I now call on the party spokespeople to question the Minister. First of all, the Welsh Conservatives' spokesperson, Paul Davies.

Diolch, Dirprwy Lywydd. Minister, yesterday, I raised with you the Cardiff capital region brochure that boasted of relatively low rates of pay, and describes Cardiff as having lower graduate salaries than Birmingham, London, Edinburgh and Glasgow. Unsurprisingly, Cardiff capital region's approach has been labelled a destructive strategy that would push away young talent in south-east Wales by Nerys Lloyd-Pierce, chair of Cardiff Civic Society. And TUC general secretary, Shavanah Taj, has said that this is a depressing and divisive approach that risks locking in a low-wage economy for the many communities the Cardiff capital region represents. Minister, given that you have previously said that you don't have to get out to get on in Wales, can you tell us how the Cardiff capital region's marketing strategy works alongside the Welsh Government's approach for graduate retention?

Well, I don't think it's fair to say that the capital region is looking to lock in depressed graduate salaries. Actually, the ambition of the capital region, which is made up, as you know, of a partnership between 10 local authorities, of differing political leaderships, and the UK and Welsh Governments, is to lever in and engineer further growth, improved productivity, and actually raise wages right across the region. That's why there are conversations about what can take place within the capital, as well as what takes place outside of Cardiff—whether it's at Aberthaw or whether it's in what we want to see in terms of improving economic performance and outcomes for people in the Valleys as well. So, this is really about wanting to raise the bar and see further growth and improvement in wages, including for graduates.

Well, I hope you'll condemn this brochure, Minister, because it's vital that Wales is not marketed to external investors as a low-wage economy, and this language certainly does nothing to retain graduates who feel that they do have to get out of Wales to get on in life. Now, of course, it's crucial that, as we develop the Welsh economy post pandemic, the Welsh Government harnesses the unique skills and sectors associated with local areas. And one way to do that is through enterprise zones. It's vital that the enterprise zones align with the priorities agreed in the regional economic frameworks that have recently been published, and it's important we see real outcomes and value for money from the enterprise zones. Minister, I understand that enterprise zones have been through a period of extensive review, which has been informed by discussions with key stakeholders, and which builds on the earlier review undertaken in 2018, according to a recent written statement that you have issued. Can you therefore tell us what the outcomes of that review have been, and can you also confirm today how you're ensuring that each of the enterprise zones is delivering value for money for the Welsh taxpayer?

Well, you're right to say that our enterprise zones strategy needs to make sure that it's aligned with the broader work we're undertaking with partners. And I think, actually, it's a real strength that we're able to have a joint conversation, where the Welsh Government and local authorities in those regional groups and business organisations have a single voice, and it's interesting that that unified and cohesive offer is something that a number of people find attractive, for growth within the UK as well as the potential for inward investment. 

The three enterprise zones that are continuing, based around the three potential port areas of Neath Port Talbot, around Pembrokeshire and, indeed, in north Wales around Holyhead, all have potentially different missions that could all be complementary, and are certainly complementary with the aspirations of each of the regional economic frameworks. And that's how we're looking to make sure we have a complementary approach, rather than a competitive or competing or contradictory approach between what the enterprise zones are doing and their line of sight with those regions. I can provide the Member with extra assurance because I met the three chairs of the enterprise zones that are continuing, and this was part of the discussion that we had. 

Of course, Minister, it's vital that the enterprise zones, the Cardiff capital region, the regional skills partnerships and other key forums are working together effectively, and that we can see clear outcomes and value for money from them. The Welsh Government's regional economic frameworks are important in developing place-based approaches to economic development, and marketing the distinctive benefits of each of our regions. Of course, it's vital that we can see how these frameworks are not only improving prosperity in each region, but also how they are tackling some of the deep structural issues that have plagued some communities in Wales for far too long. Therefore, Minister, can you tell us what key performance indicators will be used to rate how effective the regional economic frameworks are in practice? Can you also tell us how you will ensure that these frameworks do not result in further bureaucracy and duplication, and will you also commit to providing an annual update on the outcomes of each of these frameworks so Members can determine their effectiveness?

Well, the regional economic frameworks actually set out how partners are going to work together and the priorities for investment in improvement in those regions. And they're not imposed by Welsh Government—far from it. It's joint work that's been undertaken between those economic regions, between the different partnerships that exist together in Wales, and, in each of them, there's been a different level of political leadership in each region with local authorities, but they've all recognised they can gain more by working together and having a sense of priorities. And the regional skills partnerships on the same footprint are helping to do that in a way that I think is consistent and adds value to each other. 

For each of the regions, you'll be able to see not just the areas of priority, but whether we are making progress in each of those areas as we go through each year. I'm not sure that a report from me annually is necessarily the right way to go, but I do think it would be helpful, between the Welsh Government and each of those economic regions, to be able to provide an update on a basis that would be shared, because this is the part of the challenge, isn't it—there's often a demand that the Minister does everything, and, in this area, we recognise we have to work alongside local authorities and the powers that they have, and it's actually about the Welsh Government not simply directing everything in this area, but working in a much more cohesive and effective partnership. I'd be more than happy to discuss with each of those regions how we provide a regular update so that the people that local authorities are accountable to, which is obviously a subject on everyone's mind given the elections at the start of May, together with the Government, know what we are doing together to improve economic fortunes and to make sure you can see the sort of progress that we are making. 

The Plaid Cymru spokesperson, Luke Fletcher.

Diolch, Dirprwy Lywydd. Minister, I listened with great interest to your response to Paul Davies, both yesterday and today, on the Cardiff capital region's absolutely shocking boast about relatively lower graduate pay in Cardiff compared to counterparts elsewhere in the UK. These comments, while supposedly to attract inward investors into the region, are ultimately insulting to our young talent, treating them merely as a cheap resource. Welsh graduates must be valued as more than cheap labour if the Welsh brain drain is to be rectified. I also noted the Minister didn't respond to Paul Davies's calls in his second question to condemn what was in the prospectus relating to wages. So, I wonder, then, does the Minister think this kind of rhetoric from Cardiff capital region is appropriate, and does he think that the promotion of a low-wage economy is the best way to further the Welsh economy.

Well, I just don't think the Cardiff capital region are promoting a low-wage economy in what they're saying. I haven't read the exact text in the brochure, so I'm not going to say that I absolutely endorse or condemn what's there. I know from my conversations with the varied leadership of the region that they are not looking to promote this part of Wales as an area of cheap labour. They recognise there are significant skills. We have lots of graduates coming out of the universities, and that's very attractive for a range of businesses already here as well as people who might want to invest in this particular part of Wales. The fact that there is an economy that is growing, the fact that there are lots of graduate skills—and it's the skills that people are looking for—is attractive.

The ultimate end goal is to improve people's economic outcomes, to see wages rise, and that's particularly important given the cost-of-living crisis that we are still going through. So, in terms of the way it's been presented to me, that certainly isn't the way that I would present the plans for the Cardiff capital region, but I'm not entirely sure it's a faithful or fair representation of the way that the capital region themselves are looking to market the opportunities to improve productivity and wage growth here within the capital region.

I have to say I find it difficult to accept that the Cardiff capital region isn't promoting low wages, and of course the explanation given by yourself as well yesterday in response to Paul Davies that the way this has been reported has been miscast, I hope you'd forgive me in saying that I find this nothing more than a bit of spin. I'll read directly from the prospectus, and I quote here:

'We're competitive. The Cardiff Capital Region provides clear cost advantages with competitive operating costs in comparison with other major UK cities. With the security of a large and skilled workforce, the region has an extremely attractive proposition.'

It goes on to talk about salaries.

'Our workforce is distinctively younger than the UK average, well-educated and diverse, supported by three highly regarded universities. Salary costs across the region are very competitive.'

And it goes on to list then the salaries by city, with Cardiff being right at the bottom, highlighted. It further goes on to describe Cardiff as a low-risk, high-reward location that provides clear cost advantages compared with other major UK cities. I think that's pretty clear cut.

And then the reality is that this isn't the first time that something like this has happened. I remember in 2019 my colleague Rhun ap Iorwerth raising almost an identical issue where Trade and Investment Wales had hailed 30 per cent lower salary costs in Wales compared to the other parts of the UK as a reason to invest in Wales. This, sadly, I have to say—

You need to ask the question now.

—reflects the ongoing trend where wages in Wales have stagnated for far too long under successive Labour Governments. But I do hope that the Minister in his time in this portfolio will buck that trend, and I sincerely mean that. But how does he propose we tackle the brain drain when there are public bodies in Wales promoting a low-wage economy, and how can we measure his success? Because I certainly don't want to come back to the Minister highlighting this again, and I'd hope none of my successors will need to either.

Well, look, when you actually think about what you've just read out, it doesn't simply say, 'We are marketing the capital region as a low-wage economy.' It's also about the aspirations. When you look at the wider economic framework, actually, they're very clear in the wider economic framework they want to see investment choices made that help to grow businesses and grow wages. And you also think of what's said about land values. Actually, land values are a really big issue for businesses that are looking to invest, as well as the skills in a population. When I recently met with other inward investors, they were most interested in the skills of the population and the future graduates—the future workforce where they were interested. So, this is about investing in the skills of our population. It's about investing in areas where we know we've got areas of strength. I don't accept that the capital region is being marketed as an area of low wages and wages to be kept low. It's actually about how do we ensure that we have advantages for the capital region, particularly with a younger population, which is a real advantage for a range of employers as well, but high levels of skill and the potential for real wage growth, which is what I want to see, and it's certainly what the capital region wants to see as well.