4. How is the Welsh Government supporting research and development in Wales? OAQ53644

I thank the Member for that. The Welsh Government deploys a wide range of funding sources to support research and development. Through the 2014-20 round of European Union programmes, for example, we have invested more than £310 million in research to date, and that has supported a total investment of more than £560 million.

Diolch. Figures published last December confirmed that Wales is still the least productive of the 12 UK nations and regions. Figures published this month show that unemployment in Wales is, once again, higher than in England, Scotland and Northern Ireland. Why do figures also published this month show that, although the UK spent £527 per head on research and development in 2017—the latest figures published, with England spending £554, Scotland £456, Northern Ireland £371—Wales spent only £238 per head of population?

Well, I understand what the Member means—that some aspects of research and development in Wales have started from a lower base level than in other parts of the United Kingdom, but I think it would have been fair of him to have pointed out that, in that 2017 report that he referred to, R&D expenditure in Wales rose by 37 per cent between 2011 and 2017, whereas across the United Kingdom, it rose by 28 per cent and, indeed, it rose by 5 per cent in 2017 alone. So, while there is a long way to go, and the need for research and development in Wales is really important—it's why the education Minister recently announced £6.6 million extra for research funding to Welsh universities—from the starting point where we began, the investment that has taken place in Wales is outstripping other parts of the United Kingdom.

And I was puzzled, Llywydd, I'm not sure, maybe I didn't completely understand the Member's point about employment levels in Wales, because the latest figures on employment levels are remarkably encouraging. Our unemployment levels are now at the UK level; our economic inactivity levels are below the United Kingdom level. His colleague the Secretary of State for Wales regularly claims credit for all of these achievements and, I think, would be very surprised to hear him criticise them here this afternoon. [Laughter.]

Horizon 2020 is a very important source of research funding to Wales. Some £100 million has flowed into various institutions through the Horizon 2020 programme. Yes, there are some kind of assurances for schemes that have been promised money already, but isn’t the truth of the matter that, whatever Brexit we’re facing, we know now that there has been undermining of this source of funding? Does the First Minister share that concern and does he see that the new evidence and the new understanding of what’s emerged since the 2016 referendum strengthens the argument for putting this to the people again in a fresh referendum?

Well, I agree with the Member on Horizon 2020, and what we’ve already done here in Wales to attract funding into Wales. More than 2,800 projects have involved people from Wales under Horizon 2020, and I had an opportunity attend M-SParc on the isle of Anglesey about a month ago. We were discussing what would come, following Horizon 2020, with the people working in that successful centre. And so, I share the concerns that the Member has alluded to, and we are working hard, through the various initiatives that the Ministers are taking. There is a UK ministerial meeting next week, where we’re trying to persuade the UK Government to invest in the programme that will be introduced following Horizon 2020 to keep them within the scheme on a European Union level or to create something else for us here in the UK.

As the First Minister's aware, before entering the Assembly, I actually worked as a research and development engineer. First Minister, would you not agree with me that industry links are crucial in this area and we need to secure more investment in north Wales, similar to the advanced manufacturing and research institute that we've successfully seen on the Airbus site?

I'm well aware, indeed, of the Member's previous career, and I know how much his work was appreciated in the centre in which he worked. Now, he will, I know, also be aware of the centre for photonics expertise that is soon to be under way under the leadership of Glyndŵr university, aimed to take place at the St Asaph centre in partnership with Aberystwyth, Bangor and the University of South Wales. There will be £3.7 million of investment from the European Union towards a total of £5.8 million of investment that the Welsh Government will make in that important research centre, and it is part of our continuing determination to make sure that investment in the north of Wales is part of the way in which we plan the research investment opportunities of the future.