(2 years, 6 months ago)
Commons ChamberMy 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.
(2 years, 9 months ago)
Commons ChamberI 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.
(2 years, 10 months ago)
General CommitteesI 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?
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.
(3 years ago)
Commons ChamberMy 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.
(3 years, 2 months ago)
Commons ChamberA quarter of a million Welsh families now face the grim prospect of losing over £1,000 a year because of this Government’s shameful decision to slash universal credit. We know that the Secretary of State’s colleague, the Work and Pensions Secretary, seems to think that people just need to work harder, but I would remind him that nearly 40% of Welsh people who receive this payment are in fact in work, many of them key workers. What does the Secretary of State have to say to those families and their children who are struggling to make ends meet now and will be so much worse off as a result of this cut?
I touched on this obviously in the answer to the initial question, especially the temporary nature of the increase and of course the many plans and projects we have that are going to enhance and improve the economy in Wales, which will have a positive effect on the very families the hon. Lady talks about. I think it is just worth pointing out as well that it is this Government who increased the personal threshold on NICs—that was of considerable value to families across the land—and there have been other improvements, such as the increase in the national living wage. I think those things need to be taken into account as well, and I am sure the hon. Lady will do that.
I am not sure that is going to be much comfort to those families who are going to be losing £80 a month. This is not just a blow to Welsh families, but a real hit to Welsh shops and businesses, because we all know that families on low income have to spend their money locally on the very basics of life. This will suck £286 million per year out of the Welsh economy. The Conservative party constantly talks up the sums paid to get this country out of the pandemic, but is not the reality that the Tories are taking money away from Welsh businesses just at the time that so many of them need it most?
I do fundamentally reject that accusation. Having visited numerous companies, large and small, across Wales throughout the pandemic, the message I have had back is one of relief that the UK Government Treasury has been able to step in and offer the levels of help that it has. Particularly in relation to the hon. Lady’s comment about universal credit, what she is suggesting is that none of the remedial measures we have introduced will work. That is clearly not the case, so the families that she and other colleagues quite rightly raise as being concerned about what the future holds should, I hope, be reassured by the fact that the Government continue to be committed not only to companies, but to individual families themselves.
(3 years, 4 months ago)
Commons ChamberIt 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.
(3 years, 8 months ago)
Commons ChamberAbsolutely. I start by reminding my hon. Friend—not that I need to—that Bridgend is a priority 1 area for the levelling-up fund, which means that it has potential access, with his assistance, to significant sums. Each local authority will get £125,000 of capacity funding to make those bids to the central fund. I hope he will recognise that there is a real focus on exactly the kind of town and area that he represents as part of the levelling-up project, which will produce jobs and livelihoods in a way that has perhaps been difficult in the past.
Highly skilled workers in the aerospace industry across Wales, such as those at AIM Altitude, are now facing redundancy or even factory closure, as this sector will take years, not months, to recover. While overseas competitors are giving their companies support so that they can up production when the sector recovers, the UK Government still have not brought forward a specific aerospace package some 12 months after the pandemic started. Is the Secretary of State just going to sit there and watch these industries fold, or can he persuade his Cabinet colleagues to put in the long-term support that these high-value industries need?
The hon. Lady’s comments are not reflected by large companies, such as Airbus, whose judgment I trust in these particular circumstances. I simply repeat what I said in answer to an earlier question: the UK Government have provided £5.2 billion for the Welsh Government; £2.75 billion for businesses in Wales; another £1.5 billion in bounce back loans and £500 million in CBILS loans. If that is not an indication of how committed we are to this particular sector, which I absolutely recognise is going through an especially difficult time, I do not know what is.
But if we are going to retain these industries and rebuild for the future, then we need a comprehensive UK-wide plan. However, this Government have just shelved their industrial strategy, scrapped their advisory council and are now preparing to rip up their industrial policy, so when will the Secretary of State and his Cabinet colleagues develop a forward-looking, far-reaching UK industrial policy that will build on our fantastic skill base to guarantee the new green jobs of the future?
(3 years, 9 months ago)
Commons ChamberThat is a slightly strange question, given that the relationship between the Treasury and the Welsh Government, particularly around covid recovery, has been conducted on a daily, if not hourly, basis, with vast sums of money being made available to businesses and individuals of Wales, very much in the spirit of collaboration and co-operation. Rather than trying to make cheap political points, the right hon. Lady should acknowledge the fact that, in these very difficult times, two Governments have worked quite well together and the Union, which is perhaps the point that she does not like me to make, has been particularly crucial in that process.
Before I start, on behalf of the Labour party, I would like to pay tribute to Captain Tom Moore and send our deepest condolences to his family.
Cockle-gathering in both north and south Wales is not just a job, but a way of life, dating back generations. Gatherers, who are already alarmed at DEFRA advice that they could not resume the export of shellfish until April, now feel not just forgotten, but utterly betrayed to discover that UK Ministers knew all along that the EU ban on importing non-decorated UK shellfish would be indefinite. What urgent action will the Secretary of State and his Government take to facilitate the resumption of shellfish exports and save this traditional industry from disappearing forever?
I join the hon. Lady in her tribute. My right hon. Friend the Prime Minister will be making a more formal statement in a few minutes’ time, but I do recognise—as does the whole House—the comments she makes.
On the industry and sector to which the hon. Lady refers, I am in close contact with my right hon. Friend the Secretary of State for Environment, Food and Rural Affairs, the Cabinet Office and, indeed—through the Government—the EU, to make the distinction between teething issues that might be arising out of the particular subject to which she refers, and perhaps more permanent structural matters that may need a longer-term solution. I assure her and the industry that we are very seized of the challenges that the industry currently faces.
(4 years ago)
Commons ChamberThe sums of money that have been already made available to the Welsh Government under the Barnett scheme are substantial. As the hon. Member knows, at least £5 billion has formed the major bulk of that. What I should also say is that, as far as the additional sums are concerned and the point he makes, the significance of doing this on a UK-wide basis is to minimise the complications and the divergences in policy between the UK Government and the Welsh Government, because that makes that even spread so much more difficult. However, the Chancellor has made available substantial sums of money in advance of the normal Barnett formula, and £1.8 billion is still being sat on by the Welsh Government and is available to spend.
Sadly, this week we have seen the Prime Minister’s utter contempt for devolution, yet it is only because of the devolved powers that the Welsh Labour Government were able to heed the scientists’ advice and actually go into the firebreak at the time it could be most effective. As the Secretary of State knows, the Welsh Government called on the Chancellor to extend furlough to support businesses from day one of the firebreak, so why was it that the Secretary of State failed to secure that support for workers in Wales and why was it only made available after England belatedly followed Wales’s lead into lockdown?
Again, it is a strange question to be levelling at the UK Government, given the level of support that has been provided. I should remind the hon. Lady that the infection rates per 100,000 in Wales are actually higher than they are in England and testing rates per 100,000 in Wales are lower than they are in England, so this notion that she is attempting to put forward that somehow it has all gone swimmingly well in Wales and not so swimmingly well in England is completely untrue. What it demonstrates is that actually a competition between the two Governments is not the answer; the answer is working together more collaboratively. As far as the Chancellor’s statement is concerned, he made it very clear in a phone call to the First Minister exactly what was possible and what was not, yet for some reason the First Minister decided to press ahead with plans that he knew could not be met by the Treasury in the timescale available.
It is strange, and the question is about making such support available for Wales when it needed it. After this Conservative Government’s dither and delay led to a crisis-point lockdown in England, the Chancellor suddenly made the 80% furlough available, but it was not backdated to 23 October for Welsh businesses, whose closure at that point helped to turn the tide on covid numbers in Wales. That is of no help to workers who have been made redundant because of the Government’s refusal to extend furlough, up until the very last day. What will the Secretary of State do to get that furlough backdated and give Welsh businesses and workers the support they deserve?
The hon. Lady has clearly not had the conversations with Welsh businesses that I have had. I will not go into too much detail on this issue, because we would be going all day, but I have pages of numbers on the contributions that the UK Government have made to Welsh businesses and employees: £1.6 billion of direct support to businesses; 401,000 people protected by furlough, accounting for one in three jobs; £1.47 billion in bounce-back loans; and £530 million in support for the self-employed. The hon. Lady should be getting to her feet and saying, “This is why the Union is important. The UK Government have come to the rescue of so many people and businesses in Wales and the rest of the UK, and that is why they should be collaborated with, assisted and, indeed, thanked for some of the work they have done.”
(4 years, 1 month ago)
Commons ChamberOften in this questions session we have talked about the fact that there will always be those in all our constituencies who do not quite fit every single one of the intervention measures that the Chancellor has announced over the past few months. In those circumstances, of course we want to be as flexible as possible and to try to find ways, through either the intervention schemes or universal credit, to support the hardest-hit families as best we can. If the hon. Lady brings to my attention individual examples of those gaps, I will of course do my best to address them.
Throughout this pandemic, Welsh businesses have done all they can to stay open and stay trading, with so many drawing on the support grants and loans that have been so important in keeping them afloat. But as more areas of the country come under local restrictions, with trading halted or severely limited, and amid fears about public confidence, many businesses feel that they have absolutely maxed out on their borrowing and are worried about the future. What plan do the Government have to support businesses that are now heavily in debt, to make sure that the burden of repayments in the coming months does not mean that they go under?
I start by expressing some confusion: on the one hand, Opposition Members are articulating a Welsh Government view that the existing interventions are not strict enough, but on the other, the hon. Lady gets to her feet and says that the interventions are almost imposing undue hardship. It is quite difficult to know exactly where the Opposition stand on getting the balance right between disease control and the maintaining of a vibrant economy. At each and every stage of this process, the Chancellor has been flexible and adaptable and has recognised that the situation is changing, often by the hour, let alone by the day or week. The financial interventions, which up to now have been about £4.4 billion by way of Barnettised contributions to the Welsh Government—and we could probably double that for the other interventions, which are more direct—have supported business in Wales. But of course, as the circumstances change and our reaction changes, so we will remain flexible.
Indeed, we have always said that any restrictions need to be backed up with proper financial support measures for business. To reduce the spread of the virus it is also vital that workers who are unwell or asked to self-isolate do actually stay off work, but as hours are reduced in sectors such as hospitality, an increasing number of Welsh workers will find themselves falling below the minimum weekly earnings threshold needed to qualify for statutory sick pay. To expect them to live off nothing for a fortnight is totally unacceptable. Will the Secretary of State urge the Chancellor to do the decent thing and extend the statutory sick pay scheme to all workers?
I know from my personal contact with the Chancellor over the past few weeks that he is looking at all these options. That is why the winter resilience measures were brought in a week or so ago, on top of all the other measures he has introduced, which recognise the very difficult situation in which so many people find themselves. I am not going to stand here and say that we are never going to consider another option; of course we will. We will always look at the individual circumstances, particularly of those who are hardest hit.
(4 years, 2 months ago)
Commons ChamberI know the whole House will join me in expressing our sympathy for those involved in the accident in the hon. Gentleman’s constituency this morning. I know what a blow it is for him and everybody involved, and our thoughts are with them.
In relation to the schemes, I suspect that we all, as constituency MPs, have examples of people who have fallen through the net. I can only reiterate what the Chancellor has said on numerous occasions, which is that we will always try to look at every possible way to ensure that those who qualify for help but, for some reason, are not getting it do get it. If the hon. Gentleman wishes to raise any individual cases, which we have all had, I am happy to look at them.
My thoughts are with those caught up in the awful crash in the Rhondda.
Many self-employed people in Wales who have already been hard hit by lockdown now fear the impact on their customer base of the looming spectre of mass unemployment that is hanging over their communities—industrial communities that still bear the scars of the damage wreaked by the Tories in the ’80s. When will this Government grasp the urgency of the situation and bring forward specific measures for sectors such as aviation that need longer to recover, in order to support the thousands of Welsh workers who depend on them?
The hon. Lady makes an unnecessary political point. The Government, along with the Welsh Government, have done everything they can to ensure that the smallest possible number of people in Wales have gone without important assistance during this pandemic. If she is hinting that the extension of furlough is the only answer, I can tell her that it is not. The Treasury has said that that is one option, but there are numerous other options that ought to help people and are already helping people make their way out of covid and back into a properly functioning economy. Of course, the best way to save jobs across the whole of Wales is to get people safely back to work.
Indeed, but there is now barely a month to go until the Government’s job protection schemes end, leaving thousands of self-employed people and others at risk of unemployment. It is not just Labour saying that. Businesses, trade unions and the Treasury Committee have all sounded the alarm. Will the Government accept that a one-size-fits-all approach to this jobs crisis is simply not working, and will they come forward with concrete proposals and a real plan to safeguard jobs for people across Wales?
A third of the workforce in Wales has been supported by the UK Government during the pandemic. We have gone further and deeper than pretty well any Government in the world, with VAT deferrals, mortgage holidays, rental support, increases in universal credit, relaxation of the minimum income floor and VAT reductions. This is not a one-size-fits-all arrangement. This is a whole package of measures that are designed to help as many people as possible to stay in work and get back to work as soon as it is safe to do so. I am surprised that the hon. Lady does not welcome that.
(4 years, 4 months ago)
Commons ChamberI was talking to the First Minister about this only a few days ago, and he described the particular occasion that the hon. Lady refers to as the exception rather than the rule. As I mentioned, there have been 124 meetings between the two Governments. Actually, dialogue is pretty good, and in eight out of 10 cases, we reach agreement—albeit not necessarily in the greatest of humour, but we do reach agreement. The relationship is better than we sometimes read in the press.
The loss of over 1,400 jobs at Broughton is a devastating blow for the not only workers on site and in the supply chain but the whole economy of north Wales. What discussions has the Secretary of State had recently with Airbus and Welsh Ministers, and when will his Government come forward with a specific sector deal to support the aerospace industry in Wales and across the UK?
I am pleased to report that we have had regular conversations with Airbus throughout the pandemic and very recently, as well as with Welsh Government and stakeholders in the north Wales and Broughton area. Airbus has reported that the industry has had between £6 billion and £10 billion-worth of UK Government support so far. Discussions with the Department for Business, Energy and Industrial Strategy are ongoing about other areas where help can be provided. My colleagues, led by my hon. Friend the Member for Delyn (Rob Roberts), have been at the front of that, looking at any other areas in which we can help the industry to remain in Broughton not just now but in five and 10 years’ time. We are open to further discussions.
Sadly, there are not just sectoral problems for aerospace. With Bridgend now reeling from the INEOS threat to take jobs elsewhere, it is clear that Wales and the UK face fierce international competition. Can the Secretary of State explain what he and his Government are doing to develop a UK-wide industrial strategy and a trade policy that will help to retain, create and attract the new green jobs of the future?
I have initial discussions with INEOS tomorrow. This is a deal between the Welsh Government and INEOS, so in a sense, that question should be addressed to the relevant Minister in the Welsh Government. That said, the inability or unwillingness of Welsh Government to make any moves at all on improving the M4 relief road have played a part, it is rumoured, in the decision that INEOS has taken. In the wider context, I hope the hon. Lady can remain in her seat or one near it for Prime Minister’s questions and the statement from the Chancellor afterwards, as I believe that some of the questions she raised may be answered at that stage.
(4 years, 5 months ago)
Commons ChamberMy hon Friend clearly has considerable and detailed knowledge of this pandemic and the problems in his area. I hope he will be relieved to hear that I have a call this afternoon with the First Minister to discuss, among other things, exactly the point my hon. Friend raises, because the statistics show that north Wales is currently an uncomfortable outlier compared with what is going on throughout the rest of the UK and particularly Wales.
As the Secretary of State knows, the Welsh Labour Government have given an extra £2 billion to support businesses that are affected by the pandemic—the most generous package anywhere in the UK—and, crucially, they are not giving a penny of that public money to companies that are based in tax havens, thus doing right by the taxpayer and right by the companies that do pay their fair share. Will the Secretary of State commit to persuading the Chancellor to do the same thing?
I feel I ought to point out that the £2.2 billion to which the hon. Lady refers is in fact money that has been provided courtesy of the Barnett formula because Wales is a member of the Union. Not only that, but on top of that £2.2 billion is probably a similar amount of money, taking it up to between £4 billion and £5 billion of support that UK Government intervention has provided to businesses, individuals and taxpayers in Wales. In case I have not mentioned it before, I should say that I did have a conversation on this very point with Ken Skates, the Minister in the Welsh Government. He explained to me the logic behind what they were trying to do but also pointed out that it relates to a tiny proportion of the companies under consideration. As a general rule, the idea that he and the hon. Lady have come up with sounds good and looks good, but in fact it refers to very few businesses that are actually situated in Wales.
Well, indeed, Mr Speaker, I think the Secretary of State makes the point very clearly that a UK-wide attack would have a lot more effect. But anyway, looking beyond the current covid challenge, Welsh businesses, farmers and universities all deserve to know now what funding will be in place in January when the structural funds come to an end. With barely seven months to go, when will the Government publish the detail of the shared prosperity fund so that people in Wales can prepare?
The hon. Lady will be aware that, if the shared prosperity fund was an important future issue for the economic prosperity of Wales before, it is even more so now. I think that we all acknowledge that. There are regular discussions with Jeremy Miles in the Welsh Government and relevant Ministers in the UK Government to prepare for that. As she knows, Government policy is very clear on this. The project is on time and on schedule, and more details will be shared with her colleagues in Cardiff as and when the relevant decisions are made. At the moment, though, there is no change to Government policy in this regard.
(4 years, 7 months ago)
Commons ChamberThe hon. Member raises a point that I suspect every Member of the House has been considering over the last few days and weeks, and my right hon. Friend the First Secretary of State will no doubt refer to that in a few moments. It is fair to say that whatever the means by which we come out of the covid restrictions this will need to be carefully considered at every step and in conjunction with the devolved Administrations, to ensure that the fairness the hon. Member seeks can, between our two Governments, be delivered.
Welsh businesses have been hard hit by this pandemic, and they desperately need support to stay viable. Despite the Chancellor promising to do all it takes, the UK Government’s loans for small and medium-sized businesses have a very low take-up rate, not because firms do not need the money but because of the personal risk involved. How will the Secretary of State ensure that more businesses in Wales can access that support, and when will the Government do the decent thing and underwrite 100% of the loans, to give businesses the confidence they need?
May I start by welcoming the hon. Lady to her position on the shadow Front Bench? I look forward to lively exchanges with her, remotely or in person. I dispute the underlying point that she makes. There has been probably as much support offered by UK Government for UK businesses as any nation on the planet affected by the coronavirus. Even the Barnettised figure for the Welsh Government of a little over £2 billion is a significant contribution to address the concerns that she raises. I stress that her point is as relevant to her colleagues in the Welsh Labour Government as it is to us in the UK Government—that is crucial. I give her an assurance that it is my intention to work with the Welsh Government to ensure those outcomes, but I hope that she will not politicise this more than absolutely necessary.
The UK Government’s job retention scheme is an important tool for Welsh businesses and their workers, but gaps in the programme have left some employees relying on dismally low universal credit payments. For example, where reduced demand means that employers need to put workers on short-time working, they cannot top up from the scheme for their lost hours. Will the Secretary of State urge his colleagues to close the gaps and introduce flexibility, so that those put on short-time working can receive a proportionate payment for their lost wages?
As the Chancellor himself has said, we are fully aware that with schemes of this nature, set up under enormous pressure and at great pace, there may be occasions when they do not work perfectly for everybody. I offer this to the hon. Lady: if there are examples of the system not being as watertight as we think it could be and she alerts me to them individually, I will take them up with either the relevant Department in UK Government or colleagues in the Welsh Government, if that helps.
(8 years, 5 months ago)
Commons ChamberIndeed. As a long-time supporter of votes at 16, which is now Labour policy, I share my hon. Friend’s disappointment that that could be the case.
Does the shadow Secretary of State accept that the new electoral legislation might enable a Welsh Parliament or Welsh Government to impose compulsory voting on our country? Would she support that or oppose it?
(10 years ago)
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Does the hon. Gentleman agree that that is the very reason why we need the voluntary code to be strengthened—so that farmers cannot be shocked by sudden price drops by big purchasers? Will he ask the Minister to look again at the voluntary code and at making something much stronger?
I thank the hon. Lady, who is a near neighbour. Yes, I will be making that point. The code and the adjudicator have been in place long enough now for some positive benefit to have been felt. The farming community has not yet convinced me, however, that the powers of the code and the adjudicator have been exercised as satisfactorily as they might have been.
(11 years, 7 months ago)
Commons ChamberI am glad to have the chance to speak in this debate. I have been getting increasingly frustrated, as is often the case, by what seems to be a cack-handed effort on the part of the Opposition to ingratiate themselves with the rural community. In so doing, they have managed to be pretty offensive to every aspect of the rural community.
I can only share some anecdotal thoughts in this debate. Prior to entering Parliament, I spent 28 years working in various parts of that community. I have worked on a farm, I have worked for farms, I have worked for big estates and small estates, I have represented landlords, tenants and farm workers, and I have worked in forestry and country sports. There is almost no aspect of the rural economy and the rural community that I have not come into contact with over quite a long period.
Throughout that whole period, not one single person ever said to me, “Of course, what we really need to do is preserve the Agricultural Wages Board.” In the run-up to the last election, I asked a group of farmers and farm workers in my constituency if there was a single thing that the Government could do: if there was one thing only on the Christmas list, what would it be? Without hesitation, the answer was, “Get rid of the Agricultural Wages Board. It has outlived its usefulness.”
Can the hon. Gentleman tell us what members of the Farmers Union of Wales told him in response to that question?
I can. The FUW members supported the abolition of the Agricultural Wages Board. The FUW as a union made rather a different representation. I speak on behalf of members in my own constituency. Of course I cannot speak for the union based in a different area.
One of the things that I find startling is that the shadow Secretary of State, the hon. Member for Wakefield (Mary Creagh), rather than the whole party that she represents, seemed to find it impossible to believe that an owner, a manager, a farm worker and a forester can all work harmoniously together because they have a common shared love of food production or a common shared love of their community and want to do the right thing by their farmer. That seems to be a concept that the Opposition cannot absorb because they have a union-fuelled view that it is some kind of Dickensian existence out there. For those of us for whom it is our daily life—it is where I shall be by the end of tomorrow—it is not like that. It may be like that in Wakefield, but it ain’t like that in Pembrokeshire.
I am particularly sad that the shadow Minister, the hon. Member for Ogmore (Huw Irranca-Davies), is not in his place. He seems to be dancing to the union tune on the subject. I know Ogmore in the way that he knows Pembrokeshire, and we both know, as I said, that this is not an issue for agricultural workers in either of our constituencies. I am surprised that he has not stood up to the pressure from the sponsors of the debate and spoken on behalf of the agricultural workers, with whom we are all familiar and for whom we have great respect in west Wales.
Ministers have still not convinced me about why they want to abolish the Agricultural Wages Board. If they are so convinced that agricultural wages will not go down, why are they so determined to abolish it? Why should it matter to them if it continues to exist and people continue to be paid at the rates it sets?
DEFRA’s own assessment has calculated that abolishing the AWB will take £260 million out of the rural economy over the next 10 years. That can mean only one thing: the 80% of agricultural workers who are on grades 2 to 6 will be vulnerable to having their pay driven down to minimum wage levels, regardless of the skills involved, not to mention the antisocial hours and the need to be out in all weather, using complex machinery, but still getting wet and dirty. Of course, that means less money in the rural economy, with a knock-on effect for the village shop and others employed locally.
We talk about fair trade for developing countries and getting a fair price for their products so that their farming communities can get reasonable rewards for their efforts. After much campaigning by Opposition Members, and indeed the hon. Member for St Ives (Andrew George), the Government have agreed to give the groceries code adjudicator some teeth, which is an important step towards tackling exploitation and giving farmers a fair price for their produce. However, it is equally important to ensure that the workers who harvest that produce are fairly remunerated, and the AWB has a vital role in protecting agricultural workers.
In other words, it is not enough that the groceries code adjudicator ensures that the supermarket does not exploit the farmer; the AWB’s conditions also ensure that the farmer does not exploit the worker. That is particularly important because, as a response to the Macdonald report, the Government are now threatening to reduce the impact of the Gangmasters Licensing Authority, whereas we would like to see its remit extended to cover sectors such as care homes and construction.
As my right hon. Friend the Member for Delyn (Mr Hanson) said, the Farmers Union of Wales is firmly opposed to the abolition of the AWB. I find it quite insulting that the hon. Member for Carmarthen West and South Pembrokeshire (Simon Hart) seems to have completely ignored what the FUW has on its website and what it has repeatedly said when it has come to see us.
What I actually said was that the members of that union in my constituency who have approached me take a different view.
Well, farmers in general want to be fair to their staff, and I would certainly say to the hon. Member for Tiverton and Honiton (Neil Parish) that the good guys do not need the legislation, but legislation is necessary for those who do try to exploit people and who do not necessarily play by the rules. As I have said, most farmers want to be fair.
Many farmers in areas such as rural Wales are both employer and employee, because they often work on contract for other farmers. They might sometimes employ agricultural workers, but they or members of their family might also be employed as agricultural workers. They have said themselves that it is not about being unable to set pay rates, but that it is far simpler and fairer in a rural community to say that everyone will go by the same rate. That is the importance of the AWB, and that is exactly what the FUW has been telling us.
Of course, it is not just about a minimum wage, because there are all the other things that the AWB sets, such as allowances for night work and being on stand-by, bereavement, sick leave, holiday entitlement and the rates for under-16s, none of which are covered by the national minimum wage legislation. In a rural community there are few alternative job opportunities and it is difficult for agricultural workers to find alternative employment. The cost of living is often higher because of the higher costs of transport and fewer opportunities to shop around for cheaper deals.
Those who rely on their employer for accommodation are even more vulnerable. There is often no alternative accommodation in rural areas, and the AWB plays a vital role in setting maximum charges for accommodation and minimum standards of sanitation, and in making sure that each worker has their own bed to sleep in.
What will happen when casual workers start their next job and find that the going rate is less? For many of them that will mean that their households incomes fall, so more families will become more reliant on higher levels of tax credit, which will not be good for the public purse. It would be far better to make sure that they had the proper rate of pay for their work and a proper wage from their employer, so that they could be less reliant on handouts.
This is part of a seemingly much wider attack by the Government. I regret that the legislation to abolish the AWB is being passed in such an unpleasant way and by the back door, when the Welsh Government made a very strong case to keep it in Wales when it was part of the Public Bodies Bill, not the Enterprise and Regulatory Reform Bill. This has done a terrible disservice to our rural communities.
(11 years, 8 months ago)
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That is a real inversion of priorities.
Many other companies are carrying out that practice. In fact, there are few that offer tariffs that do not involve a fixed standing charge. However, the one to which I am referring is particularly obnoxious, because a high proportion of the money that a low-income family ends up paying goes on just the standing charge.
I have a brief question arising from the previous intervention. Will the hon. Lady inform us whether the contracts that resulted in those big pay-offs were entered into under the previous Government?
I expect that the hon. Gentleman will answer his own question when he has the chance to speak later, but it is certainly not something that I am going to deal with now.
I want to get back to the families I have been dealing with and the people I see from day to day. I ask the Minister to examine very carefully the ways in which energy companies set their bills and to consider whether there is any way in which he can alleviate some of the desperate fuel poverty that we are seeing in our communities.
(12 years, 10 months ago)
Commons ChamberThis is about fairness. It is about paying a fair price to farmers for what they produce, having a fair price for consumers, and stopping sharp practices. It is about protecting the good businesses—the good guys if you like—and creating a level playing field, which is extremely important.
Let me address what happens to people when they go into supermarkets, particularly when they buy fruit and vegetables. We should not forget that there has been a dramatic drop of 30% in fruit and vegetable purchasing by the poorest families, so that the poorest children now get only 2.7 of the five portions of fruit and veg they should have each day. Is it small wonder that when people go into supermarkets they are quite worried about what will end up on their bill at the till, given that they are absolutely dazed by the displays of fruit and veg and the ways of pricing them? Sometimes they are priced by the item, sometimes by the packet—in fours, eights or tens—and sometimes by weight. For example, there are many varieties of tomato, from cherry tomatoes to beef tomatoes, and there is a range of different pricing mechanisms, which is extremely confusing. There should be a very simple formula that allows us all to compare prices easily, because it is very difficult with loose items such as fruit and veg, which can be packed in so many different ways, to work out exactly what one is being charged. Last September there was a bumper crop because of that fabulous spring we had last April, but did we see prices drop? No. Could we have told if they had dropped? No, because unlike at the petrol pump where we can all see the sign displayed very clearly and can tell when prices go up, one cannot see when prices for fruit and veg go up—it is easy to disguise and to pull a fast one on the consumer. Those issues need to be addressed.
As my hon. Friend the Member for Bolton West (Julie Hilling) has explained, the number of people needing help from food banks is increasing and it is set to increase further. Why? Because some of this Government’s taxation policies are hitting the poorest hardest and squeezing their income. For example, some of the changes being introduced mean that those on low wages who are trying to do the right thing and go out to work are going to find that their tax credits will be cut. They would like to top up with more work hours, but those hours simply are not available. Sometimes that is because supermarkets prefer to have people on low hours; it gives them more flexibility for the Saturday and Sunday shifts that they want worked.
What about the cuts to housing benefit? They are going to leave many families who currently receive the amount they need to pay their rent having to use what should be food money to pay the rent. That is why we will see dramatic drops in the amount that people have to pay for their food. There will also be more and more families relying on food banks. What about the cuts in winter fuel allowance? They will leave some of our pensioners with less money to spend on food.
Does the hon. Lady accept that obesity is increasing, particularly among young people and people from poor backgrounds? Despite the efforts of the previous Government and this Government, that does not show much sign of changing. Does she accept that, in reality, the issue is about a lot more than just the current Government’s tax system? It is much wider and much more complex than she portrays it.
Obesity may very well be on the increase because unhealthier foods are the only type that some families can afford; they cannot afford the healthier alternatives. That is a real issue. People look at the different pricing mechanisms and go for what can fill them up. That is the type of food that they rely on now. They do not have the luxury of choice.
Let me move on from pricing in supermarkets and our adjudicators Bill to my worry about families who cannot afford something very basic: enough food to eat. That is very serious. It is nothing to be proud of that we need food banks; that is something that we do not want to see. We do not want anybody to have to rely on charity for something that every family should be able to afford. We want proper policies that will put money in the pockets of the people who need to spend it on food. No one in this country—one of the richest countries in the world—should have to look to charity for food. We need to make absolutely certain that the policies put in place deliver fair prices for consumers and farmers, and that the distribution of income levels is fair, so that those who have the least can make the purchases that they need to make to feed their family. It is an absolute disgrace to rely on food banks to do something that everyone should be able to afford to do: feed their family.