Part of the debate – in the Senedd at 5:13 pm on 8 February 2017.
As the Prime Minister said in her Lancaster speech last month:
‘I want Britain to be what we have the potential, talent and ambition to be. A great, global trading nation that is respected around the world and strong, confident and united at home.’
She said this is why this UK Government has a plan for Britain that:
‘sets out how we will use this moment of change to build a stronger economy and a fairer society by embracing genuine economic and social reform.’
It’s why, she said:
‘our new Modern Industrial Strategy is being developed, to ensure every nation and area of the United Kingdom can make the most of the opportunities ahead.’
Well, this strategy aims to provide, after the referendum to leave the EU, improvement in living standards in all parts of the UK, major investments in infrastructure, new investments in science, research and development, ensuring that people and businesses have the skills they need for the future, and supporting firms looking to scale up.
Nowhere is this needed more than Wales after 18 years of, dare I say it, Labour-led Welsh Government—a Wales ranked tenth for poverty, eleventh for weekly earnings, and bottom for both GVA economic prosperity per head and people not in employment, amongst the 12 UK nations and regions.
Worryingly, the latest GVA figures show north Wales trailing even further behind. West Wales and the Valleys, including four north Wales counties, still have the lower GVA of all UK sub-regions, down again to just 63.3 per cent of the UK average. Anglesey—lowest GVA of all UK local areas, down again to just 52.9 per cent of the UK average. Even GVA per head in Wrexham and Flintshire, which stood at 99.3 per cent of the UK average in 1999, at the time of devolution, has fallen again to just 84 per cent of the UK average. Hence recognition in our motion today of the inter-governmental work to develop the north Wales growth deal.
The Chancellor’s autumn statement provided public confirmation of his commitment to a north Wales growth deal, described by the chair of the north Wales business council as a very positive outcome. As the director of CBI Wales said:
‘we are pleased the Chancellor today reaffirmed his commitment to both the Swansea Bay City Deal and the North Wales Growth Deal. Business in Wales wants credible deals that truly deliver more prosperous regions.’
The north Wales growth deal includes major transport schemes from west to east, which we’ve heard referred to, but also working with the counties to the south and the electrification of the north Wales coast line from Holyhead to Crewe. The North Wales Economic Ambition Board’s growth vision for the economy of north Wales was submitted to the UK and Welsh Governments last summer, supported by the leaders and chief executives of all six local authorities in the region, the north Wales business council, both the region’s universities and both the region’s further education college groups. Key to this, the vision calls for the devolution of powers by the Welsh Government over employment, taxes, skills and transport, stating that this would boost the economy, jobs and productivity, create at least 120,000 jobs and boost the value of the local economy from £12.8 billion to £20 billion by 2035. This would enable north Wales to maximise the opportunities presented by the UK Government’s devolution of powers to England’s adjoining Northern Powerhouse. As the North Wales Economic Ambition Board’s vision states:
‘The Vision complements the developing strategy for the Northern Powerhouse, is fully integrated with the Strategy Growth Bid submission of the Cheshire and Warrington Local Enterprise Partnership, and has the Growth Track 360 plan for rail investment at its core. By building an investment strategy around this outward-looking vision we can succeed in capitalising on the opportunities within the North Wales region whilst adding value to a connected and cumulative set of regional plans for Northern England and the wider UK economy.’
The UK Treasury responded to the growth vision document by asking the ambition board to detail strategic priorities and to prioritise projects. However, whenever I have asked Ministers here whether and how they have responded to the document’s call for the devolution of powers by the Welsh Government, they’ve provided a classic diversionary Labour Welsh Government response by referring instead to its proposed north-east Wales metro: no details and only generalisations about its connectivity with the growth vision’s proposals. I therefore ask the Cabinet Secretary: is it to be ‘yes’ from a confident, can-do Welsh Government or ‘no’ from a craven controlling one?