We considered the legislative consent memorandum for the Finance Bill at our meeting on 8 June 2020. We laid a short report before the Senedd on 18 June, and my contribution to this debate this afternoon will therefore be brief.

As the Minister said, the highest emitters of greenhouse gasses in Wales currently participate in the European Union emissions trading scheme. A replacement policy will be required within the UK at the end of the transition period in order to avoid a gap. The legislative consent memorandum notes that given there is a UK-wide intention for a UK-wide framework,

'with common rules for participants across the UK'— the Welsh Government believes—

'it is appropriate for a UK Bill to make these provisions'— for Wales, and our report notes this fact.

At this point, I'd like to provide some broader context to this afternoon's debate. The Legislation, Justice and Constitution Committee monitors the UK Government's reports on the European Union (Withdrawal) Act 2018 and common frameworks, which are produced for the UK Parliament on a three monthly cycle. Members will be aware that the reports provide an update on the use of so-called freezing powers under the EU withdrawal Act, but the reports also note progress that has been made in the development of common frameworks. The seventh report covering the period December 2019 to March 2020 notes that the emissions trading systems framework has gone through the inter-governmental workshops and stakeholder engagement, and has completed phase 2 of the four-phase process. I'm aware that the UK and devolved Government have now also issued proposals on the new UK-wide emissions trading scheme.

Now, moving on, referring to clause 93—as the Minister also did—of the Bill, allows the UK Government to make regulations, which provide for the allocation of emissions allowances in return for payment, under any future UK emissions trading scheme. Whilst the Welsh Government is of the view that this clause requires the Senedd consent, the UK Government does not agree. As a committee, we agree with the view of the Welsh Government. In our view, the relevant provisions of clause 93 relate to a purpose that is within the legislative competence of the Senedd in accordance with section 108A of the Government of Wales Act 2006, and therefore consent of the Senedd is correctly being sought. Thank you.