Part of the debate – in the Senedd at 4:10 pm on 10 March 2020.
It's quite clear that an airport such as Cardiff is an important piece of not just Welsh transport infrastructure, but also of the UK transport infrastructure as well and, indeed, of course, as a link to other parts of the world and, more recently, to Qatar through the links made with that airline, of course, becoming a global hub as well. And the issue of funding is, I don't think, in doubt. Of course, an airport like that needs support and, of course, as Mick Antoniw said, commercial loans form a part of that, because, of course, with state-aid rules, those are going to have to be of a commercial nature.
The issue that the Public Accounts Committee has looked at in detail is the long-term sustainability of that type of funding, and what, importantly, would happen at a point in the future where those loans weren't available. If we just look in detail at the loans that have been provided, the airport has now fully drawn down the loan facility of £38 million. The most recent £21.2 million has, I believe, been consolidated with the existing facility, although the Minister might want to clarify that, as there was some questions raised about that during the recent committee meeting.
So, importantly, what is the future strategy for Cardiff Airport, and at what point are these loans no longer going to be available? I made the point earlier about a blank cheque, and it's important that the public have the confidence that, at some point in the future, either the airport will continue to be funded and that is part of the strategy, and the Welsh Government may want to say that is how we see it surviving in the future, or it will be able to stand on its own two feet. That's probably not the appropriate phrase in this context, but I think that's what the public look at, and that's what the Public Accounts Committee look at, in terms of the viability of this piece of infrastructure.
We're currently looking at another loan of a further £6.8 million, I believe. So, there is more money going towards the airport. We've only seen recently, with the consequences of Flybe, that, whatever strategy the Welsh Government develops, and however in the future it sees that vision for the airport developing, it has to be futureproofed against future shocks, such as the collapse of an airline. The collapse of an airline can have a totally disproportionate effect on the running and the financial viability of an airport, far more than in any other type of transport infrastructure or transport hub. We took evidence from Roger Lewis that confirmed that—that, actually, when it comes to the running of an airport, the potential catastrophic loss of one airline can have a major effect.
We were reassured, I have to say, that Cardiff, unlike some other airports, actually isn't as dependent—I can see the Minister nodding. It's not as wholly dependent on one airline as others, and I think that that has shown where there really has been progress made with that airport. I know often Welsh Government seems to think that this side of the Chamber is just overtly negative, talking Wales down—I can see Mick Antoniw nodding; I'm going to turn that round in a minute—and not looking on the bright side, but, actually, I'm willing to accept as the Chair of the Public Accounts Committee that there have been some good changes made, and, at certain points in the past, that airport did not look viable, so things have moved on and there have been structures put in place. But it's important in the future that there is a vision for that airport that supports what the Welsh Government wants to do with it.
Can I just mention air passenger duty? The former First Minister, who contributed earlier sitting in on this debate, used to like to talk, when he was First Minister, about the tools in the toolbox, along with the former finance Minister, and APD is clearly a potentially very important tool in that toolbox. I agree with other people who have spoken on all sides of the Chamber, including this one, that that should be devolved. It is nonsensical that other parts of the United Kingdom have access to that sort of devolution of taxation and the transport Minister here doesn't, and the finance Minister doesn't. That isn't fair, that isn't right, and we have supported you consistently in saying that that should be devolved. I think if the Welsh Government did have air passenger duty devolved to it, then it would at the very least open up the options available to you in supporting pieces of major infrastructure like Cardiff Airport. And, for the good of all of us, for the good of the Welsh Government, for the good of the public, for the good of all of us who contribute in these debates over many months, I think that in the future we want to get to a position where that airport, yes, is funded, but ultimately becomes sustainable so that Wales can have an airport that it can be proud of.