1. What are the Welsh Government's plans to encourage economic growth in north Wales? OQ58364

Diolch for the question. We are actively working with our regional partners, including Ambition North Wales, to maximise opportunities for the region. The collaboratively produced regional economic framework for north Wales was published last December. This sets out our shared priorities for the region and will form the basis of an agreed delivery plan.

Well, thank you for that response.

The new census results are highlighting how many local authorities across north Wales are actually experiencing a decrease in population. We’re also seeing the population aged over 65 in Wales increasing and the population of people aged 15 to 25 actually fell during the census period. Now, yesterday, the First Minister effectively denied the existence of a clear trend of losing many young people from our communities across Wales, and not only people moving out of Wales, but moving from rural into urban communities, from north to south Wales. What risk do you think that poses to economic growth in my region of north Wales, and what’s the Government doing to try and tackle that problem?

Well, I don't think it's fair to say that the First Minister denied that that factual trend is taking place. It was more about the narrative and the tone of what we are trying to do in recognising that that's taking place. In fact, it was part of the refreshed economic mission that I set out in October last year. It forms the work that was done in advance in recognising that this isn’t just a challenge for public services. In my previous role, we were talking lots about the reality that health and care systems will be under more pressure because of the good news story that more of us can expect to live for longer. Actually, the additional challenge that we have in Wales is that our older population is growing at a faster rate than the working-age population itself. That’s also an economic imperative as well.

So, we have challenges about what we do to attract people to come back to Wales if they’ve gone to other parts of the world to work and study. It’s also about how we attract people who aren’t from Wales to want to be part of our future. And we see that as a potential net gain for Wales as well. We think that will only happen if there are attractive options for the world of work and, indeed, the quality of life people can have in Wales as well. And actually, the pandemic has accelerated a range of those trends—the ability to work remotely in different parts of the world, and the fact that people are more interested in their quality of life, where Wales has an awful lot to offer. This is all about how we have more people wanting to plan their future here. Wales is a really good place in which to plan your business and to grow your business, and that should help us with the challenge we do have when it comes to demographics and the impact on the economy.

The Minister, I'm sure, will have seen the recent announcement from Rolls-Royce that Deeside is one of six locations shortlisted for the first small nuclear reactor factory. Now, the reality is that nuclear power will have a role to play in ending our reliance on fossil fuels, and the Minister and Members will know that we do have a highly skilled workforce in the north-east of Wales required for such bids. And I say that with pride as a Member who previously has worked in the manufacturing and engineering industry in Deeside alongside colleagues in that sector, and I am proud to be able to say that. Minister, this is a chance to increase economic growth not just in Alyn and Deeside, but right across north Wales. Therefore, can I ask you, Minister, what the Welsh Government can do to support such a bid?

Yes, I take on board the preamble stuff about the reality that nuclear will be a part of our future energy mix. If you look at what the alternative is, Germany, for example, having moved away from nuclear, is now having to restart and reinvest in coal and that has real and significant unavoidable consequences for the whole planet and not just Germany itself. So, we are very clear that we want to see investment that will benefit the local economy, and, of course, you're right that north Wales, across the board, has significant strengths in advanced manufacturing and engineering. And if that investment were to be made in Deeside, and we would like it to be, there would be significant numbers of jobs, not just within Deeside, but what it would mean for the future. So, we'll continue to be positively engaged around Trawsfynydd, around Wylfa, and around Rolls-Royce's potential ambitions and what that could mean for Wales. My officials continue to meet with Rolls-Royce; there is good constructive engagement. And we look forward and hope that Deeside will, ultimately, be the starting point of SNR production, and, indeed, as the First Minister said yesterday, a future for radioisotope production in Traws as well.

Can I also support Jack Sargeant's calls there for that continued support, and thank you, Minister, for your commitment to that for north Wales? As you say, it will be a significant economic improvement for us in the region.

Last week, Minister, I had the pleasure of meeting with the Wales Business Council, who I'm sure you know are a group who bring together around 31 business representative organisations from the private sector here in Wales. They highlighted to me in particular the importance of attracting highly skilled jobs into my region in north Wales—of course, the type of thing that Jack Sargeant's just raised with you there. They also welcome, Minister, your continued engagement with the private sector and that continued relationship. I wonder how you'd describe that relationship, Minister, and, if you were to have some personal improvements in that relationship with the private sector over the summer recess, which areas would you want to improve on?

I actually think that we're in a very good position in our relationship with a range of stakeholders. I'm meeting trade union groups next week. I met with Community, a largely steel-based trade union, to talk about the future of the sector yesterday. And I met with the Federation of Small Businesses, the Confederation of British Industry and Chambers Wales this week as well. Actually, it's one of the points, on coming in to this post, that was made by business organisations themselves, that they felt that the nature of the relationship with the Welsh Government and wider stakeholders was stronger than it had ever been before, because of the way we had had to work together during the pandemic, because of the regular nature and exchange of information, and the ability to build on 20 years of trust in devolution, and the very concentrated pressures of the last two years. Where we've been honest and where we've disagreed as well as where we've agreed, we've always managed to improve the strength of our relationship. But I don't think our relationship is the point that I would say that we need to see improving, and we actually need some more certainty in an environment in which we're going to make choices. That's both on trade with our European partners and on investment choices. We talked earlier in Jack Sargeant's question about nuclear; we need not just ambition but actual choices to be made, and we definitely need certainty for our steel sector, which will be a crucial part of how we're able to take advantage of renewable energy, around our coastline in particular, and a range of other opportunities in advanced engineering and manufacturing.