Welsh Affairs

Jo Stevens Excerpts

Monday 19th March 2018 Commons Chamber

[Alun Cairns]

My right hon. Friend is very sharp on these matters and recognises their importance, as I am sure do many of the champagne drinkers on the other side of the Chamber. A vineyard in my constituency was caught out by the geographical indicators when it labelled its sparkling wine “llampagne”. Unfortunately, the European Commission threatened to take action and the company rebranded its product. My right hon. Friend underlines my point that we hope that these elements of the negotiation will take place on a positive basis as we leave the European Union and consider the new opportunities that that will provide.

On another topical issue, I want to reassure Members that work continues between my right hon. Friend the Secretary of State for Business, Energy and Industrial Strategy, my office and the Welsh Government on the Swansea Bay tidal lagoon. As the Business Secretary said last week, the Swansea proposal is more than twice as expensive as Hinkley nuclear power station, so we will continue discussions with the Welsh Government to look at the affordability of the case and do everything possible to make it a reality. However, the challenges are quite obvious.

[Jo Stevens (Cardiff Central) (Lab)]

As much as we are all enjoying the tour around the Secretary of State’s Outlook diary and the various visits and meetings he has had, in that time he could have made a decision with his Cabinet colleagues about the Swansea tidal lagoon. It is over a year since the Hendry report; when will we hear a result and a decision?

[Alun Cairns]

As we have said, we will respond as quickly as we possibly can. However, the hon. Lady will recognise that this is quite a dynamic environment. The price of renewable energy has plummeted over that period and the numbers from the tidal lagoon company have also changed, so perhaps the delay will prove to bring better value for money for the taxpayer. As I have said, the current proposal is twice as expensive as Hinkley nuclear power station, and I am sure the hon. Lady wants to see good value for money for the taxpayer, whatever the outcome.

--- Later in debate ---

[Jo Stevens (Cardiff Central) (Lab)]

I am always reminded of the benefits of mindfulness when I listen to the hon. Member for Monmouth (David T. C. Davies), and then follow him.

Wales, as we know, has a very proud history and tradition. When I was thinking about the debate today, however, I decided to focus on the future, and, in particular, on the role of young people in Wales—especially those close to home, in my constituency.

Cardiff is projected to be one of the UK’s fastest-growing cities, with a 26% population growth over the next 20 years. I represent a university constituency in our capital city, and I am very proud to do so. There are very few university constituency Members in the House, and I am also proud that the majority of them sit on the Labour Benches. There is an obvious reason for that, which I will come to later.

Cardiff Central contains the campuses of no fewer than three excellent universities,: Cardiff University, Cardiff Metropolitan University, and the University of South Wales.

Cardiff University is one of the global top 100 universities, Cardiff Met is continuing to increase its strong international reputation, and the University of South Wales is now the second largest university in Wales in terms of student numbers. Many academics and students from other universities choose to make Cardiff their home, which is partly why Cardiff Central has the second highest proportion of residents aged 16 to 24 in the United Kingdom. Moreover, 40% of our city’s population hold tertiary-level qualifications, and we have 75,000 students in the city region. That amounts to half the student population in Wales. There are 43,000 students in Cardiff alone, most of whom live in my constituency. More than one in three students studying in Cardiff’s higher education institutions are now postgraduates, and a quarter of those studying in the city are international students.

The first university in Cardiff was founded in 1884, with only 13 academic staff and 102 full-time students. What has been developed and built over the past 134 years —not just in terms of expanding campuses, but in terms of knowledge, skills and our economy—is a wonderful achievement.

[Stephen Doughty]

I thank my hon. Friend and neighbour for giving way. She is making an excellent speech. Many members of university staff and some students live in my constituency—although not as many as live in hers—and I am very proud of the role that universities play in Cardiff. Does she agree that it was important that so many young people and, indeed, lecturers and staff from Cardiff universities turned out to protest against the extreme far-right neo-Nazi actions that we regrettably saw in my constituency at the weekend? That solidarity across Cardiff was a powerful thing to behold, and I am sure my hon. Friend will join me in welcoming it.

[Jo Stevens]

I thoroughly endorse what my hon. Friend has said. We know that when such incidents happen in Cardiff, which, sadly, they do from time to time, the whole community turns out in support of our fight against them.

When I walk through Cardiff Central, past the neoclassical buildings of Cathays Park or the modern, striking architecture of the University of South Wales, or Cardiff Met, I see those buildings as a striking reminder that our universities represent both our openness to ideas and our promise to future generations. The way in which we value and treat our universities and those who work and study in them says a lot about our progress on those fronts.

Topically, the last month has seen the biggest ever industrial action undertaken by the University and College Union in defence of the university superannuation scheme and against proposals by Universities UK to change it. The changes would mean a reduction of £10,000 a year in the pension of the average university academic. Cardiff University UCU members voted overwhelmingly to take industrial action, easily seeing off the restrictions in the Government’s mendacious Trade Union Act 2016. Cardiff UCU, through a very effective campaign and with a perfectly reasonable and justifiable case, has seen its vice-chancellor—who is also the head of Universities Wales—eventually peel away from the hard core of vice-chancellors who were opposing any return to the negotiating table and a fresh, independent look at the pension fund valuation that had been undertaken by Universities UK.

The dispute that has hit Cardiff University is a consequence of the Government’s marketisation of higher education. In the Government’s rush to ensure that universities are run like private businesses, lifting the cap on tuition fees and treating students as customers, the balance sheet has become king. It is the balance sheet that will allow vast borrowing to expand campuses and capacity, and, as we have seen in the private sector, employees’ pensions are always an easy target for those trying to smarten up their balance sheet. But what is the point of a glossy prospectus and a shiny new building if we cannot attract the best people to teach and do research there? As if Brexit was not enough of an unnecessary threat, we do not need to turn the brightest minds away from a career in our universities in Wales teaching the next generation of engineers, doctors, teachers, business leaders, and, yes, maybe even politicians, by making those careers less attractive through slashing pensions. As Anthony Forster, vice-chancellor of Essex University, has said:

“university employers must step up to the plate and commit to increasing employer contributions to the scheme…Principled compromise is the answer.”

Going back to the issue of how we value and treat our universities in Wales and those who work and study in them, Government higher education policy says a lot about their attitude to young people in Wales. In 2010 the Tory-Lib Dem coalition Government made clear what future they had in mind for the next generation when they saddled young people with tuition fees of £9,000 a year, and this was made clearer when the current Government replaced maintenance grants with loans. While preaching the virtue of paying down the national debt, claiming this was for their benefit, the UK Government devised a system whereby the average graduate would be £50,800 in debt and the poorest graduate an average of £57,000 in debt. The bankruptcy of this system can now be seen in the Prime Minister’s own pledge to freeze tuition fee rises and hold a review.

We should contrast this with the approach of the Welsh Labour Government, who have looked to keep maintenance grants at every stage of further education, from college to the end of university. They have also kept NHS bursaries in Wales, unlike the Government here. Labour’s policy has been to ensure that the playing field is kept as even as possible, as opposed to piling the greatest debt on the poorest students.

While the Welsh Labour Government have not been able to rein in fee rises indefinitely, they have ensured that for almost a decade Welsh students have graduated with significantly less debt than their English counterparts, and they will continue to do so.

[Chris Elmore]

My hon. Friend is making a passionate and well-informed speech. The Welsh Government have also worked with students, including NUS Wales, to get to where we are now with this new programme for students. That is important and shows a clear contrast between how the British and Welsh Governments work.

[Jo Stevens]

My hon. Friend is absolutely right, and that permeates much of what the Welsh Labour Government do, such as working through the social partnership with trade unions in Wales on public services and with the NUS in Wales on education.

All of this matters because, although Cardiff has three excellent universities, it also has postcodes and catchment areas that contain some of the highest levels of poverty in Wales. No child, wherever they live in the United Kingdom, should ever have their aspirations of obtaining a university degree curtailed because of the frightening burden of debt. With the Institute for Fiscal Studies reckoning that three quarters of our graduates will never pay off their student loan, it is clear we need to end this system which is loading our children’s future into a Ponzi scheme.

The Government’s approach to higher education also says a lot about our openness to new ideas and new people. It is vital that the Government listen to the concerns of universities and students, rather than dismiss them. Universities and their global connections and collaborations are vital to our knowledge economy. A recent report by the London School of Economics found that Cardiff University alone contributes £3 billion to the UK economy per year, and every year international students at Cardiff University generate over £200 million for Cardiff’s local economy. Welcoming people from all over the world has long been an integral part of our successful higher education sector, yet our exit from the European Union threatens to compromise that.

For all the Government’s words, everyone knows that immigration policy is being dictated by what looks good on the front page of the Daily Express or Daily Mail rather than the good of the country. The Government say that they remain committed to the UK, and by extension Wales, being as “open as before,” yet that contrasts with their own stated aim of reducing net immigration to “tens of thousands,” which, unless they are planning on encouraging mass emigration, will necessitate a large drop in the number of international students.

The Government’s approach to Brexit and the Brexit negotiations have been at best confused and at worst downright hostile. It is already having a detrimental effect on our higher education sector, with a fall in applications to UCAS from EU students. If the Government are serious about the UK still being open to new people, they need to recognise the overwhelming view of the public and drop international students from their immigration targets. They also need to explain to us and to the Welsh Government how they are going to ensure that academic institutions in Wales and across the UK can still easily attract and recruit EU academics after Brexit.

Literally every week constituents come to my advice surgeries to ask whether they will be able to live, work and travel in and around Europe as they do now. I cannot answer those questions but it seems that I am in good company, because pretty much every time I ask the Secretary of State for Wales or his Minister, they cannot answer either. In the last four months, I have asked the Secretary of State eight times whether he can identify and name any specific advantages or opportunities for Wales of leaving the EU, and he has not yet given me a single specific, tangible example—and I have not heard any in today’s debate either. With our exit less than a year away, this is ridiculous.

By contrast, students and academics in Cardiff have been regularly and forcefully telling me how Brexit is harming the horizons of higher education in Wales. Cardiff University is currently part of over 50 Horizon 2020 schemes, and the EU remains a significant investor in Welsh higher education. This funding and the jobs it supports could easily be lost in the car-crash Brexit that some members of the Government are pushing for.

Welsh students are currently able to enjoy the advantages of the Erasmus+ scheme along with students from non-EU countries such as Norway and Iceland. While the Government have in principle committed to paying into EU programmes, the lack of detail on this front is deeply concerning. We need clarity now that the Government have contingency plans in place for alternative sources of large-scale credit and funding from which our universities have often benefited.

We often speak about duty in this House: we talk about our duty to our constituents and our duty to our country, but surely both those duties are not just in the here and now, but encompass the future, too.