1. What action is the Welsh Government taking to improve the economy of South Wales West in light of the COVID-19 pandemic? OQ56189

Thank you. Well, of course, we’ve provided the most generous package of support for businesses anywhere in the United Kingdom since the start of the COVID-19 pandemic, worth over £2 billion, and £1.7 billion of that is now in businesses' accounts. In south-west Wales, the latest restrictions fund has seen over 3,600 businesses receive over £12.4 million, and the sector-specific fund has made 268 offers worth £2.8 million to date.

Thank you, Minister. I recently contacted you regarding the plight of gaming arcades, and in your response you state that you had to take difficult decisions on eligibility criteria. These businesses, which your Government has classified as being the same as casinos or licensed betting establishments—which they're not—are being denied the same support as other leisure businesses in Wales. And whilst their counterparts in Scotland and England receive support, why is it the case that bingo halls can receive support but high-street gaming arcades cannot? Minister, will you arrange to meet with representatives of the three impacted businesses within my region to hear their plight? If these businesses are forced to close, hundreds of people will lose their jobs. Thank you.

Can I thank Caroline Jones for her question? I'm always willing to meet with businesses and with representative bodies. Of course, if a formal invitation is made, we'll give it very, very sympathetic consideration. In relation to the issue, though—to gaming and gambling—the guidance that is used by local authorities clearly states, in relation to those venues, arcades of the type that could be classified as amusements rather than gambling premises are considered leisure establishments and are eligible for the grants, either via the small business rate relief route, or where the rateable value of the premises makes them eligible for the larger £5,000 as leisure facilities. But as I've already said on numerous occasions during the course of this pandemic, very difficult decisions have had to be made, and, in so doing, we are still offering the most generous package of support anywhere in the United Kingdom to protect jobs. To date, we've been able to protect more than 140,000 jobs across Wales as a result of our direct action.

South Wales West is already experiencing its own economic shocks, not least due to the exposure of supply chains, which feed into the now fragile hospitality, tourism and leisure sector. Minister, you've recognised that fragility with ring-fenced financial support for many front-line businesses, but, of course, they still won't be buying stock or committing to capital improvements at this point. Developing the foundational economy is a big plank of your policy, as is the promotion of Welsh food and drink. You've insisted that viable businesses should still be with us once we're through the pandemic, so where are you at the moment in securing the viability of that gate-to-plate path?

Can I thank Suzy Davies for her question? I should actually say that, in terms of considering capital investments, we did make available £100 million in business development grants, which was taken by a huge number of businesses—great interest in that particular scheme and the demand was incredible. That was specifically designed to encourage businesses to invest in their future. So, we have already made a considerable sum of money available for capital improvements. And in terms of that pathway to recovery, just last Friday the First Minister announced an additional £200 million to the restrictions fund, taking it to a total of £650 million, to enable businesses to have that bridge to the period of recovery.

In terms of the supply chain, we've also been able to allow supply chain businesses to access funds where they are able to prove a significant downturn in turnover. And it's worth just mentioning to Members that, in direct regard to that key sector that Suzy Davies has mentioned—hospitality—a typical hospitality business in Wales with the equivalent of six full-time staff could now be eligible to receive between £12,000 and £14,000, to help them through this desperately difficult period of restrictions. And that compares favourably to what's on offer across the border, where £9,000 is the highest award available to businesses in that sector of the same size. That demonstrates just how generous the offer is in Wales and how determined we are, as a Welsh Government, to secure the futures of as many businesses and as many employees as possible. 

Minister, over £32 million has been given out in business grants to businesses across Neath Port Talbot and I very much welcome that. But many of those small businesses depend upon one large business—Tata—in my constituency, and they have previously applied to the UK Government for help from the coronavirus business interruption loan scheme funding. They haven't heard yet. Have you had a chance to speak to the new Secretary of State for the Department for Business, Energy and Industrial Strategy to discuss how he can support Tata during this particular time? 

Can I thank Dai Rees for his question and say that a call with the new Secretary of State is now scheduled? It's in our diary. I have previously had very constructive relationships with other Ministers in BEIS, including, I'd particularly mention, Nadhim Zahawi, who is very collaborative in his approach, and we spoke on numerous occasions about the need to support the steel industry. Of course, that support has not yet been forthcoming from the UK Government. It's absolutely crucial that a deal is provided to the sector as a whole, but that specific support is agreed with Tata, recognising the strategic purpose of Tata as the UK's primary steel maker, and that is absolutely vital in terms of our national security and our economic well-being. So, these are the points that I'll be pressing upon the new Secretary of State when I speak with him.