of the debate as we go forward. I recently took part in a radio programme with the hon. Member for Cardiff Central (Jo Stevens), and we had a vibrant debate on this issue. My one concern about compulsory voting is that it moves voting from being a civic right to a civic responsibility, which is a very big change in attitude. I am not saying that I have closed my mind to it, and I acknowledge that the hon. Member for Cardiff Central made some persuasive arguments, but I shall reserve my judgment until the time comes.
Jo Stevens (Cardiff Central) (Lab)
Does not the hon. Gentleman agree that civic responsibility is a good thing per se? Rather like jury service, it is a means by which people can give something back to society. Compulsory voting, whereby someone votes for a party or just turns up and registers the fact that they have come to the polling station, is a responsibility that we should all have.
Jonathan Edwards
I appreciate that intervention, and the National Assembly has, of course, legislated on that basis through the organ donation Bill, whereby donating has become a civic responsibility for people in Wales as opposed to a voluntary responsibility in which people had a choice. All these things will be part of the mix when these powers are devolved. I believe our politics will be far healthier for that. Luckily, these issues will be determined by people further up the chain of command in my party than myself—by those who sit in our own sovereign Parliament in Cardiff.
I look forward to a consensus developing around the need for a proportional electoral system. If we are talking about compulsory voting, it has to go hand in hand with a change to a more proportional electoral system. We cannot allow one party to gain 50% of the seats on the basis of 30% of the votes, as we saw last May. That is bad for democracy and it is a hugely corrupting influence on our politics. There is a chance here for Labour Members to show that they are genuinely interested in the national interest as opposed to the interests of the Labour party. I shall hold my breath on that one, as Labour colleagues seem to be more interested in compulsory voting than having a proportional electoral system.
Wayne David (Caerphilly) (Lab)
Does the hon. Gentleman not accept that, in the interests of democracy and effective representation, a strong case can be made for maintaining the constituency link between a representative and his or her constituents?
Jonathan Edwards
I fear that we are getting into a debate about PR, and my party is strongly of the view that we need to go down that road. We will have to address these issues as we go along. The last election was a wake-up call where one party had 50% of the seats but only 30% of the votes.
Albert Owen
Speaking as someone who was involved in the first referendum, I know that this was a big issue. It was argued that the Assembly would be different and we would have a hybrid system, which was put in place to help the smaller parties such as the hon. Gentleman’s party. It is not the fault of the Welsh electorate that they do not vote for his party or do not like it. We have moved considerably from this place, which has a full first-past-the-post system, to a hybrid system. In north Wales, Labour topped the poll but did not get one Member.
Jonathan Edwards
I am grateful for that intervention. The people of Wales will listen to what politicians have said today, and they will make their own judgment. My personal view, for what it is worth, is that the number of seats that a party has within an electoral body should reflect the percentage of votes they receive during the election. We will see how things develop in Wales.
My hon. Friend the Member for Dwyfor Meirionnydd spoke at some length about clause 10. Needless to say, I agree with every word she says, and I will join her in the Lobby to vote against it later this evening.
Amendment 33, tabled by my hon. Friends, is designed to ensure that the legislature of Wales has to authorise the drawing of money from the Consolidated Fund and that such funds can be used only for the purposes for which they were authorised. This is straightforward, and I hope that the UK Government will accept it.
Under clause 14, the Secretary of State will no longer be statutorily bound to visit the National Assembly each year. This is a positive move, which equalises the relationship between the Westminster Parliament and the National Assembly. It might also save the embarrassment of some of the less active Members in the National Assembly. I seem to recall a story from the last Assembly in which the previous Secretary of State for Wales, the right hon. Member for Clwyd West (Mr Jones)—I am disappointed that he is not in his place, because I think he would have enjoyed this—had spoken more words than the previous Assembly Member for Islwyn.
Amendments 38 to 45 are technical, and I hope the UK Government will accept them. They deal with the naming of the legislature and the establishment of a legislatures commission in the event of a name change, and ensures that the provisions in clause 15 extend to both the English language and the Welsh language names.
Susan Elan Jones
The hon. Gentleman is in full flight, but would he continue to support all those moves if the net result was to make Wales poorer?
Jonathan Edwards
In what sense would it make Wales poorer? I am more confused by the Labour position the more Labour Members intervene. The hypocrisy of Labour’s position does nothing to further the good name of politics. Most depressingly, it shows that both the Labour party and the Conservative party rejoice in treating the people of Wales as second-class citizens and Wales as a second-class nation.
Wayne David
Will the hon. Gentleman not accept the fundamental and basic point that unfortunately Wales is a far poorer country than Scotland and that the danger in what he is proposing is that he will make Wales poorer?
Jonathan Edwards
That is a damning indictment of the current situation. I have faith in my own people and my own country to be able to develop our own economy and create wealth. The big plus of devolving fiscal powers is that it would incentivise the Labour Government in Cardiff to stop spending money on their pet projects and start concentrating on increasing tax revenues to spend on public services. That is why I support the devolution of fiscal powers.
Stephen Doughty
I have great faith in the Welsh people as well, and I have a lot of faith in the Welsh Labour Government. However, does the hon. Gentleman not accept that even in the short to medium term Wales would be poorer? Wales is a net recipient of funding from the rest of the UK, and that helps benefit all the people in Wales. In the short term, we would lose out. Does he not accept that?
Jonathan Edwards
The powers as envisaged do not involve the complete block grant. The block grant—the total money available to Wales—will not change on day one. The only issue of contention is the fiscal framework; I have been making that point. The devolution of the fiscal power itself is not an issue in terms of making Wales poorer on day one.
There is also a technical reason why we should be fully devolving income tax powers. It is far more difficult to create a fair fiscal framework to accompany the partial devolution of income tax as opposed to full devolution. The result of this would be to enable future Welsh Governments to continue to avoid responsibility for their mistakes. In the interests of transparency, accountability and—critically—incentivisation, I hope even at this late stage that the UK Government will accept my new clause 3.
A key element of ensuring that the devolution of income tax is devolved successfully is the empowerment of the National Assembly to set income tax thresholds. New clause 2 aims to achieve this objective and I will press it to a vote on the second day of Committee, with the Chair’s permission. If we have time, I would also like to press new clause 3. We will discuss these new clauses on Monday.
New clause 2 is of vital importance as we embark on the journey of devolving income tax powers. The setting of thresholds is a key component of being able to use those powers based on domestic considerations. The Welsh economy in comparison to other parts of the UK is, regrettably, currently a lower-wage economy, a concern raised by Labour colleagues. New clause 2 would enable the National Assembly ultimately to determine the number of income tax thresholds and the levels at which they are set, including, critically, the basic rate. That freedom would enable the Finance Minister of the Welsh Government, whoever he or she may be, to set innovative income tax structures aimed at maximising revenues for the Welsh Exchequer to invest in Welsh public services, but also to encourage wealth creation and encourage investment.
It has been a consistent policy of the current Chancellor to increase personal allowances—in other words to increase the rate at which people begin paying income tax. Brexit may lead to a radical reversal of this policy in the coming months and years by the next Chancellor as revenues reduce. However, the key point is that as long as the ability to set personal allowances is reserved to London and Wales has a low-wage economy, decisions by Chancellors here could have a significant impact on the revenue available to invest in Welsh public services.
It really is all or nothing when it comes to the devolution of income tax and, as someone who supports making the Welsh Government fiscally responsible, I very much hope that the UK Government decide to support the former. Diolch yn fawr iawn.
Nia Griffith
I shall speak to several amendments, in particular amendment 11, which provides that income tax powers may not be devolved to the Welsh Assembly until a fiscal framework has been approved by both Houses of Parliament and the Welsh Assembly.
We have always said that a fiscal framework must ensure that Wales is not disadvantaged by taking on the devolution of some income tax powers. In the wake of the EU referendum result, it is all the more urgent that the Government develop a coherent and redistributory regional funding strategy not just for Wales, but for the whole of the UK.
The EU uses specific criteria for designating the areas that should receive structural funds by comparing the income of an area with the EU average. Areas in Wales such as the valleys and west Wales have benefited because they have a GDP that is less than 75% of the EU average, as has Cornwall, and many other areas have benefited because their GDP is between 75% and 90% of the EU average, including south Yorkshire and Merseyside. It is, broadly speaking, a needs-based system. As Members across the House will remember, Holtham recommended that funding for Wales should be based on a needs-based formula. However, a sophisticated formula would take time to develop.
It is simply unacceptable for Wales to accept the devolution of income tax without an order in both Houses and the consent of the Welsh Assembly, because those measures would give elected Members the chance to discuss the funding and the fiscal framework so that we do not see a cut to our funding and then get told to make up the rest by increasing income tax.
Wales Bill
Jonathan Edwards Excerpts(8 years, 6 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Alun Cairns
The right hon. Gentleman will recognise the funding floor introduced by my right hon. Friend the Chancellor of the Exchequer, which was a clear commitment and promise delivered by the Government. Of course, the Barnett adjustments need to be considered, and discussions between the Welsh Government and the Treasury and my officials are ongoing. We would like to see progress on those matters as the Bill is scrutinised throughout the parliamentary process. Both Administrations are determined to find a transparent way that will rightly serve the people of Wales and the Welsh and UK taxpayer.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
I wish to draw the Secretary of State’s attention to the comments of his colleague the Secretary of State for Scotland on the Scotland Act:
“This is a truly significant day for Scotland. If this Bill completes its parliamentary progress, it will add to the already extensive responsibilities of the Scottish Parliament a range of important new powers. It provides even greater opportunities for the Scottish Government to tailor and deliver Scottish solutions to Scottish issues.”—[Official Report, 23 March 2016; Vol. 607, c. 1683.]
Was the Secretary of State for Scotland right, and if so, why has the Secretary of State for Wales brought forward a Bill that pales into insignificance when compared with the Bill given to the people of Scotland?
Alun Cairns
I am somewhat disappointed by the tone the hon. Gentleman is taking. We have developed the Bill through consensus. We have responded to the comments that were made following the publication of the draft Bill, and before that we had the St David’s day agreement, in which his party was an active participant. We have sought to develop political consensus, but ultimately we do not have a uniform approach to devolution. What is right for Scotland is not necessarily right for Northern Ireland or for Wales. Clearly we have different circumstances and needs, and we should respond to those needs by developing appropriate Bills. I hope that the hon. Gentleman will actively participate and seek to improve the Bill through the parliamentary process; I am determined to achieve a Bill that all Members of the House will be at best satisfied with.
Alun Cairns
The basis of this clause has been drawn from the Scotland Act. It would be a matter for the courts to judge in such a situation, but this underlines the principle that Parliament is sovereign in these matters, although we will absolutely respect the rights of the Assembly. That is why we have included a clause stating that we will not “normally” legislate on devolved areas.
The debate on the draft Bill, which was published for pre-legislative scrutiny last autumn, was dominated by justice issues. In particular, it focused on something that was labelled the necessity test, and the inclusion of the test led to calls for a separate jurisdiction. I have listened to those concerns, and this Bill has moved a long way from the draft version and is by general consensus more suitable. The necessity test was believed to set too high a bar, and calls were made for a lower threshold. I have gone further, however, and removed the test entirely when the Assembly modifies the civil and criminal law for devolved purposes. As a consequence, many of the arguments for a separate legal jurisdiction for Wales should have fallen away.
However, I recognise the validity of some of the points raised during pre-legislative scrutiny about the existence of Welsh law. The Bill formally recognises for the first time that a body of Welsh law made by the Assembly and Welsh Ministers forms part of the law of England and Wales within the England and Wales jurisdiction. The recognition of Welsh law needs distinct arrangements. As a result, I have been working with my right hon. Friend the Justice Secretary to establish an officials-led working group to look at how those administrative arrangements should be improved. The group includes representatives from the Judicial Office and the Welsh Government, and it will take forward its work in parallel with the progress of the Bill through this House and the other place.
The single jurisdiction can readily accommodate a growing body of Welsh law without the need for separation. There are many reasons why a separate jurisdiction would be to the detriment of Wales. As well as the unnecessary upheaval and cost of such a change, the economic and commercial interdependence of the legal profession on both sides of the border means that separation would undermine the success of one of Wales’s fastest growing sectors—the legal profession.
Jonathan Edwards
Will the working group be looking at the justice impact assessments mentioned in the Bill, and will it present its report before we have our final vote on the Bill on Third Reading?
Alun Cairns
The terms of reference for the working group have been published, and I would expect it to report in the autumn. The justice impact assessment is a matter for the Assembly and for scrutiny by Assembly Members. The principle of having a justice impact assessment is fundamental to proper scrutiny of any mature legislature. With your permission, Madam Deputy Speaker, we might be able to debate that when I get to that element—as I am about to do now.
Some Members, such as the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), have asked me about the requirement in the Bill for justice impact assessments to accompany Assembly Bills, and I would like to take this opportunity to clarify its purpose a little further. It is only natural for a mature legislature to consider the consequences of its own legislation. The impacts of Assembly Bills are assessed against a range of matters, including, quite rightly, the Welsh language and equalities, but no formal assessment is made of their potential impacts on the justice system, which is vital for its laws to be enforced properly. It is simply common sense that any such matters are considered and such an assessment is made, to help with the efficient delivery of justice services.
The Government committed in the St David’s day agreement to implementing—
Jonathan Edwards
This is the key point in relation to these new impacts. Who is going to be making the assessments? I take it that the Minister’s view is that that is a matter for the Welsh Government, but would those assessments at any point lead to a trigger whereby the Ministry of Justice could object to Welsh legislation?
Alun Cairns
It is a matter for Assembly Members, and the requirement is that the Standing Orders include a request for a justice impact assessment. No, there will be no veto arising out of the justice impact assessment. Let me give the hon. Gentleman a practical example.
The Renting Homes (Wales) Act 2016 has supporting documents in excess of 30 pages, with 15 lines talking about the justice implications or the consequence thereafter. The principle we are requesting is that full, proper consideration be given to the justice consequences that arise thereafter. That is mature scrutiny, and I pay tribute to the way in which the First Minister responded to the question on the Floor of the Assembly some weeks ago. Rather than a general accommodation with the Standing Orders, we are talking about a specific request for a justice impact assessment.
The Government committed in the St David’s day agreement to implement a clear devolution boundary for Wales. The reserved powers model at the heart of the Bill will make the Welsh devolution settlement clearer by drawing a well-defined boundary between what is reserved and what is devolved. Anything not specifically reserved is devolved to the Assembly and the Welsh Ministers—it does not get clearer than that! The Bill’s pre-legislative scrutiny prompted a wide-ranging discussion on what the future shape and structure of Welsh devolution should be. The list of reservations included in the draft Bill was criticised as being too long. We have listened, and the list in the Bill now contains fewer reservations and I have made the descriptions more accurate. More importantly, there is a clear rationale for reservations that are included. The list of reservations will never be as short as some would like, but clarity requires specificity. The list included in the Bill will be subject to further fine tuning, but I believe that, broadly, we have struck the right balance.
The Bill also clarifies the devolution boundary by defining which public authorities are Wales public authorities—devolved bodies—with all other public authorities being reserved authorities. To add further clarity, the Bill lists those bodies that are currently Wales public authorities, a list we have compiled in consultation with the Welsh Government and the Assembly Commission. Naturally, the consent of the UK Government will be needed if an Assembly Bill seeks to impose or modify the functions of a reserved body. That follows the well-established principle that the Assembly approves through legislative consent motions UK Government legislation that touches devolved areas.
The final key element of a clear settlement is the change we are making to the functions of Welsh Ministers. It is hard to believe that Welsh Ministers have not been able to exercise common-law powers up to now, unlike Ministers of the Crown and Scottish Ministers; the Bill puts the misjudgment of the Government of Wales Act 2006 right. Similarly, the Bill also removes the current restriction on the Assembly being able to modify Minister of the Crown functions in devolved areas. It lists those functions that Ministers of the Crown and Welsh Ministers exercise concurrently or jointly, and the small number of Minister of the Crown functions in devolved areas the Assembly could modify, with the consent of UK Ministers. All remaining Minister of the Crown functions in devolved areas will be transferred by order to the Welsh Ministers.
Taken together, these provisions deliver a settlement that will make it clear whom people in Wales should hold to account—the UK Government or the Welsh Government—for the decisions that affect their daily lives. I would like to inform the House that some minor clarifications have been made to the explanatory notes relating to some of these clauses, and revised copies of the notes are available for Members.
Nia Griffith
The Secretary of State has told us that he will clarify that, so we will know whether that will be possible. I understand from what he has said today that it is very unlikely, because he said it was about people who can vote, not the system itself, but we await clarification from him to know where we are going.
The Bill is designed to strengthen and streamline the current devolution settlement. For example, clause 18 allows the Assembly to implement European Union legislation directly where it relates to devolved matters. That is a sensible development, and one that I sincerely hope does not become redundant by the time the Bill goes into Committee after the referendum recess.
The biggest structural change in the Bill is the move to a reserved powers model, as recommended by the Silk commission. As Silk said, that should allow the Assembly to legislate
“with greater confidence and with greater regard to the purpose of the legislation, rather than being constrained by uncertainty”.
That change will bring greater clarity to our devolution settlement and, if the Government get the Bill right, it should result in fewer cases being taken to the Supreme Court. Too much public money has been spent on such manoeuvres.
I welcome the important statement on the permanence of the Assembly and of Welsh government in clause 1, and the inclusion of the Sewel convention that the UK Parliament will seek consent from the Assembly before legislating on devolved subjects. This recognises that just 17 years since the process of devolution began, the Assembly has become a fundamental part of our constitutional landscape. In 2011 the Welsh people voted for the Assembly to have full law-making powers, an important sign of confidence in the institution. Together with this Parliament, the Assembly should now be recognised as one of two significant legislatures that represent the people of Wales.
It was the Assembly’s ability to pass laws in devolved areas that the draft Bill put at risk in the most unnecessary and short-sighted way. It is a simple fact that as a law-making body, the Assembly must have the ability to change the law, but the draft Bill would have required it to pass a number of necessity tests before being able to amend the civil or criminal law. In the words of David Melding, the Conservative Chair of the Assembly’s Constitution Committee, these tests would have created
“an atmosphere of profound uncertainty”.
He went on to say:
“Taken to extremes, the very exercise of the legislative function could be compromised.”
I am pleased that the Government have seen sense and removed these tests so that the Assembly can amend the law when it needs to, but there are other tests that I will return to later.
The removal of the necessity tests means that a distinct body of Welsh law will continue to grow over time, a fact that poses a challenge to the single legal jurisdiction of England and Wales. We understand that the justice impact assessments outlined in clause 10 are intended to address this point, but a more long-term solution may need to be found at some point in the future. We trust that the working group consisting of the Ministry of Justice, the Lord Chief Justice and the Welsh Government will keep this issue under review.
On the areas of the Bill that require more work, I want to deal with the reservations, the necessity tests, and the devolution of income tax. It was a common theme in the response to the draft Bill that the list of reservations was far too long. Even the Secretary of State’s predecessor expressed surprise at the number of reservations—an unusual admission, given that it was his Bill. This rather suggested that there was a lack of a clear rationale for the compilation of that list. I note that the list of reservations in this Bill is very slightly shorter but it still runs to 34 pages, and the justification for reserving some subjects is far from clear.
The root of the problem with the reservations in the draft Bill was that the Wales Office allowed Whitehall to have free rein in deciding which areas it was willing to devolve, rather than adopting the principled process that the Silk commission recommended. In its report on the draft Bill, the Welsh Affairs Committee said that Whitehall Departments should be given
“clear guidance about the questions they should ask themselves before deciding whether or not to reserve a power”,
and that this guidance
“must be published prior to the publication of the Bill, so that the final list of reservations can be assessed against the criteria given.”
It is regrettable that no such fresh guidance has been published, which would allow us to decide whether the list of reservations has been drafted with clear criteria in mind.
In response to the Select Committee’s report, the Secretary of State said:
“The explanatory notes that accompany the Bill provide a clear rationale for each reservation included in the list.”
I am afraid that this is not the case. The justifications offered in the explanatory notes are patchy at best. Most just state what is reserved, without explaining why. We will consider the list in more detail as the Bill proceeds, but the Secretary of State must be ready to justify each of the reservations and to present a rational basis for the final list.
It is already clear that some of the reservations are unjustified. The decision to create a special category of reserved trust ports is one example. This means in practice that control of every Welsh port except Milford Haven will be devolved to the Assembly. The Government have presented no sensible justification for this, or for the turnover requirement in clause 31, based on the Ports Act 1991. As the Bill stands, ports that meet an annual turnover requirement of £14.3 million or more remain under the control of the UK Government, while powers over those with a smaller turnover would be transferred to Welsh Ministers. This seems to create a perverse incentive, because if the Welsh Government foster economic development in smaller ports, which significantly increase their turnover as a consequence, the Welsh Government could find that they lose control over those ports.
In the absence of an explanation, we can only assume that the Government want to keep control of the most profitable ports, with a view possibly to privatising them in future, as indeed the Government considered doing in 2011. Strange, is it not, that this annual turnover is the same threshold above which ports can be privatised under the 1991 Act? Previous privatisation proposals have raised serious concerns about asset-stripping by speculators and the fragmentation of ports, and these dangers would be just as real in the case of Milford Haven.
On the necessity tests, I am pleased that the most problematic of these, relating to civil and criminal law, have been removed from the Bill. This has made the Bill markedly clearer and more workable than its predecessor. However, two necessity tests remain in clause 3 and in paragraph 1 of new schedule 7B. As many witnesses noted during the Welsh Affairs Committee’s inquiry into the draft Bill, the problem with these tests is the uncertainty surrounding the word “necessity”. A representative from the Law Society described it as certainly not a term that is as well understood by lawyers as a concept, which raises the potential of legislation being challenged not just in the Supreme Court, but in the course of other civil and criminal proceedings. Given these very real concerns, would it not be preferable to ditch the necessity tests entirely and retain the wording in the Government of Wales Act 2006, which avoids invoking this legally difficult concept?
On the ministerial consents, we welcome the simplified system proposed in the Bill, but the Government could go further. The Welsh Affairs Committee has recommended introducing a 60-day time limit for consent to be given or refused. A change to this effect would give greater confidence and I urge the Government to consider adopting it in law.
Finally, on income tax, the current situation is that the Welsh people would have to support the devolution of income tax in a referendum before the powers could be transferred to the Assembly. This Bill removes that requirement, meaning that the Secretary of State could devolve income tax powers via an Order in Council, without the Assembly even having to agree to it. That cannot be right. Allowing the Assembly to levy taxes is a very significant constitutional development, and one which should not take place without a clear democratic decision, so we are asking the Secretary of State to consider amending the Bill to require the Assembly to agree to the devolution of tax powers before they are devolved.
Jonathan Edwards
The shadow Secretary of State for Wales will be aware of the comments of the shadow Secretary of State for Scotland, who said on the BBC on 9 November 2015, on the Scotland Bill, which gave full income tax powers to Scotland:
“When this Bill becomes law, it will present the Scottish Parliament with the opportunity to make Scotland the fairest nation on earth.”
I assume that that would be an objective for the hon. Lady and her party. Why, therefore, is she dithering about giving her colleagues in the Assembly the same powers as Scotland to achieve that objective?
Nia Griffith
It comes as no surprise that an intervention from the hon. Gentleman focuses on his party’s determination to see Wales become an independent state, regardless of the economic consequences. As I have just explained, it is crucial to give the Assembly the opportunity to negotiate a proper, fair fiscal framework with a “no detriment” principle before it accepts responsibility for income tax. That opportunity is extremely important.
Mr David Jones (Clwyd West) (Con)
I congratulate the Secretary of State on introducing the Bill. I have to say, however, that that should not be interpreted as meaning that I greet it with unalloyed enthusiasm. This is the fourth major piece of constitutional legislation aimed at conferring devolved powers on Wales in less than 20 years. The very fact that we are in the Chamber to debate this yet again shows just how flawed the original devolution settlement was and how important it is that, on this occasion, we try to get it right at the fourth time of asking.
The Secretary of State has very kindly presented a briefing note on the Wales Bill, in which he acknowledges that
“there is more work to do”,
and that there are “unresolved issues” and “unfinished business”. He goes on to say that he is looking to
“amend the Bill if necessary during its parliamentary passage.”
I must say that he is probably not likely to be disappointed in that regard.
The opening clauses of the Bill follow the current fashion for declaratory legislation. We are solemnly told that the
“Assembly and the Welsh Government are a permanent part of the United Kingdom’s constitutional arrangements.”
We are also told that they are
“not to be abolished except on the basis of a decision of the people of Wales voting in”—
yet another—
“referendum.”
We are told that there is a “body of Welsh law”, which should not of course be in any way confused with a Welsh jurisdiction. There is a declaration that in effect incorporates the Sewel convention into statute, in that the Bill declares that this Parliament
“will not normally legislate with regard to devolved matters without the consent of the Assembly.”
Such declarations are all well and good, but they are in danger of overlooking the constitutional fact that this Parliament is supreme, which makes one wonder about their worth and whether they are in reality mere window dressing.
It is somewhat ironic that, having quite rightly abandoned the necessity test, the Government are now apparently introducing a normality test. As my right hon. Friend acknowledged, that means that the courts might intrude on parliamentary sovereignty by deciding or being asked to decide whether a piece of legislation passed by this Parliament is, so to speak, normal.
The Bill does of course change the devolution settlement from a conferred powers model to a reserved powers model, which is deemed to make matters clearer. I have to say that I do not believe that a reserved powers model is, as many contend, a panacea. The reserved powers model is in reality simply a mirror image of the conferred powers model. The nature of the model is less important than the clarity of language, as other Members have pointed out.
That is particularly important in relation to whether the reservations are comprehensive. The danger is that if the reservations are not comprehensive, there will be problems. I am glad, for example, that my right hon. Friend has not emulated a former Secretary of State for Scotland, who made sure that Antarctica was a reserved matter, and that we will not therefore see an attempt to create a new Patagonia on that continent.
The necessity test has been abandoned to the extent that it is no longer the case that the Assembly can modify criminal and private law only where modification
“has no greater effect otherwise than…is necessary to give effect to the…provision.”
That was a positive invitation to go to the Supreme Court. However, there is still a necessity test in relation to the law on reserved matters. Proposed new section 108A(3) of the Government of Wales Act 2006 will provide that Assembly Acts cannot modify the law on reserved matters unless ancillary to a provision that is not reserved, but modification cannot go further than is necessary to achieve the devolved objective. Words such as “necessary” and “normally” lack objectivity, and are therefore subject to interpretation, including, in difficult cases, by the Supreme Court. I do not believe, therefore, that simply changing the model of devolution will necessarily achieve the clarity that everyone wants. In Committee, I believe it will be necessary to test whether the reservations are truly comprehensive to avoid any further difficulties of the sort we have already experienced. To be fair, however, the Secretary of State has acknowledged that the Bill is a work in progress, and he will no doubt be expecting such tests and, if necessary, significant amendments in Committee.
I do not want to dwell too lengthily on individual provisions, but some matters are worth mentioning. First, as the Secretary of State will have anticipated from my interventions, I have a huge concern about the proposal that income tax varying powers in the 2014 Act should now be triggered without a referendum. As a Conservative, I have a particular concern, because at the last general election—despite the apparently rapid passage of time, I remind him that it was only just over a year ago—I and Conservative colleagues campaigned on the basis that the powers would not be triggered without a referendum. Indeed, when I was specifically asked on the doorstep whether the powers would be imposed on the Assembly without consent, I made it absolutely clear that a referendum was contemplated. I must say that it is positively disrespectful of the people of Wales for this Parliament to seek to impose new tax-raising competences without consulting them first.
That was done in the case of Scotland, and despite the interventions already made by Opposition Members, it is perfectly possible to formulate such a question and, in the case of Scotland, one that could be answered in the affirmative. If the Scots are entitled to that, surely the people of Wales should be entitled to the same level of respect. I invite the Secretary of State to think about that, and to consider whether, in the circumstances, the Bill should be amended by the deletion of clause 16.
Secondly, although this may appear to be a minor point, I find it difficult to understand the rationale for devolving to the Assembly the setting of speed limits. Wales and England have a continuous, porous border, and every day there are many thousands of journeys back and forth across the border. It does not bear scrutiny that there should potentially be different speed limits on either side of that border—it makes no sense. I cannot understand what possible reason there could be for devolving the setting of speed limits. What mischief is it aimed at? Who asked for it? Why is it necessary?
Thirdly, there is the issue of electricity generating consents, set out in clause 36. I intervened on the Secretary of State about that. The 350 MW limit provided for in the Bill seems to have little practical significance, because wind generating stations are expressly excluded. The granting of energy generation consents for capacities of more than 350 MW will remain with the Secretary of State, and there are few conventional power stations with an output of less than 350 MW.
The worrying fact is that although the Bill is silent on the subject, it devolves competence to the Assembly for all onshore wind farms, with no upper limit at all. I refer the Secretary of State to the excellent Library note, which points out that the Energy Act 2016 has transferred competence for wind farm consents to local planning authorities. A piece of Welsh legislation with which I have no doubt we are all familiar, the Developments of National Significance (Specified Criteria and Prescribed Secondary Consents) (Wales) (Amendment) Regulations 2016, provides that all wind farm developments in Wales are designated as developments of national significance. According to the Library note, which I have no reason to doubt, that means that all such developments, whether of up to 50 MW or more than 50 MW, will be determined by procedures set by the Assembly.
Given the thrust of policy at the Department of Energy and Climate Change, I suggest that the consequence of that will be a rush to develop wind farms in Wales. Indeed, I suggest that there may be a free-for-all. Areas such as my constituency, Montgomeryshire and Brecon and Radnor, which already have a lot of wind farms, are likely to be under further pressure for wind farm developments.
Jonathan Edwards
I hesitate to accuse the right hon. Gentleman of scaremongering, but the pace of development of renewable technologies relies on the subsidy that is available, which is determined by the Department of Energy and Climate Change.
Jonathan Edwards
The right hon. Gentleman is being generous with his time. I have two TAN 8—technical advice note 8—areas in my constituency, and in one of them the only developments that have occurred have been determined by Westminster. The local planning authority, which is responsible for developments of below 50 MW, has turned them down.
Mr Jones
That may be the case, but I say with huge respect that I think the hon. Gentleman is missing the point, which is about competence. It seemed clear from the Secretary of State’s response to my intervention that what I said was news to him. It was based on the Library note, which I believe is accurate. I therefore ask the Secretary of State to reconsider the matter, and he may well wish to table amendments himself in Committee.
The Bill is a further step in the process of devolution, and I believe that it is a brave attempt to rectify the errors of the past. However, I strongly question whether, in its current form, it will do the job that it is intended to. As I said, the Secretary of State anticipated amendments in his briefing note, and I have no doubt that he will look forward to them with great anticipation.
Paul Flynn
At business questions last week that was emphatically turned down by the Leader of the House. I hope that we can have a sensible discussion on that. It has been a huge success in the Welsh Assembly itself, where the language is used quite freely and in a very relaxed way. That is greatly to the benefit of Wales.
My main point about the Bill is about the level set in clause 36, which will act as a great restriction on Wales’s progress in using the greatest source of power that we have. It has long been neglected, yet it is like our North sea oil—it is that great cliff of water that comes up the Bristol channel twice a day. It is a source of immense power. It is entirely predictable, unlike wind or solar power—we know when it is going to happen—and it can be tapped in so many ways.
To our credit, we have already used that source in hydropower. But under the scheme in the Bill, even the hydropower station at Ffestiniog would be too big for the Welsh Assembly to authorise, at 360 MW. The one at Rheidol would have been fine, but Dinorwig would be too big at 1,800 MW. Those stations are a wonderful way of using that power. They are entirely demand responsive. The excess electricity can be used in off-peak hours to pump the water up to certain levels and then bring it back down again.
The greatest chance Wales has to produce power that is entirely non-carbon is through using the tides. Where would we be under the restriction in the Bill? The Swansea bay lagoon would be just within the 350 MW limit. But the Newport lagoons—both start at the River Usk, then one runs in the direction of Cardiff and one the other way—are both 1,800 MW. They have enormous potential. The resource is there, and the topography is perfect.
Jonathan Edwards
The hon. Gentleman is making some very valid points. Does he agree that the huge investment by energy companies in storage technology means that renewables could seriously take off, making them something that would be hugely beneficial to our economy in Wales?
Paul Flynn
Absolutely. It is the untapped resource. I know that there are objections to various other forms of power. Another question that comes in here is about nuclear power. The scheme in the Bill will not allow Wales any control over Hinkley Point, which is very close to us in Wales; although it is almost certainly doomed now. The future scheme at Wylfa would be outside the limit. Small modular schemes mostly start at about 300 MW, but go up to about 700 MW, so if people wanted to go down the road of nuclear power, they would be outside the scope set in the Bill. We should allow the visionaries of the Welsh Assembly to go ahead and develop power. We have an enormous resource. We could be a vast power station for ourselves and for the whole United Kingdom.
Hywel Williams
I am grateful for that point, which we have discussed before, and I have said that the number of pages might not be the best indication of the number of reservations or their complexity.
There are new reservations in this Bill that were not in the draft Bill, for example, on matters as important as the Severn bridges—that nagging toothache for our economy in the south.
Jonathan Edwards
Going back to the intervention by the Secretary of State, does not the fact that the number of pages has increased indicate that this is not the bonfire of the reservations that we were promised?
Hywel Williams
No doubt that is something that we will debate. I relish the opportunity to discuss the reservations and hear the Secretary of State or his colleagues justify them. The explanatory notes include a description or explanation of the reservations but, as far as I can see, there is very little justification for them. I therefore look forward to hearing about that in subsequent debates.
The report by the Wales Governance Centre and University College London on the draft Bill described the list of reservations and said:
“Complexity is piled on complexity...the potential for legal challenge casts a long shadow.”
I see little evidence that the revised list is much clearer. It remains, alas, a lawyer’s playground. As I have said, the shift to a reserved powers model was supposed to be made in tandem with a shift in mentality—that is extremely important—to determine what needed to be reserved, rather than what should be devolved. It is clear that the Secretary of State has instead facilitated a Whitehall trawl of the powers—a pick and mix of what the Sir Humphreys fancy bagging for themselves—sometimes based on principles no deeper than the chance to shout “Mine!”
If the Secretary of State is serious about creating a lasting devolution settlement, he cannot simply flip the current settlement from the conferred powers model to the reserved powers model, then allow Whitehall to pick and choose which tasty bits of power they want to hang on to. The process must be built on principles. I agree with the principles that he identified—clarity and coherence—but I would add proper subsidiarity.
Some time ago I had an entertaining lunch with the Irish Minister responsible for a new Irish language Act. He was quite candid, loquacious and hilarious. He had been to Canada and Quebec and had thieved—his words—a little bit of their language law. He had been to Wales and has snaffled bits of ours. He had been here and there in the rest of Europe, and hey presto, here was their language bill. We do not need to roam two vast continents, stitching together a bit of this and a bit of that. A model is already there for the borrowing and—perhaps Plaid people will forgive me for saying this—it is a home-grown British model called the Scotland Act.
The Silk commission hoped that moving to a reserved powers model would be a chance to rewrite the settlement to remove some of the defects of haste and inconsistency that have so far marred legislative devolution in Wales. The list of reservations does not reflect that hope. The director of the Wales Governance Centre has described the Bill as being underpinned by a “patronising attitude” and as continuing to regard Wales as “enjoying a lower status” than the other devolved nations. In practical terms it will undoubtedly lead to more blame shifting between Cardiff and London. That is the last thing that people in Wales want and the last thing that the governance of the people of Wales requires.
Both the Welsh Affairs Committee, which has a Tory majority, and the National Assembly’s Constitutional and Legislative Affairs Committee, which was also chaired by a Tory, recommended that each reservation should be individually justified. That recommendation has been ignored and, as I said, I look forward to hearing the Secretary of State or his colleagues making up for that as we go into Committee.
The Wales Governance Centre has offered a list of considerations for identifying functions that should be devolved: is it necessary to retain function X for the functioning of the UK as a state? Does retention of Y make the governance of the UK less clear or comprehensible? Does retention of Z undermine the workability, stability or durability of the devolution settlement? These are the questions that the Secretary of State should be asking himself for each and every one of the reservations in the Bill and I hope we will have time to hear him go through those steps. Simply making hundreds of reservations for no given reason is not acceptable, particularly when the real rationale seems to be a deeply suspect power grab by Departments of Government that have failed Wales so spectacularly over the past few years.
Chris Davies (Brecon and Radnorshire) (Con)
It is always a pleasure to follow the hon. Member for Arfon (Hywel Williams). Even though I did not agree with a great deal of his speech, I congratulate him on the passion for and commitment to Wales that we are accustomed to hearing from him.
I both congratulate and sympathise with the Secretary of State and his Minister. It is never easy taking over a Bill that was started by a previous Secretary of State, but he has brought this forward, and I congratulate him on doing so. I sympathise with him because, as many will now know, many Members within his ranks are very unhappy with the Bill as it stands. In fact, with 11 Members from Wales, and taking the two Ministers out of the scenario, the majority of Welsh Conservative MPs are unhappy with the Bill.
This is an important Bill, but so far today we have seen most of these green Benches empty. Members who have spoken have done so with great passion and great commitment to Wales, but we have had a lot of green shown to us today and not many Members from throughout Great Britain and across the House joining us. That is very disappointing.
The Bill comes at a crucial time for our home nation. The Welsh economy is now chugging back into life after a protracted stall since 2008. Businesses are hiring again, the unemployment rate is falling, and our GDP is beginning to rise. The historic Cardiff city deal introduced by this Government that my hon. Friend the Member for Cardiff North (Craig Williams) does so much to champion is bringing great infrastructure and further job prospects to south Wales. That will have a knock-on effect on many hon. Members’ constituencies, including my own, boosting our local economies.
This is also a crucial time for Wales because it is so soon after the Welsh Assembly elections that returned no overall majority. On its own, perhaps that result does not have a great knock-on effect on uncertainty in the Welsh economy, but coupling it with the EU referendum, whichever way the vote goes, makes for an uncertain time for Wales. It is imperative that we do all we can to make Wales strong and resilient for the future. A chain is only as strong as its weakest link, and I do not want Wales to be the weak link in the United Kingdom chain. I think that we can all agree on that, as we all want Wales to be a strong, successful player in the United Kingdom.
Some Members might be surprised to hear that I am not opposed to the overall concept of further devolution in trying to achieve that goal. I agree with the Government that power should be held as close to the people as possible, which is why I believe that some parts of previous Wales Acts need to be tidied up. I also agree that the Welsh Assembly needs to be more accountable to the people of Wales. We should stick to our manifesto pledge to deliver the Wales Bill that I and other Conservative Members were elected to deliver by the people of Wales.
That, however, is where my agreement with this Bill wanes. I cannot stand idly by my principles and accept the Bill in its current form. I am disappointed about the timing of the Bill, its application and much of its substance. I want a Wales that can decide its own destiny and has control over its future, but most of all I want a Wales that plays a key part in, and remains a strong part of, a United Kingdom. The only way we can achieve those goals is through a devolved settlement that the people of Wales actually want and accept—a settlement that will hold long into the future.
Jonathan Edwards
The hon. Gentleman is making some powerful points based on his principles as a politician. Does that mean that he will vote against the Bill?
Chris Davies
I thank my parliamentary neighbour for his intervention. As far as I am aware, there will be no vote this evening, but I shall scrutinise the Bill exceptionally closely over the next two or three days and I will table amendments.
We as politicians should never assume that we know exactly what the people of Wales want. On matters as important as this settlement and the Bill, which will affect me, my children and my children’s children long into the future, we cannot afford to get it wrong. That is why the devolution settlement should, above all, have accountability and democracy at its very core and as its foundations. Without such strong pillars on which to build our settlement, we cannot expect our structure to hold. As we have seen recently in Scotland, we could come dangerously close to a total collapse if it is not right.
Does the Bill uphold what I suggest, with little dispute, to be the settlement that Wales wants and needs? First, I want to consider the timing of the Bill. Government Front Benchers will no doubt be aware that the Welsh Affairs Committee looked long and hard at the draft Wales Bill. Many hours over many months were dedicated to studying its detail, and I was very pleased to be part of that Committee and grateful for the time we were allocated.
Although it appears that we were given plenty of time to look at the particulars of the draft Bill, the Bill in front of us today includes important clauses that the Committee was not asked to consider. We spent hours scrutinising the draft Bill, not this Bill. I am grateful to the Secretary of State for Work and Pensions, who used to work at the Wales Office, and to the current Secretary of State for Wales for the evidence and assistance they gave our Committee during our inquiry. However, we have had an about-turn on the need for a referendum on the devolution of tax-raising powers and the new commitment to allowing for the abolition of the Welsh Assembly through a referendum squeezing their way into the Bill, so it was disappointing that the Committee was not given the chance to look in depth at those issues, which underline the whole Bill and will have enormous consequences for the people of Wales. Many members of the Committee would, I am sure, have welcomed more time to look into those important changes to the constitution of Welsh devolution, but we have been denied that chance by the apparent rushed introduction of the Bill.
On the substance of the devolution settlement, it was while looking over the draft Bill that I felt the most sympathy for one of the Welsh Affairs Committee’s witnesses—I do not usually feel sympathy for him—namely Professor Richard Wyn Jones, who told us that
“to read this Bill, you have to have a copy of the 2006 Act, and a towel doused in cold water wrapped around your head, and you have to compare the two pieces of legislation. As a constitution for Wales, this isn’t user friendly.”
Nevertheless I, like many in this Chamber, persevered, and I have found many surprises. First, I was struck by proposed new section 92A(3) of the Government of Wales Act 2006, on the very first page of the Bill before us—I do not propose to go through each clause—which says:
“the Welsh Government are not to be abolished except on the basis of a decision of the people of Wales voting in a referendum.”
I was heartened because I believed that there would be true democracy in the Bill, with the people being given the chance to abolish the Assembly if they so wish. I was therefore very encouraged, only to find, when I turned the page, that there was no instruction in the Bill about how that referendum would be triggered—I found only the next clause. I had hoped that the foundations of accountability and democracy were to be upheld, but that seems to be missing. Why not state in the Bill that the referendum could be triggered by a petition of the people?
When I looked at the will of the people, as expressed in the recent Assembly elections, I found that the Abolish the Welsh Assembly party had achieved a decent share of the vote—4.5%, in fact—from a standing start. I have been approached by people saying they would have lent that party their vote if they had believed that it would have made those of us in Westminster sit up and listen. While I neither support nor dispute the aims of that party, it shows that there is an appetite for political engagement in Wales, so the Government should do what they can to support that. I was sorry not to see that reflected in the Bill, and I believe that the provision falls disappointingly short of providing the key democratic pillar on which the settlement should be built.
Secondly, I want to touch on the application of the devolved settlement. Last night, I sat up in bed with the Wales Bill by my side and a copy of our manifesto open at pages 70 and 71. I am sure that everybody in the Chamber will know what was on those pages, but I remind them that it was the section on Wales’s devolution settlement. With my highlighter, I was ready to mark out each commitment that my right hon. and hon. Friends and I stood on to gain election to the House. I went through each point: introducing a Wales Bill—check; implementing much of the Silk report—check; devolving control over the Assembly’s name—check; reserving police and justice matters—check; introducing a funding floor for the Welsh Government once it has called a referendum on tax-raising powers—ah! I was ready and waiting with my highlighter, my eyes scanning swiftly across the Bill and my hands turning the pages, eagerly waiting to find the commitment that I had mentioned so many times on the doorstep. Clause 13 went by, as did clauses 14 and 15, and then it hit me—clause 16. I checked our manifesto and checked the Bill again, and there it was in black and white: a commitment to give the Welsh Assembly tax-raising powers without a referendum. It was a further disappointment to find that the pillar of democracy on which I believe our settlement should be built was missing from this Bill.
In his op-ed on the Bill on the day of its First Reading, the Secretary of State himself said:
“Welsh men and women want sensible legislation that reflects their priorities and allows them to live under laws of their own choosing.”
Why will the Welsh people not get to choose the legislation under which they want to live? Why is the Welsh people’s voice being silenced on this issue? Why are the Welsh people being denied a say? Might referendums really be going out of fashion? Surely the whole idea of devolution was to move power out of Whitehall and closer to the people when they wanted it. I fully agree with that. Many political pundits have said that Cardiff Bay is the most centralising Government in Europe, and my constituents quite often feel that Cardiff Bay is far more remote than Westminster. Why have powers been moved from one Government to another when our constituents are either missing out altogether or being doubly burdened?
Finally—I am sure you are glad that I am coming to a close, Madam Deputy Speaker—I must stress that I am not in principle against the devolution of further powers to any Assembly, mayor, local authority or Government, and I want to put that clearly on record. I have absolutely no problem with the devolution of powers. In fact, I often think of devolution as a good thing, where it works. My concern in this case is about the Welsh Assembly’s ability to take on the extra powers outlined in the Bill and to utilise them in a competent and constructive way, particularly at this time of no overall majority.
My right hon. Friend the Member for Clwyd West (Mr Jones) spoke eloquently about the devolution of wind energy provision, and my neighbour, the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), said that he was scaremongering. I can assure the hon. Gentleman that the prospect of having more pylons in Brecon and Radnorshire is scaring my constituents and is a serious worry, but I believe the Welsh Assembly will take it lightly.
Let us take some further examples. The first is health. The Labour-run Welsh Assembly Government have so far presided over a fall in real-terms spending on the NHS in Wales. Waiting times are through the roof, and some people are reregistering in England just so that they can be seen by a doctor within a reasonable timeframe. Ambulance and A&E targets are constantly missed, and there has been no implementation of a cancer drugs fund to save lives.
The second example is education. Standards in our Welsh schools are slipping under the Welsh Assembly Government while those in England rise. Schools in my area are closing due to cuts in local government settlements by the Welsh Assembly and its outright rejection of the excellent academies programme that is being rolled out across England. That makes no sense at all to me.
Jonathan Edwards
The points that the hon. Gentleman raises are about Government decisions, as opposed to decisions on devolution.
The hon. Gentleman accused me of accusing the right hon. Member for Clwyd West (Mr Jones) of scaremongering. I did not say that, but perhaps he might be willing to inform us of how many projects in Powys have been above the 50 MW level.
Chris Davies
I think the question to ask is how many will be above that level if we have Welsh devolution on the matter.
My third and final example is agriculture. The Welsh Assembly is just not hearing the voices of those of us in rural areas. It has substantially cut the agricultural budget and taken the maximum support payment away from our farmers. Until a month ago, it did not even allow agriculture, the environment and rural affairs a full place around the Cabinet table. This is the same Assembly that spent nearly £50,000 on a wind turbine that generated £5-worth of energy before being switched off.
Mr Williams
The hon. Gentleman makes a historical interpretation. I use the phrase “home rule” in the context of the historic battles for, and crusade towards, self-government in Wales, evoking the memories of the hon. Member for Newport West (Paul Flynn) about marching with his banner, the Cymru Fydd and his references to the Welsh Parliamentary Party. I think the term resonates with people, if not the hon. Member for Wrexham (Ian C. Lucas). I do not think we are arguing against each other; I think we probably aspire to the same objective. We are dancing on the head of the proverbial pin.
I do have one big concern. In the past few months, the previous Bill was kicked into the proverbial long grass or cul-de-sac. I commend the Secretary of State and his officials for their alacrity and speed—it took us all by surprise that we would be here today—in ensuring that the Bill is now before us, and I thank him and his officials for the opportunity to informally raise concerns and ask questions directly in the past few days. Notwithstanding that, there are aspects of the Bill that should not be rushed. There has been some concern expressed about that speed. It is fundamentally important that the new Bill is given sufficient opportunity to be properly scrutinised. I hope officials will be thorough in their consultation and discussions with civil society, political parties and the Welsh Government to ensure that we have a workable Bill which retains and builds on widespread support.
I was privileged to take part in the St David’s Day discussions. Looking around the House, I think I am the only other person here who was in the room having those discussions with the other representatives: the former Plaid Cymru leader, the right hon. Elfyn Llwyd, the former Secretary of State and the hon. Member for Pontypridd (Owen Smith). I well remember the first meeting. I reminded the Secretary of State that I would be discussing our meetings with my colleagues in Cardiff Bay, and that our discussions—the four of us sitting in isolation around that familiar big table in the big office in Gwydyr House—should not be seen in isolation. I have to say that I do not believe those discussions were as inclusive as they should have been. Cross-party and cross-parliamentary collaboration will be the key to the Bill succeeding as discussions proceed if the durable, permanent settlement we wish to see is to be secured.
Were the St David’s day talks an attempt to move the agenda on? Yes they were, and indeed they have moved the agenda on. Inevitably, however, allowing a veto from any one of the four participants risked stopping discussions in their tracks. That was how it was. We went through every one of the Silk commission’s recommendations, item by item: hands up boys if you agree, hands down if you do not. If one person objected, the issue was not pursued. When people talk about the advancement of the debate by the lowest common denominator, they are correct: it was very, very easy to stop aspects of the Silk recommendations. I say that as someone whose party was one of the first—my friends in Plaid Cymru might have been there just before us—to endorse all that Silk said in his second report.
Jonathan Edwards
Will the hon. Gentleman spill the beans today and tell us who the biggest culprits were in raising their hands?
Mr Williams
The hon. Gentleman, who is my parliamentary neighbour, will not expect me to answer that question. I suspect his sources in Plaid Cymru have given him the answer to that question already. Despite the best intentions, the structure was going to fail from the outset.
Now, to the Bill. To start at the beginning, it is welcome although not surprising that clause 1 recognises the permanence of the National Assembly. The hon. Member for Brecon and Radnorshire has told us that the detail of a referendum to abolish the Assembly is not there, and I am pleased about that, but it does establish the principle that the only way we could ever abolish the National Assembly would be through the consent of the Welsh people as expressed in a referendum.
The recent National Assembly elections were not—this will come as no surprise—a stunning success for my party, but they were even less stunning for the Abolish the Welsh Assembly party. Whatever our concerns, and perhaps with just one or two exceptions, there is a recognition that our Assembly is here to stay. Importantly, clause 1 provides for a new and specific recognition of Welsh law:
“There is a body of Welsh law made by the Assembly and the Welsh Ministers.”
It is the first time that such recognition has existed, and it is of course welcome, but it must not end there. If the hon. Member for Brecon and Radnorshire were tempted to divide the House later and vote against the Government, the Government Front-Bench team can have some assurance that I would be likely to go through the Lobby with them— but with significant caveats and provisos. I do not know how much power solitary Liberal Democrats have these days—perhaps more than the hon. Gentleman thinks in an Assembly context. I will support the Bill at this point, but with the proviso that certain things must change.
Jonathan Edwards
Had the hon. Gentleman been here during last night’s debate, he would know that I support the devolution of policing because of what has happened to the police helicopter service in Dyfed-Powys. It has been lost because policing is a reserved power. The helicopter services were not lost in Scotland or Northern Ireland, but the service has been lost in Dyfed-Powys because policing is reserved, and we now have a pooled service that is letting my communities down and letting his communities down.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
It is a pleasure to follow the hon. Member for Torfaen (Nick Thomas-Symonds). I do not always agree with everything he says, but what he says, he says with substance, and is well thought out. I enjoyed his reference to James Griffiths, who is a proud son of Ammanford, which is my home town as well, so I will make sure that the South Wales Guardian reports his comments.
At the start of my contribution, I would like to raise an issue relating to the programme motion, which will be taken after these proceedings. There will be no debate on the programme motion, but when the Under-Secretary makes his winding-up speech, will he clarify the time allocated for the Bill’s Committee stage? In our view, two days will not be enough—the Scotland Bill had four days’ deliberation—but if the Under-Secretary is able to give guarantees that that time will be protected, we will be willing to concede on that. Will he also give an outline of the likely timetable for the Bill as it proceeds through its various stages?
We have heard some fantastic contributions to the debate from Members on both sides of the House. I particularly enjoyed the speech of the hon. Member for Islwyn (Chris Evans), in which he made a passionate case for the full devolution of corporation tax. I fear that my comments will be tame in comparison. I made similar comments in the Western Mail on Saturday while I was out in Bordeaux, only to be accused by the shadow Secretary of State for Wales of nationalist dogma. The hon. Member for Islwyn, who is not in the Chamber, might be in trouble with the hon. Member for Llanelli (Nia Griffith) after this debate.
After less than two decades of devolution in Wales, we have had to change the settlement four times—this Bill will be the fifth time. Every one of those changes was meant to settle the constitutional question for a generation, yet here we are, debating another Bill that, it is claimed, will settle the constitution for our lifetime. I fear that we yet again have another tinkering Bill which will be past its sell-by date before the ink dries. During the course of the previous Bill, Plaid Cymru, the party of Wales, endeavoured to strengthen it, as we will do during the course of this Bill. I am glad to see that some of our amendments, which were ruthlessly voted down last time, are reflected in provisions in this Bill, specifically the parts that allow the National Assembly to determine its own electoral system and give the National Assembly the right to change its name if it chooses. Surely since the last Assembly election, when one party had 50% of the seats on 30% of the vote, every true democrat must realise that we have to do something about the electoral system for the National Assembly.
On the question of the name, as far as I am concerned, now that the National Assembly can pass laws, it is a Parliament in its own right. However, I accept the arguments of some of my colleagues back home in the motherland that law-making bodies in Europe are known as assemblies, such as the Assemblée nationale in France.
I particularly welcome the Chancellor’s decision in the autumn statement to remove the need for a further referendum before the proposed income tax-setting arrangement is implemented. Referendums should be held only on a fundamental point of principle, as with next week’s vote on the UK’s membership of the European Union. Conversely, the 2011 Welsh referendum on a very opaque matter indicates the problems associated with holding a public vote on technical issues.
The principle of fiscal devolution from Westminster to Wales has already been conceded in the 2014 Act, with the devolution of minor taxes, stamp duty land tax, the aggregates levy and landfill tax. Devolution of power is the settled will of the people of Wales, as is highlighted by a long list of opinion polls. Political parties just need to get on with it now and react to the growing demand for more powers for Wales, as opposed to hiding behind referendums. The only future referendum that should be held on the constitutional question in Wales is the referendum on Welsh independence, when the time comes.
The Bill is a step forward from the draft Bill, which was published last year by the then Secretary of State for Wales, the right hon. Member for Preseli Pembrokeshire (Stephen Crabb). That Bill included roll-back powers, which would have been completely unacceptable to Plaid Cymru, because they undermined the settlement overwhelmingly endorsed in the 2011 referendum.
Three new reservations have been added, including the Severn crossings. We will be pushing an amendment to repatriate the bridges during the Bill’s later stages and look forward to the support of Labour and Conservative Members. It is allegedly Labour Government policy in Wales that the bridges should come under the control of the Welsh Government. It is also the policy of the Conservatives in the National Assembly. In 2013, their transport spokesman said:
“Devolution of the crossings—and future use of the tolls—has the real potential to help hard-pressed motorists, provide significant investment in Welsh infrastructure and encourage economic growth”.
The hon. Member for Gower (Byron Davies), who uttered those words while in the Assembly, was singing from my hymn sheet, and I am disappointed that he is not in the Chamber.
The Parliamentary Under-Secretary of State for Wales (Guto Bebb)
Which of the three ends of the Severn bridges that are in England does the hon. Gentleman feel are subject to a right to be repatriated to Wales? After all, there is a geographical reality that should be recognised.
Jonathan Edwards
I am grateful for that point, which is always used by the hon. Member for Monmouth (David T. C. Davies)—I am glad to see him in the Chamber, as we have debated this issue many times. However, the reality is that the Severn bridges are the two main supply links into the south Wales economy, so it is clearly in the interests of the Welsh Government to have control over them.
I always endeavour to be helpful in my politics, and when I look at the rate of constitutional change in the UK, it appears that the only way the British state can possibly survive is as a confederal arrangement between its constituent parts. The only reserved matters in that scenario should be those relating to currency, the Head of State, defence, welfare and foreign affairs, although the boat on welfare may have started sailing with the Scotland Act.
The necessity tests have been replaced by so-called justice impact assessments. In response to the Bill, my former academic master, Richard Wyn Jones, from the Welsh Governance Centre, said in the Western Mail:
“I’m afraid this unexpected addition to the Bill suggests the mindset that devised the necessity test is still alive and kicking in Whitehall.”
He went on to say:
“It clearly undermines the UK Government’s claim to respect the National Assembly as a mature democratic institution able to make its own laws without interference.”
He concluded by saying:
“Ultimately the Secretary of State would be able to override a piece of legislation passed by the democratically elected Assembly. It is a mindset which sees the Assembly as a second-class legislature. There is no similar provision at the Northern Ireland Assembly or the Scottish Parliament.”
Jonathan Edwards
I will refer to the Secretary of State’s earlier points and let him intervene following that.
Professor Jones makes the further valid point that these impact assessments are not reciprocal, citing the example of the super-prison in Wrexham, where the UK Government took no account of the impact on devolved Welsh public services such as health, social services, education, lifelong learning and skills.
I welcome the Secretary of State’s comments during the debate and the guarantee that the justice impact assessments cannot trigger a UK veto—I accept him at his word. However, we will have to take our own legal advice to ensure that these assessments are not a Trojan horse to stymie the ability of the National Assembly to function fully as a legislative body.
Alun Cairns
Let me politely reassure the hon. Gentleman that the justice impact assessments are in absolutely no way considered to be a veto. He referred to the prison in Wrexham—HMP Berwyn. When two mature institutions come to agreements, and one is seeking to encroach on devolved areas or another to encroach on an area that is non-devolved within the UK, the UK Government need a legislative consent motion to take action in Wales. There is a mature arrangement. We need to come to a position where we understand each other, and these mature discussions should take place, rather than one having a right over the other. That is not the area that I want to get to.
Jonathan Edwards
I am extremely grateful for that intervention by the Secretary of State. His point about the Wrexham super-prison makes our argument for us. That facility has not been created to deal with the custodial needs and requirements of our country. That is partly why we will aim to remove the reservation on policing and prison services during the passage of the Bill.
My other major concern, as my party’s Treasury spokesperson, is the second-class settlement we are being offered in relation to fiscal powers. The Scotland Act 2016, which all Labour and Tory MPs based in Wales voted for, fully devolved air passenger duty and income tax—including, crucially, the tax bands and half of VAT receipts—to Scotland. The Scottish Government will now be responsible for raising over the half the money they use in all devolved expenditure. Yet, as the recent Cardiff University assessment, “Government Expenditure and Revenue Wales 2016”, notes, following the fiscal plans in this Bill, the Welsh Government will be responsible for raising only about 20% of the devolved expenditure for which they are responsible.
If the twin arguments for fiscal devolution are accountability and incentivisation, surely we need more ambition for Wales than what is currently on offer. After all, in essence, we are talking about keeping more tax revenues raised in Wales directly in Wales, as opposed to collecting them in London and sending them back. The Welsh Government should be responsible for raising the money that they spend. That is a very valuable principle in politics. We will seek to amend this Bill and the forthcoming Finance Bill to secure parity for Wales with Scotland, and challenge Labour and Conservative Members who supported these powers for Scotland on why they oppose them for Wales.
The other issue in relation to tax powers that must be addressed if the measure is to receive our support is the fiscal framework to accompany tax devolution. As we have seen with the debate surrounding the Barnett formula, words such as “fairness” and “non-detriment” are extremely opaque and open to interpretation. The Bill will put in place a Barnett floor to stop further funding convergence, but let us be clear that that is not the same as “fair”. A fair settlement would surely, at the very least, peg Welsh funding at the Scottish level, especially since that is what Labour and Tory Members of Parliament from Wales voted for for Scotland. I will let them explain to the people of Wales why they think that Wales deserves less support through public funding per head than Scotland.
Returning to the fiscal framework, I am glad that there seems to be genuine good will around a non-detriment principle, but that will need to be clearly outlined before we finally vote on the Bill. I would expect the Treasury, at the very least, to publish its recommendations in an official statement to the House during our proceedings on the Bill because Members of Parliament will otherwise be voting blind on the consequences of the tax proposals. I say this as a strong supporter of devolving job-creating levers to Wales, as I outlined earlier. However, neither I nor my colleagues will support the Bill if the UK Government intend to push a straightforward indexed deduction method. I note the significant concessions gained by the SNP Scottish Government on this issue, so I would hope that the Labour Government in Wales and the Wales Office here will be pushing hard for a suitable deduction method for Wales.
This vital issue is even more complicated than my favourite topic of Barnett consequentials, so we must get it right. We need a formula that will reflect the fact that the population of Wales, and hence our tax base, will grow more slowly than the UK average. We cannot be left in a position whereby a successful fiscal policy in Wales leaves us standing still in terms of Welsh revenues. Incentivisation can work only if the Welsh Exchequer is not at a loss before the process starts. Scotland has once again achieved a fair settlement, and so must Wales. It would be far easier to come up with a fair framework if we were debating full income tax powers similar to those awarded to Scotland—that is, full devolution of the bands and thresholds.
If the other main aim of fiscal devolution is to increase the political accountability of the Welsh Government, the sharing arrangement envisaged for income tax would continue to allow them to pass the buck. The shadow Secretary of State for Scotland, the hon. Member for Edinburgh South (Ian Murray), said that full devolution of income tax powers under the Scotland Act would stop the Scottish Government playing the politics of grievance. If Wales has a sharing arrangement, the politics of grievance will continue. In the interests of accountability, incentivisation and, critically, transparency, the UK Government need to revise their plans and fully devolve income tax powers to Wales.
This March, in an act of blatant electioneering, the previous Welsh Labour Government published an alternative Wales Bill that called for a separate legal system for Wales and the devolution of policing. I look forward to the Labour Opposition here tabling such amendments to the Bill. If they do, I will support them with vigour, but if they do not, Plaid Cymru will do so and the people of Wales will be able to judge for themselves whether the First Minister has any influence over his bosses here in Westminster.
In conclusion, I would like to highlight the policy areas devolved to Scotland that are not included in this Bill, which include legal jurisdiction, policing, prisons, probation, criminal justice, full income tax, VAT sharing arrangements, air passenger duty, welfare and employment, consumer advocacy and advice, gaming mechanisms, full energy powers and rail franchising of passenger services, to name but a few. As I have said before, it will be up to our political opponents to explain why they voted for those powers for Scotland, but are opposed to them for Wales.
That brings me to the forthcoming parliamentary boundary review, which has not been mentioned at all during the debate, but will reduce Welsh representation in this place to 29 Members. That means a loss of more than a quarter of Welsh seats in the House of Commons.
Simon Hart
The hon. Gentleman has drawn up a long wish list of things that he wants to be properly devolved. What is the difference between that list and independence?
Jonathan Edwards
I am extremely surprised by that intervention, because the hon. Gentleman voted for those powers for Scotland. Is he now saying that he voted for Scottish independence? That is incredible.
Simon Hart
The hon. Gentleman and I are good friends. He is a fine cricketer, but he is also a naughty boy. Will he just answer the question?
Jonathan Edwards
I will take that intervention in the spirit in which it was intended. Those powers now reside in the Scottish Parliament, so is the hon. Gentleman saying that Scotland is independent? That is ridiculous. I am sure that the good people of Carmarthen West and South Pembrokeshire will be delighted to hear that he is in favour of full Scottish and Welsh independence.
Albert Owen
Earlier the hon. Gentleman referred to something similar to what I believe in, which is a confederal system in the UK. Is he now advocating that and not independence? Is that his party’s line?
Jonathan Edwards
As I said when I made those remarks, I always try to be helpful in my politics. My party’s position is independence for my country—
Jonathan Edwards
I have made that clear in my contribution. However, if I was a Unionist such as the hon. Gentleman, I would make exactly the same argument as him, and I commend him for it.
Before I was rudely interrupted by my constituency neighbour, the hon. Member for Carmarthen West and South Pembrokeshire (Simon Hart), I was talking about the boundary review. Wales is about to lose more than a quarter of our political representation. To put that in context, Wales will experience the largest proportional cut in representation here while simultaneously being denied powers and responsibility for our devolved Government. If the boundary changes go through without our significantly equalising the Welsh settlement with that of Scotland and Northern Ireland, there will be a further democratic deficit. With that in mind, I will vote against the boundary changes unless we have the same powers as Scotland.
The constitution of the UK is rapidly changing. This is a time for bold and visionary acts in the finest traditions of this House. I am afraid that the Bill does not reflect the realities we face, nor does it respond to the practical problems that arise from tinkering with the settlement. We will endeavour to strengthen it during its passage so that our country is not treated like a second-class nation.
Guto Bebb
Air passenger duty has been raised during the debate, and the fact that we are not proposing to devolve it has been criticised, although I think that that is right and proper. Silk made it clear that there is a need to devolve provisions for long-haul passengers, but there has been no consensus on that issue. I also ask what benefits such a measure would bring to north Wales in terms of the impact on the Welsh devolution financial settlement. At this time I think it is the right decision not to devolve air passenger duty, and I am happy to stand by that.
Many Members called for the list of reservations to be shorter, although it is important to point out that the list in the Scotland Act 1998 is not short either. It would, in my view, be impossible for the model of devolution that we are trying to create to have a two or three-page list; a long list will always be necessary. My right hon. Friend the Secretary of State said that the aim was to secure a positive working relationship between this place and the Assembly, and I think it important to emphasise that. I believe that those reservations can be dealt with positively, and that we can work in a way that will benefit the people of Wales.
The hon. Members for Dwyfor Meirionnydd and for Torfaen, my hon. Friend the Member for Montgomeryshire (Glyn Davies) and the hon. Member for Ceredigion highlighted the issue of the single legal jurisdiction. They made some positive comments about the Bill’s acknowledgement that there would be a body of Welsh law, but I think it imperative for us to understand the context of our decision.
We have consulted far and wide. We have consulted the legal profession in Wales, law colleges in Wales, legal departments in Wales and universities in Wales, and their clear response has been that it would be premature to move towards a separate legal jurisdiction. However, a working group is looking into the administrative processes involved in the development of a body of Welsh law, and I think it important that the Bill acknowledges the existence of Welsh legislation. We must try to develop a distinctive way of operating the administrative side of the legal system in Wales, rather than concentrating on the issue of a separate legal jurisdiction.
Some Members raised concerns about the justice impact assessments. I think my right hon. Friend the Secretary of State made clear that the aim was not to prevent the Assembly from legislating, but to ensure that the impact of legislation was understood. The Welsh Assembly is already committed to looking at the impact of its legislation on the Welsh language and on equality issues, and I see nothing wrong with requiring it to look at the justice impact assessments as well. That, I think, is a proportionate request. It is a request that is acceded to by Westminster Departments when they legislate, and I think that it treats the Assembly as a mature body which is not only able to create law, but to understand the consequences of the development of that law.
I believe that when the aim of the Bill is clarified in Committee—if there is a need for such clarification—Members on both sides of the House will be assured that the justice impact assessment is not a necessity test. I should add that the article by Professor Richard Wyn Jones, which was quoted by numerous Members, showed a lack of understanding of the aims of the assessment, and, indeed, of who would be responsible for delivering and creating it. The responsibility will be passed on to the Assembly. It will be for the Assembly to develop justice impact assessments; there will be no dictation from Westminster.
Income tax is clearly a real issue for Conservative Members. In a powerful speech, my hon. Friend the Member for Brecon and Radnorshire expressed his concern about the changes, and the issue was also touched on by my right hon. Friend the Member for Clwyd West (Mr Jones). It has been suggested that the decision to omit the need for a referendum was in some way a betrayal of a manifesto commitment, but I take issue with that. There appear to be two versions of the Conservative manifesto, the Welsh version and the national version. Page 58 of the Welsh version, which I read, made clear that the promise could be questioned, because once a funding floor had been established, and we have delivered that funding floor, there would be an expectation—an expectation—that the Welsh Government would hold a referendum.
In my view, it is clear that the Welsh Government are prevaricating on whether they want income tax powers. I think it is absolutely clear to Conservative Members that provision for a tax settlement is essential, because the Bill is about clarity, accountability and responsibility for the Welsh Government. Yes, more powers are being devolved, but it is nevertheless essential for a degree of accountability to be passed on to the Welsh Government. I would argue that that accountability, which is understood by local councils and parish councils and by police and crime commissioners, is essential for good governance in Wales and for the Welsh Assembly. I would question whether this is indeed a breach of a manifesto commitment, but more importantly I would say the decision is justified in order to have a settlement which ensures that the people of Wales know that the Welsh Government and Assembly are responsible not just for spending in Wales but also for raising tax in Wales.
Jonathan Edwards
Does the Minister not therefore agree that it would be far easier to achieve those aims of accountability, incentivisation and clarity if 100% of income tax powers were devolved, as well as achieving the non-detrimental fiscal framework which is key to underpinning the devolution of that tax?
Guto Bebb
Once again the hon. Gentleman is putting ideology ahead of practicality. There is a significant difference between the population that lies along the Welsh border with England and the population on the border with Scotland. We have to move very carefully. This is a proportionate settlement that ensures there is a degree of tax accountability. He is possibly pushing his luck on this, because that ideology is not supported by the people of Wales.
We are moving in the right direction. This Government have achieved a funding floor, whereby we guarantee that spending in Wales will never be less than 115% of spending in England. That guarantee was not forthcoming for 13 years of a Labour Government here in Westminster, and it has now been offered by this Government.
Oral Answers to Questions
Jonathan Edwards Excerpts(8 years, 6 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Mr Speaker
Order. A great many people in Wales will be attending to our proceedings, and I must also inform the House that today we are visited by the eminent figure Cardinal Charles Bo from Rangoon in Burma. We want to impress him not only with the quality of our interrogation but with the decency of our behaviour, so a little less noise would be helpful.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
6. What the Government’s plans are for the future of S4C.
The Secretary of State for Wales (Alun Cairns)
I was delighted to visit S4C last week to see at first hand the exciting developments at the channel, including the launch of its HD service in time for the European championship. I am sure we all wish Chris Coleman and the boys well.
Jonathan Edwards
What assurances can the Secretary of State give us that the UK Government’s review of S4C will not be compromised, as it will be conducted after the BBC’s charter review? Can he confirm that all options will be on the table, including securing an independent financial stream for S4C funded from revenues raised for public service broadcasting, and from direct Government support?
Alun Cairns
The hon. Gentleman will recognise that a fundamental principle is operational and editorial independence. The BBC White Paper offers protection and support for S4C, but, of course, there is a review ongoing that will look at all these matters, such as governance and financing, in order to secure a long-term future for the channel. [Interruption.]
Cardiff Coal Exchange
Jonathan Edwards Excerpts(8 years, 8 months ago)
Westminster HallRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)
I beg to move,
That this House has considered the future of the Cardiff Coal Exchange.
It is a pleasure to serve under your chairmanship, Mr Howarth. I welcome the new Wales Office Minister to his post. We have both served on the Welsh Affairs Committee and I was pleased to hear that he would respond to this debate.
The subject of the recent ownership and the future of the Cardiff Coal Exchange is extremely complex. It cuts across devolved and reserved matters and the responsibilities of several UK Departments, including the Wales Office, and the Welsh Government. Let me make it clear at the outset that I do not expect the Minister to have all the answers today, but I hope he will listen carefully to my concerns. I am interested in his views on them and ask him to make representations to the Departments involved and the incoming Welsh Government, and to take a personal interest in the future of what is arguably one of the most important buildings of the Welsh national heritage and indeed our industrial heritage from the 19th and 20th centuries.
I do not want to detain the House too long on the remarkable history, architectural merits and the importance of the coal exchange to Cardiff and the Butetown community, as I want to focus on current matters, but I would be remiss not to remind the Chamber of some crucial issues.
Cardiff became the largest coal port in the world at the end of the 19th century and the coal exchange was constructed in the 1880s by Edwin Seward as a base from which to conduct trade negotiations regarding the coal mines of the south Wales valleys, with Cardiff being the key coal port in the world at the time. Following its opening, ship owners, their agents and many others interested in the coal trade met daily on the floor of the remarkable trading hall, where agreements were made by word of mouth and telephone. It has been estimated that 10,000 people would pass in and out of the building each day. At one time, the price of the world’s coal was determined in the Cardiff Coal Exchange in Butetown. It is famously claimed that the first £1 million business deal took place and the first £1 million cheque was signed at the coal exchange during a transaction in 1901.
With the decline of the coal industry and of the export of coal from Cardiff and the Bute docks during the 20th century, the coal exchange eventually closed in 1958 and coal exports from Cardiff dock came to an end in the 1960s.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
I congratulate the hon. Gentleman on securing this debate and on his extensive work on the issue. He mentioned the proud history of the building, which is iconic for Wales. Does he agree that the Labour council that currently runs Cardiff should consider all those matters?
Oral Answers to Questions
Jonathan Edwards Excerpts(8 years, 8 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Alun Cairns
My right hon. Friend speaks with authority and knowledge of this issue. Devolution to north Wales from what is seen in many quarters as the remoteness of Cardiff Bay is essential. The community groups whom I met in north Wales, whether they were from the north-west, from the border or from the English side of the boundary, wanted the growth deal to work on a cross-border basis, and I am determined to explore that possibility in the interests of the region.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
One of the most effective ways of rebalancing the economy is to empower the Welsh Government by giving them the necessary job creation levers, which is why I welcome moves to increase fiscal empowerment for Wales. If fiscal devolution is to work, however, it must be facilitated by the provision of a genuinely no-detriment fiscal framework. The SNP Scottish Government have negotiated such a framework for their country. What is the Secretary of State’s preferred deduction method for Wales?
Alun Cairns
The hon. Gentleman will be aware of the plans in the draft Wales Bill for the granting of income tax-varying powers for the Welsh Government. We want Wales to be a low-tax economy. Of course, mechanisms will need to be introduced to protect Welsh interests. The hon. Gentleman will be pleased to hear that I met the Chief Secretary to the Treasury earlier this week to discuss early proposals for such mechanisms, and we are happy to engage in further such discussions.
Commonwealth Games: Wales
Jonathan Edwards Excerpts(8 years, 9 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Craig Williams
In the spirit of consensus, I will take one more intervention, from the hon. Lady, and then make some progress.
Craig Williams
The hon. Gentleman is exactly right. I was just about to touch on the legacy effects across the United Kingdom that the games would bring. Let us look at some cold, hard numbers. I appreciate that the Welsh Government need to carry out the feasibility studies, but they will take us only so far. We need the gut political instinct that makes us say, “We are proud of our nation and our country; we would like to host international, global stages, and we must do that.” I think we are at that juncture now.
Following the Manchester games of 2002, we have had some time to do some economic studies. The chief executive of Manchester city council, reflecting 10 years on, said:
“The Games accelerated regeneration and economic growth in the city by 20 years or more and the ten-year anniversary puts in to perspective how much the City of Manchester has grown and changed over the past decade.”
Looking closer in time to Glasgow, there has been a £52 million boost to Scotland’s economy, and 1,000 jobs in each of the past six years have resulted from the building and revamping of Glasgow up to the competition, and then after with the athletes village.
Jonathan Edwards
I congratulate the hon. Gentleman on securing this debate. What consideration has he given to the extra infrastructure that will be required in Cardiff and across the country to host the games? Glasgow had the SSE arena with a capacity of over 15,000, and it hosted about six of the disciplines, but we do not yet have that sort of facility in Wales.
Craig Williams
The key word is “yet”. Sir Terry Matthews has ideas for the promotion of an arena, and Cardiff Council also has some excellent ideas involving regeneration and the building of an arena.
The plans are there, but a catalyst is needed. At the beginning of my speech, I mentioned the Cardiff city deal and the infrastructure that the south Wales metro will provide. If Glasgow and Manchester had benefited from the kind of infrastructure investment that has been announced in the Budget today, it would have made the games much more achievable. We may talk about new arenas, but this is about having a vision for Wales and going for it. Our capital city certainly needs more hotel capacity, Newport needs more grade A hotel capacity, and Swansea needs its arenas and conference facilities. These are things that we lack as a country, and I am not just talking about the Commonwealth games; the legacy effect extends further.
The building and refurbishment of games venues and the athletes village in Glasgow has produced an estimated 1,000 jobs and £52 million for Scotland’s economy. There are 5,000 games-related training and job opportunities on national legacy programmes throughout Scotland, which are not focusing on a single city. An average of about 200 jobs and a £10 million economic boost were created during the six years that led up to the games, via the multi-partnership urban regeneration firm Clyde Gateway URC. The firm initially invested £100 million to help create a regenerated, well-designed community. All the new and refurbished games sporting facilities are already open to the public: schools, clubs and sports bodies. The legacy in Scotland is fantastic, and we could have the same in Wales.
There has also been an expansion of the major events industry in Scotland. As I said earlier, we need international conference facilities in Wales, but we cannot currently do that because of our chronic lack of hotel capacity, and the lack of capacity in the areas where we host conferences. The games would serve as a catalyst in that respect.
Let me say something about the legacy and economic benefits for our country. Sarah Powell, chief executive of Sport Wales, has said:
“Wales’ global reputation for staging world leading sporting events would be further enhanced by hosting the Commonwealth Games. We should be proud of our reputation around major events as it projects the image that we want the world to see—a strong confident nation comfortable with our place in the world and increasingly treating success as not a surprise, but an expectation.”
Throughout our nation is a wealth of world-class sporting venues. It will not surprise Members that I mention first the Millennium stadium in our capital city, which has now been renamed the Principality stadium, but Wales also has the Liberty stadium in Swansea and the velodrome in Newport. The Commonwealth games would not just bring benefits to south Wales; north Wales could host sailing and other events. The National Sports Centre in Cardiff regularly hosts international competitions, training camps and athlete training, and a number of international competitions already take place throughout the year at the centre.
Any Commonwealth games bid would have a positive regeneration impact in terms of infrastructure development, as well as adding to the already increasing levels of sporting participation. Given the indoor arena that is planned for Cardiff, and the 5,000-seater Wales International Convention Centre at the Celtic Manor resort, the building of new sporting venues may be completed well before 2026. Those are arenas that we already want to build. Any feasibility study would find that we are well on our way to pulling all this together—and, of course, we already have many rugby and football stadiums, and provision for the other sports in which we do so well in Wales.
The Parliamentary Under-Secretary of State for Wales (Alun Cairns)
I am grateful to my hon. Friend the Member for Cardiff North (Craig Williams) for not only the way in which he introduced the debate, but his recognition of the role that Cardiff can play in supporting the whole of Wales. I am also grateful to you, Mr Speaker, for enabling the debate to take place in the same week as Commonwealth Day, because it presents a great opportunity to discuss how a Welsh bid for the Commonwealth games could once more showcase Wales to the world and provide a welcome boost to our economy.
As my hon. Friend mentioned, what a day this has been. It is shaping up to be a fantastic week for Wales. I was delighted yesterday that we signed a £1.2 billion city region deal for Cardiff, a transformational opportunity, which the UK and Welsh Governments, along with local authorities, have worked together for some time to create. I pay tribute to my hon. Friend for spearheading the campaign from the outset. There is no stronger champion of the city deal and its benefits for Cardiff. The Budget has of course delivered some significant outcomes for Wales. The north Wales growth deal offers great prospects for north Wales, and the Swansea bay city deal offers excellent opportunities. The changes to the Severn tolls demonstrate that Wales is open not only to business, but to tourists. Dare I say that Wales is also open to major sporting events? It is good to see the hon. Member for Newport East (Jessica Morden), who has championed the need for changes to the Severn tolls for some time.
My hon. Friend the Member for Cardiff North will know that the Wales Office hosted a reception in January to celebrate Welsh sporting success, and I said then that I would like Wales to develop a bid for the 2026 Commonwealth games. That remains my ambition, so I am pleased to have the opportunity to discuss that further today and am grateful to see cross-party and even cross-nation support from across the United Kingdom.
Wales is well known for its sporting achievements. We achieved our best result in history at the 2014 Commonwealth games, finishing 13th in the overall medal table having secured 36 medals. We know that Wales can punch well above its weight. For example, we develop 6.5% of the UK’s Olympic and Paralympic athletes, despite having under 5% of the UK’s population. We are committed to showing our continued support for Welsh elite athletes, and it is a priority of this Government to provide the right conditions to produce the sports stars that will continue to shine at such events in the future.
Bringing the Commonwealth games to Wales would put us on the world stage once again, just like when we hosted the NATO conference in 2014, which was referred to by Opposition Members and my hon. Friend. We also hosted Olympic events as part of London 2012 and hosted the Ryder cup in 2010. At the 2012 Olympic games, the world saw what we have always known: the UK is an unbeatable venue for world-class sporting events. The world also saw what Wales has to offer when we hosted the very first event—Great Britain’s women took on New Zealand in the football competition in Cardiff.
We know that as well as reinforcing the Wales brand, sport can make huge economic contributions to Wales. Much has been said about how the Principality stadium is among the best stadiums, and it generates more than £130 million a year for the Welsh economy and sustains more than 2,500 jobs. In its first decade, the then Millennium stadium boosted the Welsh economy by more than £1 billion. The 2015 rugby world cup played a significant part in boosting the economy of south-east Wales. Cricket is another sport that we have managed to celebrate and derive significant economic success from, with the Ashes at Sophia Gardens giving a £19 million boost to the capital region economy in one year.
Wales is continuing to grow in this area, as it can look forward to hosting an exciting range of sporting events in the next few years, some of which were mentioned by my hon. Friend the Member for Cardiff North. These include: the world half-marathon championships; the UEFA champions league final; velothon Wales; and the international Snowdon race. But there is no reason why we should cap our ambitions at just those events. With Wales riding high on a sporting wave of success, there is surely no better time to identify how we can attract more global sporting occasions to our shores—occasions such as the Commonwealth games.
Jonathan Edwards
The Minister mentioned the national rugby stadium in his remarks. Although it is probably the best stadium in the world, UEFA was not going to allow us to hold a champions league final in that stadium because Cardiff airport is not designated as being up to a sufficient standard. One way of moving forward on that airport would be by devolving airport duty tax, especially in respect of long haul flights, to allow the airport to develop. Let the UK Government show some ambition and devolve that tax.
Alun Cairns
The hon. gentleman knows that the Treasury is actively looking at that area of policy, but this is a debate about the Commonwealth games and Cardiff airport will rightly play its role in hosting the visitors from the nations involved in the champions league final. As the airport lies in my constituency, I certainly hope to play a part in welcoming some of those superstars from around Europe and elsewhere when they visit Cardiff and Wales.
The opportunities to host such events in Wales should know no bounds. Not only can they pump millions of pounds into our economy and create thousands of jobs, but they can leave a lasting legacy and inspire youngsters from every corner of Wales to get hooked on sport. The 2014 Commonwealth games were the largest multi-sport event ever held in Scotland and a spectacular display of world-class sporting success. The enthusiasm of competitors and the public, the excellent organisation and of course the economic contribution came together to ensure lasting legacy from those 11 days of sport. From the Scottish Government and Glasgow City Council’s capital investment of about £425 million, topped up with ticket sales and revenue from commercial sources totalling £118 million, came a return of £740 million to boost the economy of Scotland and of Glasgow in particular. Hosting such a games can therefore be seen as an investment. That return included £390 million for Glasgow’s economy, and support for an average of 2,100 jobs each year between 2007 and 2014, including 1,200, on average, in Glasgow. The games attracted 690,000 unique visitors, whose net spending contributed £73 million to the economy over those 11 days alone.
Those figures demonstrate the investment and the opportunity; this is something Wales can hope to emulate. A bid team would, however, rightly need to look at the figures in more detail. Let us be clear about the challenges ahead of us. We have some of the best facilities. We have the Wales national velodrome in Newport and the national pool in Swansea. We have no shortage of mountains in Snowdonia for mountain biking. We have fantastic facilities in Bala for canoeing. Those facilities demonstrate that a bid from Cardiff could really be a bid from Wales, which we would welcome, but they are widely spread and we need to take that into account. Additional facilities are also needed. One pool is insufficient, so we would need a practice pool. One velodrome is insufficient and it will be 20 years old by the time of the games, so we need practice and warm-up facilities. That demonstrates the planning and construction challenges that exist. Over the next week or so, I am meeting one of the individuals who was responsible for planning the 2012 games in London to establish what Wales would practically need to achieve.
Welsh Affairs
Jonathan Edwards Excerpts(8 years, 9 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Glyn Davies
I thank my hon. Friend for offering me the opportunity for some degree of self-congratulation, but I had probably better not take it.
I particularly enjoyed one comment from Megan Lloyd George’s speech, which you may enjoy as well, Madam Deputy Speaker:
“No Englishman”—
I think she meant English women as well, but in those days women were not included as they are today—
“can understand the Welsh. However much he may try, and however sympathetic he may feel, he cannot get inside the skin and bones of a Welshman unless he be born again.”—[Official Report, 17 October 1944; Vol. 403, c. 2237.]
That explains quite a lot.
I am supportive of making St David’s day a national holiday, and I support the efforts of the hon. Member for Ceredigion (Mr Williams), who is sponsoring a private Member’s Bill under which that decision would be devolved to the National Assembly for Wales. When I was a National Assembly Member, I declared 1 March to be a bank holiday in my office, and the staff were always told that they need not come in to work. If we are not able to agree a bank holiday, I could certainly do the same again.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
I am grateful to the hon. Gentleman for supporting that idea. Would he support Plaid Cymru Members if we tabled an amendment to the Wales Bill to remove public holidays from the list of matters reserved to Westminster?
Glyn Davies
I do not think that the hon. Gentleman would expect me to go further than to say that that may well be an idea that could be supported and looked at.
St David was a great Welshman, pure in thought and pure in deed—a condition to which every good Welshman aspires. He performed awe-inspiring miracles. People usually refer to the most famous one, which was to raise the ground on which he was standing in order to be seen. The First Minister of Wales gave that very example in London today in a speech that I heard. What I find most interesting about it is the reflection made by the late Professor John Davies, another great Welshman, who said that he could not
“conceive of a miracle more superfluous than the creation of a new hill at Llanddewi Brefi.”
That is true, but it was still a very good trick to pull off.
I want to comment on three areas. They are points that I feel I ought to make in this place as often as I can. The first is on culture. I will then make some comments on sport. I also want to comment on the transfer of power, which will take place under the Wales Bill and to some extent under the constituency boundaries review, from this place to the National Assembly for Wales.
Wales is a great nation of culture—it is part of the Welsh DNA—but the one thing that is particularly special is the Welsh language. It makes Wales different. Not everybody can speak it, but it does make Wales very different from any other part of Britain. We can go to certain places and hear the indigenous language of Welsh being spoken on the street. I think that is very special.
A key part of supporting the Welsh language is Sianel Pedwar Cymru—S4C—the Welsh television channel. Every couple of years, we seem to have to fight very hard to maintain the public support that is needed for such a channel to continue. I hope that Members from all parties in this place will acknowledge its importance in ensuring that the Welsh language thrives and keeps Wales the special place that we all aspire to its being.
I want to talk briefly about sport, but perhaps not to say the obvious things. We know about the Welsh rugby team, and we wish them well. We have a magnificent captain in Sam Warburton. I say that not just for the quality of his play, but for the type of man he is. When I look back on everything I have seen in sport, I will never forget how, when he was so unjustly sent off in the semi-final of the world cup, he looked at the referee, nodded his head and walked off. He showed no disagreement with the referee, but accepted a really unfair decision—the referee’s judgment—and went off. That requires a level of self-control that I find absolutely amazing. To my mind, that makes him a magnificent man. I must of course also make reference to the Welsh football team, who are going to France for the European championship. We wish them well.
I want to mention two other sportsmen. One of them is an international figure, John Charles. I am of a certain age—a lot of Members in the Chamber are young—and in my view he was the best footballer that Britain has ever produced. He is never thought of as such and does not come to people’s minds, but he was an absolutely amazing man. He could leap, above everybody, like a salmon. Actually, he was a little bit like St David in that he could rise himself up, but he did not need a hill. He was appreciated across the world. Again, amazingly, he had the same Warburton-like concept of fairness. He was never sent off or cautioned in the whole of his career. How someone could play at his standard—one of the best players in the world—and never be cautioned, or never have an argument with anyone, is amazing.
The other person I want to mention is a local man from Welshpool, Barry Williams. I played rugby in the midlands and the north of England, and I eventually came back to Welshpool, where we had one team. Sometimes, we were lucky even to get out one full team. In terms of the first team, Welshpool is not much different now, but has up to 10 teams of youngsters—under-eights, under-10s, under-12s and under-14s—playing every week. Barry Williams organises all that. To my mind, he is the sort of individual who makes a massive contribution to Welsh sport and, indeed, to the spirit of encouraging young people to be part of society. I think that Welshpool rugby club—it is not the greatest rugby club in the world, although I thought it was when I played there—has the sort of man we need as an example to everyone right across Wales.
Finally, I want to say one or two things about the Wales Bill, which we have not yet seen. I am one of the few people to be disappointed by the pause. In the end, I acknowledge that there has to be a pause because of the delays in getting to where we are, but I would very much have liked it to be a subject for debate during the National Assembly election. It would have been a real issue of contention. Elections very often finish up as a debate about all sorts of things that are very much unrelated to what they should be about. If it had been an issue in the Welsh Assembly election, we could have focused on the future of Wales and how Wales is governed, which would have been very appropriate.
What I have seen of the Bill so far has pleased me. Clearly, the draft Bill did not receive a level of support that would have enabled it to go forward. We still have the reserved powers model, but it seems that the powers that are reserved will be greatly reduced—something we should all welcome. Other parts of the Bill are important. The inclusion of income tax responsibilities for the Welsh Government is crucial. It will give them a financial responsibility, rather than just a spending responsibility. That will enable the Welsh Government to grow up. There are a whole lot of other issues on which there is general agreement across all parties. Hopefully, in the end there will be a Bill that Members from all parties can support and that delivers the stable, long-term devolution settlement that all of us in this place would very much like to see.
Craig Williams (Cardiff North) (Con)
In the spirit of St David’s day, may I first give huge congratulations to the hon. Member for Aberavon (Stephen Kinnock) on securing this important debate? More importantly, I thank my hon. Friend the Member for Montgomeryshire (Glyn Davies) for introducing a bit of consensus just before my speech, which I will build on. In that spirit, I add my name to the lobby of the hon. Member for Newport East (Jessica Morden) on the Severn bridge tolls, which are an important cross-party issue on which we all campaign strongly. I would certainly like to come to the meeting with the Department for Transport if Ministers can arrange that.
I want to touch on several points. I am mindful of the time limit, but as the Member for Cardiff North it would be remiss of me not to start with the Cardiff city deal. I know that my colleagues would be sad if I did not bang on about it for at least half my speech.
It is an important time for Cardiff, and an exciting time to be involved with what I see as the engine room of the Welsh economy—Cardiff and the city region. If the city deal is successful, it could bring a lot of scope, investment and vision together. The next couple of weeks will be incredibly important for our capital city. I want to make a couple of pleas from the Chamber about private sector involvement. I know that the Minister is a champion for us, and I implore him to do anything he can in the spirit of consensus and the framework of the city deal.
The Aston Martin announcement was so welcome and brilliant, and the Minister was integral to that. It resulted from championing by the UK and the Welsh Governments. If we take that partnership approach on many more issues, we could secure much more investment. We are all tempted, so close to an election, to take all the credit for anything positive in Wales, but there are many more companies floating around south Wales—and I hope north Wales, but I am unabashedly the champion of Cardiff—and working together can help secure investment.
Electrification is a key issue. When that happens in Cardiff and then in Swansea, there will be an opportunity to tie into the south Wales metro. I want to work with the Welsh Government and Network Rail to get work in the south Wales valleys into the right control period. I want to be involved in the conversations, for example, about whether the line is heavy or light. I want to do what I can, and I want the spirit of consensus to get into the city deal. I hope that the metro will be at the core of that. I realise that the next couple of months will be difficult and that we might not quite agree on everything in the run-up to the Assembly election. However, in the spirit of consensus. I very much look forward to working with Councillor Jayne Cowan in Cardiff North, who, with 16 years of experience on the council, could help deliver the metro.
I also want briefly to mention IQE in the context of the city deal. It is a great Cardiff and Welsh company that produces the compound semiconductors that we find in most electronic devices. Its relationship with Cardiff University, and the new catapult that the Chancellor of Exchequer launched in Cardiff, are bringing high-end, brilliant manufacturing to Wales—exactly the sort of industry that we need to attract together. By “together”, again I mean the UK and the Welsh Governments.
Without venturing too far into the European debate, I have to say that Cardiff University punches far above its weight. That ties into Horizon 2020 funding and the critical mass we get in the single market for research and development, which I support wholeheartedly. The metro, electrification, IQE and working with the private and third sectors will deliver a Cardiff city deal to rejuvenate south Wales. The valleys are important in the Cardiff city deal, which might start with Cardiff but is incredibly important to that critical work population of about 1.5 million people. Although Cardiff is the engine room of the Welsh economy, we need transformation for south Wales.
Jonathan Edwards
The hon. Gentleman alluded to the importance of the European Union for Cardiff University and research funding. He knows, of course, that the leader of the Conservative party in the Assembly has said that he will vote for Brexit. What impact does the hon. Gentleman think that that will have on higher education policy in the Conservative manifesto for the Assembly elections?
Craig Williams
The hon. Gentleman is trying to ruin the consensus within my party as well as the debate. I will try my best to skirt around that issue. Although I disagree with Andrew R. T. Davies, a good friend and colleague, we will work those things out when he is First Minister. I therefore would not worry about that.
Let me move on quickly to the redevelopment and challenges that I envisage for the south Wales and Cardiff economy. The hon. Member for Caerphilly (Wayne David) is not in his place, but I am sure that he will read Hansard later. The barefaced cheek of saying that we are waiting for some sort of financial package from the UK Government for the M4 relief road is unbelievable. That borrowing power—the old Welsh Development Agency powers—has been available to the Welsh Government for a considerable time and they have not done much to progress that.
Jonathan Edwards (Carmarthen East and Dinefwr) (PC)
I will start by talking about the European Union, as many Members have during the debate. I will vote yes for a number of reasons. In a previous life I was an international historian in the international politics department at Aberystwyth, a world-renowned department in our country. It was set up in the aftermath of the first world war, following a generous donation of £20,000 by the great industrialist David Davies Llandinam to honour the dead and maimed students of the university. Davies was motivated—I will quote the university’s website, because I could not put it better myself—
“by a global vision, forged in the fires of war, aimed at repairing the shattered family of nations and, more ambitiously, to redeem the claims of men and women in a great global commonwealth”.
My academic speciality was both world wars and the cold war. No one should ever question the vital role played by greater economic co-operation on the continent, and by the European Union, in forging lasting security, prosperity and peace.
I will vote to remain also because Wales is a net beneficiary of EU support, to the tune of £4 billion by 2020 if match funding is added. To its credit, the EU has redistributive mechanisms whereby resources and investment are aimed at the poorest geographical areas—mechanisms sadly lacking in the UK, which I suggest is a matter of shame for Unionists. I have yet to see a contingency plan from the UK for what would happen if they oversaw a calamitous exit from the EU. In contrast to the EU’s mechanisms, the UK fails to allocate spending based on need and instead ploughs its infrastructure investment into already vastly wealthy areas at the expense of those desperately in need of it.
UK membership of the EU has also played an important part in driving social justice, be it in protecting people from discrimination based on age, sex, race, religion or disability, in maternity and parental leave entitlements, or in the right to paid holidays and working hours limited to 48 hours a week.
As a net exporter, the Welsh economy benefits hugely from the single market and its 500 million consumers. The hon. Member for Aberavon (Stephen Kinnock) gave an important statistic about the importance of export trade to the Welsh economy.
Guto Bebb
The hon. Gentleman is making a passionate case for Wales remaining in the European Union. However, can he reconcile that with the fact that his party held street stalls in my constituency to argue that the European Union, in a trade deal with America, would sell our NHS? That is hardly a case for staying in.
Jonathan Edwards
I was not going to mention the Transatlantic Trade and Investment Partnership, but the hon. Gentleman has led me to it. He knows that there are genuine concerns about how TTIP could impact on public services, and about the privatisation of public services. That is one of my concerns about the European Union—I am not an unconditional supporter because it has fostered those liberalising policies that successive Westminster Governments have introduced for our public services. The fear is that TTIP could be a Trojan horse for promoting those liberalising polices even further, especially in public services. That is why I believe that the Welsh Government should have a veto on whether the UK Government sign up to TTIP. I am also somewhat sceptical about the European Union because of its treatment of the Greek people in their hour of need recently.
Although I will vote to remain, I believe that the Prime Minister’s current tactics are dangerous and ill judged. Project Fear 2, and the use of all the assets of the state to ramp up risk and anxiety, may prove to be a short-term success in securing a vote to remain in June. However, a gaping wound will be created when people feel that they have been cheated and bullied. As we see in Scotland following Project Fear 1, the battle might be won from a Unionist perspective, but ultimately the war will be lost. If the UK Government’s position is to settle the European question, they need to fight a positive campaign, and as I have outlined, there are numerous things that they could say.
I welcome the Secretary of State’s decision to delay the introduction of the Wales Bill following pre-legislative scrutiny of the draft measure. I am pleased that the Secretary of State seems to have agreed to remove the necessity tests from the Bill. I hope that he has taken note of the excellent work in the Cardiff University/University College London report, which stresses that the model itself makes the necessity tests unworkable, rather than the choice of words, “necessary” or otherwise.
I also welcome the fact that the Secretary of State has agreed to shorten the list of reservations significantly. However, as always, the proof of the pudding will be in the detail of the Bill when it is published. He will know from the pre-legislative scrutiny that two reservations in particular make the Bill unworkable—the reservations of the criminal law and private law mechanisms. While I am encouraged by his promise to shorten the list, his reluctance to accept the evidence on the need for a distinct jurisdiction leads me to believe that he will not remove criminal law and private law from the list.
Indeed, the Welsh Affairs Committee, which has a Tory majority and is chaired by one of the most prominent anti-devolution MPs, accepted that creating a distinct legal jurisdiction would
“provide a solution to issues associated with the reservation of civil and criminal law and necessity clauses.”
When redrafting the Bill, and the list of reservations in particular, the Secretary of State should ensure that each and every reservation is individually justified. I believe that the Secretary of State is serious about creating a long-lasting devolution settlement and I share his ambition, but unless he fights against his devo-sceptic fringes, he will just be yet another Secretary of State for Wales who creates yet another failed devolution settlement.
The context of the rewriting of the Bill has also been changed by the decision to cut more than a quarter of Welsh MPs. If the UK Government want to make those cuts to Wales’s representation, they must give the National Assembly the same powers as the Scottish Parliament—the number of Scottish MPs was cut following transfer of powers. That means full transfer of responsibility over energy and the Crown Estate, full income tax powers, transfer of policing and criminal justice, the legal system, transport, air passenger duty, and the rest of the provisions in the Scotland Act. The Government cannot expect those responsibilities to remain with the UK Government and Westminster with only 29 Welsh MPs. That would create a gaping democratic deficit.
I want to turn my attention to one economic project in Wales about which I have not had the opportunity to comment in any great detail to date—the Swansea bay tidal lagoon. Despite Wales being one of the most advantageous locations in Europe for renewable energy, just 10.1% of our electricity is generated from renewable sources. That compares with 32% in Scotland and 14.9% for the UK as a whole. Despite Wales being home to the second highest tidal range in the world, and 1,200 km of coastline, we are lagging behind on tidal technology. I understand concerns about the proposed financing model. Proponents of the contract for difference strike price model argue that the Swansea lagoon is nowhere near as big as the planned Cardiff and Colwyn bay lagoons, and that therefore the strike price on a per megawatt basis seems high. However, it must be considered as a long-term investment that will eventually deliver multiple lagoons across the UK.
Funding green energy through a CFD effectively passes the cost of upfront investment on to the consumer, who inevitably will see their bills go up. If I were in the shoes of the Secretary of State, I would make the case that the Treasury should invest in the project by bringing it on to the books directly, as happens for transport infrastructure such as HS2 in England. Raising money on the bond markets has never been cheaper, with 50-year bonds at a negative rate and 10-year bonds at less than 1.5%. Those rates are available only to the Government and not the private sector. Using an old-school financing method—direct public investment—as opposed to an ultimately far more costly financing scheme such as CFD, will be far cheaper in the end for the public, and the UK Government should be honest with the people of Wales about that.
The Treasury will be aware of my early-day motion tabled earlier this week, which calls for a specific Welsh public sector pooled pension fund. Instead of letting the pension assets of Welsh public sector workers be pillaged by a super pooled asset fund based in England, why is the Wales Office not ensuring that Welsh assets are pooled at a Welsh level to invest in Welsh infrastructure such as the lagoon? I recognise, however, that that model would require a CFD. Confidence is the magic trick in any economic policy, and moving forward quickly on the proposed lagoon will be a massive confidence boost for the south and west of our country, stimulating further economic investment and growth.
Alun Cairns
I am grateful to my hon. Friend for emphasising that point. The 115% rate of Barnett consequentials is extremely important—it entirely meets the criteria in the Holtham demands—but one would almost think that Labour and Plaid Cymru Members were disappointed that we had actually delivered on something that they had been calling for. They would far rather be shouting from the sidelines, calling for it in the hope that we would not deliver it. When we respond in a positive way and deliver for the people of Wales, there is complete silence.
Jonathan Edwards
Obviously the Barnett formula is a step forward, but does this not underline the danger of using opaque terms such as “fairness” and “non-detriment”? In my view, a fair funding settlement should be based on need rather than serving to prevent further injustice. As the hon. Member for Llanelli (Nia Griffith) pointed out, the key aspect of non-detriment is the fiscal framework. Has the Minister any idea of the preferred index for which the Welsh Labour Government are arguing with the Treasury? It is clear that different mechanisms will have vastly different outcomes.
Alun Cairns
The hon. Gentleman has made some important points. It is, of course, up to the Labour party to explain its position. All I know is that Labour called for this for decades, we responded within a year, and since then there has been complete silence on the Opposition Benches.
My hon. Friend the Member for Aberconwy was extremely upbeat about Wales’s economic prospects. It is true that, since 2010, the number of people in work has risen by 89,000, unemployment has fallen by 35%, the youth claimant count has fallen by 61%, and Wales has experienced faster growth per head than any other nation or region of the United Kingdom outside London. The hon. Member for Neath (Christina Rees) spoke of the importance of getting people into work. This is action, and this is where it is happening.
We have been getting behind Welsh businesses, and there are 22,000 more small and medium-sized enterprises in Wales than there were in 2010. The hon. Member for Aberavon mentioned the steel sector. I know that he spoke to the Secretary of State and the Minister for Small Business, Industry and Enterprise earlier today about the issues facing the steel industry and, in particular, the communities around Port Talbot, but I hope he will recognise that the Government have gone a long way towards meeting the five asks from the steel industry.
One of those asks was a cut in business rates, which were mentioned by some Opposition Members. That is a devolved matter, and something that the Welsh Government could do. The energy-intensive industry compensation package has been delivered, as has the provision of more time in which to comply with the EU’s industrial emissions directive. As for EU-level action on anti-dumping, the UK Government are leading the pressure that is being exerted in Brussels. I hope that the hon. Gentleman will recognise that, along with a range of other measures that we have taken.