Part of the debate – in the Senedd at 2:23 pm on 6 July 2016.
If I can just ask about the draft Wales Bill aspect of this Queen’s Speech, Secretary of State, Members of this Chamber will be well aware of my concerns regarding tax devolution, or, rather, the subsequent reductions that will be made to the block grant once tax devolution has occurred. We accept it’s pretty straightforward in the first year, with a portion of income tax being raised here, but, in subsequent years, we do have to have a mechanism, as the Secretary of State will know, for indexing, and factors such as population and inflation will need to be taken into account. So, Secretary State, this is a complex area, and I’ve no doubt that a mechanism will be devised, but I think what this Chamber wants to have is confidence that that mechanism will be one that serves the people of Wales as best as is possible. In Scotland, the issue of population change was taken into account with the mechanism decided on there. It was decided that that should not be part of the risk borne by the Scottish Government in terms of the Scottish proportion of income tax, and I think we would hope for the same arrangements here. I wonder if you could give us some clarity on thinking and discussions with the Treasury in terms of the mechanisms that are being looked at. And, please, take this assurance, Secretary of State: it’s not that we don’t trust you; we just trust you a little bit more than the Treasury.