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

Part of the debate – in the Senedd at 3:38 pm on 18 September 2018.

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Photo of David Rees David Rees Labour 3:38, 18 September 2018

Cabinet Secretary, thank you for your statement this afternoon. I had hoped to speak a bit longer but I think the 10 minutes taken up has damaged a lot of our opportunities.

Can I highlight also a couple of points of thinking? I think Steffan Lewis made a very clear argument and nothing could be more stark than what he said about the implications of a 'no deal' Brexit. I wish that the officials in Westminster and Whitehall would listen to that type of argument when they produce these technical papers, because technical papers, to be blunt, are very light on any solutions to the problems they've identified, and they're the only ones we've seen to date.

But can I ask you a couple of questions in relation to that? Obviously, 'no deal' is very much on the agenda now and we risk getting closer and closer to a point in time at which we have to either agree a deal or we end up automatically, by default, in a 'no deal' situation. You've had these technical papers from the UK Government: have you had a chance to ask your officials to look at those, particularly the ones produced perhaps on 28 August, which are the earlier ones—I know some were produced last week and there are more to come—to look at the implications for Wales and how Wales can tackle the issues and maybe respond with positive outcomes based upon what 'no deal' scenarios are likely, so we are prepared for that?

Can I also ask that perhaps—you mentioned in your statement how, I think, a dozen-plus meetings have been held, but they're not just the ministerial forum and not just the JMC(EN); they also have other ministerial meetings. Have you got a situation where we now have cross-portfolio look at all these things, so we can put them together? Very often, we get governments working in silos. It's a situation where we need to have a cross-portfolio picture as to what's happening for Welsh Government to ensure that what's been said in one forum is being replicated in another forum and so we have consistency in those discussion. 

Now, I will agree with Darren Millar in one sense, and I welcome him to his new role as spokesperson on this, and my sense would be that you had limited discussions of the JMC(EN) in your statement from last Thursday. Does this reflect the fact that there's very little going on in the JMC(EN). We have, in the past, commented upon how effective it is. Is it really effective? Did you have any detailed and successful discussions last Thursday or are we back to the world where JMC(EN) is actually producing nothing, we're not getting any further and we're only six to eight weeks away from a position where negotiations will be ending? 

Again, on the 'no deal' scenario, we're talking about frameworks—the officials are talking about frameworks. Are they actually looking at the situation of what happens if you have a 'no deal'? How are the frameworks going to progress? What will happen on 30 March 2019 if there is no deal with regard to those common frameworks?

And you haven't commented in your statement, perhaps, on the actions the Welsh Government is taking with the regions? I recognise the difficulties we have, sometimes, not being the member state in those discussions, but we are discussing with the regions our future relationships. Could you comment upon the future relationships Wales is having with other regions so we can see where we're going in that direction in the situation where we do leave?

Perhaps, finally, we can talk about where we are—Mick Antoniw mentioned the shared prosperity fund. I think that's a fantasy world at this moment. We haven't seen anything on it yet. But what actions are you putting into place to ensure that the regional policy and the regional funding—the First Minister mentioned that you'll be talking about that later—. Where are we with the regional funding to ensure that our regional policy and our regional funding can deliver for Wales? Because we are going to be losing that, as of Brexit, and we would have had transition funding, there's no doubt about that, in the next tranche. So, where are we on that matter?