5. Will the First Minister outline the Welsh Government’s support for the Swansea Bay city region? OAQ(5)0712(FM)

Well, we are working with local partners to support business growth, to improve infrastructure, and to create a more attractive economic environment across the region.

Can I thank the First Minister for that response? The first supplementary budget provides an extra £20 million for the Cardiff city region. Will the Swansea bay city region get the same financial support from the Welsh Government when it needs it?

Yes. The Swansea city deal is structured around 11 major project proposals. There is a process set out that triggers the money going to Swansea in the same way as Cardiff. It’s not identical, but the Welsh and UK Governments have committed to jointly invest, subject to the submission and approval of full business cases in relation to the 11 identified projects and the agreement of governance arrangements for the deal, a sum of up to £241 million on specific interventions.

Thank you for that answer, First Minister. It’s been over three months now since the deal was signed between yourself and the Prime Minister, yet, as far as I understand it, the governance structure is still unresolved. I think work does need to move on now on delivering those projects that are worth £1.3 billion to the local area and beyond, with a strong focus on the commercialisation and economic development of ideas, as well as the social and well-being goals, of course. I’m wondering: have you given any consideration to delivering the Welsh Government oversight of this through the economy and infrastructure department rather than through the finance and local government department?

No, there are no plans to change that. The reason why the governance arrangements haven’t been agreed yet is because the general election intervened, and that, of course, set back the timetable. But we are keen, of course, to get to a position where the governance arrangements are agreed in order to see the deal being delivered successfully.

What message would it send to those involved in the Swansea bay city deal region if we lose a huge renewable investment project in the tidal lagoon due to dither and delay by the Westminster Government? And have you had any indication at all that they’re going to make a decision on this?

What impression does it give? A poor one. Have we had any suggestion that they are close to making a decision? No. Again, there is no reason why this project should not proceed. The Secretary of State for Wales I think today said that he supported the Swansea bay tidal lagoon. Well, if he says he supports it, he must deliver it. He is the Secretary of State for Wales. He can’t say that he supports something and then say, ‘Well, of course, I can’t help to deliver it’. He has said that, and it’s hugely important then that he is able to make sure that his voice is heard around the UK Cabinet table. If the tidal lagoon doesn’t come, what assessment do we make of the voice of the Secretary of State for Wales around that table? So, yes, we know that 1,000 jobs will be created by the tidal lagoon. We know that the UK Government needs to make its mind up now in terms of the financial arrangements surrounding the lagoon. We know there’s been a review. We know that there’s no reason now why it should not proceed. If £1 billion can be given to Northern Ireland, there is no reason why the lagoon can’t proceed.

First Minister, the city region has the potential not only to transform the Swansea bay region but also to deliver wider benefits to Wales as a whole. The internet of life science and well-being could help reshape the way we deliver healthcare in future. Key to the success of the internet coast vision of the city region is the transatlantic cable. Can you provide an update, First Minister, on the progress made in bringing a fibre-optic cable from New York to Oxwich bay, which is within my region?

Well, I’ll write to the Member on that, but, of course, this is part of the ongoing development of business cases as part of the city deal. But I will write to her with more detail in terms of that specific project.

I very much welcome the news today that we’ve had that the Secretary of State, Greg Clark, will actually meet with a cross-party delegation of Chairs of prominent committees here to advocate the case, once again, for the tidal lagoon. I thank him for the courtesy he’s extended to that cross-party delegation. The First Minister will know that we had a debate here before the general election where there was universal support for the tidal lagoon and for the findings of the Hendry review here in this Chamber. It also has the backing of the higher education sector, the construction sector, the business sector, the CBI, individual businesses, the unions, local government, cross-party, right across the board. So, we’ll welcome the opportunity of taking that delegation and stressing the strong commitment. Would he agree with me that there could be no better signal of the UK Government taking an active direct interest in Wales in terms of energy, but also in terms of national infrastructure, than to give the go-ahead for the tidal lagoon in Swansea?

Absolutely. It presses all the right buttons, if you’ll pardon the use of that expression, in terms of job creation, in terms of sustainability, in terms of the environment, in terms of it being a clean source of energy, in terms of reliability and predictability. There is no reason why this project should not go ahead. We need that decision soon, so the UK Government shows that the amount of money it has already committed to Northern Ireland can be matched in part to the money it’s prepared to commit to Wales.