7. Statement by the Deputy Minister for Economy and Transport: The Foundational Economy

Part of the debate – in the Senedd at 5:50 pm on 23 February 2021.

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Photo of Lee Waters Lee Waters Labour 5:50, 23 February 2021

I think one of the exciting things about the agenda, which also is one of the most difficult things about the agenda, is the richness of its diversity. There are so many different elements to it, but at its heart it is about iteration, experimentation. So it's in that co-operative, guild spirit of local enterprise and adaptation to local circumstances. And so that's why community ownership and social enterprise is very much within the grain of the movement.

When we identified the £4.5 million challenge fund, which originally was a joint agreement with Plaid Cymru that we then built upon, the schemes that we agreed to fund came almost equally from the private sector, the public sector and from the third sector. This is not a monolithic, public sector-led project; it's about a cross-fertilisation of these different areas working together. And I think Huw Irranca-Davies mentioned the high street as quite a useful dashboard, really, of this approach, and Mike Hedges was contributing just earlier. It's interesting that one of the first pieces of work done by the University of Manchester group that has been pioneering this approach intellectually was in Morriston high street, where what they found through understanding what people wanted from their high street was that they valued the social infrastructure: they valued the toilets and the park more than they did free parking, actually. And we've lost a focus on that through austerity. And they also identified a key insight, which was the role of the public sector in placing themselves on the high street. They made the point that, in Morriston, for example, you're within spitting distance of the DVLA and Morriston Hospital, but those two institutions have turned their back on the high street. So, how can we get large institutions like that placing themselves in our shopping areas?

And also, not far from Huw Irranca-Davies's patch, in Bridgend, we've seen another of the challenge fund projects taking work that began in Merthyr on what are called 'meanwhile spaces'. So, in town centres, creating a space, a pop-up shop, possibly, where traders—sole traders, online traders, market traders—can grow and expand and trial having a shop space to see if they can make a success of that before moving on. So, creating a space where they are in the meanwhile between the two parts of their journey. And that's been a really interesting experiment, which has got huge potential to roll out across our town centres.

So, I think one of the challenges of this is how you manage it, because the more you dig into this, the more potential there is to go off in all sorts of different directions, and bringing a degree of discipline and priority to it, I think, has been one of the challenges. And this is definitely an agenda, I think, for the next Welsh Government and the Senedd. We've just begun to scratch the surface, I think, and started to generate an enthusiasm and awareness amongst the groups that we're working with of the potential of this agenda, and I hope that it will grow and grow.