Question to the HM Treasury:

To ask the Chancellor of the Exchequer, pursuant to the Answer of 13 January 2025 to Question 22766 on Crown Estates: Wales and with reference to the Answer by the First Minister of Wales to the Question from Rhun ap Iorwerth MS of 21 January 2025, for what reason the First Minister said that there had been discussions on devolving the Crown Estate to Wales.

The UK Government has regular discussions with the Welsh Government at official and ministerial level on a range of issues. This has included a request from the Welsh Government that the UK Government considers devolution of the management of The Crown Estate in Wales.

As set out in the answer of 13 January 2025 to Question 22766: Crown Estates: Wales, the UK Government and Welsh Government have not entered discussions to take forward the devolution of The Crown Estate in Wales. However, the matter has been discussed at Ministerial level.

Whilst we acknowledge the policy position of the Welsh Government put forward during discussions, as previously set out, the UK Government does not believe devolution of the Crown Estate is currently in the best interests of Wales as it could fragment the energy market, complicate existing processes, and potentially delay grid connectivity reform as well as the further development of offshore energy. Together this gives rise to concerns it would delay progress towards net zero and undermine investment in Welsh waters.

We will continue to engage constructively with the Welsh Government on a wide range of topics relevant to the operation of the devolution settlement, including how to ensure that The Crown Estate works in the interests of Wales.