Diolch, Llywydd. I move the motion. Regulation 3 of the Local Authorities (Capital Finance and Accounting) (Wales) (Amendment) Regulations 2018 amended regulation 1 of the Local Authorities (Capital Finance and Accounting) (Wales) Regulations 2003 by amending the definition of 'money market fund'. That definition included references to EU directive 2009/65/EC, the directive on the co-ordination of laws, regulations and administrative provisions relating to undertakings of collective investment in transferable securities. The Local Authorities (Capital Finance and Accounting) (Wales) (Amendment) (EU Exit) Regulations 2019 remove references to the directive. The amendment is one of a technical nature and I want to assure Members that my officials will work with local authorities to ensure that they are aware of these changes.

I should be upfront and clarify that ordinarily amendments to these regulations would have been through the negative procedure. However, officials were liaising with their counterparts in Whitehall to better understand how equivalent regulations were going to be amended and reviewing the policy here. As a result, the Welsh Government were not in a position to meet the deadline of 5 February for laying through the negative procedure.

Money market funds are collective investment schemes that are used by local authorities for shorter term, risk-spreading investments. In amending the definition, we are continuing to give local authorities the flexibility to choose the most suitable investment funds for them. Giving less prescription, of course, can mean more risk, but we have considered this and feel it is managed by each authority having an investment strategy as part of its treasury management policy. These are supported by the Chartered Institute of Public Finance and Accountancy treasury management in the public services code of practice.

I should also like to thank the Constitutional and Legislative Affairs Committee for identifying minor errors in the explanatory memorandum. These will be corrected and the EM has been relaid. Members will be aware of the Welsh Government's position on withdrawing from the European Union and the handling of the transition period, but it is essential we have a fully functioning statute book that works from the exit date onwards, which is why these changes have had to be made at pace before we leave the EU. Diolch.