3. Statement by the Cabinet Secretary for Finance: Update on European Transition

Part of the debate – in the Senedd at 3:50 pm on 18 September 2018.

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Photo of Jane Hutt Jane Hutt Labour 3:50, 18 September 2018

Thank you for your statement, finance Secretary. As you know, I've consistently raised my concerns about the impact of Brexit on workers' rights and equality in terms of EU law, and backed the positive role of structural funds to widen equality of opportunity in the labour market, exemplified, for example, in your recent announcement of £17 million for young people in south-east Wales to help unlock their career potential. 

I've been studying the technical notices—very brief, they are, I have to say—in the event of a 'no deal'. The guidance on workplace rights if there is a Brexit 'no deal' reminds us of the range of EU law that has benefited workers' rights, including: working time regulations; family leave entitlement including maternity and paternity leave; legislation to prevent and remedy discrimination based on age, sex, disability, sexual orientation, religion or belief, race or ethnic origin in the workplace; legislation to protect part-time and young workers, and much more. The technical notice says that the UK Government will continue to work with the devolved administrations to ensure that workers' rights continue to operate across the UK. Again, can you confirm that this engagement is taking place and provide any reassurances on these rights and protections in the event of a 'no deal' outcome?

Reassurance is also needed in relation to the European social fund grants in the event of a 'no deal'. Again, the technical notice states that, 

'In the unlikely event of a no deal scenario, the UK’s departure from the EU would mean UK organisations would be unable to access EU funding for European Social Fund projects after exit day',

March 2019. Have you secured a guarantee from the UK Government that there will be no gap in funding for regional growth, and that EU projects would be guaranteed, including the European social fund, in the event of a 'no deal'?

Finally, I do want to ask a question about the £50 million EU transition fund provided by the Welsh Government. It was mentioned in scrutiny of the First Minister yesterday in the external affairs committee. Can you confirm that the consequential from the UK Government will not be enough to fund all the activity related to Brexit that we need to undertake, so we're having to meet these needs in terms of transition preparation out of a very constrained budget as a result of austerity and the UK Government is not providing the funds that we need in terms of that transition?