The Retail Sector

1. Questions to the Minister for Economy – in the Senedd on 7 July 2021.

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Photo of Vikki Howells Vikki Howells Labour

(Translated)

4. What are the Welsh Government's priorities for supporting the retail sector in Wales over the next 12 months? OQ56717

Photo of Vaughan Gething Vaughan Gething Labour 2:04, 7 July 2021

Thank you. We fully recognise the COVID pandemic has had a tremendous impact on the retail sector. That's why we're working closely with them to develop a retail strategy, which will outline our priorities and a shared vision for the future of the sector.

Photo of Vikki Howells Vikki Howells Labour

Thank you for that response, Minister. I'm sure that you'll be aware that the Union of Shop, Distributive and Allied Workers, of which I'm a member, has produced a retail recovery plan, setting out some key interventions to support the sector. Acknowledging, of course, that some of the levers are reserved and that the Welsh Government has already delivered on some key asks, such as full rates relief for retail businesses in Wales, I'd welcome your reflections on that report and what further measures you could take in order to ensure that the needs of the retail sector are at the heart of Welsh Government economic policy during the next 12 months. 

Photo of Vaughan Gething Vaughan Gething Labour

Yes. In fact, in my initial response, I should have been clear that, when I talk about working with them, the retail sector, I do mean businesses and trade unions. USDAW have been very constructive in their retail recovery plan that they've proposed, and I'm actually going to be meeting with businesses and the trade union side over the next week. Because what we have been doing already is looking at what we can do here, within Wales, to make sure that we help the retail sector recover as far as possible. And the future vision relies both on what we're prepared to do, as well as what businesses are prepared to do as well, to think about the offer and how they survived in the pandemic. But it also relies on the behaviour of us as consumers. For a long time during the pandemic, people bought into buying local and supporting local traders. The challenge is that if more people move to online and remote purchasing that can have an impact on high street and in-person retail. So, we've got to think about what we're prepared to do and how people feel about going back into environments that many of us haven't been in for some time. So, there's a challenge here about personal behaviour, but we look forward to working with the retail sector, both businesses and trade unions, to make sure that there is a positive future for retail here in Wales.

Photo of Peter Fox Peter Fox Conservative 2:06, 7 July 2021

Can I thank Vikki Howells for bringing this question today? And I think, whilst we all welcome the business support that has been offered to date, as we begin to emerge from the pandemic, it's crucial that certain existing support packages are reformed to instil confidence and encourage consumer spending in the retail sector on our high streets and town centres. And the transforming towns fund is vital for retail across Wales and, indeed, in my own constituency, but its funding streams are only short term. Therefore, Minister, will you address this by ensuring those eligible can access the fund in the longer term? Thank you.

Photo of Vaughan Gething Vaughan Gething Labour

Well, longer term choices will need to be subject to our budget considerations, but I'm proud that this Government has taken a serious view on investing in the future of towns—and retail is an important part of a sense of place for people who live in those towns—and how we drive more footfall into town centres to make sure those businesses are viable. So, yes, I expect we'll be making further choices about how to further support towns in the future, as opposed to funding that will only end after a limited period of time, but I can't give you a definitive view about the budgetary future. As you know, we'll be going through budget setting over the coming months, and I look forward to talking about that with you, and no doubt there'll be many opportunities to do so.