We now return to the agenda for this afternoon. We now turn to the short debate, and I call on Vikki Howells to speak to the topic she has chosen. Vikki.

Diolch, Dirprwy Lywydd. I've agreed to give a minute of my time to my colleague Mick Antoniw today. 

The inspiration for this short debate came from the publication of 'The State of the Coalfields 2019'. The report was an investigation into the economic and social conditions in the former British coalfield areas, and it was commissioned by the Coalfields Regeneration Trust, produced by a team at the Centre for Regional Economic and Social Research at Sheffield Hallam University, and this was comprised of Christina Beatty, Steve Fothergill and Tony Gore. 

The report has been critical in shaping the structure of my debate today. Of course, inspiration for the debate also comes from two important coalfield anniversaries occurring this year. March 2020 marks 35 years since the end of the 1984-85 miners' strike, and 2020 also marks 25 years since the reopening of Tower Colliery in my constituency as a workers' co-operative: two events in my lifetime that were so crucial in shaping politics and identity, and that's both personally for me and more widely for many other members of my community too. One was a moment of defeat, yet nevertheless marked by a spirit of defiance; the other a crowning moment of victory. Both are important motivating factors behind today's debate. 

The report itself was an update on a piece of work produced in 2014. I've mentioned the miners' strike. It's important to remember that the original report was published to mark 30 years since the start of that dispute. The aim was to capture the experience of coalfield communities, explore how effective regeneration schemes have been and to ask, 30 years on, had coalfield communities caught up with regional and national averages, were they in robust economic and social health. Well, the 2019 report brought that research up to date, and my contribution owes much to the evidence it presents. Crucial additional information is taken from the last meeting of the cross-party group on industrial communities, which I chair. I do hope that the Deputy Minister for the economy will be able to meet with the secretariat of that group to discuss its contents in detail.

At that February meeting, Professor Fothergill shared unique data to the former south Wales coalfields area. Some of this isn't published in the report, but I will be making use of it today. He also explored the arguments made in 10 priorities for the former coalfields. That is the policy statement produced by the Coalfields Regeneration Trust and the Industrial Communities Alliance. It offers a valid programme for coalfield communities, to which I'll also make reference, and sets out a platform to ensure that the future of the Valleys is vibrant and prosperous to transform their fate and to help determine a positive identity for coalfield areas and their residents.

I'll spend a little time later on outlining these recommendations, but first I want to briefly explore some of the key definitions within the report. Most importantly: what are coalfields? Well, the authors explain that coalfield communities are defined as those where, in 1981, at least 10 per cent of male residents in employment worked in the coal industry. Coalfield areas have been matched to their constituent lower super-output areas and principal constituent local authorities. In the latter case, for Wales, that is Flintshire and Wrexham in north Wales, and Blaenau Gwent, Caerphilly, Merthyr Tydfil, Neath Port Talbot, Torfaen, and my own local authority of Rhondda Cynon Taff. But it also includes large parts of England and Scotland. Altogether, across Great Britain, 5.7 million people—that's 9 per cent of the population—live in those coalfield areas. Professor Fothergill rightly made the point that they should be a pressing concern for UK policymakers.

If the coalfields were a single region, their population would be equivalent to the west midlands. It would be higher than Scotland and nearly double the size of Wales. In Welsh terms, coalfield communities make up one in four of the Welsh population. Indeed, the south Wales coalfield is the home of 768,000 residents—the second largest coalfield community after Yorkshire. We're talking about a large area here, containing substantial numbers of Welsh citizens.

There's lots of data within the report, and I just want to draw out a few particularly pertinent points. Firstly, in terms of that population in the coalfield areas, it is older than the British average. In coalfield areas, one in five of the population is over 65 years of age—that's above the British average. Moreover, the coalfield population is getting older and the gap is widening. Furthermore, the share of young adults in coalfield communities is lower than the British average. It's also much lower than comparative figures for major regional cities like Cardiff. While overall population figures in coalfield areas are increasing, this is happening at a slower rate than the British average—2.5 per cent rather than 4.5 per cent. This gap is even further pronounced in the south Wales coalfield where population growth is just 1.5 per cent—a third of the British average. So, our population is older and it's not growing as quickly as in other parts of Wales.

Secondly, there are significant health challenges in our coalfield communities. Life expectancy is lower, there are challenges around lifestyle choices, and more people report long-term health conditions. This is underlined by the numbers claiming disability living allowance or personal independence payments. Across the coalfields, nearly 0.5 million people—that's 9 per cent of the entire population—are in receipt of either of these benefits, and the British average is just under 6 per cent. The disparity is starker when we look at the south Wales coalfield where 11.2 per cent of the total population are receiving either DLA or PIP— that's nearly double and equivalent to one out of every nine people. So, our population faces significant health challenges. 

Thirdly, job growth in coalfield communities is nowhere near the level we would like. There have been increases in the number of jobs, which compares well to average levels, but the data is not so impressive when expressed as a percentage of the working age population. Indeed, for the south Wales coalfield, the figure was just 0.2 per cent. Coalfield areas export workers, so job growth that is impressive in terms of the initial stock of jobs is less significant in terms of the workforce size. Compared to the south-east England's full-employment rate, an extra 38,000 jobs would be needed in the south Wales coalfield.

The job density of the coalfield also compares badly. Job density is the number of employee jobs per 100 people of working age in a given area. The British job density is given as 75, so that's 75 jobs per 100 people of working age. But for the coalfields, it's just 55. For north and south Wales, it's just 42. This is no surprise to the large numbers of my constituents who commute to Cardiff or further afield to work. I hope that initiatives such as Better Jobs Closer to Home bear fruit in changing this.

A further interesting angle is the nature of employment. Former coalfield areas have higher percentages of their workforce engaged in manufacturing. The figures are 13 per cent as opposed to a British average of 8 per cent, or 5 per cent for a city like Cardiff. The importance of the foundational economy to coalfield communities is clear. In other coalfield communities, warehousing and call centres are employers that have seen major growth, but that's not the case for south Wales, where such ventures are often the jobs to which coalfield residents commute elsewhere. So, jobs growth is a challenge in the coalfield areas, manufacturing plays a more important role, people are less likely to be self-employed, and residents are more likely to commute for work.

Fourthly, unemployment rates in coalfield areas compare well with averages. Indeed, unemployment has fallen faster in these communities than overall. However, this is masked by the increase in people receiving incapacity benefit. Beatty et al note that this is a common trend in older industrial areas, but coalfield communities are prime examples. The British average in November 2018 was 5.7 per cent, 2 per cent less than the figures for coalfields. Whereas the north Wales coalfield is in line with other coalfield areas, in south Wales, the figure is a shocking 10.4 per cent. More families are also in receipt of in-work benefits as average earnings are lower.

This is rendered all the more important when we factor in the impact of welfare reform. Coalfield areas are expected to lose out with an estimated loss in the south Wales coalfield of £770 per working age adult per year. It's a loss, moreover, that falls disproportionately on the poorest households, and renders a lie of 'all being in it together'. This has terrible consequences for family budgets. It also signifies an extraction of resources that would otherwise be spent within the local economy.

Perhaps the net impact of all this taken together is that 42 per cent of all coalfield neighbourhoods are within the 30 per cent most deprived in Britain. In reality, this figure is lower than that for main regional centres, excluding London. This suggests coalfield areas aren't actually doing that badly. This is an important point as it emphasises that the fate of the coalfields isn't necessarily so bleak. Whereas 52 per cent—greater than one in two—of south Wales coalfield's lower super-output areas are among the 30 per cent most deprived, some of the coalfields are doing quite well. Why is that the case?

Well, Professor Fothergill has posed one interesting explanation in his presentation. Some coalfields like south Staffordshire, Kent or Lothian have done well, but they are much smaller than the coalfield in south Wales. An interesting comparison is provided by the only coalfield that's larger, which is Yorkshire. Many similarities exist between the two, but Professor Fothergill noted one important difference: this is that the south Wales coalfield is in many ways peripheral to Britain with less developed transport infrastructure. The coalfield is split into narrow valleys rather than being a single labour market. Cities like Leeds and Sheffield are integrated into Yorkshire, but Cardiff, from the Valleys, can seem a long way off. Perhaps the city region will have a critical role to play here.

Professor Fothergill also explored a clear set of objectives that could be used to tackle the challenges facing the south Wales coalfield. These included: a replacement for the EU funding that communities in south Wales receives; better support for industry; better quality jobs; investment in education, skills and health; growth rooted in coalfield areas; investment in local connectivity; better support for local authorities; support for community infrastructure; more spending in coalfield communities on arts and sports so that funding inequalities are rebalanced; and a better deal on miners' pension surpluses. I know many of these are already key goals for the Welsh Government and that policies have been developed and put in place to ensure their delivery. Indeed, many of these interventions have been reinforced through this Assembly term and through last week's budget here.

We rightly have a Cabinet Minister specifically holding a portfolio for north Wales. This is to ensure the needs of that region are at the top of the Welsh Government's agenda. I sincerely believe we also now need a Cabinet-level Minister for the Valleys. Their purpose would be to lead on fulfilling these objectives and ensuring a bright future for these areas and their communities, placing coalfield communities at the heart of our policy making and at the heart of our country's future prosperity.

Can I thank the Member for a really impressive and comprehensive analysis of the serious challenges affecting many of our coalfield communities? Can I first of all, though, say that I think we need to put on record our thanks for: the work that the Coalfields Regeneration Trust actually does in supporting enterprises, business regeneration, community facilities; and CISWO, the Coal Industry Social Welfare Organisation, which provides social help to families formerly connected with the mining industry: and also the National Union of Mineworkers, who give so much assistance in terms of pensions, in terms of industrial disease, and other parts of the legacy of the mining industry?

What the report highlighted to me is that, although employment is improving in numbers, a third of the people in work are part-time, there is a high level of low pay and a growth in self-employed and zero-hours contracts. Would you agree with me that this really highlights the importance of the social partnership Bill that the Welsh Government is planning to bring, in terms of bringing ethical standards of employment? Because it's not levels of employment that is the issue, it's the quality and the security of employment.

Thank you. I now call on the Minister for Education to reply to the debate. Kirsty Williams.

Thank you very much, Deputy Presiding Officer. Could I begin by thanking both Vikki and Mick for their contributions this afternoon? Many of the issues facing our Valleys communities are deep-seated and longstanding, as outlined by Vikki in her speech. They are the result of generational changes and will take time to reverse, and part of the challenge is to think about how we can futureproof our economy for the challenges of tomorrow.

This Government signified the importance of the old coalfield communities when, in 2016, it established the ministerial taskforce for the south Wales Valleys under the leadership of my good friend Alun Davies, the Member for Blaenau Gwent. I remember many conversations at that time with Alun about the role of education, lifelong learning and skills, and I will touch upon aspects of my portfolio later on in my remarks.

The broad aim of the taskforce was to lead a long-term piece of work to deliver real change by creating good quality jobs closer to people's homes, improving people's skills and bringing prosperity to all, with local communities and local people at the heart of that work, finding solutions for themselves rather than having solutions imposed upon them. It wanted to build on the strengths of the Valleys, including its unique and breathtaking natural surroundings—and of course, Deputy Presiding Officer, I see that every day as I travel down from Brecon to the Senedd.

What many people perhaps will fail to realise is that, even in my own constituency, which many people would regard as a rural constituency, actually, I have ex-coal-mining communities in Brecon and Radnorshire in the upper reaches of the Swansea valley, in places like Ystradgynlais and Coelbren and Abercrave. But we are aware that, within that beauty, there is still the challenge of renewal, of economy, of culture, of democracy and debate. I know that the current Deputy Minister is adamant that we also include the environment, the culture and green spaces in this work, as they have the potential to boost community well-being in the widest possible sense.

If I can now turn to specifics of investment, the Deputy Minister has announced funding worth £650,000 in Caerphilly. Williams Medical Supplies, for instance, will see 91 new jobs created in Rhymney. This funding has secured and created really good employment opportunities, and the company has shown its commitment to our economic contract and invested in improving its green credentials. William Hare Ltd, an international company that engineers steel solutions for innovative construction projects worldwide, are putting in over £10 million for the acquisition and the development of their Risca site, with the Welsh Government providing £350,000 to support the company's plans. This will result in the creation of 100 new jobs over the next two years, alongside the expansion of facilities, improved manufacturing capabilities, more apprenticeships and using local suppliers, which will be a real boost to the foundational economy, which, as Vikki rightly said, is hugely important.

And a key part of our approach to enabling long-term change is the Tech Valleys programme. Our aim was to encourage the adoption of digital technologies and developing high-value advanced technologies that support cutting-edge industries. Now, it's true to say that the global slow down in the automotive industry in particular has meant that progress has not been as extensive as we would have hoped. Two key strands for the future delivery of the Tech Valleys programme have been identified: (1) to continue to attract and develop cutting-edge global technology organisations and (2) to assist existing local businesses to improve their processes, apply technology, and to develop higher-value products and diversify their customer base so that they are futureproofed.

On the first strand, in 2018, we invested £100,000 in Dennison Advanced Materials Centre, a state-of-the-art engineering training facility at the Blaenau Gwent learning zone. The centre is one of only a handful of FE colleges in the United Kingdom that can provide advanced composite training as part of its aeronautical and motorsport engineering courses. Since then, the first advanced composite apprenticeship course in Wales has started and it has attracted 60 students to date, including, I'm very pleased to say, Deputy Presiding Officer, a number of female applicants. Last year, 30 per cent of the engineering applications were from women.

As you know, we're also working with the global technology company, Thales on a £20 million National Digital Exploitation Centre—the NDEC—in Ebbw Vale. We are match funding Thales's £10 million investment, and the NDEC has already injected £1 million into the local economy with 20 of its 53 local suppliers based in Ebbw Vale, and has employed over 90 per cent of its start-up staff from the local area. The initial capability is now open for business with a state-of-the-art cyber range and business facility, and a growing education programme with links to local businesses.

On the second strand, we've developed a focused programme of support to assist grounded firms in the Tech Valleys area to increase productivity. The productivity enhancement programme will utilise the combined resources of our regional relationship management team, the smart innovation programme, the Blaenau Gwent economic development unit, and the Upskilling@Work project led by Coleg Gwent. And it will also lever additional specialist resources, such as the ASTUTE programme, where appropriate. Furthermore, Coleg Gwent are leading on our personal learning accounts pilot. This is already making a difference in supporting employed individuals aged 19 and over and earning under £26,000 to gain higher level qualifications or skills in these sectors where a shortage of skills has been identified by the regional skills partnership, such as engineering, construction, ICT and health. That will enable them to progress into employment at higher levels of wages.

But we're also raising attainment and aspiration earlier in the education journey. Earlier this year, the brightest and best students from the Massachusetts Institute of Technology, the world's No. 1 university, spent time in our schools supporting maths and science teaching. We are only the seventeenth country in the world to take part in the scheme, and schools across Rhondda Cynon Taf benefited from this as well as schools further afield in the coalfield area, such as Neath and Bridgend. 

Our reforms to student support mean that more students from low participation areas are studying full time, part time, and for Master's degrees. Just yesterday, I was speaking at a lifelong learning conference and was able to confirm an 80 per cent increase in new Open University students in Wales. And nearly half of OU in Wales students now come from our most disadvantaged communities, including a significant uplift from students from the coalfields. This year, we've also seen an 8 per cent increase in university applications from our most deprived areas and that is the best record anywhere in the United Kingdom. 

The Valleys taskforce also has as one of its priorities the further development of the foundational economy, which Vikki again highlighted as being a crucial part of work. It has provided £2.4 million to fund 27 Valleys projects as part of the foundational economy challenge fund, enabling them to experiment with novel projects in their local areas. So, for example, the Rhondda housing association has been given funding to acquire a vacant department store and manage it as an enterprise hub to help revitalise the high street. Blaenau Gwent council has received support to examine how it can increase spend with local businesses, up from a baseline of 17 per cent of its procurement expenditure. 

The successful spreading and scaling of the outcomes from the foundational economy challenge fund projects will support policy objectives that complement the priorities of a range of Welsh Government departments. And this Government, together with our partners in the WLGA have adopted a town-centre-first principle. This will see Government, local authorities and wider public sector business and communities consider a town centre location in their decisions to put the health and the vibrancy of our town centres at the starting point for their location strategies and location investment-making decisions, and that includes the twenty-first century schools and colleges programme. 

Our transforming towns regeneration programmes are also providing or enabling £800 million-worth of investment to support over 50 towns across Wales to rebuild and refurbish buildings and public spaces, as well as tackle empty properties. In January, we announced a further package of support for town centres with nearly £90 million, and the package includes extending our capital grant programme for a further year to March 2022. And this will deliver additional regionally prioritised town-centre regeneration projects worth £58 million.

Our transforming towns agenda supports investment to create well-connected, vibrant, viable and sustainable towns, with a strong local economy where people are proud to live, work, play and invest. And for our children, we chose Rhondda Cynon Taf as the area to pilot our new approach to independent careers advice as part of the Gatsby programme. Recently, I was in a school in the constituency of Mick to see the aspirations of those children there and the advice and the work experience opportunities and mentoring that that pilot is bringing to children in those communities. Deputy Presiding Officer, I asked one student where he was applying to go to university, and he said to me, 'I want to go to the best—why not? I'm applying to the Massachusetts Institute of Technology.' And I have every confidence that that student will get there.

I hope that this gives the Senedd, those of us that are left, a flavour of the many different areas of work across the Welsh Government that is focused on, or is contributing to implementing the long-term sustainable changes needed in the south Wales Valleys. And as always, the Government is grateful for the dedication that Vikki has in ensuring that these matters are discussed on a regular basis here, on behalf of her constituents and those across the south Wales Valleys communities, for which we are grateful. Diolch yn fawr.

Thank you. And that brings today's proceedings to a close. Thank you.

The meeting ended at 18:37.