Questions now from the party spokespeople. The Conservative spokesperson, Russell George.

Diolch, Llywydd. How many premises will be enabled for fast, reliable broadband under phase 2 of the Superfast Cymru scheme, and at what cost to the public purse?

As the Member knows, we are planning to extend superfast to 26,000 premises by March 2021, at a cost of nearly £22.5 million in Welsh Government and EU funding through the flexible roll-out of fibre. It should also be noted that this is not a devolved area. This is an area that the UK Government has responsibility for. Left to the market alone, only some 45 per cent of premises in Wales would have superfast coverage. As a result of action this Government has taken, that has now increased to 95 per cent. We have spent £200 million in making sure the gap left by the market and the UK Government has been filled. But, clearly, this is something we can only continue to develop if we work closely with the UK Government to try and fill that gap. 

Thank you for your answer, Deputy Minister. You've announced the £22 million that has been allocated. Your predecessor last year announced £85 million would be allocated to phase 2. So, can I ask you—my calculation is that that's £62 million remaining—how you plan to spend that £62 million in regard to phase 2?  

That's a perfectly fair question, and I think it's fair to say that we are still thinking through the implications of how we do that. One of the problems we have is the diminishing appetite of the private sector to engage in this area. There is more profit available for the private companies in providing faster speeds to people who already have broadband than there is in reaching those who have no broadband, and that is a market failure. So, we need to think about how we can creatively fill that gap, working with as many partners as we can to make sure that what is now a key utility is available to as many houses as possible. 

I think really what needs to happen is the UK Government needs to recognise that broadband and fibre and digital are now a universal service, and there should be a universal service obligation, just as there is in other key utilities, so that we don't simply rely on how much profit can be generated or how much additional funding we can find to fill that gap. But that is something required by providers to make sure that nobody is left behind. 

I thank you for the answer, Deputy Minister. Of course, Superfast Cymru is a Welsh Government scheme, and there are some elements of other schemes that you announced last year and in previous years, which I do welcome, but they're not going to cover and be relevant to all premises across Wales. Now, if we look at phase 1, there were areas across Wales that, after the end of phase 1, were the worst broadband coverage areas, and they included the Presiding Officer's constituency in Ceredigion, mine in Powys, in Pembrokeshire and in Carmarthenshire. They were the worst areas for broadband coverage across the entirety of Wales.

So, you would have thought phase 2 would be entirely focused or prioritising, at the very least, those areas—priority for those areas. In fact, the complete opposite has happened and attention has been spent on the areas that are already serviced well. This is the frustration for many people across rural parts of Wales. Now, if I take the example of Pembrokeshire, of all the premises that were left at the end of phase 1 without a connection to Superfast Cymru, only 4 per cent of that number is now going to be covered in phase 2. That is what is so disappointing, and that's the frustration for many people across rural Wales. So, can you accept that this approach to delivering fibre broadband is flawed, and what are you going to do about the 67,000 premises that are still going to be left in the lurch in two years' time from now? 

Well, I entirely share the frustration. We have made significant funding available to tackle this issue, which, as I repeat, is a non-devolved area. We're not getting a Barnett consequential for this. We're doing this out of our own budgets because the UK Government and Ofcom are not meeting the needs of Wales, so we have stepped in. But there are limitations to the impact we're able to have. 

In any telecommunications revolution, we have seen parts of Wales difficult to reach. Rural Wales was not at the forefront of having tv signals or fixed telephone lines, so it's no surprise that, because of the topography, we have challenges getting full fibre roll-out into all rural areas. We are not deliberately focusing on these easy areas. What we've done is—. We've heard the Member and his benches constantly urging us to work in partnership with the private sector, which is what we are doing. The private sector have decided that it's easier for them to only bid for some of the money available to deliver the returns that they expect for their investment. So, we've been left to their judgment of which work they want to tender for and which we've been able to award. It has left a gap, which we are anxious to fill and we are looking at creative ways we can fill that. But, as I plea again, if the party opposite would speak to their colleagues in Westminster and make the case for a universal service obligation—[Interruption.] Russell George says it's a Welsh Government scheme. It is a Welsh Government scheme, but it shouldn't be up to the Welsh Government to fill this gap. This is a non-devolved area. The UK Government has responsibility for digital infrastructure across the UK. They are the ones who should be making sure that all parts of Wales are reached. They have failed to do so—they have failed to do so. We have stepped in with Welsh Government money to fill this gap, working with the private sector. The private sector is not interested, frankly, in reaching all the properties available, and so, we are looking for ways to fill that, and we are committed to doing so. And I'd appreciate his help rather than just his cheap shots.

Plaid Cymru spokesperson, Bethan Sayed.

Thanks. I wanted to ask the first question as to whether you've made an economic analysis of the potential cuts to higher education. I appreciate that this is primarily in relation to the education portfolio, but if we look at this in a holistic way, any job losses—be those in Bangor, be those in Carmarthen, or be those in Cardiff, with a £21 million deficit in its budget announced recently—are going to affect the economy of Wales. It's pretty ironic that, in the week that is termed 'HeartUnions', potentially, trade unions in Wales are having to mobilise for compulsory redundancies here in Wales. What economic analysis are you making of the potential to our communities of these job losses?

It's my understanding that these are fully autonomous organisations and so, decisions on budgets the universities make.

I think that's pretty blasé, I'm sorry, Minister, because this will affect people on the ground—their livelihoods, where they spend their money, how they spend their money, the jobs that they will be able to go to and the skills that we will have in our communities. So, I'll ask you again: what economic analysis will you have on a Wales basis as to the impact of the cuts to our higher education sector? Notwithstanding the fact that they may not have other jobs to go to because of—[Interruption.]—I'm hearing from the sidelines the education Minister saying, 'What cuts?' We've heard in the media in the last few days that Cardiff University are going to move to look to have compulsory redundancies because of the financial deficit in the higher education sector. What impact will that have on the Welsh economy?

No, sorry, we just have to clarify: what are the cuts? This isn't about cuts coming from Welsh Government—from the department for education and skills. This is about decisions being made by universities, based on the way that they manage their own affairs. This is not based on cuts from Welsh Government. 

I'm not saying that it's based on Welsh Government cuts; I'm saying that it's based on what analysis are you making of the potential for those cuts, taking place here in Wales, where jobs will be lost. We are hearing that from meetings that all of my colleagues have been arranging across Wales. So, instead of putting your head in the sand, what are you going to be doing about that so that we can ensure that the higher education sector can be successful? 

I did want to ask a question also on regional skills partnerships here today. The former Deputy Minister for skills outlined plans for further education as part of Welsh Government plans to improve the skills and training sector. Many of those regional skills partnerships are not funded sufficiently, and we were told that there was going to be an independent adviser commissioned by the Welsh Government into those regional skills partnerships. Can you give us an update on that and whether you are still following on with that plan that Eluned Morgan had in relation to regional skills partnerships?

I first of all thank the Member for acknowledging that there are no cuts to higher education from Welsh Government. I think that's very helpful to clarify, and I think, in reflecting on that very fact, I should also say that we have been relentless in fighting for the higher education sector, just as we have been relentless in supporting the further education sector as well. But we are still fighting against nine years of biting austerity.

Now, in terms of the regional skills partnerships, I'm pleased to be able to say to the Member that I have asked for an independent external review to be carried out into the RSPs. Meanwhile, we are supporting our RSPs with £5 million specifically of apprenticeship funding to align apprenticeship provision with what businesses in the respective regions require.

UKIP spokesperson, David Rowlands.

Diolch, Llywydd—[Inaudible.]—difficulties faced by Cardiff commuters in gaining access to the city, could the Minister outline Welsh Government plans to alleviate these problems?

I'm sorry, I didn't catch the first part of the question.

Okay. Given the great difficulties faced by Cardiff commuters in gaining access to the city, could the Minister outline the Welsh Government's plans to alleviate these problems?

Absolutely. The plans are captured within the vision for the south Wales metro, and will be paid for with a huge sum of capital investment, more than £700 million. Key to the infrastructure within Cardiff will be new parkways and the development of a new Cardiff bus station, and we hope, with UK Government support, should it be forthcoming, the redevelopment of Cardiff Central station.

I thank the Minister for that answer. I lately had the misfortune to have to use the southern access road known as Rover Way. Whilst I understand that this does, for some unknown reason, not constitute a trunk road, and therefore falls outside your direct remit, the road is in such an appalling condition that it cries out for some sort of government intervention. Surely, Minister, there is some form of financial assistance that the Welsh Government could implement so that Cardiff city council can give this vital artery into our capital city a major overhaul.

Can I say that we are supporting local authorities with additional resource to address potholes, and we also offer funding through the local transport fund to ensure that local roads remain of adequate quality? I think what's most important for Cardiff as it continues to grow is that it gets a twenty-first century public transport system, and in that regard, the development of the metro, and, of course, radical reform of local bus services, will be very important indeed.

Again, I thank the Minister for his answer. However, this indeed could be a candidate for the mutual investment model, or. again, is there a possible intervention by Cardiff capital city region? Surely, Minister, it is not beyond your considerable expertise to find a suitable funding mechanism to address this dire situation. This road is in an appalling condition. The money given to potholes is not going to solve the problem, and it is a very busy and very important access road into Cardiff.

Well, I'd have to consult with the finance Minister as to whether the mutual investment model could be adopted for such a purpose, but, of course, even if it could be, it would be a decision for the local authority and/or, as the Member suggests, the Cardiff capital region. As a Welsh Government, we're doing all we can with our precious resource in order to improve transport infrastructure not just within Cardiff, but across the whole of Wales, and decisions must be based on the need to invest fairly across the whole of Wales. We would encourage our local partners in local government to ensure that all roads are kept up to a minimum standard, and to utilise the additional resource wherever possible, which we've made available through the pothole fund.