Jo Stevens
Main Page: Jo Stevens (Labour - Cardiff East)Department Debates - View all Jo Stevens's debates with the Wales Office
(2 days, 4 hours ago)
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Ben Lake (Ceredigion Preseli) (PC)
The Secretary of State for Wales (Jo Stevens)
Through the spending review, we are providing a record £22.4 billion per year on average for the Welsh Government; investing at least £445 million in Welsh rail; investing £211 million a year in local growth funding; and providing £118 million of new funding for coal tip safety. This Labour Government are investing in Wales’s economy, public services and people. We have ended Conservative austerity.
Christine Jardine
I was pleased to see funding for a number of transport projects in Wales in the spending review, not least because my city of Edinburgh is now linked directly by rail to the Secretary of State’s city of Cardiff. Lumo, which runs services in Scotland through open access, is hoping to begin a service through south Wales. Does the Minister agree with me that the spending review presents a fantastic opportunity for such projects, which create jobs, strengthen the Union and boost the UK’s economy?
Jo Stevens
I very much agree with the hon. Lady about the benefits to the Union of the significant investment that this Government are making in transport. I am very happy to take away her comment on Lumo and open access, and talk to the Rail Minister on her behalf.
Ben Lake
I was pleased to hear the Secretary of State explain in evidence to the Welsh Affairs Committee last week that Wales will receive a Barnett consequential of some £200 million as a result of transport announcements for English mayoral combined authority areas made in the lead up to the spending review. Could the Secretary of State clarify whether she was referring to the transport for city regions funding, which was announced on 4 June? The Chief Secretary to the Treasury stated in an answer to a written question that it was not possible to identify the specific Barnett consequential arising from that programme.
Jo Stevens
My understanding is that the just over £200 million figure that I referred to in my evidence to the Welsh Affairs Committee relates to the combined mayoral authority announcements that were made prior to the spending review.
Ruth Jones (Newport West and Islwyn) (Lab)
I am delighted that the £500 million announced for the steel industry in the spending review has already been translated into boots on the ground and high-vis jackets with the commencement of the building of the electric arc furnace, safeguarding 5,000 jobs. Will the Secretary of State join me in welcoming the fantastic progress that has already been made in the steel industry and in supply chains all across Wales?
Jo Stevens
I thank the Chair of the Welsh Affairs Committee for her question. Monday was a really significant day for Welsh steelmaking. I was at the groundbreaking ceremony to begin construction of the electric arc furnace, which will be one of the largest in the world, securing 5,000 jobs and the future of steelmaking in Port Talbot for years to come. It has been made possible by £1.25 billion of investment, including £500 million from this Government, as well as our £80 million to support workers and the wider steel community, and will benefit not just Port Talbot but downstream sites. This has been a really challenging time for steelworkers across Wales, but I think this week marks a real turning point, securing a bright future for years to come.
Carolyn Harris (Neath and Swansea East) (Lab)
As a result of the UK Government’s half a billion pound investment in the future of steel in Port Talbot, construction has now begun on the new electric arc furnace. Will the Secretary of State share what this fantastic news means for Port Talbot and the surrounding communities, like my own of Neath and Swansea East?
Jo Stevens
The Government’s investment in the electric arc furnace shows how serious our commitment is to the steel industry, not just in south Wales but across the UK. It is why we have slashed energy costs for steel producers and other energy-intensive industries through the industrial strategy, strengthened procurement rules to use even more UK steel in construction, ensured that the UK is the only country in the world not paying 50% tariffs to the United States, and boosted trade defences to protect the sector against foreign imports. The steel strategy, which we will publish later in the year, will also deliver up to £2.5 billion of investment to help to maintain jobs and growth.
David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)
The UK Government say that Wales is getting record-breaking funding to tackle NHS waiting lists, but for my constituent Melanie Walker, the reality is the opposite. After waiting 59 weeks for a hip operation, she has now been told she must wait another 45, because Powys Teaching Health Board is artificially extending waiting times for patients treated in Shropshire and Herefordshire to match lower Welsh averages—a cost-cutting move driven by the Welsh Government. Does the Secretary of State think that is fair to Melanie or consistent with her Government’s pledge to reduce waiting times?
Jo Stevens
I am very sorry to hear about Melanie’s situation. However, I would say to the hon. Gentleman that his party were in government with the Conservatives during the coalition years. That Government delivered horrible austerity on Wales, which lead to public services in Wales being degraded. His party was the architect of that.
Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
The Chancellor says that cutting red tape for bankers will trickle down to households. [Interruption.] The 2008 financial crash taught us that that is utter nonsense. [Interruption.] The Secretary of State has just mentioned things that happened in the past; in 2023, she said:
“12 years of ‘trickle-down’ and ‘trickle-out’ growth strategies have failed to deliver for Britain.”
Does she stand by what she said in opposition, or does she now toe the line for the sake of the Chancellor’s friends in the City?
Jo Stevens
I apologise to the right hon. Lady; I am afraid I did not hear the start of her question. On tax and what the Chancellor has talked about, we stand by our manifesto commitment not to increase income tax, employee national insurance contributions or VAT. The Chancellor has said that it would be irresponsible to write future Budgets months in advance, especially given the global situation. There are clearly costs and implications to every decision this Parliament makes, but we remain focused on growing our economy in Wales and across the UK.
Liz Saville Roberts
That is one way of avoiding answering the question, Mr Speaker. My point is that Labour’s skewed sense of fairness does not stop at prioritising the interests of the banks over others; it is also hitting our farmers and rural communities. The Farmers Union of Wales has warned that Labour’s planned reforms to agricultural property relief will do irreversible damage to the Welsh family farm. Looking ahead to next week’s Royal Welsh Show, will the Secretary of State agree at last that what we really need is a tax on extreme wealth, instead of a tax on those who feed us and sustain our rural economies?
Jo Stevens
At the autumn Budget, we demonstrated our commitment to our fiscal rules while maintaining high levels of investment to rebuild our public services—an investment in farming as well—after the mess that the Tories left behind. We have repeatedly said that those with the broadest shoulders should bear the greatest burden, and that has been reflected in the decisions that we have taken so far. Tax changes, as the right hon. Member knows, are a matter for the Chancellor.
Sarah Edwards (Tamworth) (Lab)
Dave Robertson (Lichfield) (Lab)
The Secretary of State for Wales (Jo Stevens)
We are investing at least £445 million—an historic investment—in Welsh rail, to right the years of underfunding by previous Conservative Governments and to unleash Wales’s economic potential. This funding will support the permanent closing of level crossings on the north Wales main line, enabling increased services across north Wales that will improve cross-border connectivity, create jobs and boost economic growth.
Mrs Blundell
The Chancellor’s announcement of at least £445 million for Welsh rail will be transformative for Welsh passengers and Better Connect workers with jobs across north Wales and Manchester, but only if we are pulling in the same direction. What steps will be taken by the Wales Office to ensure that national Governments, devolved Governments and our combined authority in Greater Manchester are working together to improve connectivity and bring the people of the north-west and north Wales closer together?
Jo Stevens
My hon. Friend is absolutely right. That is why I was pleased to see the Welsh Government’s Cabinet Secretary for Transport, Ken Skates recently launch Network North Wales in Wrexham. That really exciting plan will better connect communities in north Wales and north-west England through more rail and bus services and greater integration. Benefits will include 50% more timetabled services on the north Wales main line, boosting cross-border connectivity and driving economic growth between north Wales and north-west England. In addition, the investment in rail infrastructure will boost capacity on the Wrexham to Liverpool line.
Dave Robertson
Bore da. Does the Secretary of State agree that the introduction of the midlands rail hub project, which will see an additional train per hour from Cardiff in south Wales to the midlands, is a great sign that this Government are investing not just in Wales and the midlands but in the whole country?
Jo Stevens
I thank my hon. Friend for his question—and for his very good Welsh. The first phase of the midlands rail hub will enable additional trains between Birmingham and south Wales, strengthening cross-border connectivity between Wales and England. That is absolutely what this Government’s investment is about: creating jobs and growth and connecting Wales and England.
Mims Davies (East Grinstead and Uckfield) (Con)
Let us have another reality check. Information provided to us by the Department for Transport confirms that Conservative expenditure on Welsh rail exceeded £5 billion over our time in office, underpinned by our plans to deliver the north Wales main line. Yet in a January sitting of the Welsh Affairs Committee, the Welsh Secretary roundly criticised Welsh rail before claiming:
“That is a direct consequence, I am afraid, of the last 14 years of underfunding”.
As usual, this Government’s words and beliefs and the reality are poles apart. This Labour Government are now offering peanuts—just a miserable £400 million over an entire decade. Will the Secretary of State retract her past claims to the Welsh Affairs Committee and the similar ones that have been made on the Wales Office Government social media accounts?
Mr Will Forster (Woking) (LD)
The Secretary of State for Wales (Jo Stevens)
The hon. Member will know that that was an error made under the previous Conservative Government. Heavy rail infrastructure is reserved in Wales and, like every heavy rail project in England, Barnett consequentials do not apply. The UK Government’s rail network enhancements pipeline funds East West Rail—or Ox-Cam rail, as it is more commonly known—and also directly funds projects in Wales, such as the historic at least £445 million investment in rail in Wales that was announced in the June spending review.
Mr Forster
The Government have claimed that listing the Oxford to Cambridge rail line as “England-only” on past documents was just an accounting error by the Conservative Government and that the project has not been reclassified to deprive Wales of funding, but four separate Government documents list it as “England-only”, and over £1 million in Barnett consequentials were already paid to Wales on that basis. Does the Secretary of State honestly stand by her claim that it has just been reclassified and that this is not intended to deprive Wales of fair funding?
Jo Stevens
As I have just explained, an error was made by the previous Conservative Government. Heavy rail was and always is reserved. The Welsh Government will not be required to re-pay any Barnett consequentials provided to them as a result of any error that took place under the Conservative Government.
Mr Alex Barros-Curtis (Cardiff West) (Lab)
The Welsh Government allocated over £1 billion to transport in their recent Budget. This investment comes after 14 years of critical under-investment by the Conservatives, and it should hopefully provide funding to stations such as Ely Mill in my constituency. Can the Secretary of State tell me why the Welsh Conservatives and Plaid Cymru voted against this investment, which would mean extra funding to fix our roads, build new trains and improve our buses?
Jo Stevens
The Opposition’s decision to vote against the additional funding was inexplicable, as was their decision to vote against extra money for the NHS, for education and for businesses—I could go on. They stand here and criticise this Government while they vote against extra money for Wales.
Gregory Stafford (Farnham and Bordon) (Con)
Perran Moon (Camborne and Redruth) (Lab)
The Secretary of State for Wales (Jo Stevens)
In June, the Crown Estate announced that it will partner with Equinor and Gwynt Glas to develop floating offshore wind in the Celtic sea. Those projects will create over 5,000 new jobs and will leverage £1.4 billion in private investment. This will deliver generational change in Wales. We are supporting the industry with an £80 million investment in Port Talbot port and a £1 billion clean energy supply chain fund to support offshore wind across the UK.
Perran Moon
Meur ras ha myttin da, Mr Speaker—or should I say “Diolch yn fawr”? The proposed floating offshore wind farms in the Celtic sea lie between the two ancient Celtic nations of Wales and Cornwall. The Celtic sea not only will be a valuable source of renewable energy but has the potential to create thousands of jobs across south Wales and Cornwall. Does the Secretary of State agree that local funding for economic development is essential to realise that potential and that, working hand in hand with Cornwall, Wales will play a key role in helping to unleash the Cornish Celtic tiger?
Jo Stevens
My hon. Friend is right that floating offshore wind presents significant opportunities for Wales and the UK. In the leasing round that just took place we had a first-mover advantage in this technology of the future. Earlier this month, the Energy Secretary granted development consent for the Mona offshore wind farm, which will bolster north Wales’s offshore wind industry. All of that is contributing to securing our energy independence and bringing down bills for people in Cornwall, Wales and the rest of the UK.
Jim Shannon (Strangford) (DUP)
I know that cheer was not for me, Mr Speaker. When it comes to offshore wind in Wales, the waters in which that offshore wind energy will be generated are the same waters that flow by Northern Ireland, the same waters that flow by England and the same waters that flow by Scotland. Is it not time to have an offshore wind strategy for the whole United Kingdom of Great Britain and Northern Ireland? If we do it together, we will do it better.
Olivia Bailey (Reading West and Mid Berkshire) (Lab)