Oral Answers to Questions

Jo Stevens Excerpts

Wednesday 21st January 2026 Commons Chamber

[Steve Race (Exeter) (Lab)]

11. What recent discussions she has had with Cabinet colleagues on support for clean energy projects in Wales.

[The Secretary of State for Wales (Jo Stevens)]

Wales is leading the UK’s clean energy mission and secured two major projects in the UK Government’s contracts for difference scheme last week: Erebus, which is Wales’s first floating offshore wind project in the Celtic sea, and Awel y Môr offshore wind farm, off the coast of north Wales. It is the most successful auction round in European history, and a huge vote of confidence in Wales’s clean energy sector, which will deliver thousands of good jobs.

[Perran Moon]

Meur ras ha myttin da. I was delighted to see the Erebus project in the Celtic sea secure a contract for difference in the highly successful auction round. It is fantastic news for the floating offshore wind sector—the new frontier in renewable energy generation—and for local supply chains. Does the Secretary of State agree that we now need long-term investment in those supply chains, not just in Wales but in the closest land mass to most of the Celtic sea projects, which is Cornwall, so that our Welsh cousins can support the unleashing of the Cornish Celtic tiger?

[Jo Stevens]

I entirely agree with my hon. Friend that investment in our offshore wind sector is integral to realising our potential as a clean energy superpower, and to creating thousands of high-skilled jobs in Wales and among our Celtic cousins in Cornwall. That is why last week’s auction round was such an historic moment, and why this Labour Government have announced a landmark £1 billion clean energy supply chain fund to deliver offshore wind, with £300 million from Great British Energy, £400 million from the Crown Estate and £300 million from the offshore wind industry.

[Bill Esterson]

The Secretary of State quite rightly mentioned the jobs and growth that will result from the projects at Awel y Môr and Erebus in the Celtic sea, but the price in auction round 7 was 40% lower than the equivalent for new gas-fired power stations, and Putin’s latest remarks have reminded us of the volatility of the gas price. Does she agree that Welsh consumers will benefit from cheaper bills, and that the projects will give us greater security, as well as the benefits she outlined earlier?

[Jo Stevens]

My hon. Friend is absolutely right. This was the most successful auction round in European history, as I have mentioned. Awel y Môr is the first offshore wind project in Wales to win a contract in over a decade, and Erebus will be Wales’s first floating offshore wind farm. These projects will power almost 1 million homes and bring £2.6 billion of investment to Welsh coastal and industrial communities, but as he says, and most importantly, they will create thousands of jobs and bring down bills as we produce more, cheaper clean energy and gain our energy independence.

[Steve Race]

I, too, congratulate the Government and welcome last week’s announcement of the most successful European auction round to date. It is great news for the UK and for our action on climate change, and it bodes well for the full Celtic sea floating offshore wind opportunity, which is important for Exeter, the wider south-west and Wales too. Will the Secretary of State explain how this landmark step forward for offshore wind will mean new jobs and lower bills for constituents in Exeter, Wales and right across the country?

[Jo Stevens]

The Celtic sea is at the frontier of our green energy revolution. The capacity for offshore wind will support over 5,000 new jobs and bring billions of pounds of investment. Erebus is a test and demonstration project and will kick-start the early development of FLOW in Wales, ahead of larger projects being advanced through the Crown Estate’s three FLOW sites in the Celtic sea that have been leased to Equinor, Gwynt Glas and Ocean Winds. I cannot stress enough that this is a once-in-a-century opportunity for Wales, as it is for the south-west. That is why this Labour Government are doing whatever it takes to realise that potential.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

When it comes to clean energy, I think we are all delighted to see that a new nuclear power plant will be constructed in Wales. Does the Minister agree that it is worse than a crying shame—in fact, it is a disgrace—that the Scottish Government set their face totally against any nuclear developments in Scotland, such as at Dounreay in my constituency?

[Jo Stevens]

I thank the hon. Gentleman for raising this issue, particularly as it is Nuclear Week this week. We have announced the new fleet of small modular reactors at Wylfa, which are expected to support 3,000 jobs at peak construction and to power up to 3 million homes, with the capacity for further fleets in the future. I am not sure why the Scottish Government refuse investment in nuclear. Not only do they waste money, but they refuse investment and jobs in their own country.

[Jim Shannon (Strangford) (DUP)]

I thank the Secretary of State very much for her answers, and she is absolutely right to develop green energy and clean energy. The Irish sea separates Northern Ireland and Wales, and the winds blow up and down the west coast of England and Wales and the east coast of Northern Ireland, which is something we can all take advantage of. Has she had an opportunity to discuss working with the Northern Ireland Assembly and others to take advantage of that, and to discuss the future potential for us all?

[Jo Stevens]

I would be very happy to have a conversation with the hon. Gentleman about that. We are investing in our green industries because that is how we will bring down bills for everybody, secure our energy supplies for everybody, and create jobs and improve living standards for everybody.

[Mr Speaker]

I call the shadow Minister.

[Harriet Cross (Gordon and Buchan) (Con)]

Mid-Wales is beautiful, but plans for 200 metre tall wind turbines in Radnor forest—turbines twice the height of Big Ben—will blight the landscape, impact local communities and harm the area’s vital tourism sector, and we are seeing similar proposals across Brecon and Radnorshire. The concerns of local communities, businesses and councils must be properly considered in planning decisions for energy infrastructure, not simply overridden by Government Ministers in Cardiff Bay to meet their own agenda. Does the Secretary of State agree?

[Jo Stevens]

The hon. Member obviously does not want energy bills to come down, does not want jobs in mid-Wales and does not want the investment to happen. Labour is the only party committed to our renewable energy revolution. Plaid, the Greens and the Lib Dems all try to block renewable infrastructure, while the SNP rejects the jobs, as we have just heard; and now the Tories and Reform do not want this revolution, but want to scrap net zero altogether.

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)]

The Secretary of State has been highly critical of the legitimate concerns that my constituents have raised about the numerous wind farm proposals across mid-Wales. Now the Ministry of Defence has raised its concerns that at least one of the proposed wind farms has the potential to form a physical obstruction to air traffic movements and military activities at the Sennybridge training area. If the Labour Government will not listen to the concerns raised by my residents, will they at least listen to their own military?

[Jo Stevens]

I thank the hon. Member for his question, but can I suggest that he raises that with Defence Ministers? If he would like to contact me afterwards, I am happy to raise that with the Secretary of State for Defence.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

Diolch yn fawr, Llefarydd. On 9 January, Consumer Energy Solutions went into administration, and 300 people across Wales lost their jobs. In my constituency alone, more than 40 households have told me that they have been left in limbo, often without heating or hot water, and many of these people are elderly or ill. Given that the right hon. Member’s Government scrapped the energy company obligation 4 scheme abruptly, what support will be provided to make sure that householders are not left to pay after CES walks away?

[Jo Stevens]

I thank the right hon. Lady for raising the matter, and I really do feel for people who have found themselves in this situation, including her constituents, through absolutely no fault of their own. She will know that we inherited this scheme from the Conservative Government, and both ECO and the Great British insulation schemes had well-documented problems, which is why we took decisive action to end them. We are urgently working with scheme providers to ensure that customers of Consumer Energy Solutions are supported, and we will provide further updates as soon as possible.

[Liz Saville Roberts]

We are expecting an announcement on the warm homes plan, which is of course to be welcomed, but we cannot rerun the errors of ECO4. An investigation by the National Audit Office into wall insulation revealed fraud and shoddy work. Will the Secretary of State therefore join me in calling for a public investigation into ECO4 air source heat pumps and solar panels, so we get a full, independent evaluation of the incidence of bad practice, questionable profits and fraud?

[Jo Stevens]

I simply say what I have already said to the right hon. Lady, which is that we inherited these schemes; they had well-documented problems, and that is why we have taken decisive action to end them. She will have seen our announcement today on the warm homes plan and the £15 billion fund to help people across the country.

[Ann Davies (Caerfyrddin) (PC)]

2. What discussions she has had with the Welsh Government on funding for railways.

[The Secretary of State for Wales (Jo Stevens)]

I hold a range of discussions with Ministers in the Welsh Government, including about our crucial investment in the Welsh rail network. We are investing at least £445 million in Welsh rail to right years of underfunding by previous Tory Governments. That will mean new stations, and more and faster trains on the key lines in north and south Wales and into England to improve cross-border connectivity, create jobs and boost economic growth.

[Ann Davies]

Diolch yn fawr, Mr Llefarydd. The Treasury has confirmed that Northern Powerhouse Rail will again be classified as an England and Wales project, again depriving Wales of £1 billion in funding. Instead, we are being asked to celebrate £445 million being spent over 10 years in east Wales. This decision means no electrification beyond Cardiff, no new station for St Clears, even though it was promised through the levelling-up fund, and no upgrades for Carmarthen station. What influence can the Secretary of State bring to bear on the Treasury, so that the 1.5 million people who live outside the investment area, who are excluded, get the funding that they deserve?

[Jo Stevens]

Heavy rail projects in both countries are classified as England and Wales whether the track is in Wales, England or both. They do not attract Barnett consequentials because heavy rail is reserved. Examples of such projects include Padeswood in north Wales and the regeneration of Cardiff Central station. Surely the hon. Lady knows that the economic corridor between north Wales and the north-west is vital for regional integration and the economic growth of north Wales. The scheme paves the way for more services, more regular services and faster services across north Wales and the north-west.

[Andrew Ranger (Wrexham) (Lab)]

Last year, the Welsh Labour Government introduced a £1 bus fare cap for young people. Since then, these reduced fares have been used on 2 million journeys. Earlier this month, Welsh Labour announced in my constituency that after the Senedd election in May, we will build on that success with a £2 bus fare for all fares and more than 100 new routes across Wales. Would my right hon. Friend join me in supporting this announcement, and can she update the House on what else the UK and Welsh Labour Governments are doing together to improve Wales’s transport infrastructure?

[Jo Stevens]

The introduction of the £1 bus fare cap for young people, and now a £2 cap on all fares from the Welsh Labour Government, has been great news; it will help everyone with the cost of living. The 100 new bus routes right across Wales, which will be introduced if Welsh Labour are re-elected in May, will further help people take advantage of the new opportunities and jobs that we are creating across Wales. All this has been made possible because there are two Labour Governments working together for Wales. Our record-breaking Budget settlement for the Welsh Government has delivered nearly £6 billion more in spending power, enabling them to invest more in transport and other public services.

[Mr Speaker]

I call the shadow Secretary of State.

[Mims Davies (East Grinstead and Uckfield) (Con)]

Following a freedom of information request, several questions at the Dispatch Box and my pre-Christmas letter to the Secretary of State, a serious explanation of railway funding in Wales is still lacking. Previously, she said in the Chamber:

“We are investing…to right the years of underfunding”—[Official Report, 16 July 2025; Vol. 771, c. 282.]

She told the Welsh Affairs Committee that there was

“widespread agreement… and many others have expressed similar sentiments.”

That is not evidence of underfunding; it is an opinion. Will she finally tell the House what method she is using to form her opinion, and will she outline how much Network Rail intends to invest in Welsh railways?

[Jo Stevens]

The hon. Member will know very well from my reply to her letter that her assertion is fundamentally wrong, because she is using a combination of operations, maintenance, renewals and enhancement funding to reach the total figure provided under Conservative Governments. The Labour Government have announced nearly £500 million of investment in Welsh rail, specifically and solely in enhancement funding. That money is being front-loaded in this spending review period to deliver new stations and more and faster trains as soon as possible. She should carry on trying desperately to defend her party’s appalling record in government, because all she is doing is reminding everybody about it.

[John Whitby (Derbyshire Dales) (Lab)]

3. What discussions she has had with the Secretary of State for Environment, Food and Rural Affairs on cross-border livestock movements.

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[Dame Nia Griffith (Llanelli) (Lab)]

6. What steps she is taking with Cabinet colleagues to help reduce the cost of living in Wales.

[The Secretary of State for Wales (Jo Stevens)]

The Government are absolutely determined to lower the cost of living for families across Wales and the whole UK. That is why we are benefiting 69,000 children in Wales by scrapping the two-child limit. It is why we are slashing household energy bills by an average of £150 a year, and why we are again increasing the national minimum and living wage, building on the previous increase, which boosted the incomes of up to 160,000 workers in Wales.

[Rachel Taylor]

The latest interest rate cut—the sixth since Labour formed this Government—is great news for mortgage holders in Wales, North Warwickshire and Bedworth and across the UK, bringing down the cost of family mortgages by almost £1,400 a year. Will the Secretary of State update the House on how this Government’s policies are helping to strengthen our economy and improve the cost of living as a result?

[Jo Stevens]

My hon. Friend is absolutely right; this Government are supporting people across Wales and the UK with the cost of living. In comparison with when we came into government, households that take out a new mortgage are saving around £1,400 a year on their mortgage repayments. We have also increased the state pension by 4.8%, which will take effect in April, benefiting 700,000 pensioners across Wales. We have also uprated the universal credit standard allowance by over 6%—the first ever permanent real-terms increase—benefiting 320,000 households in Wales.

[Dame Nia Griffith]

The cost of living is still a major concern for my constituents in Llanelli, so I very much welcome the decision by this Labour Government to give households £150 to help with their domestic energy bills, but can the Secretary of State explain exactly who is eligible and when and how they will receive the money?

[Jo Stevens]

Energy bills are a significant issue for people across the country. That is why, thanks to this Labour Government, from April this year all households will see an average £150 reduction in costs on their energy bills. Energy suppliers will pass on the savings automatically to households.

My hon. Friend will have seen today the launch of our warm homes plan, which is a £15 billion fund. In Wales, it will make grants available for households to replace gas boilers with heat pumps, and it will mean stronger standards for landlords who privately rent homes, so that they are safer, warmer and more affordable to run.

[Mr Speaker]

I call the shadow Secretary of State.

[Mims Davies (East Grinstead and Uckfield) (Con)]

Wales could be disproportionately affected by US tariffs, which could be a challenge for many Welsh businesses—the words of Labour First Minister Baroness Eluned Morgan in correspondence to the Prime Minister. There has been lots of talk about traitors, but over the past 27 years we, the Conservatives, are the ones who have seriously scrutinised, challenged and exposed the failings of Welsh Labour, which is clearly propped up by Plaid and the Lib Dems. Will the Secretary of State confirm that it is the two fabled Labour Governments who simply cannot work together who are making the cost of living and unemployment worse in Wales?

[Jo Stevens]

Wages are up, and inward investment is up. Inactivity is down on the year, and unemployment is down on the year. We have also had six cuts in interest rates, meaning that families taking out a new mortgage are £1,400 a year better off than they were under the Tories.

[Shaun Davies (Telford) (Lab)]

7. What discussions she has had with the Welsh Government on improving cross-border health services.