6. What plans does the Welsh Government have to stimulate the economy in North Wales? OAQ55128

Well, we're stimulating the north Wales economy in many ways. We continue to invest in people, places, business and infrastructure, as outlined in the economic action plan. My role as a Minister for north Wales also ensures the region has a strong voice in Government and in Cabinet. 

Thank you for that answer, Minister. Leaving the EU means that we can open new free ports that can actually offer the tax and duty benefits traditionally associated with such ports. Under the EU, state-aid rules prevented new free ports offering such benefits, effectively making them free in name only. The Westminster Government seems keen to establish a number of new free ports in the UK now that we've left the EU. Do you agree with me that a free port in north Wales could bring much-needed economic and employment regeneration to the area, and will you call on the UK Government to ensure that at least one of the new free ports is in north Wales?  

Well, we remain open-minded about free ports, but let me just be absolutely clear, in answering the Member, what free ports, in our view, should not be. They should not be a means of lowering employment or health or environmental standards—absolutely not. Nor they should be used in a way that displaces activity away from existing ports and enterprise zones. Now, the Member is very well aware that Holyhead port, that Deeside industrial zone, that many, many centres of activity in north Wales, could be threatened by the establishment of a free port zone if it was not carried out in the correct manner. And so, whilst we remain open-minded, I would have to say to the Member that they should not be embraced as an idea without first of all approaching them very, very sceptically.  

One issue that continues to be raised with me by businesses in Aberconwy is the skills shortage. This is a Wales-wide problem, with 92 per cent of senior business leaders reporting difficulties in hiring workers with the required skills. So, to stimulate skill growth, I have previously called for the creation of an institute of technology in north Wales. Despite the UK Government having already committed to setting up 12 institutes of technology across England, a Welsh Government spokesperson stated the following to the North Wales Weekly News: there is capacity within the existing further education estate to provide excellent learning in subjects such as engineering and digital close to people's homes in the north. So, therefore, given the apparent opposition to the creation of an institute, I would be grateful if you could explain where this referenced 'capacity' is and what action are you taking to build on that. Thank you.

Can I thank the Member for her question? This primarily relates to responsibilities in the hands of the education Minister, because it concerns further education institutions, of course. However, on the general point of skills, I'd say a number of things. One, that skills shortages will become more acute in certain areas as a result of our exit from the EU; that's certainly what businesses are telling me. Secondly, that Grŵp Llandrillo Menai do an incredible job as one of our most important providers of skills in Wales in meeting the needs of the local economy. And thirdly, specifically with regard to the idea of the creation of an institute of technology, I would welcome consideration of the creation of an institute of technology for north Wales. I believe that this is an issue that has already been discussed. If proposals are bought to Government, then we would seek to support the development of a business case.

Minister, metro mayors Steve Rotheram and Andy Burnham are looking into using their budgets to drive the growth of industry in their areas. We need the flexibility in north Wales to be part of this drive and bring projects like the Heathrow logistics hubs and a second Advanced Manufacturing Research Centre to Alyn and Deeside. Minister, when will the Welsh Government publish regional budgets that will give us the money, flexibility and power to secure such projects and to enable us to work collaboratively and directly with the north west of England? And finally, Minister, do you agree with me that devolving power and money to north Wales will start to address the north-south divide, so often felt by my constituents in Alyn and Deeside?

Can I thank Jack Sargeant for his questions and say that, whether real or perceived, the north-south divide is an issue that I'm determined to get to grips with? In terms of the relationship we have with the north west of England, can I put on record how impressed I've been by both metro mayor Steve Rotheram and metro mayor Andy Burnham in recent years? Their engagement with Welsh Government has been quite astonishing. The determination that they both have in improving prospects for their citizens is to be hugely admired, and I wish them the best of luck in this year's set of elections.

In terms of the investment that will be made through regional indicative budgets, I can assure the Member that I'll be making a statement on or around 10 March of this year concerning regional indicative budgets, and I think it's absolutely right that we have transparency of funding and investment. That will, in turn, help to address the real or perceived north-south divide.

In the meantime, I can also assure the Member that we are pressing ahead with £1 billion of transport investment in north Wales. We've already established the Advanced Manufacturing Research Centre, and we're now looking at establishing the Advanced Manufacturing Research Institute mark two in Deeside. We're pressing ahead with the Wrexham gateway project. We're going to be improving every single station in north Wales. And as a result of our endeavours in recent years, the unemployment rate in north Wales is at a record low, and lower than both the Welsh and UK average.