Public Bodies Bill [Lords]

Mark Williams Excerpts

Tuesday 25th October 2011 Commons Chamber

[Mr Mark Williams (Ceredigion) (LD)]

I will be brief, but there are some important points that need to be made. First, I follow the Opposition Front-Bench spokesman in thanking the ministerial team who served on the Bill Committee. Being the mouthpiece for several other Government Departments was an onerous task, and they performed it very effectively.

The Bill has been on a long journey since its introduction in the other place. I hope there is still broad agreement on the original principles. When I was sitting in Committee, I continually reminded myself of the three yardsticks the Ministers had set: transparency, accountability and the economics of quangos. All the parties wish to reduce the number of quangos but, as many were created through primary legislation, it was necessary to adopt a streamlined approach that would allow Ministers to modify and abolish existing quangos. I think the Government now accept—grudgingly, at least—that the initial powers in the Bill as introduced in the other place were far too sweeping. That has changed, and we now have a much better Bill.

As my right hon. Friend the Member for Bermondsey and Old Southwark (Simon Hughes) and my hon. Friend the Member for St Ives (Andrew George) said, this is still a work in progress. The Ministers in Committee reminded us constantly that this was enabling legislation. As one of my friends who was concerned with S4C alone reminded me today, that is still unfinished business. We have had some welcome news today, but there is still going to be a public consultation, there are still various regulatory hurdles that the Cabinet Office will have to overcome, there will still be an order under the Bill and an operating agreement—at least I hope we will get this—will still need to be reached with the BBC. So there are still issues to be dealt with.

I welcome the fact that this Bill provides for an enhanced devolution process and, in particular, grants Welsh Ministers the power to create their own environmental body to take on the functions of the Environment Agency Wales, the Countryside Council for Wales and the Forestry Commission Wales. I regret, however, that the principle was not extended to consumer advocacy. I know that the right hon. Member for Cardiff South and Penarth (Alun Michael) was hoping to pursue that on Report if his amendment had been accepted—it was the amendment that I moved in Committee.

[Alun Michael]

I am grateful to the hon. Gentleman for raising that point. It is important that Ministers continue the discussions that have been taking place with the Ministers in the Welsh Assembly Government to ensure that the systems put in place for Wales are appropriate and properly resourced, and that this is not allowed to wither on the vine. I endorse the point that he is making about the importance of this matter.

[Mr Williams]

I thank the right hon. Gentleman for that comment. As he is aware, the Select Committee on Welsh Affairs is undertaking an inquiry on this matter and we will not allow it to wither on the vine. The requests of the Welsh Assembly Government must be responded to.

In not pursuing the amendment that some of us sought, we are missing an opportunity to ensure that Wales can have the best possible model to deal with consumer policy. The Bill will pass tonight, but in the coming weeks and months the Government will present the results of consultations on the consumer landscape and if they do decide that Wales should have the power on these matters, sadly they will have no suitable legislative vehicle to grant that.

I welcome the announcement on S4C, although I regret more that we did not have an opportunity to talk about S4C today. We had a prolonged debate in Committee on it but, like the hon. Member for Arfon (Hywel Williams), I would have welcomed the opportunity to push our amendment on providing financial stability for S4C. I welcome today’s announcement that the BBC will not have representatives on S4C’s management board, but S4C will still be reporting to the BBC under the terms of the operating agreement, once it is finalised, and will be reliant on the BBC for its funding. That decision did not need to be taken now in this Bill; it could have been taken in the forthcoming communications Bill, and concerns remain.

We heard the welcome announcement by the Government that there is now to be a duty on the Secretary of State to provide sufficient funds, although how closely involved the Secretary of State will be remains to be seen. I am firmly of the opinion that this must not just be a rubber stamp of whatever the BBC decides. Like the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), I feel that until the day when devolution is passed down to the Cynulliad as part of that settlement, the Secretary of State must be central to and engaged in the process.

We do now have a longer-term funding settlement. Again, it is welcome that S4C has a better long-term idea of its funding, albeit not at the level that some of us hoped for. But what we tried to achieve in Committee and hoped to achieve on Report were genuine stable funding criteria that will provide guidance and direction on what S4C requires. That is particularly important to the creative industries in Wales. I have concerns that tying S4C into the operation agreement that it will have––to which it has perhaps reluctantly agreed––means that it is difficult to see protections for its independence, particularly its operational independence.

[Guto Bebb (Aberconwy) (Con)]

Is it not the case that this morning’s agreement between S4C and the BBC has guaranteed a six-year funding stream for S4C? In the current economic climate, would not the majority of small businesses be very grateful for a six-year funding guarantee?

[Mr Williams]

I ask my hon. Friend to examine the justification given some 15 years ago by the Conservative Minister at the time for a stable, formula-based funding settlement for S4C. It was convincing in 1996 and I suggest that that is the direction the Government should have taken.

Nobody at S4C has ever doubted the need to make cuts to reduce costs but the Government need to recognise that the action they are taking is not tinkering around the edges or making a few savings but fundamentally changing the dynamic that makes S4C valued by fluent Welsh speakers and Welsh learners. It is a guarantee for the independence that is valued. This decision should not be taken lightly, but I have to say, without the history lessons that we considered at great length in Committee, that the decision was rushed and taken without due consideration.

I sincerely hope that the arrangements work well and that the assurances that have convinced my hon. Friend the Member for Aberconwy (Guto Bebb) and others are realised but I fear that the S4C we knew has been changed for ever. As someone who represents a Welsh-speaking constituency, I testify to the importance of this issue. I do not regret for one moment the hours we spent talking about these issues on Second Reading and in Committee. Had we been given the chance, we would have spent some time on them on Report as well.