The Shared Prosperity Fund

1. Questions to the First Minister – in the Senedd on 15 February 2022.

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Photo of Gareth Davies Gareth Davies Conservative

(Translated)

1. How does the Welsh Government plan to maximise shared prosperity fund investment in the Vale of Clwyd? OQ57678

Photo of Mark Drakeford Mark Drakeford Labour 1:40, 15 February 2022

Llywydd, the UK Government was very clear that it saw no role at all for the Welsh Government in last year’s shared prosperity fund pilots, in either the design of those pilots or the decisions made within them. I hope for a different approach when the proposals for the fund are eventually published.

Photo of Gareth Davies Gareth Davies Conservative 1:41, 15 February 2022

Thank you for that answer, First Minister. My constituents have already benefited from the UK Government's levelling-up agenda. Projects in the vale had a share of nearly £3 million in the past year through the precursor to the shared prosperity fund. The community renewal fund has brought in much needed cash for projects across my patch, from youth projects to employment schemes and everything in-between. So, First Minister, if the Vale of Clwyd is to reap the rewards of the shared prosperity scheme, it needs both Governments at either side of the M4 working hand in hand. Will your Government commit to making the levelling-up agenda a complete success, working with the UK Government rather than just sniping from the sidelines? 

Photo of Mark Drakeford Mark Drakeford Labour

Well, Llywydd, I agree that, if a success is to be made in the shared prosperity fund, then it should be a joint endeavour between the UK Government and the Welsh Government. That has been our position for many, many months. The difficulty is not with the Welsh Government wishing to play a part; it is simply that the UK Government is clear—has been up until now, at least—that there is no part at all for us to play. Now, the House of Lords—its constitution select committee—reported on this matter only a couple of weeks ago. It surveyed the history of the shared prosperity fund, and this is what it said: it is the UK Government's lack of engagement with devolved administrations that is unhelpful and has undermined trust. The devolved administrations should have a more constructive role in the governance of the shared prosperity fund. This should include decisions about local priorities and the allocation of funding. Now, if the UK Government is prepared to take the advice of the House of Lords select committee, then we will have a joint approach to decision making under the fund. If the UK Government is prepared to offer that, then the Welsh Government will be a willing partner. 

Photo of Carolyn Thomas Carolyn Thomas Labour 1:43, 15 February 2022

First Minister, how do you think residents in the Vale of Clwyd will react knowing that Wales will be £1 billion worse off over the next three years as a result of a broken Conservative promise that we would not be a penny worse off? 

Photo of Mark Drakeford Mark Drakeford Labour

Well, Llywydd, I thank Carolyn Thomas for that. I did think that the original questioner had a very strange view indeed of what was in the best interests of his own constituents. He asks them to celebrate the £47 million received in Wales from the community renewal fund without drawing attention to the £375 million that Wales has lost out on in that year. Now, under the previous funds that came to Wales, the Vale of Clwyd and the whole of north Wales benefited far, far more than any small dribbling out of funds from last year's community renewal fund: £28.5 million for renewable energy, marine energy alone, across north Wales; £7 million for major regeneration projects, including the Queen's Buildings in Rhyl and £1 million to upgrade Rhyl station; and major north Wales investments in skills and in research, Llywydd. I think it's very unlikely indeed that residents in the Vale of Clwyd will be celebrating at having been offered sixpence when they've lost a pound.