3. Will the First Minister make a statement on how the Welsh Government intends to distribute economic prosperity across Wales? OAQ(5)0428(FM)[W]

‘Taking Wales Forward’ sets out our commitments to deliver resilient communities and prosperity for all. Economic prosperity will underpin four cross-cutting strategies that will be published this spring.

As we’ve heard, there was an announcement that the headquarters of the Welsh Revenue Authority will go to Treforest. Having seen the paper that you mentioned and how the location was selected, the criteria made it entirely impossible for anything to come to north Wales or to anywhere beyond easy reach of Cardiff. The criteria related to skills—or one criterion did—but two related to being close to stakeholders and close to customers. Neither Caernarfon nor Porthmadog were on the list of six possible locations being considered by Government, despite what you told us here on 10 January. Will you give detailed consideration to the need for new criteria when considering the location of posts—criteria that will allow the dispersal of growth across Wales? Otherwise, the recent words by the Labour Party, both here and in Westminster by your shadow Chancellor, John McDonnell, are empty words.

We must remember reality here and it’s extremely important to realise that we have to ensure that it’s possible for us to secure the expertise that we need. We know that it’s easier to do that in some parts of Wales than others. That doesn’t mean, of course, that there isn’t a role for north Wales or for mid Wales, and that is why we want to ensure that there are offices there in order to give customers a service. But, we’re talking about jobs requiring specialist skills that aren’t available in Wales, in the main. Most of the people will come from London and so we must realise that these are different jobs to the ones that were created in Porthmadog. But, in time, of course, I would want to see opportunities for people in towns such as Porthmadog to become part of the authority as the authority grows.

First Minister, yesterday, the economy Secretary kicked off a week of job announcements with the outstanding news that the BBI Group is consolidating and expanding its UK manufacturing operations onto a single site in Crumlin, in my constituency, at the Border Technology Park. This is, in great part, thanks to a Welsh Government grant of £1.8 million, and this considerable investment will see this BBI employment in Wales increased—almost doubled—by 2020, and it will provide excellent and quality career opportunities in the south Wales Valleys region, fostering closer links to the scientific academic community, and it will provide a significant boost to the local economy. First Minister, isn’t this further evidence that the Welsh Government intends to distribute economic prosperity across Wales? And when can the First Minister next come to Islwyn to celebrate this excellent news?

Well, I’m sure I will be visiting Islwyn soon, but BBI’s announcement is an indication of the hard work done by the Welsh Government to support businesses throughout the nation to help them retain and expand their operations here. I was very pleased that the Welsh Government’s investment and support have allowed the BBI Group’s headcount in Wales to grow, particularly as these will be high-quality management, scientific and technical roles. In addition to that, it was my pleasure the week before last to spend time in the north of Wales to see some of the excellent projects that have been taken forward there as well, in terms of job creation in tourism and education.

First Minister, the UK’s industrial strategy aims to close regional productivity gaps. Here, in Wales, regional productivity varies widely, from Anglesey having 53 per cent of the UK’s gross value added, compared with 90 per cent in Cardiff. Your Government has previously stated that variations in levels of GVA per head are affected by commuting patterns. While the Welsh Government has put £80 million of European funding into the Heads of the Valleys road improvements, mid and north Wales have traditionally suffered from poor transport connectivity. I note the exception, of course, of the Newtown bypass, which is making good progress. Can I ask what your Government is doing to close these regional gaps in economic prosperity caused by inadequate transport infrastructure?

Well, he has slightly argued against himself there by saying that there’s a lack of infrastructure when, indeed, the Newtown bypass is being built. That is something, of course, that is hugely important. We’ve seen improvements on the A470 over the past few years in terms of straightening the road. We’ve seen it recently in Dolgellau, for example; and, over the years, Cross Foxes; Pont-yr-Afanc; further south in Cwmbach Llechryd, with the bypass; and Christmas Pitch, as it’s called, on the road from Erwood. So, there are many, many examples of where the A470 has been strengthened. And, of course, in terms of the rail network, we’ve seen improvements in terms of passenger services through the constituency that he represents, and there are important opportunities in the future, both to improve the service and potentially look at new stations. Bow Street is an example of that. So, we’ve demonstrated our commitment to transport, both public and private.