(2 years, 1 month ago)
Commons ChamberPassport applications from Wales may be handled at all Passport Office processing sites throughout the UK. Between March and May, 98.5% of UK applications were completed within the published processing time of 10 weeks.
This Conservative Government are presiding over backlog Britain, with never-ending travel chaos causing misery and havoc for hard-working people’s holiday and travel plans. Many of my Slough constituents have been waiting not weeks but months for their new passports to arrive. I know it is a similar story for the good people of Wales. Can the Secretary of State clarify how many of the promised 1,700 new members of staff the Government have actually recruited to deal with the crisis?
I should add, for anybody who has an interest in this particular subject, that if there are individual cases that are clearly being badly held up, they should please pass them on to the Wales Office and we will do whatever we can to expedite the service. In answer to the hon. Gentleman’s question, 850 additional staff have been brought on since April 2021, with a further 350 arriving this summer.
I simply do not believe the statistics the Government keep on giving, and I think the Secretary of State should push back on them. I have 30 cases outstanding and more coming in to my office every single day of the week. The team in Portcullis House used to be five people, but is now only three, so there is less of a service. Members of staff have to queue for two and a half hours to be able to deal with a single passport case. I have people who have been waiting for 14 weeks, some who have been waiting for 18 weeks, children who have been waiting for 14 weeks—this is simply incompetence. When will the Government get a grip of it?
The hon. Gentleman knows that every MP has examples of their own. I can only restate what I said just now: where there are individual cases, we are very keen to help. Some 98.5% of applications are being dealt with within the timescale. I realise that for the people who are not in that particular bracket it is intensely frustrating, and it is frustrating for Members across the House. The situation continues to improve, but if there are ways we can help the hon. Gentleman and his constituents I am very happy to do so.
Like other Members, I have an inbox full of hundreds of constituents struggling to get their passports. Some are waiting 15 or 18 weeks, as my hon. Friend the Member for Rhondda (Chris Bryant) has said. Those people are already struggling with the cost of living crisis, they are having to fork out for the cost of passports, and now they are losing out on their vital holidays, which they have been desperately waiting for for more than two years. What support is available for those people? What economic redress is available? What conversations is the Secretary of State having with the Prime Minister—or is he too bothered with propping him up instead of dealing with people’s actual issues?
As the hon. Lady knows, we in the Wales Office have conversations with all Government Departments, especially on this particular issue. Staff numbers are being increased and the pace at which applications are processed continues to improve: it is at 98.5%. I realise that for people not in that bracket, this is a tough challenge, and I can only repeat what I have said in answer to the hon. Lady’s colleagues: if there are individual examples we can help with, we are very happy to do so.
We are all quite surprised to see the Secretary of State here this morning, but perhaps he cannot leave the disintegrating Government because his passport application is stuck in the queue. People across Wales are sick and tired of the Government’s incompetence. Can he explain to my constituent Jamie Dunkley and others across Wales why their Welsh language passport applications have been sent to Peterborough for processing, causing huge delays, stress and additional cost?
The hon. Lady raises an interesting question; this is the first I have heard of it, to be honest. As I keep saying, at the risk of being boring, I am very happy to look into that if it is causing undue delays. Those can also be resolved by the same means I suggested earlier.
This Government are committed to levelling up across Wales. That is why we are investing over £340 million in Welsh rail and £120 million through the levelling-up fund in Wales in round one alone, and Wales will benefit from the UK-wide £5 billion Project Gigabit to connect hard-to-reach premises.
It is of the utmost importance that every part of these islands can enjoy investment from this United Kingdom Government. Can the Secretary of State update the House on what he and the rest of the Government are doing to achieve that aim in Wales and across the whole United Kingdom?
I found it quite hard to hear my hon. Friend’s comments, but I can say that we believe there are really positive steps in terms of sustainable job creation in Wales through the various different funding measures, in particular the UK’s shared prosperity fund, which is currently in lift-off. Levelling up is devolution in action. We get a lot of criticism from the Opposition Benches about the Welsh Government’s being bypassed, but we are going to 22 local authorities and stakeholders in a way that has never previously been done.
The Global Centre for Rail Excellence that is being developed in Onllwyn in Neath will become the first and only rail infrastructure testing facility in the UK. It recently secured a memorandum of understanding with an Association of American Railroads subsidiary, US venture MxV Rail, to work together to advance global rail research and technology. The Welsh Labour Government have provided £50 million. When will the UK Government provide the £30 million they promised so that this world-class rail facility can be completed by 2025?
I am delighted that the hon. Lady raises that absolutely perfect example of the Welsh and UK Governments working in tandem, creating new, innovative, sustainable jobs in her constituency and in adjacent areas. It is a £30 million investment and I am delighted that she is welcoming it in the way that we should be.
We now come to the Chair of the Select Committee, Stephen Crabb.
At the end of the Great Western line in my constituency is Milford Haven, the UK’s most important energy port and the largest town in my constituency. Its railway station is a disgrace. Does the Secretary of State agree that a project to upgrade Milford Haven train station would be an ideal round 2 levelling-up fund bid, and will he look favourably on any such bid from Pembrokeshire County Council?
My right hon. Friend and neighbour has raised the question of Milford Haven station a few times, and I am no stranger to it either. Although I am not allowed to express a preference for individual levelling-up bids, that is precisely the type of infrastructure improvement bid that the levelling-up fund was created for, so if he and the local authority can put together some compelling evidence, I am sure that those who are in a position to judge it will look on it favourably.
Perhaps the Secretary of State ought to tell the right hon. Member for Preseli Pembrokeshire (Stephen Crabb) that he cannot put in his levelling-up bid because the Government portal has broken down. Despite Ministers’ promises on supporting infrastructure investment in Wales, we all know that the reality is very different. He will not challenge his Government’s sleight of hand in denying the consequential of £4.6 billion to Wales from HS2, nor the annual £150 million hit that that will have on the Welsh economy. Because of his Government’s spending review, the Welsh Government’s capital budget will be 11% lower by 2024-25 compared with last year—less money, less infrastructure. Instead of focusing on media appearances defending his indefensible boss, when will he focus on doing his job for the people of Wales?
It is telling that the hon. Lady did not mention the increasing levels—the record levels—of investment that the UK Government have made in Wales, which, from £16.7 billion in 2021, will reach £19.08 billion by 2024-25. Whichever areas of investment we look at, despite her claims to the contrary, they are considerably greater than they have been at any time since the devolution settlement, resulting in extra jobs, extra investment and extra reasons to celebrate what Wales has to offer. It is profoundly depressing for people who are looking to the Opposition for inspiration on investment in Wales that all we get is a litany of negativity.
Birmingham, Crewe, Derby, Doncaster, Newcastle-upon-Tyne and York: that is the shortlist of cities for the headquarters of Great British Railways. The Secretary of State failed to get a single Welsh location as a candidate. Is he not embarrassed at his dismal track record in Cabinet despite being a loyal Government spokesman?
I love it when the right hon. Lady, who is so determined to separate her country from the rest of the UK economy, lists a whole lot of stations and locations in England. There are either separatists or Unionists and I never know with her which side she is batting for. This is about our delivery in Wales, because in a sense she is asking me to choose between the Welsh Government and the UK Government. I am very proud to be part of a Government who have produced £121 million-worth of levelling-up funds, £46 million-worth of community ownership funds, £585 million-worth of shared prosperity funds, the floating offshore wind potential of the Celtic sea, the potential for nuclear at Wylfa, project Gigabit, Airbus investment at Broughton—the list goes on and on. All we get, as I said to the hon. Member for Cardiff Central (Jo Stevens), is negativity.
The Secretary of State defends an infrastructure that is extractive for Wales and brings nothing back. Time and again, the Secretary of State has been rolled out to defend the indefensible on behalf of the Prime Minister. The outgoing Children’s Minister said that he
“accepted and repeated assurances on Monday to the media which have now been found to be inaccurate.”
Two Cabinet Ministers have gone and the Secretary of State’s Parliamentary Private Secretary has gone—it is not business as usual, is it? When will he be going?
I thank the right hon. Lady for that tempting question. It is business as usual in the Wales Office, and that is why I am proud to repeat what I said just now: we are getting on with the levelling-up fund, the community renewal fund and the shared prosperity fund. We have investment across every part of Wales, and despite all her protestations, there is so much evidence that being part of the Union is part of the success of Wales in creating sustainable, long-term jobs. I dearly wish she would come and join us in the endeavour to improve the life of people in Wales, rather than using cheap political opportunities to do the opposite.
I have regular discussions with ministerial colleagues on how Wales’s £585 million share of the UKSPF will level up communities across Wales. With local authorities, business, the third sector and civil society fully engaged, the UKSPF will mean quicker delivery, better targeting and closer alignment with local priorities than previous EU funding.
The priority of the UK shared prosperity fund is to empower local communities, business and people, with the funding for delivery going directly to local authorities in Wales. Can my right hon. Friend outline the steps he is taking to work directly with local communities in Wales to ensure the delivery of local priorities, and the benefits that that will bring to people, communities and businesses in Wales?
My hon. Friend makes a good point about devolution. Of course, it frustrates Opposition Members that we are taking devolution to its literal limit as far as the funds are concerned; we are going to 22 local authority stakeholders across Wales. I find it absolutely perplexing that for some reason, the Welsh Government think that devolution stops in Cardiff and simply do not trust 22 democratically elected local authorities spread across the whole of Wales to make sensible decisions on behalf of their constituents.
Given the timescale involved, there is a lot of concern among local authorities in Wales that moneys allocated under the shared prosperity fund will not in fact be spent by them, and the money therefore will be clawed back by central Government. Will the Secretary of State say that that will not happen?
I got the gist of the hon. Gentleman’s question. Of course, the shared prosperity fund is an absolute cast-iron commitment. It has thousands of jobs at its disposal. We think it has great potential across the whole of Wales and we are very happy of course, if he has individual examples that concern him, to address them.
The Welsh Government wasted close to £5 billion of the former European aid in west Wales and the valleys. What reassurance can my right hon. Friend give me that the UK shared prosperity fund will reflect UK priorities, working with local authorities in Wales—in all of Wales—to ensure that places such as the Vale of Glamorgan benefit, having been excluded by the former European scheme?
My right hon. Friend puts his finger on exactly why the levelling-up fund and the UK shared prosperity fund are so vital. What they do is go straight to local communities. This allows them to make bids and decisions on behalf of their constituents, residents and ratepayers in a way no other scheme has previously enabled them to do. That is why this is innovative and will lead to sustainable jobs.
What type of shared prosperity is it when the UK Treasury plunders capital investment programmes in Wales by refusing to let contractors use red diesel instead of white diesel, further driving up construction inflation to the benefit of the UK Treasury and the detriment of Wales, Northern Ireland and Scotland?
I do not think that question has any sensible context to it, because the proposals that have been set out—by the Treasury or, indeed, through the levelling-up and shared prosperity funds—make it absolutely clear how those funds will benefit all communities in a way that they have not before. Picking specific examples and saying that this is an anomaly overlooks, I think deliberately, all the criteria that underpin the funding methods I have talked about.
Yes, it says here. Welsh products and services are some of the best in the world, from Welsh steel used to build Crossrail to Airbus’s cyber-security expertise and Raytheon in Broughton upgrading the intelligent surveillance capabilities of our aircraft.
Wales is being denied billions in consequential funding from HS2. Does the Secretary of State agree that, for Wales to see any benefits from the scheme, which of course needs about 3 million tonnes of steel and new high-speed trains, the Department for Transport should look to procure Welsh steel and, indeed, buy trains from CAF in the constituency of my hon. Friend the Member for Newport East (Jessica Morden) to ensure that Wales finally benefits from the project—or is it simply that the Tories will continue to fail the people of Wales?
I actually agree with a lot in the point that the hon. Gentleman raises. If he looks at some of the projects we are talking about, particularly around defence spending—£850 million of defence spending—the potential around floating offshore wind once the Crown Estate’s leases are in play and the huge potential around nuclear development at Wylfa, he will see that domestic UK procurement of steel is right back on the agenda, and that will result in every steel maker in Wales benefiting.
The UK Government are Wales tourism’s biggest fan, and the fact we stepped up with financial help during the pandemic and saved thousands of jobs is testament to that.
Tourism is crucial to Clwyd South, which attracts visitors from all across the world for events such as the Llangollen international musical eisteddfod, which is taking place this week. Will my right hon. Friend join me in condemning the Welsh Labour Government’s plans to introduce a tourism tax, which will do great damage to the tourism industry across the whole of Wales?
I think I can do even better than my hon. Friend requests me to by simply quoting the words of the chief executive of UKHospitality, Kate Nicholls, who said: “The tourism tax is ill thought through and proposed without any impact assessment. Welsh Government does not know why it is needed, what its effect will be on visitors and what damage it will do to businesses and jobs in a sector making up a quarter of the Welsh economy. It is unnecessary, unhelpful and ill considered.” If the House does not believe it from me, it should believe it from the experts in this particular field.
On tourism in Wales, when a previous Tory leader resigned, he not only visited Wales but bought a home in Wales. Can I suggest that one way the Secretary of State for Wales could help tourism in Wales is by encouraging the current Tory leader to follow suit, resign and buy a home, although perhaps not in Wales—perhaps somewhere else?
Perhaps I can encourage the hon. Gentleman to persuade his colleague in Cardiff, the First Minister, to drop his ridiculous plans for a tourism tax and for various other means of punishing successful businesses in Wales. If he did that, perhaps we could create some lasting jobs in Wales rather than simply listening to his political protestations.
Before we come to Prime Minister’s questions, I point out that a British Sign Language interpretation of proceedings is available to watch on parliamentlive.tv.
(2 years, 1 month ago)
Commons ChamberI join the chorus of compliments directed at my right hon. Friend, and neighbour, the Member for Preseli Pembrokeshire (Stephen Crabb) for his part in this debate and, indeed, in chairing the Welsh Affairs Committee, which he does with absolute skill and aplomb. I was struck by a few points he made. He referred to the inflationary pressures that are on the UK at the moment being a global phenomenon, rather than a UK-based or even a Wales-based one. He mentioned the Opposition’s claims about underspend or underfunding, which seemed to vary according to which speaker was on their feet, with one or two Labour Members referring to £1 billion and others from the SNP referring to £700,000. It seems that they cannot even agree among themselves exactly what their line of attack is.
I was particularly struck by my right hon. Friend’s comments about the Crown Estate and devolution. Having had many meetings with the Crown Estate, a number of stakeholders and potential investors who were floating offshore wind, I am as excited as he is by the prospect of some 10,000 of the 29,000 jobs that might be associated with this scheme coming to Wales. Of all the potential investors, and many of the local supply chain businesses that we will rely on, not a single one has ever mentioned to me that their opportunities would be enhanced by devolving the Crown Estate. [Interruption.] If the right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts) does not like what I say, perhaps she might trust some of the people who have real expertise and who are really optimistic about bringing well-paid, skilled jobs to Wales. It is they whom we should be listening to, rather than necessarily a separatist movement.
I will keep pressing on, because we do not have a lot of time. My old friend and neighbour, the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), and I have had this exchange about separatism versus Unionism many times, but until such time that he can explain to me why it is apparently essential for the future of Wales that we leave the UK, while simultaneously apparently just as essential that we rejoin the EU, I will never be able to take his economic lectures as seriously as I know he would like.
My hon. Friend the Member for Aberconwy (Robin Millar) made a telling contribution about tourism and hospitality, particularly along the north Wales coast, and demonstrated his strong advocacy as far as a low-tax economy is concerned.
If the ambition of the hon. Member for Cynon Valley (Beth Winter) is to wind me up, she does it remarkably well, whether in the Welsh Affairs Committee or here. In her praise for the performance of the Welsh Government, it was telling that there was no reference to health outcomes or educational outcomes in Wales. It was also telling, as I challenged her last time about this, that she never mentioned the fact that I would love to join her in a letter to the First Minister suggesting that the £96 million-worth of extra Members of the Senedd that she advocates for so passionately instead be spent on job creation in the Cynon Valley. My offer is still open to her. That would be a better use of the funds we are talking about.
My hon. Friend the Member for Clwyd South (Simon Baynes) made an interesting contribution about the geographical spread of the shared prosperity fund, referencing joint bids between local authorities and the new opportunity for MPs across the House to endorse or contribute to the bids. I thought his point about the Union relevance of infrastructure—we could quote any number of examples, whether road or rail—was telling and important.
Turning to the hon. Member for Ceredigion (Ben Lake), all I can say is that he made, as he often does, a measured and sensible contribution around the rural fuel relief scheme, and my pledge from the Dispatch Box is to talk to him and his colleagues further about how we can tackle that problem.
The hon. Member for Aberavon (Stephen Kinnock) put in a strong case for sycophantic speech of the year. That was a great effort. He went all-in on tax rises, but did not mention that the two most recent contributions of Labour in Wales on tax were introducing a tourism tax, which is widely considered to cripple tourism in Wales—that was not mentioned; I cannot think why—and the latest ruse about a deposit return tax, which would damage, for example, a number of vineyards in Wales. His long list of, basically, free stuff to anybody would not have been that long if the Welsh Government were responsible for raising that money, either by private taxes or by business taxes. He never mentioned that. I wonder whether this obsession with free stuff would be so easy if there was some accountability about raising the cash in the first place.
Nearly finally, there was more in the speech of the hon. Member for City of Chester (Christian Matheson) about which we agree than disagree—I am not sure how pleased he will be about that. We have a closely shared ambition on Union connectivity, and I absolutely agree with the significance he attaches to that. We might have a different means of reaching that particular objective, but I agree with him, and I would like to have further conversations with him and colleagues in the north Wales area to see where we can take that.
Finally, with the speech of the hon. Member for Gordon (Richard Thomson) from the SNP, I almost reached a new record, as it contained nothing upon which we agreed. That is not to be in any way critical. He illustrated to me how separatism and nationalism—whichever description he would care to attach to his particular political party—would be one of the most significant threats to Wales that I can think of, were it ever to be deployed in our country.
I want to finish, with huge thanks to you, Mr Deputy Speaker, my right hon. Friend the Member for Preseli Pembrokeshire and other contributors to the debate. We are in danger of painting a gloomier picture than we need to—of course, we have to be realistic—if we listen to the expectations for Wales of the hon. Member for Cardiff Central (Jo Stevens). As Airbus recently demonstrated, Wales is a fantastic place to invest vast sums of money and create hundreds of new highly skilled jobs—there are many such examples, large and small, across the whole country. People are looking to us in Government, and the hon. Lady in Opposition, to create the circumstances to make that possible. We can do that. It is not without its challenges—nobody, from the Chancellor down, is suggesting for one minute that it will be an easy ride—but I urge the hon. Lady to join us in our endeavour to make sure that levelling up is the success that it deserves to be.
Devolution in its truest sense is about involving the widest number of people with expertise across the whole geographical area of Wales. The great thing about the levelling-up fund is that, for the first time ever, it does exactly that. It reaches into local authorities and local communities across the length and breadth of Wales. That has never been done before, and it is revealing that the Welsh Government were advocates of devolution, as we heard from the hon. Member for Aberavon, until such time as we said, “Yes, that’s a good idea. Let’s involve some more people. Let’s involve people who have hands-on daily experience of the pressures facing their communities where deprivation is at its most acute”—that is what we are attempting to do.
It seems odd that Labour in Wales is so paranoid and disrespectful of local authorities, some of which wear the same political colours. For some inexplicable reason, Labour Members seem nervous of allowing devolution to extend beyond the Cardiff postcode. We do not believe that; we trust local authorities, stakeholders and universities—all those people who make our economy and our society tick. That is why levelling up will be a success. If it was simply a means of transferring a postcode from SW1 to CF16 or whatever it might be, it would be a failure. The Welsh Government need to stop being so paranoid and join the endeavour to level up Wales in the way that they have failed so spectacularly to do for 23 years.
With the leave of the House, I call Stephen Crabb to wind up.
(2 years, 3 months ago)
Commons ChamberI am sure the whole House will want to join me in sending love and best wishes to parents, teachers, and the village of Llanfair Caereinion in Powys following the traumatic incident involving their school on Monday. I hope very much that my hon. Friend the Member for Montgomeryshire (Craig Williams) will be able to pass on the House’s very best wishes.
I regularly discuss rail infrastructure in Wales with the Secretary of State for Transport. More than £340 million has already been provided for rail enhancements in Wales, including the core valley lines and Cardiff Central station.
From the Queen’s Speech, we learned of a new public sector body to oversee Britain’s railways. Given the importance of the railway infrastructure and the benefits of linking north Wales to HS2, and in view of the problems, delays and cuts in services that we are seeing in Scotland owing to the mismanagement of ScotRail by the SNP—[Interruption.] Have Scottish National party Members tried taking a train this week?
Given those factors, can the Secretary of State tell us what discussions the Government have had with devolved Administrations to boost connectivity across the United Kingdom, and to ensure that lines are properly funded and appropriately managed?
I do not know why some Members on the Opposition Benches were being so derogatory during the hon. Lady’s extremely valid question. It was perfectly reasonable for her to highlight the fact that transport infrastructure in the UK is in the UK, and that any suggestion that it should in some way be devolved underestimates completely the economic value that it provides.
I agree with the general comments that the hon. Lady made, but the UK Government have been working alongside the Welsh Government where they can on infrastructure projects, particularly those involving rail, and the record reinforces that. We are also spending many millions of pounds on infrastructure more broadly, and I think she will support that—along with, I hope, others on the Opposition Benches.
As my right hon. Friend will know, there is considerable and long-standing support in north Wales for the electrification of the line between Wrexham and Bidston, which would link two important enterprise zones and put Wrexham and the whole of north-east Wales in commuting reach of Liverpool, and would be generally welcomed by the local business community. What discussions has he had with colleagues in the Department for Transport about advancing this project?
My right hon. Friend has made a good point. The Government recognise the importance of the line to which he has referred, and I know that Liverpool City Region Combined Authority and Transport for Wales have been discussing the opportunities presented by battery-powered trains.
My right hon. Friend also made a good point about cross-border connectivity and the need for us to view these areas as economic regions and not be disrupted in any way by the artificial boundaries that devolution sometimes creates. I assure him that we will have further meetings with the Department for Transport about this issue.
This Government cancelled Labour’s plans for electrification of the line to Swansea, citing the pretext that it would not speed up journeys. However, there is an urgent need for electrification to combat climate change and decrease reliance on imported fossil fuels. Will the Secretary of State talk to his colleagues about reinstating the plans for electrification of that line, extending electrification further west through my constituency to the Pembrokeshire ports, and supporting these moves through increased investment in renewable forms of electricity generation?
The hon. Lady has raised, quite reasonably, a point that she has raised before. I agree with her on most of the issues that she has raised, apart from the background to the cancellation of electrification, a decision which, as she knows, was taken in the context of bimodal trains as an equally beneficial alternative. However, her general views about rail infrastructure and net zero are entirely shared by the Government. I hope that she might be able to make the same compelling case to her colleagues in Cardiff as she makes to us.
Wales contains 11% of the UK’s railway infrastructure, but in recent years has received only 1% of the Government’s investment. As if that were not bad enough, classifying HS2 as an England and Wales project is denying Wales nearly £5 billion of investment. I know that the Secretary of State does not like it when we remind the Welsh public that his Government is short-changing Wales, but now the leader of the Welsh Conservatives agrees with us, as does the Welsh Affairs Committee. Perhaps if the Government had given Wales a fair settlement to upgrade its railways, the Chancellor would not have had to fork out £10,000 for a helicopter to make a round trip from London to Powys. When will the Secretary of State use his position at the Cabinet table to ensure that his Government cough up?
A good question interspersed with some slightly trite comments; the hon. Gentleman might have done better had he avoided them. He overlooks the fact we have invested £340 million so far, with £125 million for the core valley lines, £58 million for Cardiff Central station, £76 million for the electrification of the Severn tunnel, £4.7 million for St Clears station in my own constituency, £4 million for Bow Street station—I could go on forever. He underestimates and undervalues the investments we have already made.
Having represented a border community for the last 17 years, one is cognisant of the interdependence we have in Shropshire with Wales, with our friends across the border, with my right hon. Friend’s Department and with the Senedd. We are campaigning in Shropshire for the electrification of the line from Birmingham to Shrewsbury, which will help passengers going on to mid-Wales. Will he take an interest in that scheme to ensure that the people of mid-Wales can benefit from quicker times to Birmingham via this electrification process?
I am happy to meet my hon. Friend on that point. I have travelled that route myself many times, and I would be happy to see what we can do to help.
To alleviate the immediate impacts of this global crisis, we have injected support worth over £22 billion in 2023. For businesses, we have cut fuel duty and provided help to high energy-using businesses. In the longer term, our Plan for Jobs will ensure long-term prosperity for Wales, including the development of the Wylfa nuclear power station.
The Scottish Government introduced the Scottish child payment to tackle child poverty head on. That payment doubled to £20 and is set to increase further and be extended to children under the age of 15, resulting in 50,000 children being taken out of relative poverty. Given that Wales has persistently had the highest child poverty rate in the UK, does the Secretary of State not agree that welfare powers should now be devolved to Wales so that the Welsh Government can introduce a targeted child payment of their own?
Even the Welsh Government have not made that argument to me. I think they fully recognise that the proper and fair distribution of welfare is done most effectively and cost-effectively on a UK-wide basis, but I am grateful that the hon. Gentleman has raised this issue because the money that the Scottish Government are using is available as a consequence of the Barnett formula, and the situation is the same in Wales.
In relation to the cost of living crisis faced by people in Wales and across the United Kingdom, the Prime Minister told the Welsh Tory party conference that the UK Government would
“put our arms around the British people again as we did during covid”.
Based on the evidence of the Sue Gray report, they are more likely to be linking arms in a conga line. Can the Secretary of State for Wales tell me what discussions he has had with the Chancellor on an emergency Budget to help the poorest households in Wales and across the United Kingdom?
The hon. and learned Lady rightly refers to the fact that the Chancellor may yet be making further comments about this particular issue, just as he did throughout the pandemic. For those who think that the Treasury is neither flexible nor conscious of these challenges, the fact is that there was ample evidence during the pandemic—and now, of course, during the current challenges we face—to disprove that theory. I can tell her, and everyone else in the House, that I have really regular conversations with Treasury Ministers and with the Chancellor himself about exactly these challenges.
Would my right hon. Friend agree that one of the best ways to help people during the cost of living crisis is to make sure that we have a vibrant economy and a low rate of unemployment? Would he also agree that having the lowest rate of unemployment since 1974 is helping many families across Wales and the rest of the UK at the moment?
Absolutely. I think most people believe that growing our way out of a cost of living challenge is infinitely preferable to spending our way out of a cost of living challenge. My hon. Friend is right to point out that we want to be flexible, rapid and generous. When there are occasions, as there inevitably will be for Members across the House, where individual constituents somehow do not fit the solutions we have, there are other measures that I hope local authorities will be able to deploy to assist them.
We now know that the energy price cap is expected to rise to £2,800 a year in October, which means that typical household bills in Wales, having already gone up by £700, will go up by another £800.
It is now 138 days since Labour proposed a windfall tax on oil and gas producer profits so that people across Wales can get help right now. Every day the Government delay is another day they are letting down people in Wales and across the United Kingdom. The Secretary of State voted against a windfall tax last week. What is his alternative to help the people of Wales, and where is it?
I suspect the hon. Lady reads the same news channels I read, so she will be aware that the Treasury will make a further announcement imminently. [Interruption.] She may be annoyed by my answer, but it is only reasonable that I suggest she waits until the Chancellor sets out precisely what his plans are.
May I suggest that the hon. Lady applies equal pressure to her colleagues in Cardiff? They have the power to intervene on things like business rates, council tax and income tax, which they have not done. In the meantime, however, they are thinking of imposing a tourism tax, costing Welsh taxpayers £100 million in the process. They are buying a farm that nobody wants and providing free musical instruments to young people under the age of 16.
Welsh voters gave their verdict on the Welsh Government in the election the week before last, and there is not a single Tory council left in the whole of Wales. The Secretary of State’s party was wiped out.
As the Secretary of State’s answer demonstrates, he does not have a plan and we have not had a plan from the Chancellor. Does he think that buying value supermarket brands, getting a better-paid job or riding around on the buses all day to keep warm is the Government’s answer to the cost of living crisis?
The hon. Lady clearly did not listen, or did not want to listen, to my previous answer. When we know the Chancellor is about to make a statement in the Chamber on all these issues, would it not be more sensible to allow the Treasury to spell out exactly what its plans are and how they will benefit businesses and individual families in Wales before making such highly politicised comments?
I add my party’s commiserations to everybody affected by the bus accident in Llanfair Caereinion.
The Oakeley Arms in my constituency is a superb inn located in a grade II listed building at the heart of Snowdonia national park. It is off grid, it is limited by regulations on energy efficiency measures and its owners now face a quadrupling in energy bills. Does the Secretary of State agree that small businesses need more support? Will he speak to the Chancellor about extending the price cap to our hard-pressed small and medium-sized businesses?
I will definitely speak to the Chancellor, as I often do about these things. Perhaps I could suggest a deal to the right hon. Lady: I will speak to the Chancellor to get further information if she will speak to her leader in Cardiff to get him to call off the dogs by cancelling the tourism tax that the Welsh Government want to impose on businesses, causing further hardship for people in her constituency.
If the Secretary of State kept to the powers he has in Westminster, perhaps he would have better support. There are now no Tory councillors in any of the Plaid-held councils along the west coast of Wales.
Rumours of an economic package are rife, not because the Government care about struggling households and businesses but because, of course, they want to distract from their own lawbreaking. Household energy bills will likely increase to £2,800 in the autumn, yet the Chancellor is sitting on his hands until it proves politically convenient. Is the Secretary of State not ashamed of his Government’s behaviour?
I despair sometimes, with the greatest respect. I urge the right hon. Lady to wait, for what should not be a great deal more time, to hear precisely what we have in store on the cost of living challenges. I remind her that, throughout the pandemic and the cost of living challenges, the Treasury has been unbelievably flexible, unbelievably adaptable and, in some respects, unbelievably generous. To try to pre-empt the Chancellor by making cheap political points undermines the value of what those contributions may be, and it does a disservice to the businesses and individuals that the right hon. Lady purports to support.
I have had no discussions with the Welsh Government on the proposals.
What assessment has my right hon. Friend made of the proposed changes to the voting system at Cardiff Bay and the potential impact on democratic representation?
It is mystifying that this proposal was announced on the same day as the Queen’s Speech. It will impose a £100 million burden on Welsh taxpayers and demolish a voting system that has served us well for years, and there has been no consultation with any voters at all. Even the Lib Dems describe it as a stitch-up.
The Welsh Government have decided that they want to increase the size of the Senedd, but there are real concerns that that will lead to a lack of proportionality in representation. Does my right hon. Friend agree that the money would be much better spent on public services?
Indeed, I do. I have to say that if this Government were making suggestions of that nature that involved the constitution and voting measures, pretty well all Opposition Members would be saying that that should be subject to a public referendum at the very least. I suggest that the proper course of action for the Welsh Government is to seek the approval of their voters before they proceed with any of the extremely costly measures proposed.
My colleagues and I are aware that the number of people on universal credit has fallen both in Rhondda and across Wales over the past year. We will continue delivering for residents through schemes such as in-work progression, kickstart and our plan for jobs.
The thing is, 6,320 households in the Rhondda are in receipt of universal credit, and when the Government cut universal credit by £20 a week last year, that took £6.5 million out of the Rhondda economy. That is one reason why the food bank in Tylorstown—ironically, it is in the old Conservative club—now has to provide food to the tune of 3 tonnes a month, although families are not able to contribute so much. When will the Secretary of State restore the extra £20 a week in universal credit?
The Chancellor will make interventions clear in due course. The context to the hon. Gentleman’s perfectly reasonable question is that there has been a 7% increase in the number of people in work in Rhondda and the number of people who are unemployed in Wales is down 23,000 in the past year—he did not mention that. I very much hope that the increases in the national living wage and the national minimum wage will help to offset some of the issues he has raised.
The hon. Member for Rhondda (Chris Bryant)—who is my occasional friend, when he is not slagging me off on Twitter—is right to talk about the Rhondda, because there are areas of real poverty, as there are in parts in Lichfield. Does my right hon. Friend the Secretary of State agree that there are many ways to help people, some of which he has named, that there is an urgent need to address food and fuel inflation, and that that can be done in other ways, which the Treasury may well talk about, and not just by raising universal credit?
On that particular point, I agree with my hon. Friend—I would probably describe him as my permanent friend. It is perfectly right that we wait and see what the Chancellor says. We have tried to set out short, medium and long-term measures that will help with the current challenge and we will of course hear more in due course.
I have regular discussions with the First Minister of Wales on a range of issues, including how Wales’s £585 million share of the UK shared prosperity fund will level up communities across our country.
Does the Secretary of State share my concern that according to a number of independent analyses, the shared prosperity fund is likely to shift resources away from the valleys, the poorest parts of Wales, to more prosperous parts?
Unsurprisingly, I contest the hon. Gentleman’s assertion. I would just say this: by 2024-25, the annual funding from the shared prosperity fund will match the average annual funding that Wales would have received from the European Regional Development Fund after adjusting for inflation. If he does not take that from me, or does not believe me, I can tell him that it is from Guto Ifan, research associate at the Welsh Governance Centre. That indicates that we are going in the right direction with the shared prosperity fund. Would it not be good, just for a moment, if the Welsh Government supported those very ambitious opportunities?
Order. I know the whole House will want to join me in expressing our outrage and deep sorrow following the shooting at Robb Elementary School in Texas. I know that our thoughts and prayers are with those affected and all of the families who have lost loved ones.
Before we come to Prime Minister’s questions, I want to welcome Nick Munting and his family to the Gallery. Nick has worked in Parliament for over 30 years, primarily as a sous chef but also as an Associate Serjeant at Arms. Unfortunately, Nick has had to leave his role because of ill health and he is much missed by his colleagues. I know that all Members, particularly the hon. Member for Croydon Central (Sarah Jones), Nick’s constituency MP, will wish to join me in thanking Nick for his long service to the House and in sending good wishes to Nick and his family.
I would like to point out that a British Sign Language interpretation of proceedings is available to watch on parliamentlive.tv.
(2 years, 3 months ago)
Written StatementsThe legislative programme for the third session was outlined at the state opening of Parliament on Tuesday 10 May. This statement provides a summary of the programme and its application to Wales. It does not include draft Bills, Law Commission Bills or finance Bills.
People in Wales have benefited from our UK-wide £400 billion package of support during the pandemic which has protected over 470,000 jobs in Wales. The UK Government are also providing a record £18 billion per year on average to the Welsh Government through the Barnett formula during the current spending review period, which amounts to the largest block grant settlement for Wales since devolution and an annual increase of £2.5 billion. The Welsh Government are able to spend this funding in line with their priorities in devolved areas.
This Government will continue to deliver for people and businesses across Wales, as part of a strong United Kingdom. In the first allocations of our UK-wide growth funds, Wales received £121 million for 10 projects to improve infrastructure in Wales as part of the levelling up fund, over £460,000 for 3 projects through the community ownership fund to save community assets at risk of being lost, and over £46 million for 165 projects in Wales through the UK community renewal fund.
Looking ahead, communities in Wales will receive £585 million through the UK shared prosperity fund. This will help to spread opportunity, increase prosperity and level up every corner of the UK. This funding includes over £101 million for Wales for an adult numeracy programme, Multiply, which will support people to develop their numeracy skills.
This is on top of the UK Government’s investment of over £790 million in the four city and growth deals in Wales. At autumn Budget, funding was accelerated for the Cardiff City region deal to fast-track projects that range from innovation and fintech, to manufacturing and infrastructure.
We are emerging from the worst public health crisis in over a century and this Government’s focus will be on boosting economic growth across the UK to address the cost of living, helping to create the conditions for more people to have high-wage, high-skill jobs; backing the police to make the streets safer and supporting the NHS to clear the covid backlogs. By focusing on these priorities our legislative programme will directly contribute to levelling up and spreading opportunity across the whole of the United Kingdom.
The following Bills will extend and apply to Wales, either in full or in part:
Animal Welfare (Kept Animals) Bill
Bill of Rights
Boycotts, Divestment and Sanctions Bill
Brexit Freedoms Bill
Conversion Therapy Bill
Data Reform Bill
Economic Crime and Corporate Transparency Bill
Energy Security Bill
Financial Services and Markets Bill
Harbours (Seafarers’ Remuneration) Bill
Higher Education Bill
Higher Education (Freedom of Speech) Bill
Levelling Up and Regeneration Bill
Media Bill
Modern Slavery Bill
National Security Bill
Non-Domestic Ratings Bill
Northern Ireland Troubles (Legacy and Reconciliation) Bill
Online Safety Bill
Procurement Bill
Products Security and Telecommunications Infrastructure Bill
Public Order Bill
Social Housing Regulation Bill
Social Security (Special Rules for End of Life) Bill
Trade (Australia and New Zealand) Bill
Transport Bill
UK Infrastructure Bank Bill
The Government take their responsibilities in Wales seriously and will continue to work constructively with the Welsh Government to secure the legislative consent of the Senedd Cymru where appropriate.
[HCWS58]
(2 years, 5 months ago)
Commons ChamberI echo the tributes to the hon. Member for Caerphilly (Wayne David) for bringing this debate to the House—I also thank the Backbench Business Committee—and regarding the fact that since we last met he has announced that he will be standing down at the next election, whenever that might be. I join in and support his warm comments about Ukraine. I do not think there is a Member of the House with whom those comments would not have resonated, whether here or watching these affairs on television.
However, there the agreement may come to a rather abrupt end. The hon. Member for Caerphilly mentioned two very important subjects: the shared prosperity fund and the cost of living. On the shared prosperity fund, I think that he and other Members, on both sides of the House, will be pleased that the long wait for clarity and publication is coming to an end, and there will be further details available any day now. I am conscious that I may have said that before on previous occasions, but one day I will be absolutely right, and that day is soon. Like other Members who have raised similar issues, he made perfectly justifiable comments about mutual respect and a desire to minimise petty squabbles—an ambition somewhat thwarted by subsequent speeches—but that only works so long as the shared ambition is about outcomes rather than about power.
I will not give way for a bit, but I anticipate that the hon. Gentleman will want to intervene when I get on to his speech.
On the hon. Member for Caerphilly’s points about the cost of living, all of us representing seats in Wales will have examples not dissimilar to the ones he has raised in respect of this particularly difficult challenge. While the UK Government have attempted, and continue to attempt, to intervene in all the ways that he suggested so as to be as generous, rapid, thorough, fair and humanitarian as possible, the Treasury must of course balance that with trying to control the inflationary effect of those significant interventions, which, if allowed to run rampant, would end up with greater hardship being suffered by the very families that we both agree need the help that we can all provide.
I would respectfully point out to the Secretary of State that inflation is already very high and that at the same time we have a cost of living crisis for some of our poorest people. The two things go together.
The hon. Gentleman makes a good point. That is precisely why we have to take considerable care with the measures that we are taking, because if we do not, then the already quite pressing inflationary pressures can only get worse. We are in the same place on that.
My right hon. Friend the Member for Clwyd West (Mr Jones) rightly introduced early on in the debate a tribute to our soldiers of the Royal Welsh currently stationed in Estonia. That was a sobering and passionate reminder of the role that they are playing and have played in many other pressures facing the nation over the past few months and years. He mentioned, as did others, the potential in the renewables sector, especially in north Wales. He is right to have the ambitions, as is our hon. Friend the Member for Ynys Môn (Virginia Crosbie), for large-scale and small-scale nuclear at Wylfa. The other day, I met representatives of the floating offshore wind sector to talk about the potential in the Celtic sea, particularly off the west coast of Pembrokeshire. There are unbelievably exciting prospects in that regard, so we need to aim high. When I refer to the comments of the hon. Member for Gordon (Richard Thomson) about devolution of the Crown Estate, I will explain why that would limit our ambitions rather than enhance them.
My right hon. Friend the Member for Clwyd West mentioned the tidal lagoon at Colwyn Bay. That was an argument well made. When visiting north Wales with the Prime Minister the other day, we looked out across the potential site for that. I might add that the Prime Minister has been to that particular part of Wales more often than the First Minister, in fairness to him. That is how seriously we take levelling up and the potential in that part of Wales. I resonate with the comments that my right hon. Friend the Member for Clwyd West made about the Mersey Dee Alliance. That can be just as easily extended to mid Wales and its relationship with the west midlands as it can to south and west Wales and their relationship to Gloucester, Swindon, London, the south-west of England and beyond, as represented by the Western Gateway.
I quickly turn to the comments of the hon. Member for Cardiff West (Kevin Brennan), who seems to have generated more use of my highlighter pen than any other contribution today, which is probably what he intended to achieve, so full marks for having done that. He made some interesting comments about leadership, most of which I had some sympathy with, but in his glowing tribute to the First Minister, it struck me that if the First Minister’s choice of leadership had been successful, we would be confronting our problems across the globe with the potential of the right hon. Member for Islington North (Jeremy Corbyn) as Prime Minister. I am not sure that would necessarily have provided the leadership and robust response to Vladimir Putin.
On the issue of leadership and mutual respect, will the Secretary of State take this opportunity to clear up confusion in the House? Is he the leader of the Welsh Conservatives, as according to the former Leader of the House, the right hon. Member for North East Somerset (Mr Rees-Mogg), or is it somebody else?
As the hon. Gentleman knows, the leader of our Conservative group in Cardiff is Andrew RT Davies, and the leader of the Conservative party is Boris Johnson. The hon. Gentleman should know that by now, I would have thought.
I have to resist the hon. Gentleman’s attempt to talk about an English approach or a Welsh approach to the covid response. If anything epitomised a UK approach, it was our response to the covid pandemic, and what better example of that than the vaccination programme, which was originally conceived, researched, contracted, delivered and paid for by the UK Government. It was then distributed, with some professionalism, I might add, by a combination of the Welsh Government—tick that box, we can credit our opponents when necessary and appropriate—with the huge help of the Ministry of Defence, as represented rather conveniently by the Minister for Defence Procurement, my hon. Friend the Member for Horsham (Jeremy Quin), who is sitting next to me on the Front Bench, and NHS Wales. The suggestion that there was either an English approach or a Welsh approach is demonstrably untrue.
I add one last thing. The hon. Gentleman made a rather unnecessarily snide comment about integrity, but when it comes to promises to the electorate, the First Minister and the leader of Plaid Cymru both said just before the Senedd elections that the one thing they would not do is get into bed with each other. Within months of making that pledge to voters in Wales, they did precisely the opposite.
My hon. Friend the Member for Clwyd South (Simon Baynes), with rather good timing—it was a relief at that moment—decided to celebrate everything that is good about Wales, having been treated for a few minutes before that with apparently everything that is bad. I thought that his message to the outside world about what Wales has to offer, and in particular what his part of Wales has to offer, and the strength, value and opportunities that the Union presents, was incredibly well-timed and reminded me of the visit I paid with him to the Trevor Basin back along, where we were able to see for ourselves the joy on the faces of the people who had received funding courtesy of some of the new initiatives from the UK Government to engage in projects that they have hitherto not been able to do.
The hon. Member for Llanelli (Nia Griffith) rightly made some powerful comments about how we should be helping communities in need at this time, but she went on to mention one or two things that make that more difficult in terms of the relationship with the Welsh Government. The solutions to the very problems that she rightly pointed out are not necessarily always achieved just by dishing out cash. I do not think that the Labour party has a remotely compassionate record to look back on. The undeniable truth is that, every time a Labour Administration have held office for goodness knows how many generations, more people were unemployed at the end than at the beginning. That is nothing to be proud of; it is no sign of compassion at all.
We want to be as fair and as reasonable as we can to as wide a number of people in vulnerable positions as possible not only by making sensible, fair and humane interventions but by creating the best circumstances for job creation and proper well-paid sustaining jobs across the whole of Wales. That is compassionate and that is levelling up. It is not simply about handing out cash, tying people down into the benefits system and offering no hope of being able to move on from that position to a different state of their lives.
My hon. Friend the Member for Montgomeryshire (Craig Williams), again, echoed the armed forces’ contribution and made some great comments about the levelling-up fund and how Powys County Council had never been able to qualify for funding of that nature before. I thought he was going to launch into a lengthy speech, because I have heard it often before, on the subject of the Montgomery canal.
I do not think I will.
That initiative, provided courtesy of the UK Government, unleashed private sector funding at the same time. My hon. Friend put his finger on what devolution really means. It is not whether power is held in Cardiff or Westminster; it is about how many people in frontline decision-making positions, who live and feel the opportunity and challenge every day, are brought into the decision-making process in the way we have in Powys—and I hope it will be reflected across the rest of Wales as well.
I was overjoyed that the speech of the hon. Member for Neath (Christina Rees), unlike others from the Opposition, did not talk down the fortunes of our country, but talked up the record of her great friend Hywel Francis. He was the first and about the only Member of her party who came up to me after my maiden speech in 2010 and, probably through gritted teeth, congratulated me on what I had said.
I am glad that the Secretary of State is in such a celebratory mood. I am sure that he is as excited as I am that the global centre of rail excellence is coming to Wales, in fact to Onllwyn in my constituency. When will the Government release the funds so that we can get on with it?
I am delighted that the hon. Lady is delighted that we have been able to put £30 million into that project. That shows what levelling up is capable of and it shows that collaboration and co-operation—all the things that apparently do not happen—are happening in her constituency. I cannot tell her exactly when, but I will find somebody who can put her out of her misery. Her reference to Siân James reminded me of many happy hours, which other hon. Members might have shared, in Patagonia on a trip of the Welsh Affairs Committee courtesy of my absent hon. Friend the Member for Monmouth (David T. C. Davies). I can see the odd smirk of Opposition Members who also remember it.
Nearly finally—somebody once said to sprinkle one’s speech liberally with “And finally” to retain a sense of optimism in those listening—the hon. Member for Newport East (Jessica Morden), who I have known for a long time and who I like to think of as a friend, made a speech that started brilliantly and ended disappointingly. It almost sounded as though the first half was written by her and the second half was written by a Labour policy wonk obsessed with scoring cheap political points.
The good points were brilliant, however, and I very much take on board the hon. Lady’s comments about the visa situation and the spirit of co-operation with local authorities. There was a call this afternoon between the UK Government and the Welsh Government on the subject of Ukraine refugees, so that level of co-operation is already in place. In response to her point, I hope that she will be as pleased as I am that we have now recruited 479 additional police officers in Wales. It is however difficult to get the oxygen into the hospitality sector, which she rightly raised, when the Welsh Government are about to impose a tourism tax and a second home tax on people who like to go and spend money in the hospitality sector in Wales.
The hon. Member for Arfon (Hywel Williams) made a warm tribute to my hon. Friend the Member for Brecon and Radnorshire (Fay Jones), which this week of all weeks was much appreciated, and I know it will be appreciated by her, too. When it comes to additional bank holidays, I have to say that the lobbying I tend to listen to the most is not from politicians, I regret to say, but from the business community in Wales. I will probably now have a few emails within a few minutes, but I have yet to hear any such requests from anybody who is actually striving to make their business work, to encourage investment into Wales and to create long-lasting jobs. The last thing they have been knocking on my door and asking for is an additional bank holiday. They have asked for lots of other things, but that is not one of them.
On the question of the Crown Estate, and to deal with the comments of the hon. Member for Gordon, I have to say—this is similar to my last answer—that very few people who are, I hope, on the cusp of investing significant sums of money and creating many thousands of very good, long-lasting and well-paid jobs in Wales are saying to me that the blockage, or the only thing stopping them doing so, is devolving the Crown Estate. It is quite the opposite. In fact, I think the potential opportunity for income to come into Wales is enhanced by not devolving the Crown Estate, and that is the official Government position.
I loved the quick whip around the world of rugby from the hon. Member for Gower (Tonia Antoniazzi). It reminded me of how many members of the national side came from Bancyfelin in one particular game, and although I cannot remember the number, I think it exceeded the number who came from Gower. However, we can argue about that another time. I would love to meet her to talk about the youth element of the sport. That is a source of frustration and ambition, as far as I am concerned, but it is of course devolved. We discovered that when we tried to get some money for the WRU at the beginning of the pandemic, only to get sucked into the whole devolution settlement and it became almost impossible to do a reverse Barnett and get in the money that was necessary.
I appreciate the Secretary of State’s comments about sport being devolved, but I would like to draw his attention to my main request, which was that he press the WRU for the release of its report last year on the review of women’s rugby. That is my key ask.
Absolutely, and when we undoubtedly meet in Cardiff for a rugby-based evening, I think in a couple of weeks’ time, we can with any luck carry on that conversation.
The hon. Member for Pontypridd (Alex Davies-Jones) made some strong comments about culture, but again failed to mention that this is a devolved area and that the investment she referred to was brought to her courtesy of the UK Government’s investment in the cultural sector, Barnettised and made available for those very opportunities in her own constituency. I was surprised she did not mention—I am sure it was an oversight—the £5.3 million that the UK Government have put into the Muni in Pontypridd, which I have visited twice, or the £20 million that her local authority, Rhondda Cynon Taf, has successfully bid for under that particular scheme. Anybody who points a pork barrel politics finger at me gets promptly referred to the hon. Lady, whose local authority came out of that process better than any other in Wales.
And finally, the hon. Member for Cardiff North (Anna McMorrin) mentioned random acts of kindness—that was her expression—which gave me a sense of false hope, I suppose, about what was coming next. If we are to be able to operate with the Welsh Government, local authorities and other stakeholders in the form she described, we somehow have to wean ourselves off this pathological inability to recognise that we all have a stake in this game, and not everything that goes well in Wales is down to Labour and not everything that goes badly is down to UK money. We have to prise ourselves off that ridiculously lazy generalisation if we are to make progress and if we are to be able to have a proper, mature conversation about how we level up Wales in the way that I think we both want to do. For all the warm words, there is never an opportunity missed to make a snide comment about some party political point that puts us all back to where we started. I do ask her, with the greatest respect, if we can possibly try to move ourselves away from that rather 1970s model of political exchange.
I cannot let that rest while the right hon. Gentleman attacks my speech. Yes, it was about focusing on random acts of kindness within the Welsh people and the stark contrast with the current UK Government, who are damaging the Welsh people time after time after time. If we speak to my constituents, we hear that they do not get anything from the UK Government. The right hon. Gentleman speaks about outdated 1970s politics; he should speak to his own Prime Minister.
I rest my case. My son is a constituent, so I will refer to him. It also might have been an oversight in the spirit of the warm relationship the hon. Lady and I are now forming that she has not mentioned the 9% increase in funding for S4C as a bastion of the Welsh language. [Interruption.] The hon. Lady looks astounded; this is a major contribution to our ambitions on the Welsh language.
Finally—last, and least—the hon. Member for Gordon referred to a number of what I thought were slightly predictable points around devolution. Again it reminded me of the fact that it is difficult to make the progress we all want if every single thing we debate in this House is seen through the prism of independence rather than the prism of jobs and ambition. The big difference between his country and our country is that in Wales 54% of people on average voted to leave the European Union back in 2016, and it is brave for somebody of the hon. Gentleman’s record in this area to suggest that somehow the voters of Wales were not bright enough to make a decision on this.
The Secretary of State is nothing if not prescient, on that point at least. Of course there may have been a slim majority in Wales for Brexit, but does he honestly think that has exempted Wales from any of the problems that have afflicted the rest of the UK from that, and if a referendum were held tomorrow would he truthfully expect that result again?
The obvious statement to make in relation to the hon. Gentleman’s claim that somehow Wales and Scotland were not involved in the negotiations is that I was one of the lucky ones who had to sit and listen to his colleague Mike Russell putting the case, as he did loudly and persuasively in the numerous meetings we had on the Brexit negotiations. It is simply not correct to say that the devolved Administrations did not play a very full and active part in those discussions.
Today’s debate has had its moments of optimism, its moments of hope and many moments of respect for our friends and colleagues in Ukraine. I hope it has also served to show what we have in store on levelling up, and also the huge amount of funding. People sometimes question the amount of funding coming to Wales and make an erroneous comparison with what might have been the case had we remained in the European Union, but actually the numbers and the facts show that there is everything to be cheerful about. I want the relationship with local authorities and the Welsh Government to be positive, because if it is, and if we do not get strung up on the minutiae of power and instead concentrate on our important jobs and inward investment agenda and are prepared to enter those negotiations in the spirit intended, we have a real opportunity of the Welsh Government being able to demonstrate they are good and competent at what they do and the UK Government demonstrating we have an important strategic and economic role to play in Wales as well. That is the challenge that faces us, and today’s debate has enabled us to move just a few small steps towards achieving it.
This afternoon’s debate has been good and extremely worthwhile. It is particularly good that many Members referred to Ukraine and the solidarity the Welsh people are demonstrating to the people of Ukraine; I thank everyone for that.
My only hope is that the St David’s Day debate does not have to be applied for every year but becomes automatic. I ask the powers that be in Parliament for the St David’s Day debate to be a permanent feature of our parliamentary calendar.
(2 years, 5 months ago)
Written StatementsThe Minister for Defence People and Veterans and I are pleased to inform the House that the Government have appointed Colonel James Phillips as the first ever Veterans Commissioner for Wales.
The commissioner will act as an ambassador for veterans across all areas of Wales and will play a key role in making the United Kingdom the best place in the world to be a veteran. The role will build on the success of counterpart roles in Scotland and Northern Ireland and will mean that all devolved nations have a Veterans’ Commissioner.
Colonel James Phillips has just completed his own transition to civilian life after 33 years in the Army. He has served in Germany, Cyprus, the Netherlands, Northern Ireland, the Balkans, Afghanistan and Iraq. He has commanded soldiers, sailors and air personnel and worked in NATO, MOD, joint and Army headquarters.
Colonel James Phillips will take up the role as soon as possible after 1 April 2022.
The strategic objective of the Veterans’ Commissioner for Wales will be to improve outcomes for veterans, their families and armed forces families across Wales, building on the significant work already undertaken by the UK Government and within the Welsh Government’s devolved responsibilities. They will work with existing networks and Welsh Government governance structures supporting existing work to deliver the UK Government strategy for our veterans. A fundamental element of this role will be to engage with veterans and their families, listen to their needs and aspirations, and identify any need for positive change, encourage and share areas of good practice communicating these to both the UK and Welsh Governments.
The responsibilities of the Veterans Commissioner for Wales will be:
To listen to and understand the issues and barriers affecting veterans and their families, and using the information to influence improvement in services;
To improve outcomes for veterans and their families through collaboration that will build upon and complement the work of the Welsh Government, public bodies and key stakeholders;
Work with the Welsh Government and key stakeholders to recognise areas of need in service provision and identify the means to address those needs;
Improve co-ordination and integration across services where appropriate to facilitate better communication and outcomes;
To build the profile of veterans and promote wider recognition of the skills, experiences and talents of veterans and the valued contributions they make to communities and employers;
To work with public service providers to support the understanding of the UK Government’s new legislation on “no disadvantage”;
and recognise that armed forces and veterans’ families also require support, including during periods of transition
[HCWS645]
(2 years, 6 months ago)
Commons ChamberThe Chancellor announced a £9.1 billion energy bills rebate last week. This includes a £200 energy bill discount for households across the UK, including Wales, as well as an additional £175 million to the Welsh Government.
On Monday, this Conservative Government imposed a real-terms cut to social security benefits and pensions of approximately 4%. This is on top of the hike in national insurance contributions, the rise in the energy price cap and cuts to universal credit and working tax credit, which the Bevan Foundation in Wales has estimated will take approximately £286 million out of the Welsh economy. People in Wales are genuinely fearful of the impact that these cuts are going to have on living standards, so I ask the Secretary of State: how can he justify voting for these measures, which will not only exacerbate existing poverty but drive more and more people into hardship and poverty?
The hon. Lady has constituents, as we all do, who are of course concerned about the cost of living challenges ahead, but I hope I can reassure her by naming, as I have already done, a few of the measures we are putting in place. They include the substantial additional money via the Barnett formula for the Welsh Government, but also the universal credit taper is worth £1,000 per household, the increase in the living wage is also worth £1,000 a year for those in receipt of it and there are the warm home discounts. Of course, the main thrust of what we are trying to do is create the right circumstances for a jobs-led recovery.
Tesco’s boss says that food inflation will hit 5%. Families across Wales will struggle to cope, so how will the Secretary of State help people in food poverty?
I can only refer the hon. Member to my earlier comments. We want to be extremely sure, just like him, because Conservative Members have a similar dynamic in our own constituencies, that we are putting in place everything we can, whether that is the universal credit taper, the increase in the living wage, an increase in the tax threshold, or indeed the jobs-led recovery I have mentioned. The fact is that the economic prospects for the UK, including Wales, are actually growing at a reasonable pace, although it can always be faster and greater. I am hoping I can reassure his constituents, just as I am attempting to reassure mine, that we have their best interests at heart when it comes to food poverty.
People do understand the need to provide more money for health and social care, but Welsh businesses and workers—they now face rampant inflation, bringing escalating costs and reduced consumer spending power—are angry that the UK Government are hitting them with the national insurance rise while the Chancellor has simply written off billions. What talks has the Secretary of State had with Cabinet colleagues about implementing concerted efforts to recover the £5 billion of taxpayers’ money taken fraudulently by criminals in covid support, and about engaging with companies that were vastly overpaid by the UK Government for personal protective equipment contracts on recognising their corporate social responsibility and returning excess profits, rather than hitting workers and businesses across Wales with this national insurance rise?
The hon. Lady raises an important point about fraud. All I can tell her is that the Treasury is a world leader in tracking down, eliminating and reducing the risk of fraud, and I think she should give it some credit for the remarkable work that it has already done in that respect.
An 80-year-old constituent of mine has contacted me to say that he and his 78-year-old wife currently pay £68 a month on energy bills and they just about manage, but they have been told that that will go up to nearly £3,000 for the year. Meanwhile, BP has announced its highest profits in years. The Government’s answer is to hand out loans, but Labour has a plan to make energy companies pay. My constituent is worried and angry, and he wrote to me asking me to shout and scream at the Secretary of State. I do not think that will work, but what does he expect me to say to my constituent?
What I hope I could pass on to the hon. Lady’s constituent is that deploying the usual Labour response to pretty well every problem in the world, which is to find somebody and tax them, is not the right answer, because that would have a knock-on cost that would then be picked up by the very constituent she mentioned. The idea that tax is anything other than a disincentive in this particular instance is a myth. Much more important are our attempts to make sure that families in the position her constituent points out are looked after to the best of our ability.
As my right hon. Friend has mentioned, the Chancellor has announced that 80% of English households will receive a £150 council tax rebate with effect from April this year. As a consequence, the Welsh Government have received an additional £175 million under the Barnett formula. Is it a matter of regret to him, as it is to me, that the Welsh Government have not yet announced that that money will be passed on to Welsh council tax payers, who are entitled to precisely the same benefits as their English counterparts?
My right hon. Friend makes an important point. The Treasury was explicit in what the Barnett consequentials were for the Welsh Government, and I agree with him. I do not understand why families and businesses in Wales are still unclear about how that money will be used.
People in rural areas will be at a particular disadvantage during the upcoming energy price crisis. About two thirds of my constituents are not connected to the gas grid and are therefore not covered by the protection of the energy price cap. Does my right hon. Friend agree that as rural areas will experience particular hardship, the Welsh Government have a responsibility to act fast to get the £175 million that they have just received out the door as quickly as possible?
Absolutely. I refer to my earlier answer. That is critical, because we probably have a higher proportion of people in Wales in that position than almost anywhere else in the UK. So this is urgent, and I urge Labour Members to put as much pressure as they can on their colleagues in Cardiff to make it happen.
Will my right hon. Friend join me in welcoming the increase in and extension of the warm home discount, which will shield the most vulnerable across the UK from the impact of inflation?
I certainly will. There is a contrast worth highlighting, as the Government’s solutions to these problems are to provide direct and positive interventions for families across Wales rather than defaulting to the lazy position of finding an energy producer and taxing it, as if that would resolve the problem.
It is not just record inflation that is hitting Welsh households hard. Rents in Wales have increased by nearly 10% in the last year, the third highest rate in the United Kingdom outside London and Northern Ireland. When it comes to paying bills, the Digital, Culture, Media and Sport Secretary thinks that a monthly saving on the BBC licence fee of 87p over two years is
“one of the few direct levers we have in our control as a Government.”—[Official Report, 17 January 2022; Vol. 707, c. 39.]
Is that really the extent of the Government’s ambition to help people in Wales cope with a Conservative cost of living crisis?
I am grateful—I think—for the hon. Lady’s question, but she seems to overlook the numerous examples that I have already given, and I have an even longer list of ways in which the UK Government have stepped in, during covid in particular. We have helped protect 470,000 jobs and 60,000 Welsh businesses, dished out £2.4 billion in business loans, increased the living wage and adapted the universal credit taper—I could go on, if only you would allow me, Mr Speaker. She needs to reflect on the long list of positive things to which Labour has contributed almost nothing by way of assistance.
Well, people across Wales are facing the biggest drop in living standards in 30 years under the Secretary of State’s watch. Inflation is at a 10-year high and rising, national insurance levels are increasing by more than 10%—another Tory broken manifesto promise—energy bills are up 54% and rents in Wales are up 10%. Wales is bearing the brunt of the incompetence and chaos not just at No. 10 but at No. 11, while the Secretary of State sits at the Cabinet table and lets it all happen, does he not?
No. The hon. Lady seems to have forgotten that there has been something called a pandemic in the last two years, and that has had a significant effect on the global economy. She also seems to have forgotten that her party is responsible for a number of the standard of living issues in Wales, yet we never hear so much as a squeak of criticism about Welsh Labour’s performance in Cardiff. I urge her again to reflect—perhaps through Hansard tomorrow—on the comments that I have made and the numerous ways in which the Government have intervened in some of these economic challenges, the result of which is that more people are now on the payroll than before the pandemic began and the UK economy is the fastest growing in the G7. Perhaps she should reflect on those facts before raising the issues that she has.
Can my right hon. Friend confirm that the lowest paid in Wales will benefit from our increase in the national living wage, protecting them from the impact of rising inflation?
I certainly can. In answering that question, it is also worth reflecting on the fact that the Labour solution around VAT—an interesting recognition of a Brexit dividend—would not have that effect. The Treasury analysis is that Labour’s proposal would unduly hit the families our proposals are designed to help.
There is no public appetite at all in Wales to devolve the Crown Estate, which would serve merely to fragment the market and delay the further development of key projects.
The Scottish Government have awarded 25 GW of offshore wind development rights through Crown Estate Scotland to 17 projects, which has put Scotland at the forefront of global offshore wind development. It is more than double the UK’s existing offshore wind capacity and it will create high-quality jobs and significant local investment. Why does the Secretary of State not think that devolving the Crown Estate to Wales would benefit the people of Wales in the way that it is benefitting the people of Scotland?
I have spoken on this subject recently to port authorities, investors, councils, employees and, most importantly, the public. Not a single person—not one—has suggested to me that the future of floating offshore or, indeed, any other renewables will benefit from the devolution of the Crown Estate. This is an international opportunity for Wales. The supply chain benefits are huge and, actually, the Scottish National party’s ambitions are far too modest in this respect.
The recent devolution of the Crown Estate seabed is predicted to enable Scotland’s offshore wind farms to reliably power around 30 million homes across the United Kingdom. Has the Secretary of State assessed how many millions of homes could be powered by Welsh offshore generation?
I think I caught the majority of the hon. Gentleman’s question. Yes, we have undertaken significant analysis of the potential, but the potential is massively enhanced by this being a UK-wide—an international—approach. It is not enhanced—indeed, it is jeopardised—by constant reference to devolution of the Crown Estate, which seems to be almost off-putting to future investors in this particular sector.
Well, it has not put off investment in Scotland, certainly.
The Crown Estate portfolio in Wales, with its marine assets, has risen in value from £49 million in 2020 to its current value of £603 million. The evidence from Scotland is that it is hugely beneficial for the devolved Government to be handling that and maximising the supply chain opportunities. Why is the Minister not open to the idea of devolving it, or is the message to the people of Wales that when it comes to governance in Wales, Westminster still knows best?
Absolutely not. I made it clear earlier that where I take my advice from and listen the most intently is the views of port authorities, councils, investors, employees and the public. That is what really matters to me. This is about job creation and sustaining jobs and not about looking at every single issue through the prism of independence and what works for the Scottish Government. This is about making this work for the people of Wales, and that is what is important to us.
Devolution of the Crown Estate is a total red herring, and it so cynical of nationalists to turn every issue into an anti-United Kingdom process row. Does my right hon. Friend agree that floating offshore wind represents a hugely important opportunity for Wales, particularly for the port of Milford Haven in my constituency—Milford Haven is shared by his constituency—and will he assure the House that he and his colleagues at the Department for Business, Energy and Industrial Strategy are doing everything to ensure that Wales and Pembrokeshire benefit from the opportunities of renewable marine energy?
My right hon. Friend is right; I met the Crown Estate last week and had exactly that conversation. I have to say that it was an exciting, interesting, innovative conversation about all the possibilities that he mentions, which exist across the whole UK but particularly in the Celtic sea. I repeat what I said earlier: the emphasis and impetus come from investors, members of the public and port authorities, not from nationalists who just wish to look at everything through the prism of their own power base.
The Secretary of State has just said that there is no public interest or appetite at all, and that not one person is saying that devolving the Crown Estate is a good idea. By this morning, 10,000 people had already signed a petition asserting Wales’s right to reap the benefits of our own national resources.
The ScotWind auction raised almost £700 million for Scotland’s public finances. To reassure the Secretary of State, this is not a new tax. In the heat of the cost of living crisis, Scottish renewable natural resources generate revenue for the benefit of the Scottish people, providing a better welfare service than in Wales. Is it not clear that devolving the Crown Estate in Scotland has improved the Government’s ability to respond to the cost of living crisis, and so it would in Wales?
Shock, horror—the hon. Gentleman raises that petition. Of course, it represents a tiny, tiny, tiny proportion of the population of Wales, even assuming that everybody who signed it is resident in Wales.
I chose my words carefully earlier. The people I want to listen to most intently are the people who will do the work and benefit from the work: port authorities, councils, employees, the public and investors. Every single person I have spoken to about the issue concludes that devolving the Crown Estate is nothing more than a distraction that would actually damage the prospects of its being the success story it deserves to be.
“Parity with Scotland” is possibly not the catchiest of slogans, but here it is just a matter of fairness. Will the Secretary of State now commit, in this Parliament, to the devolution of the Crown Estate to Wales?
(2 years, 7 months ago)
General CommitteesI beg to move,
That the Committee has considered the matter of strengthening the Union as it relates to Wales.
I welcome you to the Chair, Mr Davies. I know you would love to make a longer contribution, but sadly on this occasion we will be denied that particular pleasure. This is the first Welsh Grand Committee for some time, and it is a huge pleasure to introduce it. I welcome colleagues. Another cause of celebration is that it coincides with the birthday of my hon. Friend the Member for Brecon and Radnorshire—as if there were not enough to enjoy about today’s proceedings, we can add that to our list.
The country is talking of other political matters at the moment, but I want to spend my time this morning talking about the UK Government’s achievements in Wales, why the Union matters and why, thankfully, three out of four voters at the last opportunity still supported Unionist parties in Wales. In a week when apologies are on everyone’s lips, I will be making no apologies for this being the most active and engaged UK Government in Wales for the last 20 years; no apologies for standing up, when necessary and forced, to a Welsh Government who sometimes seem to enjoy all the responsibility but little of the accountability when it comes to Welsh matters; no apologies for taking a very proactive approach to covid and recovery, particularly in our economic interventions; and no apologies at all for delivering what 54% of the people of Wales voted for back in 2016, despite numerous efforts by some of our political opponents to reverse, delay or deny what happened in that referendum.
I will start with a reference to the Union—I make no apologies for my Unionist credentials, either. Sometimes, our attitudes as politicians of the Union can be wilfully misrepresented. For me, the Union is not a political movement or party; it is not instead of national identity, but as well as it. We all know that it is perfectly possible—we see it among our constituents all the time—to be patriotic and enthusiastically champion everything that is Welsh, but at the same time to recognise the value of the Union. How often have we all heard, even in Plaid Cymru seats, people say, “I’m passionately Welsh but I’m also British”?
In my mind, the question is not, “Could Wales survive on its own?”. An accusation that is occasionally, and sometimes legitimately, levelled at us—because of the manner in which we have sometimes constructed our arguments—is that we are suggesting that Wales could not survive on its own. I have never subscribed to that view. However, I have always asked, if Wales was to survive on its own, what would be the economic, social and cultural cost of taking that step? My attitude to the Union is one of respect, but it is also one of reality—of wanting to take a really detailed look at some of the more complex areas of the debate, around defence, currency, intelligence, security and international trade.
If I could get into my stride and warm up a bit before I take interventions, I would be very grateful.
The question for today is, “What have the UK Government delivered for Wales while covid has been the dominant news story?”. I will not share it with hon. Members because it would take far too long, but I have two and a half pages of very varied, but very significant, achievements that the Government have been able to deliver—sometimes in collaboration with the Welsh Government, sometimes not. For example, £121 million has been directly invested through the first round of the levelling-up fund. The diversity of this is worth noting.
The Government have increased the Army footprint in Wales, the only part of the UK that saw an increase—from 6.7% to 7.3%. The Queen’s Dragoon Guards will return to Wales, to Caerwent, in the constituency of the Under-Secretary of State for Wales, my hon. Friend the Member for Monmouth. There will be a new reservist unit in the constituency of Wrexham. We are saving Brecon barracks—such an important part of the social and economic heartlands of the constituency of my hon. Friend the Member for Brecon and Radnorshire. We put £30 million into developing the first centre for rail excellence, which is between Port Talbot and Brecon, and will create 150 direct jobs.
The small ruminant rule has been lifted. Who would have ever thought that the small ruminant rule would play such a significant part in our lives? The lifting of it, which is enabling Welsh lamb to be marketed in the United States for the first time in nearly 25 years, is a significant moment for our farming industry. With the Welsh Government and the First Minister, we set up the coal tip safety taskforce—jointly chaired by the First Minister and me—securing £31 million for the Tylorstown tip and creating the first register of coal tips and their safety in Wales. No doubt there will be more on that.
There are other things, too: the £4.8 million investment in Holyhead hydrogen hub, and accelerated funding for the Cardiff city, Swansea bay, north Wales and mid Wales city and growth deals. The mid Wales growth deal, worth £55 million, was signed by the Under-Secretary of State for Wales, my hon. Friend the Member for Monmouth only last week. We have invested £31.9 million to develop electric propulsion systems in Cwmbran, and there is Wales-specific funding through the British Business Bank of £130 million. I could—and I will—go on, and I know my hon. Friend will go on later.
There is lots to say, and it is all positive, imaginative and innovative. It is all about jobs—sustaining existing jobs and creating new jobs as we come, we hope, out of the pandemic for the last time. Probably the best example of the strength and value of the Union is the way in which we have been able to join forces with so many people in our pandemic response. I could go through a long list, but hon. Members should cast their minds back to the furlough scheme: one in three jobs in Wales was protected, at very short notice, by the might of the UK Treasury.
Will the Secretary of State take the opportunity to thank the TUC? It was its representations to the Chancellor of the Exchequer that led to the furlough scheme.
I am very grateful for the intervention, because I would like to thank a number of people. I do not think this scheme was the particular brainchild of any one group of people or other, but it was an urgent response to a serious and potentially catastrophic issue, so I extend my thanks to anybody who may have had a stake in that process. However, I particularly commend the Treasury. In all our time as Members of Parliament, we have probably not always thought of it as an organisation that moves at lightning speed, but on this occasion it did move at lightning speed, and it has saved hundreds of thousands—millions—of jobs in the process. The Chancellor took decisions that nobody thought possible at the time and implemented a scheme at a speed that nobody thought feasible at the time, and one in three of our constituents on the payroll in Wales had their job secured as a result.
May I give way to the hon. Member for Arfon before coming to the hon. Member for Llanelli?
Dwi’n ddiolchgar iawn i’r Ysgrifennydd Gwladol am ildio. Ar nodyn hanesyddol, byddai Lloyd George yn dweud nad oedd yn dweud llawer o ddim byd am y pum munud cyntaf, er mwyn caniatáu i’r Siambr lenwi, wrth gwrs. Credaf bod hyn yn esiampl. Tra mae wrthi yn gwneud y diolchiadau, ydy’r Aelod gwir anrhydeddus am restru nid yn unig y buddion sy’n dod o’r Undeb, ond hefyd y costau? Hefyd, i Aelodau anrhydeddus yn ystod y dydd, a yw’r Llywodraeth am nodi yr hyn yr ydym yn ei golli o fod yn yr Undeb?
(Translation) I am grateful to the Secretary of State for giving way. On a historical note, Lloyd George used to say that he did not say much for the first five minutes, to allow the Chamber to fill up, of course. I believe this is an example. While the right hon. Gentleman is expressing his thanks, will he list not only the benefits but the costs of the Union? Will the Government also note for hon. Members throughout the day what we lose from being part of the Union?
I could not catch the hon. Gentleman’s question, partly because I could not get the headset to work at that speed, but the Under-Secretary of State for Wales passes on the fact that it is about the cost of the Union. Perhaps, when the hon. Member for Arfon is able to make his contribution, he will be able to expand on his arguments. As I will come to later in my speech, the value of the Union is what really matters as far as we are concerned. As I mentioned earlier, if any kind of coherent argument is to be made against the Union, it needs to be made in the context of its value rather than necessarily its cost.
I will mention one thing that always baffles me about the Plaid Cymru approach to the Union. For the last four and a half years, we have heard endlessly, relentlessly and somewhat tiresomely about the fact that Wales could not possibly survive outside the European Union; we have been reminded endlessly that our economic health has depended on our membership of it. The nation of Wales happened to take a different view from the hon. Gentleman, but I would love to know why he thinks that it is possible to survive outside the UK when apparently it is impossible to survive outside the EU.
I am not going to give way again, because I said that I would give way to the hon. Member for Llanelli.
Indeed, actions were taken quickly by the Treasury, but what happened in October and November 2020, when there was a huge delay? The Welsh Government recognised the need to use that half-term to have that firebreak, yet there seemed to be no movement by the UK Treasury. Where was the close working there? Where was the good relationship? Are there not ways, now, in which we could improve that relationship and make it work better, so that the UK Government take more notice of what the Welsh Government are saying and work better with them?
Our intergovernmental relations paper was published last week. That would probably help me to answer the hon. Lady’s question. I think I am right in saying that back at the time of the example that she gives, the Treasury did make absolutely clear to the Welsh Government what was possible and what was not in that timescale. I am afraid to say that the Welsh Government, in that case, completely ignored the information that was given by the Treasury, and then made what I thought was a rather salacious effort to exploit that in the press, when they knew very well that the Treasury was working to the fastest legal speed that it was able to. That was one of those cases where there was a little bit of political opportunism at a time when the nation was looking to us for a practical solution.
I will give way to my right hon. Friend the Member for Preseli Pembrokeshire.
May I draw my right hon. Friend back to the point about the furlough scheme, in the context of the strength of the Union, because I think the point about that scheme is even better than he alluded to? The truth is that the scheme was a much bigger success than anybody had anticipated. Far from there being a crisis of unemployment at the end of 2021—as so many Opposition Members had predicted—when the furlough scheme was unwound, we actually had a boom in job creation and no employment shortage up and down the country, so full credit to the Treasury and the decision making of the Chancellor and his colleagues.
My right hon. Friend is right. The decision-making point that he makes is particularly apposite, because these decisions were being made at breakneck speed in unbelievably unpredictable conditions and under significant pressure, and they turned out to be the right calls. They were made for the right reason, at the right time. It is no coincidence that the unemployment figures now show that there are over 400,000 more people in work than there were before the pandemic.
The furlough scheme was a great success, and I commend the Government for bringing it in. I do not know whether the Minister had the same experience as me, but throughout covid one of the difficulties was explaining to constituents the differences between Welsh and English policies. It was sometimes very difficult to get to the bottom of them, in particular with financial support for businesses in Wales, which could only be announced once the Welsh Government had had the money from the UK Government. That was difficult to explain to people, and to get out to people in a proportionate time. The single biggest question I have now is, why is HS2 considered to be an England and Wales project, when it does not benefit Wales at all?
A neat means of getting in on the HS2 question.
As the hon. Gentleman knows, I believe that a consistent approach to interventions, whether regulations or financial interventions, would in many cases have been more desirable for exactly the reason he pointed out; it would have been simpler to understand precisely what was on offer and exactly why we were doing things in the way we were. It was unfortunate that, from time to time, those arrangements were not as consistent as they could have been.
By the way, the hon. Gentleman’s point enables me to say that it was very important that the financial contributions that we were able to make to the Welsh Government were upfronted, rather than the usual Barnett system of them being provided retrospectively.
The issue here is consistency. I pay full credit to the Treasury when it acts properly and constructively with the Welsh Government, as it did over the Celsa Steel plant in my constituency during the height of the pandemic. It was a sensible co-operation and I thank the Secretary of State’s office for assistance on that.
On the cladding issues, which affect thousands of my constituents—a serious situation that they have faced under covid—there is not that co-operation between the Department for Levelling Up, Housing and Communities and the Welsh Government to tackle it. There is a desire for co-operation with some sound politics behind it, as thousands of people are in very difficult circumstances, but often announcements are made up here without consultation with the Welsh Government in advance, so that they can supply information to the thousands of people affected.
Order. Twenty-one people want to speak, so may we try to keep interventions short, in the asking and the answering?
I agree with the hon. Member for Cardiff South and Penarth that co-operation and collaboration is generally speaking a preferable route; it works both ways. The IGR—the intergovernmental review paper, which I commend to him—will address a number of the concerns that he has raised.
On the instructions of the Chair, rightly, let us press on. I do not have a lot more to cover, but the point about collaboration with the Welsh Government is well made. Of course, I completely accept that a bespoke approach is important. However, there are also occasions—we have to admit this, on whatever side of the political fence we sit—where evidence does not support the decisions that have been taken.
In the past few weeks—although the matters that have overtaken us are another example—curious interventions have suggested that people might be fined for going to work, but not necessarily for going to the pub. They could do indoor exercise, but not parkrun, which is well known to be a contributor to people’s physical and mental health, and they could watch rugby from the clubhouse but not from the touchline. Things like that start casting doubt into people’s minds about whether the interventions are evidence-based. Going back to the beginning of the pandemic, I recall the calls that we all heard to follow the science. However, the science seemed to be limited to medical science only, when economic and social sciences are almost as important elements of the evidence that we need to follow as anything else.
Let us cut to the quick: what have the UK Government done? We have become the fastest growing economy in the G7. We are a world leader in the vaccine roll-out. We have done more tests than any other country in Europe. We have got 400,000 more people in work than at the beginning of the pandemic. That is because we are part of a fantastic Union. It is because we recognise the value of the cross-border economic zones, whether that is Mersey Dee, Western Gateway or Mid-Wales and the West Midlands.
I want to finish with this: it is about the future, it is about being optimistic, it is about being creative, it is about sustaining the jobs we have and being imaginative about the jobs we need and the jobs that we can create. It is all about delivering. The Cabinet meeting today is all about delivering. It is about jobs, it is about livelihoods, it is about working with the Welsh Government but also not being afraid to challenge the Welsh Government when we think they have got it wrong. It is continuing the work that we are doing to assist and support them in their responsibilities on things such as coal tips.
Through the levelling-up fund, the shared prosperity fund and the community ownership fund, we will continue to deliver jobs and prosperity not just to well-known parts of Wales, but to every part. My right hon. Friend the Secretary of State will be vigorously signing growth deals left, right and centre. We did the mid-Wales growth deal just a few days ago. We will recruit the first ever Veterans Commissioner in Wales to look after the interests of Welsh military veterans. And we will deliver––I always said it was when, not if––the first free port in Wales. We edge ever closer to that moment. We will continue to remain optimistic and co-operative as far as the Welsh Government are concerned in attempting to get that crucial job-creating opportunity on to the books and on to the map in Wales in the very near future.
We will, of course, be central to our plans for net zero in Wales, whether that is small modular reactors, floating offshore wind or continuing to highlight the fact that Wylfa Newydd is probably the world’s––let alone the UK’s––best site for large-scale nuclear. We will look at the value that a nuclear cluster in north Wales can bring, whether that is medical isotopes, thermal hydraulics or any of the other technologies that were unheard of not that long ago but may possibly now have their epicentre in Wales. That is what levelling up is about. That is what the strength of the Union brings to our country, and at no stage does it ever compromise the fact that we are a proud nation in ourselves.
As we come out of one of the more challenging periods of our history, we have a fantastic opportunity to deliver on all those commitments. I do not believe that voters anywhere in Wales much want to hear us talking about a constitutional convention or arguing about who has got what powers and who has responsibility for what. We all know what we are responsible for: the UK Government know what they are responsible for; the Welsh Government know what they are responsible for. As far as I am concerned, the UK Government must get on, do the things we do, do them as well as we can, as lively as we can and as proudly as we can. I am not remotely ashamed of, and nor will I ever apologise for, the fact that the UK Government will be more visible, more active, more effective and more successful in achieving the things that we all want, whether they are social, cultural or economic. Now that we have the pandemic somewhere in our sights, our absolute focus in every Department of the UK Government will be to deliver on that commitment.
I remind the Committee that the English translation of contributions in Welsh will come through channel 2. I ask Members to unplug their headsets when they are not using them. That will mean that when someone speaks Welsh, everyone will have to plug in at once.
The right hon. Gentleman raises an important point. Simply put, I think we will see quicker action. When action is taken, we can realise some of the abundant potential we have on the coast of his wonderful constituency in south-west Wales. We will see those benefits being retained closer to the community that he represents and closer to the communities in which the revenues are generated.
Rydw i’n brysur rhedeg allan o amser, felly wnai beidio cymryd unrhyw ymyriadau pellach, ond hoffwn sôn am ddwy broblem arall sydd yn codi o’r setliad presennol. Yr un pennaf yw’r hon sy’n ymwneud â’r system gyfiawnder. Tra bod cyfiawnder yn Lloegr, yr Alban a Gogledd Iwerddon wedi’i hintegreiddio yn llawn i bolisïau cynhenid y gwledydd hynny, yng Nghymru, cedwir pwerau dros gyfiawnder yn San Steffan. Dywedodd y Comisiwn ar Gyfiawnder yng Nghymru, dan arweiniad yr Arglwydd Thomas, nad oedd unrhyw sail rhesymegol i’r sefyllfa presennol a bod y sgil effeithiau yn rhai anffodus dros ben.
Rydym eisioes wedi clywed gan yr Aelod anrhydeddus dros Caerdydd Canolog bod tangyllido cronig gan San Steffan mewn gwasanaethau cyfiawnder wedi golygu bod Cymru wedi gorfod llenwi’r bwlch a adawyd gan yr Undeb. Ond yn waeth na hyn, gwelwn fod polisïau San Steffan wedi cyfrannu at lefelau anghynaladwy o garcharu a olygai yn 2019 bod gan Gymru y cyfraddau carcharu uchaf yng ngorllewin Ewrop. Mae’r setliad cyfansoddiadol presennol, felly, wedi methu mewn dyletswydd sylfaenol: y dyletswydd hynny i sicrhau mynediad teg a chyfartal i gyfiawnder. Gan ddod i’r casgliad unfrydol bod pobl Cymru ar eu colled yn y system bresennol, argymhellodd y comisiwn yn 2019 y dylid datganoli cyfiawnder deddfwriaethol llawn ynghyd â phwerau gweithredol i Gymru. Fel dywedodd y Comisiwn Thomas, yn eithaf huawdl yn fy marn i:
“Mae angen gwell system ar bobl Cymru, ac maent yn haeddu hynny.”
Nid ynys yw cyfiawnder a dylid ei integreiddio â pholisïau ar gyfer Cymru gyfiawn, deg a llewyrchus.
Mi wnaf i ysgubo trwy ambell i ddarn o’m haraith, ond hoffwn ddweud bod Plaid Cymru wedi croesawu ers tro ymrwymiad rhethregol y Llywodraeth hon i ddatblygu economi Cymru a’i chefnogi i fod yn gydradd â gweddill y Deyrnas Unedig. Wrth wneud hynny, rydym yn disgwyl i’r Llywodraeth ddatganoli pŵer i ffwrdd o’r Trysorlys, sicrhau bod penderfyniadau a gweithredu yn digwydd yn nes at ein cymunedau, a bod eu rhethreg yn gyfateb i’r cyllid caiff ei glustnodi ar gyfer y dasg.
Mae’n rhaid i mi gyfaddef, serch hynny, bod yna eisioes rheswm i boeni na chaiff yr addewidion lu eu gweithredu, ac yn hytrach fod anghydraddoldeb rhanbarthol yn rhan annatod o economi a phenderfyniadau sefydliadol gwladwriaeth y Deyrnas Unedig. Er enghraifft, yn Llundain mae cynhyrchiant ac enillion rhwng traean a hanner yn uwch na chyfartaledd y Deyrnas Unedig, yn ôl yr Institute for Fiscal Studies. Yng Nghymru, mae ein cynhyrchiant o leiaf 15% yn is na chyfartaledd y Deyrnas Unedig ac enillion bron 40% yn is nag yn Llundain. Yng Ngheredigion, mae’r gwerth ychwanegol gros lleol y pen bron i 37% yn is na chyfartaledd y Deyrnas Unedig. Gwelwn, wedyn bod buddsoddiad mewn ymchwil, sy’n allweddol i sbarduno arloesedd a chynhyrchiant gwell, wedi ei ganolbwyntio ers tro yn Llundain a de-ddwyrain Lloegr, gyda gwariant y pen yn 2019 yn rhyw £577: mwy na dwywaith y swm cyfatebol i Gymru.
Nid mewn termau economaidd yn unig y mynegir yr anghydraddoldeb hwn. Gwelwn goruchafiaeth Llundain a’r de-ddwyrain ym mhob man, o argaeledd ac ansawdd cysylltiadau trafnidiaeth i gefnogaeth i amgueddfeydd ac orielau. Ystadegyn syfrdanol oedd bod gwariant y pen ar ddiwylliant yn Llundain rhwng 2010-11 a 2017-18 gymaint â £687 y pen—bron i bum gwaith cyfartaledd gweddill Lloegr, heb sôn am Gymru. I’r pant y rhed y dŵr, fel y dywed yng Ngheredigion.
Cyn cloi, rwy’n troi at yr argyfwng presennol o ran costau byw. Rydym yn gwybod eisioes bod sefyllfa Cymru yn un eithaf bregus yn y maes hwn, ac ar ben popeth, nawr mae’n rhaid i deuluoedd ledled Cymru wynebu argyfwng y costau ynni nad yw Llywodraeth y Deyrnas Unedig wedi gwneud dim i fynd â’r afael ag ef hyd yn hyn. Mae’r diffyg yma yn cael effaith ofnadwy ar Gymru, lle mae 11% o aelwydydd yn byw mewn tlodi tanwydd a’r ffigwr ar fin gwaethygu. Yn anffodus, nid yw bod yn rhan o’r Undeb wedi ein hinswleiddio rhag yr argyfwng yma. Nid problem tymor bir fydd hi chwaith. Datgelodd y Gyllideb Prydeinig mai dim ond rhyw 0.8% y flwyddyn y disgwylir i incwm gwario gwirioneddol aelwydydd ledled Prydain dyfu dros y pum mlynedd nesaf. Roedd incwm gwario gros yng Nghymru yn gyfateb i ond tua 80% o gyfartaledd y Deyrnas Unedig yn 2019, sef yr ail isaf ar draws Prydain, felly mae’n syndod nad oes gweithredu ar fyrder yn digwydd tuag at y perwyl yma.
Yn olaf, ar ôl sôn am sefyllfa’r economi ar hyn o bryd, rhaid hefyd inni edrych tuag at y dyfodol. Yn fyr iawn, o ran polisi masnach, caf i ddim amser i fynd i berfedd y peth heddiw, ond yr hyn ddywedaf yw y pe bai gan Unoliaethwyr unrhyw fwriad i ddiogelu dyfodol yr Undeb, byddent yn ymrwymo ar unwaith i’r egwyddor bod rhaid i Lywodraeth y Deyrnas Unedig geisio cael cytundeb y Seneddau datganoledig cyn arwyddo cytundebau masnach newydd.
(Translation) I am running out of time, so I will not take further interventions. I want to briefly talk about two problems that arise from the current settlement. The predominant one relates to the justice system. While justice in England, Scotland and Northern Ireland is fully integrated into the policies of those countries, powers for justice in Wales are retained in Westminster. The Commission on Justice in Wales led by Lord Thomas stated that there was “no rational basis” for the current situation and that the knock-on effects were extremely unfortunate.
We have heard from the hon. Member for Cardiff Central that chronic underfunding by Westminster of justice services has meant that Wales has had to fill the gap left by the Union. Even worse, Westminster policies have contributed to unsustainable levels of incarceration and have meant that in 2019 Wales had the highest levels of incarceration in western Europe. The constitutional settlement has failed in its fundamental duty—the duty to ensure fair and just access to justice. Coming to the unanimous conclusion that the people of Wales are missing out in the current settlement, the 2019 commission stated that full legislative powers for justice should be devolved to Wales. As the Thomas commission stated quite eloquently, in my view,
“The people of Wales both need and deserve a better system.”
Justice should be integrated into policies for a just, fair and prosperous Wales.
Plaid Cymru has for some time welcomed the rhetoric of the Government on developing the economy of Wales and supporting it to be equal to the rest of the United Kingdom. In doing so, we expect the Government to devolve power away from the Treasury and ensure that decisions and actions take place closer to our communities. Their rhetoric should correspond to the finance earmarked for the task.
I must admit, though, that we already have reason to be concerned that those promises will not be fulfilled and that, instead, regional inconsistency and inequality will be part of the state of the United Kingdom. According to the Institute for Fiscal Studies, productivity and earnings are between one third and a half higher than the UK average. In Wales, production is at least 15% lower than the UK average, and earnings are almost 40% lower than in London. In Ceredigion, local gross value added per capita is almost 37% lower than the UK average. Investment in research, which is key to propelling better productivity, has focused for some time on London and south-east England, with investment per capita around £577, which is more than twice the equivalent sum for Wales.
It is not only in economic terms that these inequalities can be expressed. We see the supremacy of London and the south-east everywhere, from the availability and quality of transport connections to support for museums and galleries. An astounding statistic is that expenditure on culture per capita between 2010 and 2017-18 was as much as £687 in that region—almost five times the average of the rest of England, let alone Wales. Money follows money.
Before I conclude, I will turn to the current crisis around living costs. The situation in Wales is quite fragile in this regard. On top of everything else, families across the whole of Wales now have to face the crisis around energy costs that the UK Government have done nothing to deal with so far. This flaw is having an awful impact on Wales, where 11% of households live in fuel poverty—a figure that is about to deteriorate further. Unfortunately, being part of the Union really has not insulated us from this crisis. It is not a short-term problem, either. The UK Budget expressed that real household income was expected to grow by 0.8% over the coming five years. Gross household expenditure in Wales only corresponded to 80% of the average for the UK in 2019—the lowest across Britain—so it is surprising that there has been no urgent action taken towards this issue.
Finally, after talking about the situation of the economy at the moment, we must also look towards the future. I will not have time to go into the detail of trade policy today, but I will say that if Unionists had any intention of safeguarding the future of the Union, then they would take action immediately on the principle that the UK Government have to seek agreement with the devolved Governments before they sign any new trade agreements.
In a moment, very briefly.
Cyhyd ag y byddwn yn rhan o’r Undeb, rhaid iddi fod yn Undeb gyfartal, ac mae’n bryd i’r polisi masnach adlewyrchu hyn.
(Translation) As long as we are part of the Union, it has to be an equal Union. It is about time that trade policy reflects that.
I know we have raised this before, but the hon. Gentleman has avoided talking about the fiscal deficit. We can have an argument about it; it is worth something like £15 billion. If he is going down that road, perhaps he would at least treat the Committee to what his vision of the tax regime would be under the arrangements that he suggests. He seems to have rather conspicuously avoided what that would actually mean for families and businesses in Wales.
I am grateful to the Secretary of State for that intervention. I only wish he had intervened earlier in the debate, when I might have had time to entertain him with some of my thoughts. All I would point out before closing is that, to my knowledge, I do not think the British state has run a surplus for many years in the past century, so if a deficit is good enough for the UK Government, why not for the Welsh Government?
I gloi, os ystyriwn holl diffygion y setliad cyfansoddiadol presennol, oes syndod o gwbl bod y rhai sy’n teimlo’n angerddol ynghylch yr Undeb mor bryderus i’w chryfhau? Mae Cymru yn haeddu gwell, yn fy marn i, ond does dim dwywaith y bydd rhaid i’r Undeb newid os fydd hi am oroesi. Y cwestiwn i’r Aelodau hynny sy’n ei chefnogi yw: ydyn nhw o ddifri amdani ac yn barod i wneud y newidiadau angenrheidiol hynny i sicrhau ei goroesiad? Neu a fyddan nhw, drwy eu hystyfnigrwydd, yn selio ffawd eu Hundeb annwyl?
(Translation) In conclusion, if we consider all the shortcomings of the current constitutional settlement, is it any surprise or wonder whatsoever that those who feel passionately about the Union are so concerned about strengthening it? Wales deserves better. There is no question but that the Union will have to change if it is to survive. The question for those Members who support it is: are they serious about it and are they ready to make the necessary changes to enable and ensure the Union’s survival—or will they be sealing the fate of their dear Union?
Sorry, but I will not give way.
Mae enghreifftiau eraill o’r Llywodraeth Dorïaidd yn diystyru hawliau pobl Cymru a’i Llywodraeth ddatganoledig yn cynnwys y Mesur Cenedligrwydd a Ffiniau, sy’n tanseilio dyhead Cymru i fod yn genedl—
(Translation) There are other examples of the Tory Government disregarding the rights of the people of Wales and their devolved Government, including the Nationality and Borders Bill, which undermines Wales’s desire to be a nation—
Will the hon. Lady give way on a very important point? I hope she will at least acknowledge that Rhondda Cynon Taf—her own local authority— was one of the major recipients of funding in the latest round. She should withdraw or at least qualify the comments that she made about the financial arrangements favouring Conservative seats. She needs to look at the statistics and possibly come back to the Committee with a correction.
I disagree, sorry. All the local elected representatives are clear about the reduction in funding and the terrible impact that that has had on our constituents. If the Government looked at the research, it will confirm what I say.
Felly nid yn unig y mae’r Llywodraeth hon yn benderfynol o anwybyddu a chael gwared ar Lywodraethau datganoledig, mae’n benderfynol o danseilio ein hawliau democrataidd yn llwyr. Rydyn ni ar bwynt peryglus, yn fy marn i, o ran democratiaeth a datganoli. Nid yw diwygio cyfansoddiadol a datganoli yn faterion anghysbell, ymylol. Mae arnom angen system lle mae’r pedair gwlad yn cael eu trin yn gyfartal, nid system o’r top i lawr fel yr hyn sydd yna ar hyn o bryd. Dylai pob rhan o’r Deyrnas Unedig gael ei hariannu’n briodol ac yn deg, heb fod angen bowlen gardota pryd bynnag y bydd anghenion ychwanegol yn codi.
Dylid gwneud penderfyniadau gwleidyddol a gwariant mor agos â phosibl at y bobl y maent yn effeithio arnynt. Ni allwn ganiatáu i’n pwerau gwario gael eu cymryd i reolaeth ganolog. Bydd yn atal Llywodraethau datganoledig a lleol rhag mynd ar lwybrau gwahanol economaidd sy’n bodloni amcanion polisi cyhoeddus rhanbarthau a chenhedloedd y Deyrnas Unedig. Mae angen i ni gydio yn y cyfle ac archwilio a thrafod opsiynau sydd o’n blaenau ac ystyried beth sydd orau i bobl Cymru.
Yn arbennig, mae angen i ni ymgysylltu â’r holl bobl a chymunedau lleol a’u cynnwys yn y drafodaeth a’r ddadl ar yr hyn y mae datganoli yn ei olygu iddynt hwy a’r hyn a welwn fel ein dyfodol. Bydd y comisiwn cyfansoddiadol a benodwyd yn ddiweddar yng Nghymru yn gyfle i godi proffil y ddadl hon a fydd yn cynnwys cymaint o bobl â phosibl.
(Translation) Not only are this Government intent on getting rid of devolved Governments, but they are determined to undermine our democratic rights. We are at a dangerous point for democracy and devolution. Constitutional changes and devolution are not distant matters. We need a system whereby all four countries are treated equally, not the top-down system that currently exists. All areas of the UK should be funded appropriately and fairly without having to beg when additional needs arise. Any political decisions on funding should be made as closely as possible to the people they affect. We cannot allow our spending powers to be taken under central control. That will prevent devolved and local governments from going down different economic paths to satisfy regional public policies and different nation policies.
We need to grab the opportunity to investigate and discuss the opportunities ahead and to consider what is best for the people of Wales. In particular, we need to interact with all our local communities and include them in the discussions and debates on what devolution means for them at the moment and what they see as our future. The constitutional commission that was recently appointed in Wales will be an opportunity to raise the profile of this debate and include as many people as possible.
(2 years, 9 months ago)
Commons ChamberWales is receiving £46 million under the UK community renewal fund, 23% of the funding total, and 165 projects are being funded across Wales, including 14 in Denbighshire worth almost £3 million.
Two weeks ago, as my right hon. Friend says, £2.9 million was announced from the community renewal fund for 14 projects in Denbighshire, including Blossom & Bloom, a charity in Rhyl that can now support 20 more mothers and babies. Of course, the community renewal fund is there to help communities prepare for the introduction of the shared prosperity fund. Will he outline what discussions he is having about that fund and whether capital, as well as revenue, will be available?
My hon. Friend raises a very good question, and I hope he will take into account that we are looking at the levelling-up fund, the community renewal fund and the community ownership fund, as well as the shared prosperity fund, in the round, and other potential funding proposals, too. When he sees the detail, I hope he will see that we address both capital and revenue.
Wales is benefiting greatly from local growth funding, receiving above its population share from all three funds: 7% in the first round of the levelling-up fund, 9% in the first round of the community ownership fund and a remarkable 23% of the UK community renewal fund.
The principle behind the funds is fine, but the prioritisation of Tory-held seats in both Scotland and Wales reveals them to be just another example of pork barrel politics. Instead of meddling in devolved areas, will the Secretary of State accept that it would be beneficial to the people of the devolved nations to have greater control of decision making to do things for themselves? The Government should devolve more, instead of fiddling in devolved areas.
I hope the hon. Gentleman is able to endorse what I am about to say because, of course, that is exactly what these funds do. For the first time, 22 local authorities in Wales and other stakeholders are having a say in devolution. The Welsh Government do not have a monopoly of wisdom any more than the UK Government do, and we are taking devolution to its dictionary definition. He will probably know this but, under the UK community renewal fund, Labour areas got 44% of the funding, Plaid Cymru areas got 24%, independent areas got 17% and Conservative areas were fourth at 15%.
Let us be clear that independent estimates tell us that, over the next five years, the difference between what the devolved Administrations would have got through structural funds and what they will get through the shared prosperity fund is £4 billion. Will the Secretary of State stop promulgating this myth, this deception, that there will be no difference as a result of leaving the EU and admit that this is just another Brexit broken promise?
We are hearing a Brexit broken record, to be honest. The settlement for Wales has gone from £15.9 billion to £18 billion, plus £120 million from the levelling-up fund, plus £47 million from the community renewal fund, plus the community ownership fund, plus more than £300 million-worth of EU tail-off funds, plus £337 million of agriculture funding. It is impossible to come to any conclusion other than that this has been a fantastic settlement for Wales.
Wrexham was fortunate enough to win one of its two levelling-up fund bids, and Wrexham County Borough Council has committed to redefining the other bid and working with officials. Will the Secretary of State let me and the council know when round 2 of the levelling-up fund will be open for bids?
It will be open in the early part of next year. Any local authority that was not successful in the first round will have a chance to discuss its bid with officials to see how the application can be nuanced to achieve success next year.
Montgomeryshire has not seen such a level of investment for decades. I welcome the Secretary of State’s levelling-up fund and community renewal fund—the list goes on. Mid-Wales has never seen such investment, and I implore him to continue with this proper devolution of working with local councils and asking local people about their priorities, and to get more investment into mid-Wales.
My hon. Friend is absolutely right that every single area of Wales has benefited from these schemes, which was not the case under the previous funding arrangements. It has been a joy to have the feedback and contributions we have had from local authorities across Wales, which really welcome and are getting engaged with this process.
You would never guess, would you, Mr Speaker, that the allocation of funding can be quite controversial? However, with meaningful consultation, we can reduce the risk of that. Let us suppose that two thirds of the levelling-up fund was allocated to the one third of seats held by Tory MPs in Wales. We could ensure less risk of things being called political bias. In the light of the Institute for Government’s recommendation that the UK Government should consult the Welsh Government at every stage on the shared prosperity fund, and bearing in mind the scathing report by the Public Accounts Committee on the allocation of the towns fund, what in-depth discussions has the Secretary of State had with the Welsh Government on the shared prosperity fund, and when can we expect more information?
The hon. Lady fixates a bit too much on the shared prosperity fund when there are so many other funding sources out there too. Aside from stressing that there is consultation on a range of these things, and I am hoping to meet the First Minister later this week to discuss them, I remind the hon. Lady that the Welsh Government are not the only game in town; we are engaging with more people, in more parts of Wales, than has ever been the case before, and the funding settlements reflect their priorities as much as anything else. I am astonished that she is not welcoming that.
I am sure the House will be well aware that the Welsh Government have always had a strong relationship with the local government sector in Wales and have always consulted on the sharing out of EU funds. Turning to the amount of those funds, the figures are indisputable: EU funding for Wales would have meant at least £375 million in new money for this year. So with just £46 million for the community renewal fund, the Tories are leaving Wales £330 million worse off, and that is not even counting the £137 million cut in the farm support. So will the Secretary of State now stand up for Wales and pledge that in this transition to the shared prosperity fund Wales will receive not a penny less than we had under EU funding?
I think you would probably reprimand me if I went through all the numbers again, Mr Speaker, so I will have to leave it to the Official Report to enable the hon. Lady to check her figures and work out exactly how well Wales has done with the record settlement. It is beholden on the shadow Secretary of State for Wales to portray a rather more optimistic picture of the future of Wales. If we are interested in attracting investment and creating jobs in Wales, she should be championing our country, not denigrating it at every opportunity she has.
My hon. Friend the Parliamentary Under-Secretary of State and I have regular discussions with ministerial colleagues about cross-border connectivity, including the A5, which is a vital artery connecting north Wales to the west midlands.
The A5 is a really important road joining Wales to England. There are pinch points all the way along, none more so than the most bashed bridge in Britain, right in Hinckley in my constituency. Road investment strategy 3 will be really important for joining up Wales to England, so what conversations has the Secretary of State had with the Department for Transport on decision point 1 for RIS 3 in March?
I used to drive that road regularly when I was working in north Wales years ago. I met the Transport Secretary this week. Cross-border connectivity and this particular road came up in the conversation. We are very conscious of the economic impact of making sure that these things are looked at in a holistic, cross-border way. It has not helped that the Welsh Government have decided to introduce a moratorium on road improvements in Wales. That has slowed down the whole business of economic recovery quite considerably.
Mr Speaker, the answer will be worth waiting for, I promise you.
I am hoping to meet the First Minister with the Secretary of State for Levelling Up, Housing and Communities in Cardiff later this week to discuss how we can best support jobs and economic growth in Wales, including through the various initiatives announced at the autumn Budget.
I am glad that the Secretary of State is with us and awake; that is always nice to see.
Let me return to the shared prosperity fund, rather than levelling up, because the Secretary of State did not actually answer my question. We have seen months and years of dither and delay, and today we have heard questions from the hon. Member for Wrexham (Sarah Atherton) and the right hon. Member for Clwyd West (Mr Jones) about when the shared prosperity fund will be delivered and when we will have dates for local authorities so that they can plan. Will the Secretary of State simply set out when the shared prosperity fund will be confirmed, when the dates for bidding will take place and when local government will get the information it needs in order to bid for this long overdue funding?
In my conversations with 22 local authorities, they take a much more benign approach to the funding streams than the hon. Gentleman. He obsesses about the UK shared prosperity fund. We have been clear about when that is coming through, with further announcements this year and into next. He deliberately ignores the levelling-up fund, the community renewal fund, the community ownership fund and all the other funds that have been such a success in Wales. I say to him what I said to the hon. Member for Llanelli (Nia Griffith): it would be a whole lot better for future investors and job creation if he spent a little more time championing Wales and a little less time criticising it.
Well, the Secretary of State dodged that question, just as he dodged Question 1. He knows that there is a real dearth of information on the Government’s shared prosperity fund, which needy communities across Wales desperately want. The same communities drove real change with the European social fund—probably a better levelling-up fund than the Government could ever deliver. This is the Secretary of State’s second chance: when are we going to get the detail and the dates, so that in Wales and across the rest of the country we can get on with planning to spend the shared prosperity fund?
I have repeated the answer to this question on countless occasions this morning. We are looking at a whole range of funding provisions in Wales. The Chancellor was able to provide a record settlement; this is the best settlement for the Welsh Government and local authorities for 20-plus years, and the hon. Gentleman should be acknowledging that.
We have actually stuck to the timescales that we have set out on numerous occasions in Welsh and other questions. The hon. Gentleman really does need to change the record. We are now witnessing record sums of money going into parts of Wales which never even qualified before; that is something that we should be championing, rather than denigrating.
As I outlined in my previous answer, I am hoping to meet the First Minister later this week to discuss a range of issues. I am sure that my hon. Friend would agree that the M4 is central to cross-border connectivity, and improvements are well overdue if we are serious about levelling up.
I can see south Wales from my North Devon constituency and I am very keen to secure a ferry crossing from Ilfracombe to south Wales, popular on both sides of the Bristol channel, with visions ranging from a Dylan Thomas literary tour through to a Barry booze cruise. Will the Secretary of State meet me to see how to progress this project?
There used to be a ferry from Tenby to North Devon back in the old days. I would be very happy to see that introduced. Until the Welsh Government honour their 2016 manifesto commitment to improve the M4, the quickest way of visiting each other will be a 30-year-old ferry chugging across the Bristol channel.
Before we come to Prime Minister’s questions, I would like to point out that the British Sign Language interpretation of proceedings is available to watch on parliamentlive.tv.
(3 years, 1 month ago)
Commons ChamberMay I align myself very much with your comments, Mr Speaker? I know the whole House will share the sentiments you expressed.
I have regular discussions with the Welsh Government and the First Minister on a wide range of subjects, including the UK Government’s international trade policy.
Does the Minister share my concern that the devolved Governments have had no democratic involvement or oversight in the negotiation and approval of the Australian trade deal, despite the disproportionate impact it will have on their areas? When does he think that this “Union of equals” will start working equally— or, like this Government’s post-Brexit promises to farmers, is this another empty set of words that will turn out to be all bull and no beef?
It will not surprise the hon. Gentleman that I do not agree with his comments. We have engaged devolved Administrations and numerous other stakeholders during the whole course of the various free trade agreements that have been reached, in particular the Australia trade deal. It would be nice if we could reach some kind of consensus between us about the opportunities that these trade deals offer, not only for businesses in Wales but for businesses in Scotland.
We all support new export opportunities for Welsh businesses, but free trade deals must also be fair. There really is widespread concern that this proposed deal with Australia will disadvantage Welsh farmers, because they will be forced to compete against producers with lower animal welfare and environmental standards. So I ask the Secretary of State again: if he is unable or unwilling to protect our farmers, why will he not let Welsh Government Ministers take part fully in trade talks, so they can stand up for them instead?
The hon. Lady makes an interesting point. Of course, we have involved numerous stakeholders in the preparation of these deals. That includes the Welsh Government and some very positive responses from farmers in Wales, who, by a majority, voted in favour of leaving the European Union in 2016. They accept, as I do, that there are numerous opportunities. We have built into this process some protections—a 15-year transition period—as well as taking note of the fact that the Australians themselves say they cannot even fulfil their existing markets, let alone start flooding ours.
It is not just selling out our farmers. Today, the Government are choosing to bury their head in the sand and pass up the last opportunity to renew vital steel safeguards. With our industry now dangerously exposed to cheap imports and the news that a deal is imminent that will grant exemption to EU exports going to the US, our steel exports are going to be desperately trying to compete. What will the Secretary of State now do to ensure that his Government negotiate a similar deal that will protect our steel exports and enable them to enter the US without tariffs? How soon can we have news on that?
The hon. Lady and colleagues across the House have been resolute champions of the steel industry in Wales. I hope the UK Government’s support of Celsa Steel in Cardiff during the pandemic is an indication that we, too, are prepared to put our money where our mouths are as far as supporting the industry, for all the reasons she has rightly highlighted. It would be rash of me to predict what the statement or announcement might be on this, other than to say that I expect it later today, so she, and colleagues across the House, should get clarity on this matter before close of play today.
Diolch yn fawr, Mr Speaker. There have been several instances in recent weeks where UK Government Ministers, including the Secretary of State for International Trade, have dismissed concerns from the agricultural community regarding food standards in this trade deal, especially Australia’s position on animal welfare. Can the Secretary of State explain to Welsh farmers how the UK Government will ensure fair competition and that imports from Australia will always match those expected of Welsh farmers?
The hon. Gentleman, like me, has significant agricultural interests in his constituency in west Wales. We have had local conversations as well as national ones to try to reassure farmers—I think successfully, in some respects—that the transition period and our commitments on animal welfare and environmental standards will not be compromised. I do not think there is anything I can say to him that suggests that that has changed in any respect, but I urge him—I know he will take this seriously—to look at the trade deal as a huge opportunity for food and drink producers in Wales. As we work to challenge some of the myths that have been written and spoken about the Australia deal, let us also use the platforms that we have to promote everything that is good about it and how it will provide access to new markets of the sort that we have not had before.
As my hon. Friend the Member for Llanelli (Nia Griffith) said, this Government have until tonight to step in and temporarily retain crucial steel import safeguards to protect our steel industry from cheaper foreign imports. There is still no action from the Government. I hear what the Secretary of State says, but we will be waiting with keen interest. Is this what Ministers meant by promising to protect and champion our businesses post Brexit, and what exactly have Wales Office Ministers done to intervene and stop this?
I assure the hon. Lady that we have been in regular touch with our colleagues in Government on this, as well as with the industry itself, with whom, as the hon. Lady knows, we deal on a regular basis. I said earlier that our commitment to steel in Wales—as she knows, because we have talked about it so many times—is absolutely resolute, but I am afraid that she will have to wait until later this afternoon to have a statement or announcement of some sort, which I hope will clarify the situation.
I have regular discussions with Cabinet colleagues as part of the UK Government response to covid-19. This includes weekly meetings with the Chancellor of the Duchy of Lancaster, the Minister for Covid Vaccine Deployment and, of course, the First Minister of Wales.
I thank my right hon Friend for his answer. Clearly, cases of infection in Wales have dropped dramatically. Over the last seven days, they are roughly 50 to 55 per 100,000, compared with the previous highs of 500 per 100,000. In these circumstances, does he agree that it is about time that the Welsh Government gave Welsh businesses some certainty or vision for when they can start to rebuild their lives, and that the Welsh Government should come on board with the UK Government road map out of the lockdown?
My hon. Friend’s question reveals quite a sad contrast between the priorities of the Welsh Government and the priorities of the UK Government at this moment. We read in the papers this week that the Welsh Government are fixated on talking about new tourism taxes. They are talking about constitutional reform, even going as far as reform of the House of Lords. None of these seems to be consistent with the UK Government ambitions, which are jobs, livelihoods, investment and recovery, and they should be joining us in that endeavour.
Like my right hon. Friend, I hugely welcome the progress that has been made in Wales, but what frustrates many is that the Welsh Government seem to be in the habit of announcing extended lockdowns at short notice—[Laughter.]—without having due consultation with the Government. Does he agree that, should this practice continue, we should expect Cardiff Bay to meet the financial cost of supporting businesses to keep their heads above water during those lockdowns?
I notice the laughter stopped at the moment my hon. Friend raised that particular question. I will say again what I have often said from the Dispatch Box: certainty is crucial in all this. I have always preferred a UK-wide response to covid, in whatever respect that might come, because it inspires confidence and compliance. I think that some kind of further indication from the Welsh Government as to the unlocking process for businesses in Wales is overdue and I hope very much that we will hear more shortly.
Diolch yn fawr iawn, Llefarydd. With your permission, I would like to say thanks to Wales’s national football team. It was not to be this time, but fe godwn ni eto— we will rise again.
More than one in five households in Wales with a net income under £20,000 have seen their income drop since January. Nearly 110,000 families are struggling to cover essential costs. Labour’s leader in Wales complained yesterday that the key levers for tackling poverty are in the hands of the UK Government, but paradoxically he opposes the devolution of those powers to the Senedd. One Government have the levers but choose not to use them, while the other are content with not having those levers at all. Will the Secretary of State urge the Chancellor, please, to make use of his powers and make permanent the £20 uplift to universal credit?
I am absolutely happy to confirm, as I always do from the Dispatch Box, that the Chancellor is very focused on making sure that levelling up means exactly that, that economic recovery means exactly that, that nowhere gets left behind and that every decision we take in Government, in any Department, is always taken through the prism of levelling up and of equalising opportunity and job and life chances across Wales. That has been a really transformational development during covid, and I very much hope that the right hon. Lady can join me in congratulating the Chancellor on the work that he has done.
None the less, I am sure that for those families £20 would make a lot of difference.
Last week, I presented a Bill—the Crown Estate (Devolution to Wales) Bill—to devolve the management of the Crown Estate, and our natural resources in Wales, to Wales. Scotland gained those powers in 2017, and now it is reaping the benefits of the green offshore wind revolution. I am sure that the Secretary of State is aware that the value of the Crown Estate’s remaining seabed assets, which include those in Wales, has more than doubled over the past year, to more than £4 billion. Does he agree that Wales deserves equal treatment with Scotland as regards control over our natural resources?
I can confirm that I have conversations with the Crown Estate. Its proposals for offshore floating wind off the west Wales coast are extremely welcome. Where I think that I am in some form of disagreement with the right hon. Lady—she will not be remotely surprised by this—is on the fact that in order to achieve some success in the renewables sector, somehow we always have to go back to powers and further devolution. Of all the conversations that I have had with industries, sectors, individuals, voters—you name them—across the whole of the past 18 months, including and in particular at the Senedd elections, not one single person urged me to follow the route that the right hon. Lady has just set out. Of course, they urge us to pursue our renewables agenda, and that is what we are doing. We are doing it, as far as we can, as a UK-wide endeavour, because that is the way we will get to our targets the quickest.
The UK Government’s vaccine taskforce has been the foundation for the success of our covid-19 vaccines programme. The research, development, acquisition, manufacture, payment and UK-wide distribution, supported by the UK armed forces, has demonstrated beyond doubt the value of our United Kingdom.
Can my right hon. Friend give an indication of just how many vaccines the UK Government have now supplied to the Welsh Government and the NHS in Wales so that they can continue to roll out this triumphant United Kingdom achievement, in which I am reliably told that my constituents in Dudley borough are leading the way?
To date, the UK Government have delivered more than 3.8 million doses of vaccine to the Welsh Government—free of charge, as should absolutely be the case. Of all the many examples that we could stand here and list of the strength of the Union, the value of the Union and where it has been such a reassuring force in the past 16 months, the success of this UK-wide programme is probably the best that we could ever turn to. I am grateful to have been given an opportunity to say so again.
I have recently been corresponding with the Archbishop of Canterbury regarding the Bishop of St Davids’ ill-advised and divisive comments on Twitter. I am sure we all agree that our religious leaders should promote tolerance and inclusiveness, and I am pleased that the Church in Wales has apologised for the bishop’s intemperate language.
I am very supportive of the actions taken by the Secretary of State involving the Bishop of St Davids, but does he agree that this issue of intolerance towards those who hold Conservative views is becoming more widespread throughout academia and public life, and that we need concerted efforts to address this?
As my hon. Friend knows, it appears that this sort of trolling habit is, sadly, not exclusive to the bishop; Professor Lloyd Llewellyn-Jones has also been busy dishing out abuse, with his most recent contribution being to describe Conservative voters as the “lowest form of life”. I cannot help but ask what the professor would have done and how he would have reacted if any of our colleagues had described university academics as the lowest form of life. It would have been as outrageous for him as it is for us, and I very much hope that Cardiff University will follow the example of the Archbishop of Canterbury and deal with this promptly.
We have committed £2 billion to Network Rail for the current control period, and close to £60 million has been committed to upgrade Cardiff Central station and £76 million to electrify the Severn tunnel route. More locally, the Cambrian and Wrexham-Bidston lines and stations at Bow Street and St Clears are also set to receive additional funding.
In a previous answer, the Secretary of State said that the UK Government’s priority was investment. That clearly is not the case with Welsh railways: we have more than 11% of the track but have not had even 2% of funding over the past decade. It has been a lost decade for Welsh railway infrastructure. The Secretary of State needs to set out quickly with Department for Transport officials how he is going to address the lack of investment and ensure that Welsh railway gets the investment it deserves.
The hon. Gentleman is a great campaigner on this issue, but I can only repeat what I said in answer to the substantive question, which was a list of investment. It is all about levelling up and infrastructure—
It is all very well the hon. Gentleman shaking his head in disbelief, but the reality is that there has been more investment in all the infrastructure projects than at any stage in recent history. That is largely thanks to the energy of this Government and our commitment to levelling up in Wales.
The Cefn bridge at Trewern is a bottleneck between mid-Wales and the west midlands economy. Will the Secretary of State meet me and stakeholders to ensure that the Union connectivity review, which I very much welcome, tackles this bottleneck?
Absolutely. My hon. Friend is the epitome of energetic campaigning on road improvement and other infrastructure schemes. Who will forget the Pant to Llanymynech bypass as one of the great achievements of the MP for Montgomeryshire? I am happy to confirm that, so excited am I by that prospect, I will be there on Monday next week.