Oral Answers to Questions

James Davies Excerpts

Wednesday 18th January 2023 Commons Chamber

[Sir Chris Bryant (Rhondda) (Lab)]

4. What recent discussions he has had with the Welsh Government on the proposed refocusing of investment zone policy.

[The Parliamentary Under-Secretary of State for Wales (Dr James Davies)]

Let me first congratulate the hon. Gentleman on his knighthood in the new year’s honours list.

We remain committed to working with the Welsh Government on the delivery of investment zones for Wales. That is alongside the freeports programme, which will facilitate growth and innovation through benefits such as tax relief for businesses.

[Sir Chris Bryant]

That is all very well, but the Government have basically completely binned their investment zone policy. I have had a letter from a Government Minister saying that it is all being refocused and is not about housing and planning any more but about productivity, improving growth and job creation. But no details are available, and all the bids have been binned. Is that not further evidence that we do not have a Government in this country anymore, just a bunch of rapscallions squatting in ministerial offices?

[Dr Davies]

I cannot agree with the hon. Gentleman. As he will know, many elements of the policy are devolved in Wales. Therefore, discussions continue with the Welsh Government on those aspects. I would highlight that there are 5,400 similar zones in other parts of the world. We must deliver growth for Britain in a similar fashion.

[Mr Speaker]

I call the Chair of the Welsh Affairs Committee.

[Stephen Crabb (Preseli Pembrokeshire) (Con)]

I echo the congratulations to the hon. Member for Rhondda (Sir Chris Bryant) on his knighthood. One of the lessons of industrial policy over the last 30 years in Wales, certainly given the number of failed food parks, science parks and technology parks, is that taxpayers’ money alone does not create economic activity out of thin air. Does the Minister agree that whatever interventions we or the Welsh Government make must work with the grain of the private sector? To that end, does he recognise that the overriding strength of the Celtic freeport bid is that it works with real projects and real industry to deliver floating offshore wind in the Celtic sea?

[Dr Davies]

My right hon. Friend is a strong campaigner for the offshore wind possibilities in south-west Wales. He will know that decisions on awarding freeports are ongoing, with at least one due in Wales and an announcement to be made shortly.

[Dame Nia Griffith (Llanelli) (Lab)]

5. What assessment he has made of the adequacy of UK Government funding for Wales.

[The Parliamentary Under-Secretary of State for Wales (Dr James Davies)]

Over the spending review period the UK Government are providing the Welsh Government with 20% more funding per person than equivalent UK Government spending in other parts of the UK. As a result of the autumn statement, Welsh Government funding is increasing by around £1.2 billion over the next two years, on top of the additional £2.5 billion-a-year average over the three-year spending review.

[Dame Nia Griffith]

The UK Government shared prosperity fund short-changes Wales by £1 billion over three years, even though the Secretary of State and his predecessors repeatedly promised that Wales would receive not a penny less when replacing EU funds. Those funds were used by the Welsh Government to deliver 5,000 apprenticeship year. Why is the Minister letting down young people in Wales in this way?

[Dr Davies]

The hon. Lady will know that the shared prosperity fund is extremely generous to Wales and replaces all the money that came from the European Union. There have been fantastic announcements in recent weeks about how the fund will progress. She will also know about an array of other funding schemes through UK Government, including the growth deal. I hope to be in her constituency in early February for the groundbreaking, milestone event for Pentre Awel, I hope she will join me at that.

[Sarah Atherton (Wrexham) (Con)]

Despite the Welsh Government receiving the largest devolution funding settlement, it has the worst performing Labour-run NHS. Instead of spending on what matters, they plan to spend £32 million on a 20 mile-an-hour blanket speed policy. Such a policy will cost the economy £4.5 billion. Does my hon. Friend agree with me and 94% of my surveyed constituents that that is another example of a Labour waste of money?

[Dr Davies]

My hon. Friend is quite right that the policy is not a good way to spend money, and is not deliverable either. As an NHS GP working in north-east Wales, I can tell her that the delivery of NHS services is shocking in many senses. We need the Welsh Government to improve their performance.

[Mr Speaker]

I call the shadow Minister.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

As my hon. Friend the Member for Llanelli (Dame Nia Griffith) has just reminded the House, the Secretary of State, the Minister and their predecessors repeatedly promised that Wales would receive “not a penny less” to replace EU structural funds to Wales. Not only have they failed to deliver on that promise, but the record inflation that their Government have presided over has resulted in a double whammy to the Welsh Government’s budget. Is the Minister aware that higher education has been shut out of his Government’s flagship levelling-up process and that hundreds of jobs are now at risk, possibly as many as 600? Why are his Government continually letting down people, including young people, across Wales?

[Dr Davies]

I joined the Secretary of State on a visit to Bangor University last week and it is important that we ensure there are funding mechanisms for higher education. There is an array of schemes through the Department for Business, Energy and Industrial Strategy, and it is important that the hon. Gentleman and the Government work on ensuring that the university sector is supported in Wales.

[Wendy Chamberlain (North East Fife) (LD)]

7. What recent discussions he has had with Cabinet colleagues on support for rail infrastructure in Wales.

--- Later in debate ---

[Jerome Mayhew (Broadland) (Con)]

8. Whether he has had recent discussions with the Welsh Government on the closure of the Menai bridge.

[The Parliamentary Under-Secretary of State for Wales (Dr James Davies)]

Roads are a devolved matter and the decision to close the Menai suspension bridge was therefore made by the Welsh Government. Work has commenced on the emergency replacement of brittle hangers dating back to 1938, and this will be followed by additional maintenance works. Welsh Government Ministers assure me that, subject to safety assessments, the bridge is due to reopen at the end of this month.

[Jerome Mayhew]

The Menai bridge supplies the lifeline of tourism to Anglesey and the wider region. Given Welsh Labour’s negligent handling of the maintenance of the bridge, and now its closure for months, how does my hon. Friend think Welsh Labour is doing on its manifesto commitment to rebuild tourism in Wales?

[Dr Davies]

Quality road infrastructure is vital to unlocking the potential of the north Wales visitor economy. I believe that there are questions to be answered about the specification of the contracted private finance initiative maintenance schedule for the bridge, which was awarded by the last Labour UK Government in 1998, and about the stalled consideration of a third crossing on the Menai strait. I urge the Welsh Government to publish the findings of the roads review and resume the improvement of the north Wales road network.