The COVID-19 pandemic is not yet over and a second spike is deemed probable, and, as we look to the horizon, we now see an economic hurricane fast approaching, and it is my duty as the representative of proud Gwent Valleys communities such as Aberbargoed, Newbridge, Crosskeys and others to demand that the Senedd supports this Welsh Government in its determination to safeguard the people of Wales, and I also welcome today's funding announcements.

Opposition Members have previously remarked to me that they think 'austerity' is my favourite word, as I use it a lot, but it's because I despise the policies of austerity, because they were chosen out of choice and they have caused real harm and real inequality. The UK Tory Government of Cameron and Osborne have callously destroyed real lives in Islwyn for no return and for no benefit, and now marvellous magical money trees—whole forests—have now materialised. But what lies economically ahead now is a vast potential danger and harm to Wales. Through the 2008 recession, the largest quarterly shrinkage in gross domestic product was 2.1 per cent. In the three months to May, gross domestic product has shrunk by an incredible 19.1 per cent. Outside of this glowering unemployment data and the predictions due to C-19, we as a nation face also the very live and real issue of EU exit under 'no deal' terms ever likely and the predicted cliff-edge trade drop-off and parallel export tariff rises for Welsh business, all this leading to further predicted additional general downturn in both export and trade.

Despite the Welsh vigorous international trade discussion negotiation and exploratory talks, we still have heard nothing from the UK Government in regard to the shared prosperity fund for lost EU funds. Such serious macro-economic issues need an infrastructural mechanism for Wales to participate, as has been said, with parity of esteem, regularly and consistently within a mature inter-governmental devolved nation interface with the UK Government. This is still, very sadly, lacking.

As a member of the Senedd's Finance Committee, I welcome the transparent and frank way in which the finance Minister, Rebecca Evans, engages with the work of the committee and I also will applaud the effectiveness of the UK Government's employment subsidy schemes. And whilst I understand that the Chancellor has to plan for winding down the employment subsidy schemes, it is imperative that they are wound down when it is clear the virus is no longer a danger to public health. However, we cannot at all be certain that the pandemic will no longer be a significant threat in October, when the coronavirus job retention schemes end. We know what is probable.

I support the instincts and actions of the Welsh Labour Government that seeks an interventionist approach to support businesses, communities and individuals in Wales, as shown by the Welsh economic resilience fund and its second phase roll-out. It is encouraging to see that the UK Chancellor also intends to effectively replicate the Welsh Government's Jobs Growth Wales plan in his plan for jobs.

Acting Presiding Officer, on behalf of the communities of Islwyn, I urge the Welsh Labour Government to stick to its interventionist socialist principles to guide its draft budget and to hold to account the UK Tory Government to the scale of the real challenges that lie ahead for us all. With economic output only rising by 1.8 per cent in May, as opposed to the expected rebound of 5.5 per cent, it is no wonder economists like Thomas Pugh at Capital Economics are quoted as saying that there is a real risk that the nascent recovery will peter out in the second half of the year as unemployment rises and Government support fades.

Despite the most generous package of COVID-19 business support across the four nations of the UK, we in Wales are now staring in the face of some truly wicked issues of a 'no deal' exit and the post C-19 recovery. We also face, as has been mentioned, a substandard fiscal arrangement based on need with the UK Government and a lack of a mature interface with the UK Government. Wales and the UK need appropriate and mature inter-governmental mechanisms, and not ad hoc top-down sweeties thrown from the table, to tackle strategically the consequent levels of unemployment not seen in Wales since the 1980s. The Welsh Labour Government will continue to work—