Growing the Economy

1. Questions to the Cabinet Secretary for Economy and Transport – in the Senedd on 4 July 2018.

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Photo of Mohammad Asghar Mohammad Asghar Conservative

(Translated)

7. Will the Cabinet Secretary make a statement on how the Welsh Government's policies are growing the economy? OAQ52439

Photo of Ken Skates Ken Skates Labour 2:14, 4 July 2018

Yes. The economic action plan sets out the actions we're taking to grow the economy and improve the business environment right across Wales.

Photo of Mohammad Asghar Mohammad Asghar Conservative

Thank you very much for that answer, Minister. The performance of the enterprise zones in creating jobs and boosting the economy and regeneration in Wales has been mixed. So much so, that the Assembly's economic committee said that the lack of available evidence has made it challenging to fully analyse their contribution to the Welsh economy.

Will the Cabinet Secretary commit to setting clear and realistic targets for enterprise zones, along with annual reports containing detailed data on their performance, in the interests of transparency so that their contribution to the Welsh economy can be properly scrutinised and monitored?

Photo of Ken Skates Ken Skates Labour

Can I thank the Member for his question and say that, yes, there is a varying degree of success across the enterprise zones in Wales? That's in no small part due to the fact that each of the enterprise zones are at varying stages of development. Some are far more advanced and some have a higher intensity of business activity already established in them, which then can act as a magnet to draw in fresh investment. There is reform of the advisory network taking place and the architecture that advises us, including on enterprise zone activity, is being reformed; we've consolidated it. In the future, the activity that takes place within enterprise zones will have to comply also with the economic contract and the principles that are contained within the economic action plan. But I think it is important that we provide data in the most transparent way possible. I take on board the recommendations that the committee presented, and it's my hope in the future that we will be able to demonstrate a commitment to transparency in the delivery of data, and in the establishment of any targets for particular enterprise zones. However, I would also urge the Member to examine, in a broader way, the infrastructure that is being invested in enterprise zones to enable the sort of growth that established enterprise zones have enjoyed in recent years take place at speed.

Photo of Steffan Lewis Steffan Lewis Plaid Cymru 2:16, 4 July 2018

Central to future economic growth, of course, will be our trading relations with the rest of the world. As part of its preparations to separate from the European Union, the UK Government has established 14 trade working groups that involve 21 third countries to lay groundwork for future independent trade deals upon leaving the European customs union. The Cabinet Secretary wrote to the external affairs committee in May, stating that the Welsh Government are not being invited to participate, or not been consulted on the work of such working groups, but the same committee has received correspondence from the Department for International Trade since then, saying that a forward work programme has been established with the devolved administrations. I wonder if the Cabinet Secretary can confirm that that has indeed happened, and could explain to the Assembly the extent of Welsh Government involvement in those trade working groups.

Photo of Ken Skates Ken Skates Labour 2:17, 4 July 2018

I'm not sure whether the letter that was received concerning the forward work programme and the involvement of the devolved administrations actually identified the degree to which the devolved administrations were actually part and parcel of the process of deciding on the particular piece of work that will be taken forward. I'd happily write to Members to clarify exactly what engagement has taken place between Welsh Government and UK Government on this matter, and, indeed, what engagement has taken place between the devolved administrations as well.