Oral Answers to Questions

Cheryl Gillan Excerpts

Wednesday 3rd December 2014 Commons Chamber

[Alun Cairns]

The hon. Lady has already made that important point to my right hon. Friend the Secretary of State for Wales. The Secretary of State for Transport has set a minimum service requirement based on the current level of services between south Wales and London, and I have no doubt but that the hon. Lady will be a feisty champion for ensuring that those local services remain.

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

I congratulate the Front-Bench team on securing great investment in the railways, particularly for cross-border services between England and Wales. They know that I have long supported improvement in those services. Will Ministers tell me what discussions they have had with either the Treasury or the Department for Transport on the possibility of Barnettising the investment in High Speed 2? That would make a great difference to investment in Wales.

Wales Bill

Cheryl Gillan Excerpts

Monday 31st March 2014 Commons Chamber

[Mr Jones]

The hon. Gentleman is entirely right, which is why the Government went out to further consultation before announcing their response to the commission’s recommendations. Again, these are points he would no doubt raise in the context of a referendum debate, and given the view he has just expressed, he would clearly be voting against the proposal.

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

I congratulate the Secretary of State on introducing this Bill. I approve of virtually all its contents. I was reading a document produced by the Government in March this year on financial empowerment and accountability, and I was greatly heartened to read that if the Welsh rate of income tax is implemented following a referendum, the Government have accepted the Silk commission’s recommendation that the block grant adjustment should be determined using the index reduction mechanism originally proposed by the Holtham commission. If I remember correctly, those proposals were supported by the Labour party. It goes on to say:

“The detailed operation of the system will be discussed with the Welsh Government.”.

Surely that is the assurance that we need to hear and that will make sure Wales gets its fair share.

[Mr Jones]

My right hon. Friend is entirely right. The indexation proposals would amount to a damp, which would effectively smooth out any peaks and troughs in relation to overall UK income and act as a strong reassurance to the Assembly Government. While I am on my feet, I would like to thank my right hon. Friend for her part in commissioning the work of the Silk commission in the first place.

--- Later in debate ---

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

Rising to my feet to participate in the debate gives me a heavy attack of déjà vu. I hope my words will be slightly less curmudgeonly than those of the hon. Member for Pontypridd (Owen Smith). I give this small and elegant Bill a warm welcome, because I believe it takes Wales forward. It does so in a small, incremental step, rather than in one of those steps that allows Wales to fall into a large hole and disappear without trace. The Government are looking after the interests of Wales and the people of Wales in the Bill. Long may that continue.

As many hon. Members know, for me, the Bill is part of unfinished business that stretches back not to when I was Secretary of State for Wales, but to my appointment as shadow Secretary of State. I pay unreserved tribute to Paul Silk and members of the Silk commission. The Calman commission did not attract the Scottish National party to sit alongside other members, but I was really pleased when Plaid Cymru accepted the invitation to join the Silk commission. The participation of all the parties involved in the governance of Wales in the Silk commission has made its results more credible. I believe it will contribute towards Wales remaining part of the Union, on which most Opposition Members agree with Government Members. I also believe that the commission will contribute to Wales having increasing self-determination in certain matters, which will be good for the people of Wales and for the devolved Administration.

The trend towards more local democracy must not be at the expense of effective governance. That brings me to a point that became apparent to me over the seven years in which I carried responsibility for Welsh policy in my party. In future, I believe that a confident Wales and a confident Westminster Government should not hesitate to contemplate not only the devolution of powers, but the return of areas of competence to the supra-national Parliament, if it is the wish of those areas or institutions. There is a valid and compelling case for that course of action. That was not apparent in the Silk commission report, but by way of example, it was expressed to me while in opposition and in government, particularly from the university sector—albeit often behind closed doors for fear of repercussions—that a body of opinion wanted the re-coupling of Welsh and English universities in the interests of Wales and of education in Wales.

As we have been reminded, the constitutional position in the Bill is that we are extending the Assembly’s term of office to five years. That is probably sensible given the circumstances, but, for me, the jury is out on five-year terms. I was persuaded by the First Minister that that was the way to go because the UK Parliament introduced a five-year term and we need to avoid a clash of an Assembly election with a general election. However, I question the wisdom of that. All hon. Members know how expensive democracy and elections are. I would have liked to have seen the cost savings that would have resulted from running those elections together and any effect on turnout. It does not matter which part of the UK people are in, there is no doubt that they are being turned off by democracy—we are seeing diminishing returns of voters going to the ballot box. Perhaps running those elections at the same time would have increased participation at the ballot box. It might also have been easier to explain the relationship between the Assembly and the UK Parliament.

[Chris Bryant]

I am grateful to the right hon. Lady for giving way because I rather agree with her. Voters would probably prefer to have two elections on the same day. That would make far more sense—I have argued for it since 2010. Historically, general elections have tended to be every four years, even when we had seven-year terms, because either a Government had run out of steam or it felt right to move on and have an election. We are now moving everything towards five-year terms. My anxiety is that that is less democracy and less accountability.

[Mrs Gillan]

The hon. Gentleman makes a good point—it is unusual for us to agree on anything, as he will attest —but we need to examine the matter before we set everything finally in concrete. Those on both Front Benches and anybody involved in the business of government should keep an open mind. Rather than saying, “It will be five or seven years for ever,” we should agree to revisit the matter at some stage. Constitutional arrangements are important, but the engagement of the electorate is perhaps one of the most important aspects of democracy.

[Albert Owen (Ynys Môn) (Lab)]

The right hon. Lady talks about holding elections on the same day, but I believe she voted for the police and crime commissioner elections to be held in the autumn, leading to a low turnout. Her stance on this issue is unclear.

[Mrs Gillan]

The fact that we had those elections on a separate day and the turnout was low is part of the experience that informs what I am saying now. I want to maximise engagement with the electorate, as I am sure does the hon. Gentleman. Unlike much of the debate so far, I am not making a partisan point on this issue. It is more a question of democracy and engaging with the electorate.

[Jonathan Evans]

In the United States, the electorate does not find it difficult to elect insurance commissioners, sheriffs and a range of public officials while also choosing members of the Senate and House of Representatives.

[Mrs Gillan]

My hon. Friend is right. The trouble is that in Wales we never get a breathing space from elections. We have an election almost every year. When we looked at the timetable over the past four or five years, we were relieved of an election in only one year. There is much to be said for putting the elections on one day, but particularly the Assembly elections and the general election.

My right hon. Friend the Secretary of State will not be surprised to hear that I am sad about one particular omission from the Bill, although I will probably attract howls and squeals from both sides of the House. I am sorry that we did not take this opportunity to reduce the number of Westminster constituencies in Wales. When Scotland gained its additional primary legislative responsibilities, the Labour Government reduced the number of MPs in Scotland, and that should have happened in Wales. The job that is done at a cost of £66,396 in an English constituency is done by an MP, an Assembly Member and half a list Assembly Member in Wales, at a cost of some £147,000 in salaries alone. Democracy is expensive, but the boundary changes should have been made and the number of MPs from Wales reduced.

[Mr Hain]

Is the right hon. Lady saying that somehow Welsh MPs work less hard than they used to, or do not work as hard as she and others with English constituencies do?

[Mrs Gillan]

The former Secretary of State and I have engaged on this topic before. A constituency such as Arfon has only 41,138 electors and Chesham and Amersham has 70,000, so—in the interests of fairness and equality, the need for which is often spouted by the Opposition—we should look at equalising the number of constituents across constituencies. Democracy costs dearly—

[Mr Hain]

The right hon. Lady has not answered my question. All she has to say is yes or no. Do Welsh MPs work harder or less hard than she and her colleagues in English constituencies do?

[Mrs Gillan]

The right hon. Gentleman knows that many Welsh seats have fewer constituents than many English seats, and he also knows that many of the responsibilities are devolved—

[Mr Hain]

Yes or no?

[Mrs Gillan]

Well, the right hon. Gentleman can answer yes or no to my question. Does he think that the salary costs alone for every Welsh constituency— amounting to £147,00 compared with just over £66,000—are fair? Yes or no?

[Mr Hain]

The right hon. Lady has not answered my question. She has changed the question. She has traditionally been hostile to devolution, so she is now inventing all sorts of other issues. The simple fact is that we are not second-class MPs because we are from Wales: we are on the same level as she is, until her Government change that.

[Mrs Gillan]

I am not going to trade insults with the right hon. Gentleman. He has 57,823 constituents on the roll, as of 1 December 2010. I have never, ever said that a Welsh MP was a second-class MP, as well he knows. However, if he chooses to go down that line, I have to say that the boundary change and the reduction in the number of MPs should have been carried out and I am sorry it was blocked by vested interests.

Let me turn to the financial provisions in the Bill. I have long thought that the Welsh Assembly Government—soon to be known as the Welsh Government—should understand better and share the responsibilities of tax raising that go with the luxury of spending taxpayers’ money. I therefore welcome the steps in the Bill to bring that sense of responsibility and stronger financial accountability for Welsh Assembly Ministers, as well as the option for Welsh residents to make their views on tax powers known through a referendum.

[Geraint Davies]

I have already made the point that the secret plot is to reduce the overall block grant and then give the powers to Wales, but is not part of that plot, as the right hon. Lady is now revealing, to reduce the number of MPs, lower the voice of Wales in this Chamber asking for a fair share of national assets and say, “You can have fewer MPs and you can raise your money yourself,” so that we have a gagged set of Members here? That is all part of what she is saying, is it not?

[Mrs Gillan]

I said that there would be squealing about what I was about to say before I started that passage of my speech, and indeed there has been. The hon. Gentleman really does not do me justice with those remarks.

It has always been the case that no matter how the annual financial settlement fell, it was always possible for the Assembly to aim criticism at Westminster for tightening the purse strings. No matter where the responsibility actually lies for the poor outcomes, the finger has always been pointed towards Whitehall and Westminster. The provisions in the Bill move towards reducing the opportunity for abrogating responsibility, which, particularly in the fields of health and education, lies squarely with the Labour Administration in Cardiff Bay.

The new funding framework moves from almost exclusive block funding to two revenue streams. The block grant part will remain dependent on the Barnett formula, which, even though I believe it is nearing its sell-by date, should remain firmly in place as long as we are required to continue reducing the deficit left by the last Labour Government, particularly in the light of the convergence arrangements from the October 2012 agreement. The new funding stream of business rates and the Welsh landfill and land transaction taxes—coupled with a Welsh rate of income tax following an affirming referendum—means that the Assembly will now have a real incentive to grow the economy and more responsibility for funding its spending. However, it also means that the Assembly will have an independent revenue stream to support capital borrowing—a welcome flexibility, particularly for making decisions on infrastructure funding.

I also welcome the flexibility that the Treasury is giving to the Welsh Assembly Government on borrowing to start the much-needed improvements to the M4, as well as the cash reserve powers. The UK Government will provide the Welsh Government with the ability to pay surplus tax revenues into a cash reserve that can be drawn on when future revenues are lower than forecast. This will provide the Welsh Government with a mechanism to manage the volatility in their budget resulting from the new tax powers.

I also welcome some of the inter-governmental arrangements that spring from the Bill, including the Government’s response to the Silk commission’s part I report, in recognising the need to ensure that institutional and governance arrangements continue to be appropriate as changes are made to the financial powers of the Assembly and Welsh Government—in particular, the fact that the Office for Budget Responsibility has agreed to the Government’s formal request that it starts to forecast Welsh taxes in the autumn statement 2014 and biannually thereafter. I look forward to the Wales Office letting us know the details of the OBR’s relationship with the Assembly and the Welsh Government, which I understand will be subject to further discussions.

The Government have also agreed with the Welsh Government to set up a bilateral ministerial committee to oversee the transfer of these financial powers. I was pleased to note that an early priority for the Committee would be the consideration of further details relating to the operation of the new budgetary arrangements—including the block grant adjustments—that will accompany tax devolution, and the cash management arrangements.

I have long believed that there should be better co-operation between the Assembly and the Government, and I hope that in the future the Wales Office will consider better arrangements both inter-departmentally, within the Government, and with the Assembly. One of my great hopes is that there will eventually be a forum in which Assembly Members and Members of Parliament could sit at the same time and debate subjects that are of interest to Wales. I give the Bill a warm welcome, and I shall be following its progress in the House, because it is a major constitutional Bill for Wales.

Let me end by paying a very special tribute to a man who for many years was my “shadow” in the House of Lords, Lord Roberts of Conwy. Back in 2008, he was asked by the Prime Minister and me to conduct a review of devolution in Wales. Wyn Roberts was a terrific colleague, and he carried out that review painstakingly and after consulting a broad spectrum of opinion. The genesis of much of the Bill, and indeed the Silk commission, was in his work. Following the publication of the report, he said:

“The question of governance in Wales will eventually be settled in the broad public interest and not in anyone's partisan interest.”

I think that the Bill is another building block of Welsh governance, and it has, I hope, been presented to the House in the spirit of Wyn’s wish that the broader interest be served. I wish it a speedy passage through the House, and I offer my congratulations again to the Ministers, the Department’s officials and the Silk commission, who have, I believe, produced it in the interests of Wales.

--- Later in debate ---

[Mr Hain]

I do not know what happens in the Forest of Dean, but in every other constituency if a candidate loses, they lose. If the electorate rejects them, if the voters vote against them, they lose. They do not find themselves parachuted back in to the Assembly, from which the voters have barred them, via another route.

[Mrs Gillan]

It was the right hon. Gentleman and I who sparred across the Dispatch Box on that very subject. I think he has a selective memory when it comes to the Richard commission. As I recall it, Lord Richard not only objected to the list system, but recommended that there should be 80 AMs and that Wales should move to that system and employ the single transferable vote, neither of which the right hon. Gentleman chose to take up. That is almost proof that the direction in which he took it was indeed partisan.

[Mr Hain]

Wait a minute, Madam Deputy Speaker. Far be it from me to question whether the right hon. Lady was in order with that point, but the questions about numbers of Assembly Members and a proportional representation system are not within this Bill. They have nothing to do with this Bill. What is in this Bill is restoring the ban on the abuse of dual candidature which was in the 2006 Act, and it is that point that I am addressing.

--- Later in debate ---

[Mr Harper]

The right hon. Gentleman made two points, one of which I agree is an abuse, from the way he outlined it. Of course, parliamentary resources—I presume the same is true for the Assembly—are given to us by the taxpayer for parliamentary work, not party political campaigning. If that was the thrust of the Plaid Cymru document he quoted, that would have been quite wrong. He suggested that there is something wrong with candidates standing for a constituency and then being elected from a list, but that simply reflects the fact that in a list system, and certainly in the one that was put in place in Wales, it is the party label that gets a candidate elected, not their individual qualities. It seems to me that candidates getting elected by virtue of their place on a list might be a good reason for not having a list system, but it is not particularly offensive or undemocratic.

On voting for or against people, about which the right hon. Gentleman and I had an exchange, perhaps I am naive, but I happen to think that when people vote in a general election they are voting for somebody. I certainly conduct my election campaigns by trying to give people reasons to vote for me at a constituency level and reasons to vote for my right hon. Friend the Member for Witney (Mr Cameron) as Prime Minister, for example, rather than by thinking up lots of reasons why they should not vote for my opponents. I hope that is how my opponent in my constituency will conduct himself as well. That might not be what happens in Wales, but it is how I try to conduct things in my constituency.

[Mrs Gillan]

I recall that there was some reliance on work done by an organisation called the Bevan Foundation, with which Labour Members will be familiar. Part of the qualitative work it did at the time pointed out that, rather than objecting to candidates standing in a constituency and through the list system, people did not understand the electoral system itself. That was the fundamental problem at the heart of the whole electoral system that was set up for Wales.

[Mr Harper]

I suspect that my right hon. Friend, as ever, is spot on. The right hon. Member for Neath, in his lengthy speech, gave some anecdotes about one or two people who did not like the fact that a candidate who had stood in the constituency was then elected on the list, but I heard no evidence of a wider view.

[Mr Harper]

Based on what the right hon. Gentleman has just said, it sounds as if he has a number of anecdotes, but in my experience the Electoral Commission, with which I worked closely when I was the Minister with responsibility for political and constitutional reform, takes positions based on evidence. It carries out thorough research and is always scrupulous about not taking a position that could be portrayed as partisan, and it guards that reputation jealously. It does not agree with him, as he acknowledges—I have not always agreed with it—but I would put rather more weight on its views than on his.

[Mrs Gillan]

During the seven years that I was shadow Secretary of State and then Secretary of State, I travelled the length and breadth of Wales, too—usually in much less comfortable conditions—and I talked with many thousands of people right across Wales, including our candidates, and this was not at the top of their list of asks.

[Mr Harper]

As I thought, we have competing anecdotes. I suspect that my right hon. Friend, particularly as she describes the more modest circumstances in which she travelled across Wales, was rather closer to the people, so I put more weight on what she says.

Before that constitutional interlude, I was referring to the fact that my right hon. Friend the Secretary of State has taken a lot of care with this Bill. I want to put on the record my appreciation for the Welsh Affairs Committee’s excellent pre-legislative scrutiny report. The Government have obviously taken the trouble to respond to it and, as the Secretary of State said in his written ministerial statement, have accepted most of its recommendations. I think that was an excellent job. Doing pre-legislative scrutiny on a constitutional Bill is very sensible and likely to lead to a more accurate position.

Commission on Devolution in Wales

Cheryl Gillan Excerpts

Monday 18th November 2013 Commons Chamber

[Mr Jones]

I am grateful to the shadow Secretary of State for what I think was a welcome for my announcement. However, we heard the predictable preamble about Wales having been hit harder by the Government than any other part of the United Kingdom. In fact, the grant to the Welsh Government has been reduced proportionately less than that of any other Whitehall spending Department. Given that we are living in times of extreme difficulty—caused to no small extent by the last Labour Government—I should have thought that the hon. Gentleman would welcome the support that this Government have given the Welsh Government and the Welsh Assembly.

The hon. Gentleman asked a number of specific questions, the first few of which related to when the borrowing powers would be made available. I am pleased to be able to tell him that, as was announced in my written ministerial statement, the Welsh Government have already been given assurances that they can negotiate with the Treasury for borrowing powers in respect of the M4 and the north Wales expressway to take effect immediately. We will fund that by allowing the Welsh Government’s current borrowing powers to be used without any adverse impact on the departmental expenditure limit.

The hon. Gentleman welcomed the devolution of taxes. The two larger taxes that are being devolved are landfill tax and stamp duty land tax. That will of itself provide a funding stream against which the Welsh Assembly Government can borrow, but we want income tax to be devolved as well. The hon. Gentleman is right: I do support the devolution of income tax. I urge the Welsh Assembly Government to trigger the referendum as soon as they can, because the Conservative party will be campaigning vociferously for a yes vote in that referendum, and, furthermore, for a cut in income tax.

The hon. Gentleman made a point that revealed the poverty of the Labour party’s ambition. We believe that devolution should be used to give a competitive edge to Wales, and that the powers that are devolved should be used to make Wales a more prosperous place. Very far from wanting the tax cuts to apply to the wealthiest people in Wales, we would like them to apply across the board, to everybody in Wales, so that the brightest and best want to come to Wales to set up business, to make their livings and to look forward to a brighter future. That is what differentiates the Labour party from the Conservative party. Interestingly, the Welsh Finance Minister, Jane Hutt, hailed today’s announcement as

“a good deal for Wales, and a big step forward for devolution.”

However, the Eeyore-like shadow Secretary of State prefers to look for a cloud in every silver lining. He is out of step with everybody except himself.

[Mrs Cheryl Gillan (Chesham and Amersham) (Con)]

May I congratulate Paul Silk and the Silk commission on the excellent work they have done on part I? May I also heartily congratulate my right hon. Friend on his excellent response to this thoughtful piece of work? I am pleased that he has taken time in responding, because it is the right response. I am particularly delighted with the extension of borrowing powers. He will be familiar with the fact that the Welsh Assembly Government have always made excuses about why they could not improve the M4 and the A55. Does he agree with me that we should have a start-date for those improvements this week from the Labour Government down in Wales?

[Mr Jones]

May I, in turn, commend my right hon. Friend on the hard work she carried out in setting up the Silk commission in the first place? I would also like to repeat the thanks I gave in my response to the Silk commission’s recommendations for the hard work carried out by Paul Silk and his commission. The truth is, indeed, that responsibility for the maintenance and upgrade of those major routes always lay with the Welsh Assembly Government. They have in the past acknowledged that the cost of that was difficult to meet within their budget. We could not allow the deterioration of those major routes to continue indefinitely, and I therefore hope they will proceed swiftly with the upgrade of both those routes. I am pleased to see, however, that they are already consulting on the upgrade to the M4.

Oral Answers to Questions

Cheryl Gillan Excerpts

Wednesday 27th June 2012 Commons Chamber

[Andrea Leadsom (South Northamptonshire) (Con)]

1. What discussions she has had with her ministerial colleagues on the future of the 1st The Queen's Dragoon Guards, the Welsh cavalry.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

Before I answer the question, I am sure the whole House will wish to join me in paying tribute to the 10 British servicemen who have been killed in action since our last session of Welsh questions, including five who were from, or attached to, the 1st Battalion The Royal Welsh. They were courageous and talented soldiers who made the ultimate sacrifice for the safety of our nation, and we will always remember them.

The Army is conducting a study of its future force structure. The outcome of the study will be announced once decisions have been made. Until then, it is not possible to comment on which specific units may be affected.

[Andrea Leadsom]

May I urge my right hon. Friend, on behalf of the numerous constituents who have written to me about the Queen’s Dragoon Guards, to work closely with her right hon. Friend the Secretary of State for Defence to try to ensure that this superb regiment is retained?

[Mrs Gillan]

I have stressed that the continuation of a strong military presence in Wales is of great importance both to the local communities and to the country as a whole. I proudly display at the entrance to Gwydyr House the emblem of the Queen’s Dragoon Guards, which celebrates the bravery and commitment of our armed forces in Wales on behalf of Queen and country. I will continue to give every support to our Welsh regiments, including the QDG.

[Nick Smith (Blaenau Gwent) (Lab)]

The feet-dragging by the Ministry of Defence over the future of the Welsh cavalry is deeply damaging to its morale. Will the Secretary of State strongly urge Defence Ministers to keep it?

[Mrs Gillan]

The hon. Gentleman is well aware that I have fully supported the Welsh cavalry—the QDG. I will take no lessons from a party which, in restructuring the Army, consigned more than 600 years of military tradition in Wales to the history books when it abolished the Royal Welch Fusiliers and the Royal Regiment of Wales to form the Royal Welsh. I, certainly, will continuously press the Welsh regiments’ case at the highest level, and the hon. Gentleman should take comfort from that.

[Mr James Gray (North Wiltshire) (Con)]

Does the Secretary of State agree that abolishing the QDG would be almost as bad as abolishing, for example, the Welsh Guards? Will she impress on her Cabinet colleagues the central importance of the regimental system to the morale and effectiveness of the British Army as a whole?

[Mrs Gillan]

My distinguished hon. Friend has himself served in the armed forces, and I agree with him entirely. On 2 June I attended the home-coming parade and the reception in Cardiff for the Queen’s Dragoon Guards as part of the Queen’s diamond jubilee celebrations, and I know that the morale of units that are so closely associated with Wales needs to continue.

[Owen Smith (Pontypridd) (Lab)]

May I first associate myself with the Secretary of State’s remarks about the sacrifice made by all the Welsh men and women who fought for this country? They should never be forgotten in the House or in the country.

I wonder whether the Secretary of State could bring herself to comment on the worrying rumours that, while the Welsh cavalry may well be saved following a campaign across the House, the price that we may pay for that is the loss of one of the battalions of the Royal Welsh, with its 700 jobs in Wales?

[Mrs Gillan]

Let me just remind the House that the last Labour Government left the MOD budget with a £38 billion black hole, and that it has been brought back into balance for the first time in a generation by this Government. I assure the hon. Gentleman—who is a Johnny-come-lately to this campaign—that I will continue to give my undiluted support to our Welsh regiments, but, as I have said, no decisions have yet been made. There is a great deal of speculation, and I do not think that the hon. Gentleman should make people feel so insecure.

[Owen Smith]

Despite the bluster, the Secretary of State’s silence on the fate of the Royal Welsh will have been heard throughout the armed forces, including those in Afghanistan, where the 1st Battalion is currently serving. Does she not agree that it will be a truly pyrrhic victory for the QDG if a cap badge is saved in Wales but we lose a battalion with several hundred jobs?

[Mrs Gillan]

I hear what the hon. Gentleman says, but let me repeat that no decisions have been made. Let me also repeat that I will take no lessons from a party that got rid of the Royal Welch Fusiliers and the Royal Regiment of Wales. I can take advice from much better people than the hon. Gentleman.

[Roger Williams (Brecon and Radnorshire) (LD)]

I, too, urge the Secretary of State to make any representations necessary to keep the Royal Welsh, because it recruits very well in its traditional recruitment areas and any loss of a battalion would limit the opportunities for young Welsh people to join an infantry regiment.

[Mrs Gillan]

I thank my hon. Friend for those remarks. As he knows, there is huge affection for all these regiments. Since the moment I was appointed as Secretary of State for Wales, I have made it my business to visit as many parts of the Army services in Wales as possible, and I continue to support the regiments. This issue is also important as we are seeking to recruit people into the reserves and the Territorial Army. These brigades are a great recruiting sergeant, and long may they continue. Certainly, I will always make that case, although the decision does not rest with this office.

[Mr Speaker]

Order. The Secretary of State is not conducting a private conversation. If she would be good enough to look in the direction of the House, we might hear her, for which we would all be deeply obliged.

--- Later in debate ---

[Andrew Miller (Ellesmere Port and Neston) (Lab)]

5. What discussions she has had with Welsh Government Ministers on the economic outlook for Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I have regular discussions with Welsh Government Ministers about the prospects of the Welsh economy and the need for closer working to help create the right environment for jobs, growth and prosperity.

[Kerry McCarthy]

Youth unemployment in my constituency has gone up by 16% in the last year—not helped by the Government’s scrapping of the future jobs fund. Is it not time that the Welsh Secretary took lessons from the Welsh Government and emulated their jobs growth scheme, started in April, with the aim of creating 4,000 jobs?

[Mrs Gillan]

I agree that if there are lessons to be learned from the Welsh Government, we must learn them, but the hon. Lady must remember that unemployment is a matter for both the UK Government and the Welsh Government, and under the last Labour Government youth unemployment in Wales rose by 73% over the Parliament.

[Robert Halfon]

Is my right hon. Friend aware of figures from the Office for National Statistics and the AA showing that more than £16 million could be injected into the Welsh economy this year alone because Labour’s 3p August rise in fuel duty has now been scrapped?

[Mrs Gillan]

Yes; my hon. Friend knows that the Government have shown that they have listened and are willing to help motorists further with their cost of living by acting at a time when the pump prices are still at historic highs and deferring the increase to January. I pay tribute to him, as he has of course played a great part in the campaign and has, in part, brought about this change by the Government, which will be welcomed throughout Wales, by businesses and families alike.

[Andrew Miller]

The Secretary of State talks about creating the right environment, and I agree with her on that. She will also recognise that in north-east Wales, Cheshire and the Wirral there is a common travel-to-work area. Will she put her support behind the campaign to improve and upgrade the Wrexham to Bidston line, as that would help to service that travel-to-work area and create the right environment?

[Mrs Gillan]

The hon. Gentleman and I used to serve on the Select Committee on Science and Technology together, and I know that he is a constant champion for improving the travel arrangements in and around his area of the country. I have always supported the Wrexham to Bidston line, but I have always prioritised the electrification of the valleys lines and of course that unfinished business of getting the electrification down to Swansea. The electrification of the Wrexham to Bidston line would be close behind that.

[Mr Mark Williams (Ceredigion) (LD)]

Tourism is a crucial sector in the Welsh economy, not least in mid-Wales and Ceredigion. The contrast between the procession of the Olympic torch and the floods that we suffered in Ceredigion could not be any starker. I am appreciative of the Secretary of State’s visit to Ceredigion last week. Will she reiterate the message that the county council gave her, which was that Ceredigion is very much open for business?

[Mrs Gillan]

I was delighted to accept the hon. Gentleman’s invitation to visit his constituency and look at the aftermath of the floods. It is when the media have left that it gets most difficult for the people who have been affected. I was impressed by the way in which that community has got itself back on its feet, and it certainly is open for business. If anyone is reading the record of or listening to these questions, they should know that his constituency of Ceredigion is one of the best places to take a holiday and that it really is open for business.

[Hywel Williams (Arfon) (PC)]

How is the mobility of Welsh labour improved if young people who are leaving the family home, getting on their bikes and taking low-paid work elsewhere are prevented from paying for their housing costs by the Government’s policy?

[Mrs Gillan]

The hon. Gentleman and I share the same concern about youth unemployment. The unemployment rate in Wales remains unacceptably high at 9%, but I would have thought that he welcomed the fall in unemployment in Wales for the fourth month in a row. It means that the economy is moving in the right direction for many of the members of the work force who are still looking for work.

[Stephen Mosley (City of Chester) (Con)]

Has my right hon. Friend considered the economic impact of having different corporation tax regimes on either side of the English-Welsh border, especially since, as we have heard, there is a single economic sub-region in Cheshire and north-east Wales?

[Mrs Gillan]

There is huge concern among the businesses that I have talked to about any prospect of changes in the corporation tax rate across the border between England and Wales. As my hon. Friend will know, that relates to the purpose of the Silk commission, which I established and which is looking particularly at the areas of taxation and accountability. I hope that it will report later this year and we will be able to see its recommendations.

[Nia Griffith (Llanelli) (Lab)]

Hard-pressed households across Wales will certainly welcome the Chancellor’s latest U-turn on the proposed August increase in fuel duty, but with Office for National Statistics figures today showing that borrowing is rocketing because this Government have created a double-dip recession, will the Secretary of State speak up for struggling businesses in Wales and the 130,000 people still looking for work, and ask the Chancellor to do a U-turn on his economic plans?

[Mrs Gillan]

I welcome the new Opposition Front-Bench team. I also pay tribute to the right hon. Member for Neath (Mr Hain), who stepped down from the Front Bench last month and will be greatly missed. I welcomed the hon. Member for Pontypridd (Owen Smith), the shadow Secretary of State, during the Welsh Grand Committee, but I would like to do so again.

I say to the hon. Member for Llanelli (Nia Griffith) that, in addition to the support we have already announced, the decision that has been made to cut the fuel duty and scrap the previous Government’s fuel duty escalator, thus ensuring that fuel duty is frozen for 21 months, will help businesses and families in Wales. I am very surprised that she did not rise to the Dispatch Box to welcome that.

[Mr Speaker]

I thank the Secretary of State for that, but we do have quite a lot of questions to get through.

[Ian Lucas (Wrexham) (Lab)]

6. What discussions she has had with Welsh Government Ministers and Assembly Members on the Green Paper on future electoral arrangements for the National Assembly for Wales; and if she will make a statement.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I published the Green Paper on future electoral arrangements on 21 May. I have spoken to all four party leaders in the Assembly, including the First Minister, about the Green Paper.

[Ian Lucas]

The First Minister of Wales says that the Prime Minister said to him that he would not take forward changes to the Assembly voting system without the consent of the Assembly. Will the Secretary of State confirm that that is the UK Government’s position?

[Mrs Gillan]

The hon. Gentleman would have had the opportunity to discuss that at the Welsh Grand Committee on Monday at 11.30 am, but I understand that Labour objected to the relevant motion yesterday. I now know that that is because Labour MPs have a problem getting up in the morning and getting to work by 11.30 on a Monday—[Interruption.] I have therefore decided to cancel the Welsh Grand Committee and Labour now has the opportunity to call a debate in its own time.

The Prime Minister has met the First Minister on a number of occasions and I believe that that matter, among others, was discussed. I am not aware of any firm commitments made by the Prime Minister.

[Greg Mulholland (Leeds North West) (LD)]

7. What discussions she has had with ministerial colleagues and others on promoting the Welsh identity.

--- Later in debate ---

[Harriett Baldwin (West Worcestershire) (Con)]

11. What recent progress has been made by the commission on the consequences of devolution for the House of Commons.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

The commission expects to report during the current parliamentary Session.

[Harriett Baldwin]

Would the Secretary of State like to tell the House what evidence she has given to the commission?

[Mrs Gillan]

So far I have not been asked to give any evidence to the commission, but I understand that there will be a long discussion about the issue. I know that my hon. Friend is especially keen to give evidence and to provide information to the commission, and I am sure that she will have that opportunity.

[Mr Peter Hain (Neath) (Lab)]

On devolution, does the Secretary of State agree that any fundamental change to the voting system for the Assembly must at least have broad inter-party consensus and the agreement of the Welsh Government to avoid another referendum, because the system was endorsed by the 1997 referendum?

[Mrs Gillan]

I do not know whether the right hon. Gentleman was in the Chamber when I paid tribute to him, but I hope that he will read the Hansard report. We will miss him on the Front Bench.

The legislation governing any changes to the electoral voting system for the Assembly was put in place by a Labour Government. The power clearly remains here. Had the intention been different, I am sure that the right hon. Gentleman would have changed the situation himself through the Government of Wales Act 2006.

The Prime Minister was asked—

National Assembly for Wales (Electoral Arrangements)

Cheryl Gillan Excerpts

Monday 21st May 2012 Written Statements

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I wish to inform the House that I am today publishing a Green Paper on future electoral arrangements for the National Assembly for Wales.

The Government’s programme of political renewal impacts on all parts of the United Kingdom and, in Wales, has consequences for the Assembly. Currently the constituencies used to elect Assembly Members are the same as those used to elect Members of Parliament. But the move to a smaller House of Commons with more equally sized constituencies breaks that link, and will, subject to parliamentary approval, result in a reduction in the number of parliamentary constituencies in Wales from 40 to 30.

In the Green Paper we look at the effects of these changes on the National Assembly for Wales, and whether people would be better served by continuing to have 40 Assembly constituencies, but with modified boundaries to make them more equal in size, or to reinstate the link with parliamentary constituencies by changing to an Assembly of 30 constituencies. In each case the size of the 60-Member Assembly would not change, and so the number of regional Members would increase from 20 to 30 if the link with parliamentary constituencies is re-established.

Establishing five-year fixed-term Parliaments at Westminster also has implications for the Assembly, and in the Green Paper we seek views on whether the National Assembly for Wales should have four or five-year terms. We are also seeking views on removing the prohibition on standing as a candidate in an Assembly election in both a constituency and a region, and whether Assembly Members should be prohibited from sitting in Parliament.

The consultation closes on 13 August, and the Government will consider carefully the responses we receive before deciding how best to proceed.

The Green Paper will be laid today before both Houses, and is available on the Wales Office website at www.walesoffice.gov.uk.

Government's Legislative Programme 2012-13 (Wales)

Cheryl Gillan Excerpts

Thursday 10th May 2012 Written Statements

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

The Government’s legislative programme for the Second Session of Parliament was announced in the Queen’s Speech on 9 May. The programme contains a wide range of measures that will apply to Wales, either in full or in part.

The Government are committed to working with the Welsh Government to secure agreement to any provisions that require the consent of the National Assembly for Wales. The following is a summary of the legislation announced in the Queen’s Speech and its application to Wales.

1. The following Bills, and draft Bills, would extend to Wales and deal mainly with non-devolved matters:

Banking Reform Bill

Crime and Courts Bill

Defamation Bill

Electoral Registration and Administration Bill

Energy Bill

Enterprise and Regulatory Reform Bill

European Union (Approval of Treaty Amendment Decision) Bill

Croatia Accession Bill

Groceries Code Adjudicator Bill

House of Lords Reform Bill

Justice and Security Bill

Pensions Bill

Public Service Pensions Bill

Small Donations Bill

Draft Communications Data Bill

2. Bills, and draft Bills, where some provisions may apply to Wales:

Children and Families Bill

Draft Care and Support Bill Draft Water Bill

3. Draft Bills with limited impact or no application to Wales:

Draft Local Audit Bill

Oral Answers to Questions

Cheryl Gillan Excerpts

Wednesday 25th April 2012 Commons Chamber

[Karl MᶜCartney (Lincoln) (Con)]

3. What discussions she has had with ministerial colleagues and others on marketing Wales as a destination for foreign business investment.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I have regular discussions with ministerial colleagues and others on marketing Wales as a destination for foreign business investment. The recent Select Committee on Welsh Affairs report on inward investment in Wales highlighted a number of important issues, and we are committed to closer joint working with the Welsh Government to deliver more inward investment to Wales.

[Stuart Andrew]

I am grateful to my right hon. Friend for that answer. One of the best ways to improve foreign investment in Wales is for the UK and Welsh Governments to work more closely together. Does she regret the apparent unwillingness of the Welsh Business Minister to do just that?

[Mrs Gillan]

As the Welsh Affairs Committee has made clear in the inquiry into foreign direct investment, co-operation between both Governments is considered essential to marketing Wales and for potential investors. However, as economic development is devolved and led by the Labour Government in Wales, I share my hon. Friend’s disappointment that the Business Minister did not give evidence to the Committee. I hope that we can develop a more mature attitude, as FDI projects in Wales have diminished over the years and we need to get them back up, so that we are competing effectively.

[Karl MᶜCartney]

I thank my right hon. Friend for her earlier answer. Does she agree that it is right to explore investment opportunities in emerging markets? There are markets close to home, such as in the Commonwealth of Nations, which consists of 54 countries and has a population of 3.5 billion-plus, that also offer important investment potential.

[Mrs Gillan]

The Prime Minister himself has said that he wants

“to link Britain up to the fastest growing parts of the world, because we need to trade and export our way out of our economic difficulties.”

We inherited those from the previous Government. That is why I have taken such a tremendous interest in this area and why I am very pleased that we have now joined up UK Trade & Investment to the Welsh Government. We have offered at least one of UKTI’s investment advisers to work in the Welsh Government offices in Treforest and for there to be two-way secondees between UKTI and the Welsh Government. That is real progress and it shows that we can get our two Governments working together in the interests of Wales.

[Ann Clwyd (Cynon Valley) (Lab)]

As the Secretary of State knows, good air transport links are essential in attracting business investment to Wales. What discussions has she had with the First Minister and the Welsh Government about improving the links between Cardiff airport and the rest of the world?

[Mrs Gillan]

As the right hon. Lady knows, I have constant discussions with the First Minister and the Welsh Government, as does the Under-Secretary. We have certainly discussed the links and there has been some discussion of Cardiff airport. I am pleased to say that I have invited the owners of the airport to meet me shortly, because I have been concerned about some of the reports I have heard in the press. We should be trying to talk Cardiff airport up, not down.

[Nia Griffith (Llanelli) (Lab)]

I certainly welcome the announcement by the Labour Welsh Government that Tata Steel will invest £800 million in Wales, but as the Secretary of State will know Tata bosses have repeatedly said that the prices they have to pay for energy in the UK are simply not competitive when compared with what industry pays elsewhere. What discussions has she had with the Energy Secretary and energy companies to secure a better deal on energy prices for heavy industry to provide an incentive for companies such as Tata to invest in Wales?

[Mrs Gillan]

One of the first things I did when I was appointed was visit Tata Steel, and I took the Business Secretary, Vince Cable, with me to discuss energy prices. The hon. Lady should know that all the Departments have been focused on the energy-intensive industries because we want to ensure that there are good manufacturing jobs in the future, not just in Wales but elsewhere in the UK. I have read the press release from the Welsh Government and the First Minister and he says that he was told at a meeting in India that £800 million has been approved over the next five years for investment in Tata Steel in Wales. I look forward to seeing the detail, because it seems to be a general announcement at this stage without too much detail attached to it.

[Mr Speaker]

The Secretary of State was referring to the right hon. Member for Twickenham. We do not name people in this place.

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[Nick Smith (Blaenau Gwent) (Lab)]

4. What assessment she has made of the treatment of capital allowances in enterprise zones in Wales; and if she will make a statement.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

The Chancellor announced funding for enhanced capital allowances in the Deeside enterprise zone in the Budget in addition to the money already provided for enterprise zones in Wales. We are committed to looking at how we can provide these allowances elsewhere but the Welsh Government must develop strong, detailed and robust business cases.

[Nick Smith]

I thank the Secretary of State for her interest in the Blaenau Gwent enterprise zone. Plans for a motor industry complex there are now at a critical juncture. We need to know if capital allowances can be delivered or if other tax treatments are a better prospect. May I press her for a meeting between developers and the Chief Secretary to the Treasury, so that we can thrash out a solution?

[Mrs Gillan]

The hon. Gentleman has worked tirelessly for his constituency to develop these proposals for the Ebbw Vale enterprise zone, and I really do congratulate him on that. We have met on other occasions and I have written to him again today, saying that I am very willing to try to secure a meeting with the Chief Secretary to the Treasury, but without a business case the Treasury cannot make any decisions on further enhanced capital allowances. I urge the hon. Gentleman to discuss the subject with the Welsh Government as well as with our Government.

[Mr Mark Williams (Ceredigion) (LD)]

5. What discussions she has had with ministerial colleagues and others on funding for broadband technology in Wales.

--- Later in debate ---

[Andrew Selous (South West Bedfordshire) (Con)]

6. What recent discussions she has had with ministerial colleagues on encouraging economic growth in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

Economic growth is a key priority for this Government and I have regular discussions with ministerial colleagues on ways to encourage economic growth in Wales. Yesterday I met the business advisory group and heard directly from members how this Government’s growth policies are helping businesses in Wales to face the current economic challenges.

[Andrew Selous]

Does the Secretary of State agree that the fact that the recent Budget is taking 95,000 people out of tax altogether in Wales is a big boost for business in Wales, as more people will have greater spending power and find it worth their while to be in work?

[Mrs Gillan]

I agree entirely with my hon. Friend. It must be very good for those people whom we have taken out of tax altogether and the lower paid workers who will benefit from our tax changes, because it will put money directly back in their pockets rather better than the Welsh Labour Government down in Cardiff Bay, under whose auspices council tax has doubled in Wales.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

The Budget included a clear framework for reducing localised pay in the public sector. Considering that there is a direct link between money in people’s pockets and spending in the local economy, how will depressing pay encourage economic growth in the poorest parts of the British state?

[Mrs Gillan]

When it comes to local pay, our aim is to create a more flexible labour market that is more responsive to the challenging economic conditions we currently face. We want to create more private sector growth and, as a consequence, wealth in Wales and across the UK.

[Alun Michael (Cardiff South and Penarth) (Lab/Co-op)]

If the Secretary of State thinks this Government are interested in growth, she is living in cloud cuckoo land. Is she not keeping up with today’s news that shows that the Chancellor’s obsessive intention of cutting too deep and too fast is taking us back into recession?

[Mrs Gillan]

No. I have to say that today’s news is disappointing but not totally unexpected. Britain cannot be immune to what is happening on our doorstep. For example, Italy, Holland, Ireland, Belgium and Portugal are already in recession. But let us remember that since the coalition took office in 2010, more than 630,000 private sector jobs have been created, more than outstripping job losses in the public sector, and private sector employment in Wales rose by 12,000 between quarter 3 in 2010 and quarter 3 in 2011.

[Huw Irranca-Davies (Ogmore) (Lab)]

7. What recent progress has been made on electrification of the south Wales valley railways; and if she will make a statement.

--- Later in debate ---

[Gavin Williamson (South Staffordshire) (Con)]

11. What recent discussions she has had with ministerial colleagues and others on the aerospace industry in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I have regular discussions with ministerial colleagues and other organisations on a range of issues, including the aerospace industry in Wales.

[Gavin Williamson]

Does the Secretary of State agree that, while the UK Government have taken a lead in establishing enterprise zones, the onus is now on the Welsh Government to ensure that their enterprise zone for the aerospace industry in St Athan is a success?

[Mrs Gillan]

My hon. Friend is absolutely right. As far as enterprise zones are concerned, a great deal depends on what the Labour Welsh Government will do, because we have capital allowances for only one enterprise zone, which is already in Deeside. The enterprise zone to which he refers will be crucial to the UK and will secure work on the next generation of aircraft, because some 27,000 large aircraft, worth $3 trillion, will be needed over the next 20 years, around 7,000 new helicopters will be required within the next decade and there is a huge potential future market in unmanned air vehicles, and I want us to benefit from that demand in the aerospace business in Wales.

[Ian Lucas (Wrexham) (Lab)]

Is it not the case that the success of the UK aerospace industry is due to government and industry working together—[Interruption]—and that saying that business succeeds because government gets out of the way is arrant nonsense?

[Mrs Gillan]

Over this noise, Mr Speaker, I think the hon. Gentleman is suggesting that government should get out of the way of business. Indeed, that is exactly what this Government are doing, with the red tape challenge, by reducing the bureaucracy that the previous Labour Government imposed on our industries, and by reducing the rate of corporation tax so that our business environment can be one of the most competitive in the G20.

[Mrs Madeleine Moon (Bridgend) (Lab)]

13. What assessment she has made of the implications of the Budget for women in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

Last month’s Budget was one of fairness and values. Although we had to make some difficult decisions, we are committed to ensuring that women all over the UK play a full part in the economic recovery.

[Mrs Moon]

Women in Wales are suffering and struggling with rising food prices, the rising cost of living and the rising costs of child care. In the most recent quarter, 4,000 additional women became unemployed. How many women in Wales will benefit from the reduction in taxation on high-level earners from 50% to 45%? Will that benefit women in Wales?

[Mrs Gillan]

Despite the recession, the employment rate for women remains historically high, at 65.3% now compared with 53% in 1971. Employment has fallen more sharply among men during the recession, so frankly it will be expected to rise more quickly as the economy recovers. This is, however, the fourth consecutive set of figures to show employment and economic activity rising in Wales, which I would have thought the hon. Lady would welcome.

The Prime Minister was asked—

Commission on Devolution in Wales

Cheryl Gillan Excerpts

Thursday 8th March 2012 Written Statements

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I informed the House on 11 October 2011 that the Commission on Devolution in Wales would conduct its work in two parts: in part I, which is currently under way, the commission is reviewing the case for devolution of any fiscal powers to the National Assembly for Wales and if so what areas those could cover. The commission has confirmed that it currently intends to report on its findings on part I in late autumn 2012.

Part II of the commission will examine the powers of the National Assembly and consider whether to recommend any modifications that it considers could improve the current arrangements. The commission has requested an extension to the time by when it will report on its recommendations in relation to part II. I have agreed to this request and the commission will therefore publish its part II findings by spring 2014, rather than during 2013, enabling it to give more thorough consideration to the Welsh devolution settlement.

Welsh Affairs

Cheryl Gillan Excerpts

Thursday 1st March 2012 Commons Chamber

[David T. C. Davies]

I absolutely accept that. There is a lot of detail in the Select Committee report, and I am just skipping through it in my speech. The hon. Gentleman will probably recall that when we were in Brussels we were told that some Welsh universities were not doing quite as much to get European Union research grant funding as those in England. The picture is mixed, as usual.

We should be very clear that if we are to sell Wales and persuade businesses that it is a good place to come to, we need to show co-operation. I was not going to mention this today, but I feel that I have to because of other things that have happened: the Committee was disappointed that the Welsh Economic Development Minister felt unable to come and give evidence. I can accept that slight once, but there seems to be a pattern of the Welsh Government not wanting to do anything with the UK Government.

For example, a tourism seminar was held recently, I believe at No. 10, to encourage the devolved regions of the UK to do more to get tourism going during the Olympics. Nobody from Wales came. I have heard that when a broadband grant scheme was set up and a special grant was made available for pilot broadband schemes across England and Wales, the Welsh Assembly did not really bother to fill in the forms, so we did not end up with one of the pilot areas.

The Welsh Affairs Committee was due to visit Cardiff next week to take evidence, along with a Welsh Assembly Committee, which had asked us to go there and told us when would be convenient. Of course, we were more than happy to do so. We enjoy going down to Cardiff to visit the Welsh Assembly and work with our colleagues in the devolved regions. We were not expecting Ministers, but we expected officials from Edwina Hart’s Department to give evidence about ports. Today, I have been told—I have e-mailed members of the Committee, so they will know this—that the officials will not turn up because Members of Parliament will be present. I find that extraordinary. The Welsh Assembly Government want to make speeches in the City, telling people to come to Wales and an Assembly Minister is calling for the green bank to be set up in Wales, yet they are not willing to send officials down a few flights of steps to come and see us at the Welsh Assembly. We are not asking them to visit us—we will go to them, at their convenience—yet they still do not want to talk to us. What sort of message are we sending the world through that complete lack of co-operation?

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

My hon. Friend has just made a serious point about a lack of co-operation that means that officials cannot give a Committee of the Assembly and a Select Committee of the House information that would help both Committees understand the issues better and make recommendations in the interests of Wales. Will he write to me so that I can take up the matter with the First Minister, because I am sure that the Welsh Government will be disappointed to hear that? My understanding from discussions with the First Minister is that he is very keen on co-operation. Opposition Members are nodding, and I think it would be fitting for me to take up the matter urgently with the First Minister to see whether I can do anything to broker reciprocal arrangements.

[David T. C. Davies]

I thank my right hon. Friend for that. Of course, I shall be delighted to write to her. Welsh Affairs Committee members were looking forward to hearing from officials about ports, but we still intend to go to Cardiff, with officials from the Department for Transport. We may not be able to see the officials that we had hoped to meet, but we are perfectly happy for Assembly Members to talk to British Government officials about the policy, because we believe in co-operation. I apologise to Committee members who will be let down by the lack of the second part of the meeting. Who knows—we might be able to find something else to do instead.

What a marked contrast there is between that lack of co-operation and the actions of the British Government. Last night, we had a superb reception, which was perfect in all respects bar one, in that somebody may have been left off the guest list who should have been there.

--- Later in debate ---

[Mr Elfyn Llwyd (Dwyfor Meirionnydd) (PC)]

I shall follow that, Mr Deputy Speaker. I suspect the white wine concerned had not been in the hand of the hon. Member for Monmouth (David T. C. Davies) for long enough to get warm.

I was there last night and it was a splendid occasion, but to be honest, colleagues from other parties should have been there. There were very few Labour Members, which may have been a mistake—[Interruption.] I was pleased to be there, but I am just making that point. The right hon. Member for Torfaen (Paul Murphy), an ex-Secretary of State for Wales, was not there, for example. In any event, I do not want to be boorish, and I have obviously bumped myself off next year’s guest list. Mr Deputy Speaker was there—[Hon. Members: “He wasn’t!”] Just to make absolutely sure that I am bumped off the list for next year, I think the St David’s day event could have had something to do with current politics. I hear rumours of a Rabbie Burns fortnight next year.

I congratulate my friend, the right hon. Member for Torfaen, and the hon. Members for Brecon and Radnorshire (Roger Williams) and for Montgomeryshire (Glyn Davies), on their assiduous pursuit of today’s parliamentary time. The St David’s day debate should be in Government time, as it always was prior to the Backbench Business Committee coming into being. I know that there is sympathy on the Committee for the proposal to take a day out of its basket to be allocated by the Government for that purpose. That is entirely appropriate, especially because we are likely to have fewer Welsh Members of Parliament, which was mentioned by my friend, the right hon. Member for Torfaen.

[Mrs Gillan]

The right hon. Gentleman will know how bitterly disappointed I was last year when I found out that the St David’s day debate had been passed over to the Committee, which refused a debate despite requests from both sides of the House, including Front Benchers, who are of course not allowed to request debates. I am doubly pleased that we have at least a half-day debate today, but I join him in hoping that there is a way of removing that day from the Committee so that there is always a dedicated St David’s day debate. Because of how the House’s business has fallen, there are fewer opportunities to discuss Welsh matters on the Floor of the House. That is why I called a whole day’s debate on the Silk commission, which is so important for Welsh matters. I support the right hon. Gentleman and look forward to getting more details.

[Mr Llwyd]

I am very grateful to the right hon. Lady for her support. I am sure she is quite sincere. I remember the disappointment we all felt last year that the case was in some way not made for a Welsh day debate. I hope somebody somewhere reads the Hansard of today’s debate. There is sympathy on the Committee, so let us hope that Government Whips take that on board.

The right hon. Member for Torfaen has discussed his concerns about constitutional matters in Wales. He and I agree on many, many things, but it is fair to say that we do not always see eye to eye on constitutional matters, and he would not expect me to say otherwise. I respect his opinion, although we may diverge substantially on where we see the constitution going. However, it is right that we both agreed that the cuts in the number of Welsh seats was inappropriate and went much too far at this time. Frankly, I thought that a number in accordance with the Speaker’s Conference of 1944 would have been appropriate this time around—in other words, 45.

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[Chris Ruane]

Absolutely, and my next point leads directly to that. People who are more mindful have higher and more stable self-esteem that is less dependent on external factors, which is important in this day and age. Young people feel pressure from their peers, the media and, most significantly, advertising. They are told that if they do not have a particular type of trainers or shirt they are less than normal. There is a lot of pressure out there, and mindfulness is known to help young people rediscover the important things in life.

People who are more mindful enjoy more satisfying relationships, are better at communicating and less troubled by relationship conflict. Mindfulness is correlated with emotional intelligence. Being more mindful is linked to higher success in reaching academic and personal goals. If we aim to raise educational standards, this could be a good way of doing it—a point I will move on to in greater detail in a moment.

Practising meditation has repeatedly been shown to improve people’s attention. It can be used instead of drugs such as Ritalin to treat attention deficit hyperactivity disorder. More generally, it has been shown to increase blood flow, reduce blood pressure and protect people from cardiovascular disease. People who use mindfulness and meditation are half as likely to see their GP as those who do not. Let us just imagine the benefits for the health service of cutting GP visits by 50%. These are all excellent initiatives.

To show the relevance of mindfulness, I will give some key statistics. Between 12% and 15% of children on any one day will declare themselves to be unhappy, and 29% of them were living in poverty at the height of the Tory regime. That figure was reduced to 20%. Around 10% of five-year-olds are obese, and the figure rises to 20% for 10-year-olds. Around 20% of children will experience mental illness during childhood, and the figure rises to 45% for looked-after children and 72% for children in institutional care. Mindfulness could play a great role in helping to reduce that.

Mindfulness can also be used in the workplace. I recommend to Members the book, “The Mindful Workplace”, by Michael Chaskalson. It contains recommended and proven therapies which have helped to stabilise people in work and have been used by the Rhyl city strategy. We have had training days in north Wales attended by 120 businesses, because they could see the relevance of mindfulness to them. They can spot the patterns in their workplace when a worker is off for one day a week, then two days, and then three days—and after six months they might be off for a lifetime. Mindfulness-based workplace techniques can be used to stabilise people in the workplace. Indeed, there will be another event this April, which I will attend, based on the work in that book.

[Mrs Gillan]

I know that my hon. Friend the Member for Bosworth (David Tredinnick) takes a great deal of interest in alternative therapies and medicines. I wonder whether the hon. Gentleman could help me. Are the courses run by experts in mindfulness and is it possible to train in those techniques in his constituency? Is there a school or training place there where therapists can train, or is mindfulness just being practised by a group of therapists?

[Chris Ruane]

A training day for education in my constituency three weeks ago was attended by Denbighshire’s director of education, who was very impressed by the statistics. There were also 56 practitioners from the health and education fields in Denbighshire, and they were highly enthused and wanted more training. There is no certification for mindfulness, which bothers me, and the course lasts only eight weeks. I believe that there needs to be more rigour and control over who goes out and practises mindfulness.

To return to the point that I was making, we will have a further training day in north Wales based on mindfulness in the workplace. When we look at the influence on productivity and the number of days that are lost through stress as a result of alcohol, drugs and lack of sleep, we find that the impact on the British economy is worth billions of pounds, but mindfulness can help to overcome that. That is not a recent discovery, and the Labour Government addressed well-being. At the New Economics Foundation in 2008, Nic Marks produced an excellent report, “Five Ways to Well-being”, and I recommend his excellent YouTube video on the TED channel, which summarises all that.

I pay tribute also—and Members might not believe this—to the Prime Minister for the work that he has done. He has recognised good practice. He discovered the issue of well-being in 2005, and that we should measure our nation’s wealth not just as economic wealth, but as personal and social wealth and as social capital. He has instructed the Office for National Statistics to come up with well-being indicators so that we can judge the success of our nation not just in financial terms, but by the impact on individuals, their families and their community.

I am not sure whether the Prime Minister has the support of his wider party, of wider society or indeed of Opposition Members, but he has taken a brave and bold decision in using well-being as an indicator of national success, and I congratulate him on that.

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[Mr Mark Williams (Ceredigion) (LD)]

As ever, it is a pleasure to follow the hon. Member for Ynys Môn (Albert Owen). I concur with everything he said about the balance in wind policy—a shift away from some of the large-scale projects of the sort that are about to be inflicted on us in mid-Wales to projects out at sea would be welcome.

I thank the right hon. Members for Torfaen (Paul Murphy) and for Dwyfor Meirionnydd (Mr Llwyd) for securing the debate. It is wholly appropriate to hold it today—indeed, I think that it is expected. We lament the fact that we did not have it last year, despite the Secretary of State’s efforts, and I remember attending the Backbench Business Committee with the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) and others.

At that time, we were in the run-up to the referendum that brought an end to the unfortunate legislative competence order process and we had yet to hear about the Silk commission. I greatly welcome the action that the Secretary of State and the Wales Office took on both matters to ensure that they happened speedily in the early days of the coalition Government.

The challenge that now faces the Wales Office and the Government is to ensure that when Mr Paul Silk reports—on part I, which deals with fiscal powers and taxation, and part II, which covers the National Assembly’s powers—those matters will not be left on a shelf to collect dust or parked in some cul-de-sac, but be actioned. I sincerely hope that the Wales Office is successful when it comes to talking to Government business managers about legislative slots in the second half of the Parliament. There is an expectation that those matters will be carried further.

Devolution has been described as a process rather than an event. There have been memorable events along the route, not least the creation of the National Assembly, but the process is continuing and demands will grow. I should like briefly to take the opportunity to reflect on three issues that spring to mind from the past year as pointing, at least in my view, to the logic of rooting decision making in Cardiff Bay, and to the need to move further in that direction.

The first issue is energy consents. The National Assembly has the ability to define strategic search areas through TAN 8 for the large-scale wind farm projects that the hon. Members for Montgomeryshire (Glyn Davies) and for Carmarthen East and Dinefwr and I are challenging in our respective constituencies. Although we have great concerns about the projects, it seems sensible that the Assembly defines the scale of those schemes, ensuring that they fit in with Assembly targets for renewables. Yet the ultimate sign-off of those policies happens in the offices of the Department of Energy and Climate Change in London. Welsh Liberal Democrats have supported recent ten-minute rule Bills on that matter to transfer powers for schemes of over 50 MW to be deliberated and determined in Cardiff Bay.

The second matter—consumer advocacy and rights—might seem small. It arose during consideration of the Public Bodies Bill. Consumer Focus Wales is an excellent body, which has been sensitive to the needs of Welsh consumers. It has an excellent record of advocacy on behalf of the people of Wales. Yet that body is to be abolished under the Public Bodies Bill, and Department for Business, Innovation and Skills Ministers in Whitehall rather than Assembly Members in Cardiff will determine the model that applies to Wales.

The third matter is broadcasting. I met S4C officials this week, and they are rightly determined to make the new model of governance work. They are clearing the agenda and want to move S4C forward. However, during consideration of the Public Bodies Bill, it became clear that—inevitably, I fear—there was a perception that the arrangement was a Westminster-BBC one, with which S4C would have to comply. Given the Assembly’s holistic approach to promoting bilingualism and a bilingual education policy, and its responsibility for culture and heritage, it is again wholly appropriate that Welsh language broadcasting should be devolved.

I cite those three examples, which will doubtless feature in Mr Paul Silk’s work. I am glad that all parties have collaborated in setting up the Silk commission. The Secretary of State worked hard to ensure that all parties would be involved in it. I will not enter the debate about whether we should have written submissions, but all four political parties will have to be held to account.

[Mrs Gillan]

I also met S4C representatives this week and confirmed that they were happy with the arrangements. There was no request for broadcasting to be devolved.

[Mr Williams]

The Secretary of State will not be surprised that I had the same discussion, in that there was no specific request. I am mindful that there is a large section of opinion within Wales that S4C and broadcasting should be devolved. That is a matter for the Silk commission, and I hope we have that debate in the wake of Paul Silk’s deliberations.

I shall return to the point about tourism made by the hon. Member for Carmarthen West and South Pembrokeshire (Simon Hart). I have the honour to chair the all-party Wales tourism and hospitality group, of which he is a member. We heard evidence last week from the British Hospitality Association and the Welsh Tourism Alliance on the critical importance of tourism and the huge potential for growth in all Welsh constituencies. In Ceredigion alone, 3,000 people are directly employed in hospitality and hotels. Those jobs can be protected.

One mission of those groups is on differential VAT rates. They are punching high—perhaps they are too high in their ambitions—and are pushing for a 5% rate of VAT on hotels and local attractions. There have been discussions with the Treasury, which I welcome. They believe that that could create some 80,000 jobs UK-wide. The Assembly and Westminster need to work together on those things.

Devolution is moving forward. In the last 30 seconds, I pay tribute to many people who campaigned vigorously for devolution over the years—great names in Welsh politics such as Clement Davies, Gwynfor Evans and Jim Griffiths. I should also mention Emlyn Hooson—Lord Hooson—who passed away last week. He did a great deal of work for Montgomeryshire and championed the cause of devolution in the House, introducing Bills for home rule and the creation of the Secretary of State for Wales. He was a good son of Montgomeryshire who worked very hard for his constituents. We very much miss him and send our condolences to his family.

--- Later in debate ---

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

It gives me great pleasure to stand at the Dispatch Box on St David’s day, and I congratulate the right hon. Member for Torfaen (Paul Murphy) and others on securing the debate. I will not be taking interventions, as the hon. Member for Llanelli (Nia Griffith) did not take any, and regrettably we have very little time left. However, I will offer the hon. Lady, on St David’s day, a lovely bunch of daffodils from Dreams and Wishes, which I hope she will take home and enjoy.

I congratulate everyone who has taken part in the debate, particularly those on the Government Benches. I am exceedingly proud that we have had a 100% turnout —apart from my hon. Friend the Member for Vale of Glamorgan (Alun Cairns), who, on behalf of the House of Commons, is on abroad on business with a Select Committee. We have certainly been standing up for Wales. I only regret that that there has been such a thin turnout on the other side, with the honourable exception of Plaid Cymru, which also had a 100% turnout. I also greatly regret that the shadow Secretary of State was not standing up for Wales in the House this afternoon.

This Government are tackling Britain’s problems head on. We recognised that deficit reduction and continuing to ensure economic recovery was the most urgent issue facing Britain, as it still is. After all, it was the Labour party, when it was in government, that left us, the coalition Government, with an interest payment of £120 million a day on the debt that it had racked up. That interest is being paid by every family in the United Kingdom, including families in Wales. We are dealing with those debts, we are securing the long-term stability and low interest rates that are the building blocks for creating prosperity, and we are making Britain competitive once more by reducing tax rates and lifting the deadening cloak of regulation.

The building blocks for recovery are in place, and, as the latest employment figures for Wales show, there are grounds for optimism about the economy, but we all know that this will not be an easy ride. The economic outlook remains very challenging, and the challenges are particularly acute in Wales. But, notwithstanding the naysayers on the Opposition Benches, we in Government are playing our part in making the conditions right for Britain to invest in Wales. We are delivering rail electrification to Wales as part of £1 billion of investment in the Great Western main line. We are investing £60 million in superfast broadband for Wales. We have lowered corporation tax as part of a package of support for business, and have lifted 52,000 lower-paid taxpayers out of income tax altogether. Those major investments demonstrate the way in which Wales benefits from being part of a strong United Kingdom, to which many Members referred. The right hon. Member for Torfaen confirmed that. Although we may not agree on some things, we certainly agree on Wales’s place in the United Kingdom.

Many Members referred to the relationship between the UK Government and the Welsh Government. Responsibility for the Welsh economy is shared between London and Cardiff. Our Government are getting the macro-economic conditions right, but the Welsh Government must also rise to the challenge. We must work to steer a clear course for economic resurgence in Wales through co-operation. The Welsh Government must meet the challenge set by this House’s Welsh Affairs Committee to work in closer collaboration, especially with UK Trade & Investment, to attract inward investment into Wales. Several Members made that point. We need the Welsh Government to grasp the nettle of public sector reform by taking off the blinkers of political dogma and upping the pace of reform. That point was also frequently made in this debate, especially in respect of health.

I am encouraged, however, by some recent Welsh Government initiatives, such as their response to the coalition’s establishment of enterprise zones in England by creating similar, and much-needed, zones in Wales. The Welsh Government must do more to make Wales an open and welcoming place in which to do business. I was saddened by the First Minister’s recent remarks supporting a financial transactions tax, as that would cost the UK 500,000 jobs. That remark shows that there is still a long way to go.

I want to respond to some of the many and varied points made by Members. The right hon. Member for Torfaen, a man of high distinction and service to Government and country, said we must work together, and his advice should be heeded by his own party. He was critical, however, of Ministers’ knowledge across Government, but the current system of devolution was created by a Labour Government. He should know that we now have a devolution Ministers’ network, with a Minister in every Department looking at how we operate and at levels of understanding of devolution. My officials and my excellent Minister work ceaselessly to educate people across the board on the meaning of devolution, in order to ensure that it works better.

The right hon. Member for Torfaen also mentioned the Barnett consequentials and health. He should know that the Government have protected the health spend for this comprehensive spending review period, which has benefited Wales, even though the Welsh Government have chosen not to offer similar protection. If in the longer term—post-2015—the provisions of the Health and Social Care Bill were to result in less spend on health, that might impact on the Barnett formula, but none of us knows whether that is going to be the case. It is also worth noting that the previous Government increased private sector involvement in health, yet spend per head in Wales rose and remains above the English average.

There was, once again, discussion about the initial proposals of the Boundary Commission for Wales. I think the right hon. Gentleman knows that they are based on the principles of equality and fairness; my hon. Friend the Member for Brecon and Radnorshire (Roger Williams) made that point. The right hon. Gentleman has said several times that these proposals are partisan, but that is entirely wrong. There is nothing partisan in seeking a fairer basis for representation in Parliament. I would venture to say that it is the Labour party that is driven by self-interest, in seeking to preserve the blatant unfairness of the current arrangements. There is nothing unfair about making votes and constituencies more equal. It is the current arrangements that are unfair, with some constituencies being much larger than others and votes counting for more in some constituencies than they do in others.

My hon. Friend the Member for Monmouth (David T. C. Davies) is my surfing hero and of the Beach Boys era, as he told us. The Select Committee he chairs has conducted an excellent inquiry. I congratulate him once again and note that he would like a dedicated trade agency to promote Wales. Although the Welsh Development Agency has recently hit the headlines and there have been attempts to rubbish it in the press, I do not think that what has been said is the case. The WDA is well known, if nothing else. It is a name that falls from our lips, it has made Wales a brand around the world and made us feel good about Wales. His comments about the wine at the reception last night are very well founded. I have visited the award-winning vineyard he mentioned and I can tell him that that white wine is absolutely delicious, although, sadly, I had none of it last night.

The right hon. Member for Dwyfor Meirionnydd (Mr Llwyd) agrees on the point about the WDA and is a beauty to behold in his place; I think we are attending the same event this evening, but I may not have the opportunity to change. I was very interested in the list of taxes that he wished to see devolved. He must understand that the Silk commission is working on how the accountability of the Assembly and the Welsh Government could be improved. One way of doing that is to devolve powers over certain taxes to Cardiff Bay and it is open to the Silk commission to consider the devolution of any taxes, although in practice it will probably be considering the case for devolution of certain fixed taxes, such as the aggregates levy, to which the right hon. Gentleman referred, and the landfill tax. The commission is unlikely to recommend the devolution of more mobile taxes, such as VAT, because in certain cases, such as that one, we would need EU agreement. In addition, the mobility of taxes such as capital gains tax and VAT, and the porous nature of the England-Wales border, would probably militate against their being effective tools to enhance accountability.

My hon. Friend the Member for Cardiff North (Jonathan Evans) took us into an area of great celebration, mentioning not only the triple crown, but Cardiff City and of course the Swans, who are doing so well and will definitely stay up. May I just say that it was such a delight to see Sam Warburton and Warren Gatland at No. 10 last night and to be able to celebrate their achievements for Wales? I have comforting words for my hon. Friend on the licensing model for football administration, as that is certainly being looked at by the Department for Culture, Media and Sport. It is awaiting the football authorities’ proposals in response to the Government’s ideas for a licensing system and other reforms on supporter ownership.

I am not going to have time to cover everything from the legal system, tourism, enterprise zones, S4C and welfare even to the forthcoming nuptials of the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), but I would just like to say that for me there is no more important debate in the calendar than the St David’s day debate. I very much hope that next year we will be able to have a full day’s debate, with more Members able to participate. It just remains for me to wish everybody a very happy St David’s day and a very healthy, happy, wealthy and successful Wales.

Oral Answers to Questions

Cheryl Gillan Excerpts

Wednesday 29th February 2012 Commons Chamber

[Gavin Williamson (South Staffordshire) (Con)]

1. What steps she is taking to promote Wales as a destination for inward investment.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

You may have noticed, Mr Speaker, that some Members are wearing leek ties or daffodils in advance of St David’s day. May I take this opportunity to wish everybody a happy St David’s day for tomorrow, 1 March?

I am committed to working with UK Trade & Investment, the Welsh Government and others to improve the level of inward investment that is attracted to Wales. Last week’s report by the Welsh Affairs Committee highlights a number of important issues. In particular, the need for joint working between this Government and the Welsh Government is very clear.

[Gavin Williamson]

Does my right hon. Friend welcome the Welsh Affairs Committee report and agree with it that the Welsh Government should engage more positively with the UK Government to attract investment to Wales?

[Mrs Gillan]

I can reassure my hon. Friend that I welcome the sterling work of the Welsh Affairs Committee, as I am sure do all Members, given that it was a unanimous report. It highlights areas that must be addressed by the UK Government and the Welsh Government. Recently, I met Nick Baird, the chief executive of UKTI, to discuss the response. I have said right from the start of this Government that I want to encourage closer working between the Welsh Government and the UK Government, particularly in the light of some of the disappointing figures in Wales.

[Chris Evans (Islwyn) (Lab/Co-op)]

General Dynamics has celebrated 10 successful years in my constituency. Will the Secretary of State congratulate the Labour Government, who were instrumental in bringing General Dynamics to my constituency?

[Mrs Gillan]

I have always said that politicians of all parties should co-operate to bring inward investment to both the United Kingdom and Wales. I have great pleasure in congratulating any individuals who were involved in bringing General Dynamics to Wales. I have visited General Dynamics on many occasions and it is an excellent company. I am pleased to concur with the hon. Gentleman’s sentiment.

[Karen Lumley (Redditch) (Con)]

Does the Secretary of State believe that restoring the Welsh Development Agency brand would reignite inward investment to Wales?

[Mrs Gillan]

I think that—[Interruption.] The personal remarks from a sedentary position have put me off my stride temporarily, even though they were not about me. My hon. Friend is absolutely right that branding is exceedingly important. There is no doubt in the UKTI report by the Welsh Affairs Committee that the WDA was a great brand for Wales that was well known across the world. I know that many people would like to bring it back. I think that is worth considering, although perhaps in another form. There is no doubt that branding is an important aspect when marketing Wales.

[Mr Peter Hain (Neath) (Lab)]

I join the Secretary of State in marking St David’s day. Will she join me in marking Wales’s magnificent triple crown victory over England on Saturday? I am sure she will have no trouble in doing so.

Since coming to office, how much private sector inward investment have the Secretary of State and her Government helped to bring to Wales?

[Mrs Gillan]

What a magnificent victory that was. It brought a tear to a girl’s eye to see the team doing so well. As far as the match on Sunday goes, Cardiff were robbed and they played very well.

Inward investment and that side of business life are devolved to the Labour Welsh Assembly Government, as the right hon. Gentleman should know, given that he was an architect of the legislation. Since coming into government, I have met delegations from Taiwan, China, Turkey, Japan and Russia to promote Wales as an investment decision. Indeed, I launched the first ever trade mission of Welsh businesses to Bangladesh, led by the Wales Bangladesh chamber of commerce. I stress to the right hon. Gentleman that there needs to be a partnership between the UK Government and the Welsh Government because when making inward investment decisions companies look at the UK as a whole. We need to give them reasons to go to Wales.

[Mr Speaker]

The Secretary of State’s replies are immensely courteous, but I am afraid that they are a bit long.

[Mrs Gillan]

I have to say that I will take no lessons from the right hon. Gentleman, particularly given that, since we came into government, we are investing £1 billion in electrifying the great western main line and putting £60 million into broadband. It is important that both Governments work together. If the First Minister goes on a business delegation and brings back business to Wales I will be delighted, but I think that we should work together—and, for the right hon. Gentleman’s information, we will be sticking to plan A.

[Mr David Hanson (Delyn) (Lab)]

2. What assessment she has made of the effect of changes to feed-in tariffs on the Welsh economy.

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[Chris Kelly (Dudley South) (Con)]

6. What recent discussions she has had with (a) ministerial colleagues and (b) others on measures to reduce administrative burdens for businesses in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

I have regular discussions with ministerial colleagues, the First Minister and other organisations on reducing the regulatory burden on businesses and the public in Wales.

[Fiona Bruce]

Does the Secretary of State agree that although some decisions on business regulations are devolved, it is vital that the Welsh Government do not introduce any measures that are seen as a disincentive to invest in Wales?

[Mrs Gillan]

My hon. Friend is absolutely right. The Government—whether the UK or Welsh Government—must be careful to send signals to business that we are on its side. We must not place any more barriers in the way of businesses creating jobs in Wales, which is why I was particularly disappointed when the First Minister supported the extra financial transactions tax. I am sure the financial services industry in Wales will have been daunted by that.

[Chris Kelly]

The UK Government are scrapping new regulations that would have cost businesses more than £350 million a year and are radically reforming the planning system in England. Many such decisions are devolved to the Welsh Government, but would my right hon. Friend like Labour Ministers in Cardiff to follow suit?

[Mrs Gillan]

Yes. We are aiming to be the most business-friendly Government in history. By scrapping new regulations and with the red tape challenge, we have thrown down the gauntlet to all those organisations that put barriers in the way of business. I wrote to the First Minister about that some time ago—I am still waiting for his response, but I am sure he would share my sentiments that we need to encourage and not stifle business.

[Geraint Davies (Swansea West) (Lab/Co-op)]

At a time when unemployment is at a 17-year high and more people than ever are forced into short-term work, is the Government’s decision to withdraw working tax benefits from low-paid, part-time workers an example of reducing administrative burdens, or is it simply an example of the Government kicking someone after they have thrown them on the ground?

[Mrs Gillan]

I hope the hon. Gentleman has noticed that in creating the most competitive tax regime in the G20, which is the aim of the Treasury and this Government, we have also taken the lowest-paid out of tax. That will make a great difference to families and individuals across the UK, including in Wales.

[Ian Lucas (Wrexham) (Lab)]

But John Longworth, the director general of the British Chambers of Commerce, says that businesses tell him that they are still not feeling the burden of regulation lifting. Will the Secretary of State listen to business and confirm that the Cabinet was yesterday lambasted by the Chancellor of the Exchequer for not achieving satisfactory growth?

[Mrs Gillan]

Right from the beginning when I was appointed Secretary of State for Wales, I set up a business advisory group so that I could listen directly to the concerns of business and industry. I hold regular meetings with that group, and as recently as this week I met the new chief executive of the CBI Wales. I certainly listen to what businesses are saying, as do this Government.

[Jessica Morden (Newport East) (Lab)]

5. What assessment she has made of the effects of Government funding reductions on women in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

We want to put women at the heart of our economic future. Although we have had to make difficult decisions, we are ensuring that the reductions made are shared fairly, while still protecting the most vulnerable in society.

[Jessica Morden]

Not only are Welsh women being hit particularly hard by the cuts but, as my hon. Friend the Member for Swansea West (Geraint Davies) said, on April 6 more than 9,000 families in Wales will discover that they will be hit by a change to working tax credits that could mean the loss of up to £3,800 a year unless they increase their hours. Does the Secretary of State have any comprehension of how hard it will be for those families to increase their hours, especially in retail, and what is she doing to fight their corner?

[Mrs Gillan]

As the hon. Lady knows, the Government’s top priority is an economic recovery that provides jobs for everybody, including women. In difficult times, the Government have been helping families with the cost of living. For example, we have been freezing council tax, while the Welsh Labour Government have refused to implement a similar policy in Wales, and extending free health care and child care. We have increased that entitlement in England. I challenge Labour, in power in Wales, to match that record.

[Guto Bebb (Aberconwy) (Con)]

Many of the claims made about the effect on women of the reform of the welfare state in Wales have unfortunately been repeated in reports published yesterday by Cuts Watch Wales which, despite making claims about the effect on Wales of changes to the welfare system, state that there is no evidence to back up those claims. Does the Secretary of State agree that it is unfortunate that many public sector organisations, supported by the taxpayer, have agreed to be mouthpieces for Labour party propaganda on this issue?

[Mrs Gillan]

I always condemn organisations funded by the taxpayer being propaganda mouthpieces for the Labour party, so I agree wholeheartedly with my hon. Friend. He must remember that the Government are providing flexible parental leave, working with employers to end the travesty of the gender pay gap, establishing a women’s business council and providing enterprise mentors to help more women to start their own businesses. We have a proud record on women. [Interruption.] And as my right hon. Friend the Minister for Women and Equalities has just joined us on the Front Bench, I would like to offer her my congratulations on her work on this front.

[Stuart Andrew (Pudsey) (Con)]

7. What recent discussions she has had with (a) ministerial colleagues and (b) others on the delivery of public services in Wales.

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[Kevin Brennan (Cardiff West) (Lab)]

8. What plans her Department has to mark St David’s day.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

Tonight my right hon. Friend the Prime Minister is holding a reception for St David’s day. Tomorrow the Welsh flag will be flying over No. 10, and I will be attending the Back-Bench St David’s day debate and welcoming Welsh children from the Dreams and Wishes charity to the House of Commons and Gwydyr house. Tomorrow I will also be attending a St David’s day dinner in London and a church service in the Crypt, at St Mary Undercroft. I presented the Prime Minister with daffodils from the national botanic garden of Wales yesterday, and Gwydyr house is full of daffodils.

[Mr Speaker]

Almost enough material for an Adjournment debate.

[Kevin Brennan]

This St David’s day will be tinged with some sadness, as Wales plays a memorial match in my constituency tonight in memory of Gary Speed, the Wales manager who died so tragically at the age of 42. Money will be raised for a charity called CALM—the Campaign Against Living Miserably—to help to prevent suicide among young men. Will the Secretary of State hold a collection in support of that charity at her St David’s day event?

[Mrs Gillan]

I hope that the memorial match in the memory of Gary Speed goes extremely well and that a lot of money is raised for the charity. In answer to the hon. Gentleman’s question, I will come back to him and let him know, because I would like to ask the people who work in the Wales Office. We are having a charity called Dreams and Wishes come in on St David’s day tomorrow. That is what we are focusing on, but I will see what I can do for the hon. Gentleman. [Interruption.]

[Mr Speaker]

Order. We could do with a bit of quiet, both out of respect for St David’s day and in order to hear the Chairman of the Select Committee on Welsh Affairs.

[David T. C. Davies (Monmouth) (Con)]

I wonder whether the Minister would consider marking St David’s day by allowing patients to opt out of the NHS in Wales and instead enjoy the lower waiting lists, lower infection rates and better funding that are the hallmark of the NHS in Conservative-run England.

[Mrs Gillan]

I am grateful to my hon. Friend for reminding us, on the eve of St David’s day, of the differences that are arising because of Labour Government policies in Wales. I am sure that his question will be heard by many people across Wales. I hope that the Welsh Labour Government will emulate our reforms and produce a first-class health service in Wales for all our citizens.

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[Stephen Mosley (City of Chester) (Con)]

11. What recent discussions she has had with (a) ministerial colleagues and (b) others on the promotion of tourism in Wales.

[The Secretary of State for Wales (Mrs Cheryl Gillan)]

As this is Welsh tourism week, I have been out on visits. I also have regular discussions with ministerial colleagues and others on the promotion of tourism in Wales. Tourism is primarily a devolved matter for the Welsh Government but, as usual, we are keen to work with them to promote Wales internationally. [Interruption.]

[Mr Speaker]

Order. The Secretary of State’s answers can scarcely be heard, and that is simply not fair. Let us have a bit of order for Mr Mosley.

[Stephen Mosley]

Thank you, Mr Speaker.

There are huge opportunities for boosting tourism in north Wales by working with the beautiful, historic border town of Chester. Has my right hon. Friend had any discussions with the Welsh Assembly Government to encourage the joint marketing of our tourism gems on both sides of the Anglo-Welsh border?

[Mrs Gillan]

I will certainly ensure that my hon. Friend’s request is on the agenda at my next meeting with the First Minister. I also hope that many people visiting this country, particularly for the Olympic games, will take the opportunity to visit the many attractions on both sides of the border, but especially in Wales.

[Chris Ruane (Vale of Clwyd) (Lab)]

What more could be done to capture the Irish tourist market in Wales, especially north Wales?

[Mrs Gillan]

As the hon. Gentleman knows, that is the responsibility of the Labour Welsh Government, but I will certainly ensure that that matter is brought to the attention of Irish Ministers in my conversations with them.

The Prime Minister was asked—