Part of the debate – in the Senedd at 3:49 pm on 26 June 2018.
Can I thank the Member for his questions and his contribution as a whole? It's a tragic fact that Shotton still holds the European record for the most lost jobs in a single day in modern industrial history across Europe. I was in receipt recently of a 1963 black-and-white photo of that year's intake of apprentices. It featured my dad, that's why it was sent to me, and upon scrutinising this photo, it became quite clear that most of the people in that photo were not in work at that site within 20 years of the photo being taken. I do wonder how many people at Airbus today will have work at that site in two decades in the event of a 'no deal' scenario.
I think it's also tragic that Shaun, a 15-year-old, can articulate far better and with greater maturity the threats and challenge we face than Jeremy Hunt is able to do, in terms of what could happen to Airbus and the aerospace industry. Airbus are not fearmongering. Airbus are stating the facts. Airbus are doing what a responsible business should do, which is to share candidly, frankly, openly and honestly with a Government the likely outcome of a bad deal being reached or, even worse, a 'no deal' scenario, and Airbus are not alone in expressing these concerns.
Today we heard that companies representing something in the region of 850,000 people across the UK share those very real concerns. Although Airbus is clearly the biggest private sector employer in north-east Wales, and certainly the biggest employer in Wales in terms of aerospace and defence, within that small part of Wales there is a strong cluster of businesses in the aerospace and defence sector. There's Airbus of course; there's Magellan; there's Qioptiq; DECA; Raytheon—businesses that employ people who are incredibly, incredibly well-skilled, and paid good salaries, people who are really loyal, people who contribute hugely to the local economy and to the Welsh economy as a whole.
I think, as we look to the future, we need to just reflect on the very clear and consistent approach that the Welsh Labour Government has taken since the referendum, and it's an approach that, on occasions, has been adopted—perhaps stolen—by UK Government, certainly in terms of the free and unfettered access to the single market. It is something that, at times, the UK Government tried to replicate, in terms of hyperbole. Sadly, the red lines that have been drawn out by the Prime Minister would not allow that to happen in reality, based on the discussions that have taken place, but I do think that Keir Starmer has done a fantastic job in holding the UK Government to account, and continues to do an outstanding job in holding UK Government Ministers to account.
In terms of what we're doing, we've looked at the impact of various scenarios on the Welsh economy, sector by sector, and what is quite clear is that if there is no deal, we cannot possibly mitigate against all of the consequences; this is just too grave a situation. The economy would shrink by more than 10 per cent in all likelihood, but the EAP, the economic action plan, has been designed as such to allow for automatic stabilisers to be deployed, rather than for the strategy to be shelved and a new strategy to be adopted for panic circumstances. The economic action plan is designed to be robust in any environment, but clearly, depending on the type of deal—and whether there is a deal at all—that emerges in the coming months, support for businesses will be focused on those areas that can weather the storm that is to come. But I don't think that we should believe that we can endure a 'no deal' scenario without the loss of significant jobs in the Welsh economy.
I regularly speak, not just with my colleagues in the department for education, but I also speak with leaders in higher and further education and, again, their concerns are very real, and very grave indeed.
I think it's fair to say that any deal that is reached should be agreed by the Parliaments of the UK. Should Parliaments decide that a deal is not sufficient and reject it, then in all likelihood, a general election could be called, and it may well be the case that another vote would have to take place. We shouldn't rule out the likelihood of people turning on the decision that was made, given the very real threat that so many people now face in terms of their livelihoods.