1. Questions to the First Minister – in the Senedd on 13 February 2018.
1. Will the First Minister outline how the Welsh Government is tackling poverty in South Wales West? OAQ51777
Yes. 'Prosperity for All' sets out how we will support people from disadvantaged households to achieve their potential and live fulfilled lives. And we are investing in the future of our children and growing our economy. The Valleys ministerial taskforce will improve outcomes as well, of course, for the valleys of South Wales West.
Thank you, First Minister. My region is now one of the poorest regions in the UK. It has the lowest employment rate in Wales, high levels of economic inactivity, and some of the lowest gross disposable household income in the UK. After nearly 20 years of Labour's economic plans, things are going in the wrong direction. My region doesn't need economic tinkering, like the disastrous techniums, nor empty enterprise zones. It needs a low-tax, business-friendly economy to encourage businesses to invest in the region. The world's most successful small computing platform—
Can you come to a question, please?
—yes—is already produced in Bridgend, in my region. We should be building a high-tech cluster around Pencoed, and lower tax is the catalyst we need. First Minister, what discussions have you had with your colleague the finance Secretary about emulating Ireland and encouraging high-tech businesses like Intel and Apple to set up shop in Wales by offering them tax breaks once we are free from EU state-aid rules?
Now, let me just understand this point, if I can. Last week, UKIP were arguing that they didn't want to see new taxes, and now they're saying they want to see business taxes, which aren't devolved—. You want to see business taxes devolved to this Assembly—is that what you're saying? Because that's the logical consequence of what you're saying.
And then we have the next question: how do you pay, then, for public services, if there is a gap in the public tax take? And I have to say that she contradicted herself in the course of that question. She said that South Wales West was one of the poorest areas of Wales, then she went on to name some of the successes—one of them in my constituency—that we have seen as a result of the Welsh Government's work in attracting investment into Wales. What is UKIP's economic plan? Cut us off from our closest, most important market, where 60 per cent of our exports go, where 90 per cent of our food and drink exports go. That is not an economic plan that will work for the future. And I can say, as far as GVA figures are concerned, we know that Wales is the fastest growing country in the UK for GVA, with GVA rising to nearly £60 billion in 2016, and we know that our employment rate is continuing to grow. That's because of the hard work we have put in as a Welsh Government, making sure that we have jobs for our people.
Much of the Welsh Government's focus on economic development in South Wales West is based on creating two strategic hubs in Neath and north Bridgend as part of the Valleys taskforce, as I'm sure you're well aware, and a key element of that is the release of employment land for industrial use. Now, given that that is also the case for most of the strategic hubs across the rest of the south Wales Valleys, do you agree that there's a risk that, unless specific sectors and companies are targeted in a systemic way, your Government risks flooding the market with the release of land that you simply will not be able to fill?
That's the old Welsh Development Agency model, where you have land, you build lots of empty buildings and those buildings are not filled. We want to make sure that, as far as demand is concerned, it's closely matched to supply, and, of course, we will look at areas of Wales where there is the skills base to attract further investment. That's precisely, of course, why we have an economic action plan that has, at its heart, the need to target regions of Wales according to their strengths.
First Minister, we were told in a recent committee evidence session into homelessness that one of the main causes now of homelessness is the UK Government's welfare reform programme. Do you agree that, even at this late stage, it is not too late for the UK Government to stop the roll-out of this disastrous universal credit programme?
Yes, absolutely, but they're not listening, are they? I went to visit people who were homeless before Christmas, and I'd advise the Conservatives to do the same; perhaps they might learn something. But the reality is that they are indifferent to the suffering of people who are homeless. They are indifferent to the problem of rough-sleeping. The leader of the opposition sits there, from his country estate, and condemns people for being homeless. That is the reality of where he comes from. We, as a party, have committed £10 million to ending—[Interruption.] I know it hurts. I know it hurts you, and you don't like the truth—I understand that. We have committed £10 million to end the scourge of youth homelessness while the Conservatives have sat and done nothing.