6. Will the Cabinet Secretary make a statement on whether the progressive principles proposed for the land transaction tax will inform his tax policy more generally as further tax powers are devolved? OAQ51423

Llywydd, the five principles for Welsh tax policy were set out in June. They include the principle that taxation should contribute directly to the aim of the Well-being of Future Generations (Wales) Act 2015, creating a more equal Wales.

The Cabinet Secretary's response to Nick Ramsay's third question earlier, about making the rich pay more, seemed to go rather more to what he may be doing with income tax, when he has powers over that, than land transaction tax. Does he not recognise that large commercial properties are more often than not let to multiple smaller tenants, whether they are retail, industrial or commercial, and that those who are deciding whether to develop a big commercial development will decide whether they want to do that in Cardiff or, instead, in Birmingham, Reading or Bristol? Does he not recognise the risk he is putting to cutting off that development by charging this premium rate of 6 per cent?

Llywydd, all policies need to be assessed for risks that they may incur. My judgment is that the marginal additional sum of money that people in that position will pay through land transaction tax in Wales will not be the consideration that determines whether or not to make such an investment. There are many, many other reasons why bodies decide to come and establish themselves in Wales. I'm always trying to argue that the only thing that brings anybody to Wales is because we are cheap is not a way of attracting people to be part of our future economy.  

Finally, question 7—John Griffiths.