(8 years, 10 months ago)
Commons ChamberThe aim of the negotiations between the Welsh Government and the Treasury is to ensure a fair funding formula for Wales. On transparency, I think the hon. Lady is aware that decisions on spending in Wales are decisions for the Welsh Government, so the transparency issue will arise at that point. I can assure her that the ongoing discussions between the Treasury and the Welsh Government are being conducted in the spirit of co-operation. We want the levy to succeed. Whether a young person is from Wales or England, the aim is to ensure there is support for that person’s training. We are therefore fully committed to working with the Welsh Government, but to devolve this tax would create a complexity that is unjustified in the context of the border between England and Wales, and owing to the fact that the border is so different to the situation in Scotland. That is why we think the amendment is misguided.
Will the Minister give us an assurance that he will do everything possible to hurry up the negotiations and ensure that everything is done to facilitate the smooth operation of the apprenticeship levy? There is a lot of uncertainty for Welsh colleges and Welsh young people about how it will work.
When the Minister concludes the discussions, hon. Members will be involved. We will certainly try to ensure that the figures in question will be made available. We will be aware of the funding stream that will be made available to the Welsh Government. The expectation is that in view of the number of companies in the UK when compared with the number of companies in Wales as a percentage, Wales will do comparatively well out of any UK-wide settlement, rather than having a devolved response as indicated by the amendment. The expectation is that the discussions between the Welsh Government and the Treasury will be positive. We will be more than willing to provide figures on the support provided to the Welsh Government in relation to the levy.
New clause 11 seeks to introduce a statutory duty for the Government to keep policing in Wales under review. It is intended that the duty should include keeping under review the question of whether policing in Wales should be devolved to the Assembly and the Welsh Government, and would require the Government to provide the Welsh Ministers with an annual report on this matter. I cannot support the proposal. The delivery of an efficient and effective police service to the people of Wales must be our first priority, and we should be very wary of anything that distracts from that. I have serious concerns that the introduction of a statutory requirement to keep this matter under review and to produce an annual report would be just such a distraction that would have a destabilising effect on policing in Wales.
The Silk commission recommendation to devolve policing was considered as part of the St David’s Day process and there was no consensus to take it forward. I remind hon. Members that policing in Wales has already been localised. Everyone in Wales has a direct say in policing in their area through their locally elected and accountable police and crime commissioners. I remind the House that two of them are members of Plaid and two of them are members of Labour, so it cannot be argued that the localisation of the decision to elect PCCs has benefited the Conservatives.
The current England and Wales-wide arrangements for policing work well and the proponents of devolution have failed to adequately address the significant risks that would arise if those arrangements were disrupted. Should circumstances significantly change, I would expect there to be further consideration of this matter. However, in my view new clause 11, which would have the effect of keeping this matter under perpetual review no matter what the circumstances, is unnecessary; indeed, I think it would be counterproductive.
(9 years, 1 month ago)
Commons ChamberOnce 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.
Does the Minister accept that it was in our 2010 manifesto? It was actually our Secretary of State who put it in our manifesto, so it came from us originally.
Well—[Interruption]—as the Under-Secretary of State for Communities and Local Government, my hon. Friend the Member for Nuneaton (Mr Jones) just said from the Treasury Bench, it took 13 years for it to become a Labour manifesto commitment, yet we have delivered it within a few months of having a majority Conservative Government. I think we should be very proud of the fact that we have delivered that funding floor.
Significant questions have been asked about the retention of the two necessity tests. Those two tests are justified. We are saying clearly that there is a necessity test where the Assembly is legislating on matters that affect England. That is the right thing to do because there is an issue of accountability and democracy, and I do not think the Assembly should be legislating on issues that relate to England without having the necessity test. In the same way, where the Assembly seeks to legislate on matters that relate to reserved powers, it is important to have that necessity test. It should be noted that that second test is also in the Scottish Bill.
The hon. Member for Llanelli asked whether there will be a disincentive for devolved ports to grow. I am pleased to confirm that the Bill is clear that the sum in question is a fixed sum at the point at which this Bill is passed. For example, if a port has a turnover of £14 million, it will be devolved; if it then grows, it will remain devolved. There is no prospect of a clawback. In relation to a trust port, the argument for retaining responsibility for Milford Haven in Westminster is clearly made by the fact that it is responsible for 62% of all our gas imports. But this is again a step in the right direction and if, for example, as a result of the Welsh Government or the Welsh Assembly’s activity there is growth in the ports of Holyhead or Newport, they will remain part of the responsibility of the Welsh Government. That is a step in the right direction.
The hon. Member for Arfon mentioned that there is a difference between the way we treat water services and sewerage. The reason why one is mentioned in the Bill and the other is not is because we are now equalising the situation. As the hon. Gentleman knows, we are also looking carefully at the situation in relation to water, and more information will be forthcoming at a future point.
Several hon. Members, including the hon. Member for Ynys Môn (Albert Owen) and my right hon. Friend the Member for Clwyd West, highlighted issues in relation to energy. It is fair to say that this House has legislated to pass responsibility for wind farm developments to local authorities in Wales, and I think there should be a challenge to the Welsh Government as to why they do not trust local authorities with that responsibility. The Energy Act 2016 made that commitment to a local level of control on wind farms. I think we should all challenge the Welsh Government as to why they are unwilling to trust the local people on an issue of that nature.
The capacity of power lines was also touched on. Again, clarity is required here. It is correct to say that there will be a limitation in that power lines going across the border at a higher level than 132 kV will remain the responsibility of Westminster whereas other such matters will be devolved. This, too, is a significant step in the right direction that will make a real difference for economic development in Wales.
The hon. Member for Ceredigion highlighted three matters on the reservation list and asked why they had been reserved. One was the Severn crossing, which I touched on in an intervention. We believe that it is inappropriate to devolve powers over the Severn bridges when three of the four landing points are in England. That would be taking devolution to an extent that would bring it into disrepute. He also asked about prostitution, which does not fall into the category of legislating for criminal behaviour. It falls under schedule 2, because the aim is to ensure that there is no possibility of changing the legislation. We had to place it separately within the legislation in order to respond to legal constraints. He also asked about heating and cooling systems, and the aim there is to ensure that everything to do with electricity and gas appliances is regulated in the same manner across England and Wales. Again, this is an effort to ensure clarity.
My right hon. Friend the Member for Clwyd West asked about speed limits being devolved. It is important to point out that that was a recommendation by the Silk commission. The proposal was also part of the St David’s day process and there was agreement on it at that stage. Also, changes to speed limits in Wales are already being implemented at local authority level, so we believe that this is an appropriate change.
It is fair to say that this is a complex and difficult Bill. It has had a long gestation period, and it is been subject to significant scrutiny here in the House and in the Welsh Assembly, as well as by civic society in Wales.
(9 years, 2 months ago)
Commons ChamberThe hon. Gentleman is a champion of this issue and has been ever since I have been in this place. I share his view of the tourism industry in Wales: it is a success story of which we should be justly proud. It is important that the case is made to the Treasury, but I stress that the tourism industry in my constituency and in that of the hon. Gentleman is doing extremely well at present, regardless of any changes to VAT.
As the Minister well knows, many small businesses in Wales are highly dependent on the steel industry and will have been anxiously awaiting the outcome of today’s meeting in Mumbai. The terms of the package that his Government propose will be crucial to any potential deal, so will he confirm that they will do everything it takes to secure a successful future for our steel industry?
The hon. Lady is absolutely right to highlight the importance of the steel industry not just to direct employment but to the supply chains in both north and south Wales. I assure her that the Wales Office and the UK Government are doing everything in their power to ensure that the steel industry and its skilled supply chain are protected in the future.
Many of our small businesses will also be concerned about the EU referendum, not least those in the Welsh agricultural sector, which received some £350 million a year from the common agricultural policy. The Minister has previously confirmed that, in the event of a Brexit vote, there is absolutely no certainty that his Government would replace those EU funds, so does he agree that it is in the very best interests of Welsh farming and the broader Welsh economy that we vote to remain in the EU on 23 June?
The hon. Lady is absolutely right to highlight the importance of the agricultural industry to Wales. Almost 60,000 people are directly employed within the sector, and more than 95% of all Welsh agricultural exports go to the European Union, so I fully subscribe to her view that the Welsh agricultural sector will be protected if we vote to remain in the EU.