Oral Answers to Questions
Nia Griffith Excerpts(12 years, 2 months ago)
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Nia Griffith (Llanelli) (Lab)
Given the feed-in tariffs fiasco and this week’s news that big investors in wind energy are threatening to take millions of pounds worth of green jobs abroad because they are losing patience over the Government’s shilly-shallying about renewables policy, how will the Under-Secretary convince companies to invest in the installation and manufacture of renewable energy equipment in Wales, securing much-needed jobs and reducing our dependence on ever costlier imported gas and oil?
Oral Answers to Questions
Nia Griffith Excerpts(12 years, 4 months ago)
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Mr Jones
The hon. Gentleman will know that the Sayce review made the commitment that existing employees in Remploy should be offered the opportunity of expert entrepreneurial and business support over a decent period of time to develop businesses, so the Sayce report shows commitment to Remploy. I hear what the hon. Gentleman says about his communications with my hon. Friend the Under-Secretary and if he would care to write to me, I will certainly pursue the matter.
Nia Griffith (Llanelli) (Lab)
The way in which the Government propose to abolish disability living allowance will take £105 million a year away from disabled people in Wales, money they desperately need to help them cope with the extra costs of living with a disability, as the Secretary of State of all people should know. What meetings has she or the Minister had with disabled people in Wales on the Welfare Reform Bill, and how do they intend to address people’s very real fears about it?
Mr Jones
The Government remain committed to supporting disabled people and determined that that support should be targeted at those most impacted by their health condition or disability. As the hon. Lady will know, the new personal independence payment will be objective, fair and strongly evidence-based and will enable accurate and consistent assessments of individuals to determine who will benefit most from additional support.
Oral Answers to Questions
Nia Griffith Excerpts(12 years, 5 months ago)
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Nia Griffith (Llanelli) (Lab)
The Government’s feed-in tariff fiasco risks shattering all investor confidence in manufacturing in Wales. What will the Minister do to influence ministerial colleagues to prevent imminent job losses in the Welsh solar industry and ensure that any change to the feed-in tariff is given a long lead-in time and is set at a rate that will encourage investment and not increase unemployment?
Mr Jones
We fully understand the difficulties that companies involved in this sector of the economy face as a consequence, but if things had been left as they were, the feed-in tariff budget would have been eaten up. There is a consultation and I have no doubt that the hon. Lady will participate in it.
Commission on Devolution in Wales
Nia Griffith Excerpts(12 years, 6 months ago)
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Nia Griffith (Llanelli) (Lab)
We have had a long and full debate, and we have wandered over many subjects. We heard the hon. Member for Monmouth (David T. C. Davies) ensure that we heard a plurality of views. In his own completely inimitable style he told us that the Silk commission should have a remit to consider clawing back powers from the devolved Administration. That view must be unique to him.
Mrs Gillan
The Silk commission can look at the boundaries, and that means adjustments in either direction.
Nia Griffith
I thank the Secretary of State for that clarification.
My right hon. Friend the Member for Torfaen (Paul Murphy), a former Secretary of State for Wales, spoke with passion and conviction, standing up firmly for Wales and pointing out the deep mistrust of the current Government’s attitude to Wales, which is exemplified by the roughshod way in which Ministers are cutting the number of Welsh constituencies from 40 to 30. That fuels deep suspicions about what the Government’s motives are for setting up the Silk commission.
My hon. Friend the Member for Caerphilly (Mr David) stressed the need for a pragmatic approach that brings power nearer to the people but which does the best for the people of Wales. The hon. Member for Arfon (Hywel Williams) referred the Silk commission to his private Member’s Bills, the Bilingual Juries (Wales) Bill and the Jobcentre Plus (Wales) Bill. The hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards), who had very little time, unfortunately, urged the Lib Dems to rebel on the constituency boundary issue.
My hon. Friend the Member for Ogmore (Huw Irranca-Davies) stressed the importance of this Parliament in taking decisions for the whole UK and urged that we move forward wisely, cautiously and with careful consideration of the issues. The hon. Member for Brecon and Radnorshire (Roger Williams) pointed out the importance of the Calman commission and stressed the excellent credentials of its members, and his words have been echoed by many hon. Members.
The hon. Member for Aberconwy (Guto Bebb)—I am not sure whether he is listening—stressed the importance of accountability and talked about practicalities. He spoke of the importance of treating businesses across the whole UK equally, but he then talked about different national insurance rates, so I am not sure quite where he was coming from.
The hon. Member for Vale of Glamorgan (Alun Cairns) talked about the need for stability and there being no further changes for a generation. He stressed the need for the Silk commission to consult effectively and to reach out to those who have not been effectively engaged before, pointing out concerns about the volatility of some taxes. The hon. Member for Epping Forest (Mrs Laing) reaffirmed her strong Unionist credentials and welcomed the commission, which she sees as an important step towards accountability.
My hon. Friend the Member for Pontypridd (Owen Smith) referred to the difficulties of having continual change and to the need to take a long-term view. He also stressed the need for economic stimulus, as set out in Labour’s five-point plan, and pointed out the measures that the Assembly Government are taking to implement elements of that in the areas for which they have responsibility, such as with the successor to the future jobs fund—the jobs growth fund—and with some investment in infrastructure, where they are able to do so.
The Opposition very much welcome the establishment of the Silk commission and the important tasks it has to do. Its first task is to review the case for the devolution of fiscal powers and to recommend ways in which the financial accountability of the Welsh Assembly could be improved. It will no doubt refer to the work done by the Holtham commission in its analysis of some of the possible ways of transferring revenue-raising mechanisms to Wales. It can examine the practicalities and the likely consequences of implementing any such measures. We should not underestimate the complexity of this issue or the dangers of people being, quite naturally, tempted to play the system by switching from one side of the border to the other. That issue has been mentioned by several hon. Members, particularly my right hon. Friend the Member for Delyn (Mr Hanson). Most importantly of all, the Silk commission will need to consult and take account of public opinion. It is vital that a move towards any change has the support and backing of the people of Wales.
We are disappointed that the Secretary of State has decided to make setting up the Silk commission a priority over tackling the challenge of delivering a fairer funding system for Wales—an issue that is specifically excluded from the commission’s remit. If her Government were really interested in delivering the best for the people of Wales, they would have made it a priority to introduce the so-called Barnett floor—a concept that was explored in the Holtham reports and adopted by Labour in our 2010 manifesto as the most practical and immediate step to protect funding to Wales.
Roger Williams
Does the hon. Lady agree that the floor has less applicability in these straitened economic times than it would if there were an expanding economy?
Nia Griffith
As the hon. Gentleman will have heard my right hon. Friend the Member for Neath (Mr Hain) explain, we are at a tipping point. Until now, the Barnett formula has served the people of Wales well, but from this year onwards the balance will tip slightly in the other direction. Putting a floor in would offer additional protection and would be a straightforward measure. It could be implemented with the agreement of the Treasury and without having to go into the difficulties of trying to work out a needs-based analysis, which is much more complex but is something that we might wish to see in the long term. So, as Holtham identified, the Barnett formula has served Wales well up to now, but if nothing is done it will begin to disadvantage Wales. The whole point of putting in the Barnett floor is to prevent that from happening and to protect funding. The Holtham commission recommended moving to a needs-based analysis, and it produced evidence of how a needs-based funding system could be made to work in a way that is fair to all parts of the United Kingdom. In its second report, it demonstrated that a needs-based funding formula that is fair to Wales would deliver £117 to Wales for every £100 that is spent in England on devolved activities. It recognised, too, that moving to a needs-based formula would take time but, in the meantime, the Barnett floor could protect Welsh funding. Instead of making that a priority, as it could be implemented quite easily, the Secretary of State has set up a commission that specifically will not consider the issue of funding reform.
Nia Griffith
I hope very much indeed that that bilateral work is progressing quickly and effectively.
It is small wonder, given the Conservatives’ track record on devolution, that many Opposition Members have expressed suspicions about the Government’s motives for setting up the Silk commission. There are suspicions that the Government might be trying to sell Wales short and push through measures that would seriously disadvantage Wales. The concentration of wealth creation in London and south-east England means not only in Wales but in Scotland, Northern Ireland and the other regions of England that public expenditure is greater than the income from those areas, which are all net beneficiaries of the UK tax regime, while London and parts of the south-east and East Anglia are net contributors.
That is for historical reasons, including the early emergence of London as the commercial capital and its importance as a world financial centre, and it is in contrast to other European countries, where the importance of the city state and, much later, unification has produced different patterns of wealth distribution. The disparities have existed in the UK for many years: they are deeply embedded and cannot simply be eliminated by a few years of regional policy or European funding, helpful as that is to compensate for the differences. Nor can they simply be eliminated by substantial growth in the private sector, vital as that is to Wales and across the UK.
With such deep-seated historical differences in wealth distribution, complete financial independence for Wales, as advocated by Plaid Cymru, is an absolute non-starter. With a gap of £14.6 billion between public spending and the revenue raised in Wales, it would mean every man, woman and child in Wales contributing an extra £4,800—nearly £5,000 each a year just to maintain current levels of spending.
Jonathan Evans
The Labour party has been using those figures quite heavily today, and it has based them on the Holtham report, but that is misleading. The report indicates a gap of £6 billion. Will the hon. Lady correct that statement and the statements of the right hon. Member for Neath (Mr Hain)?
Nia Griffith
Those figures were recently provided by the House of Commons Library, on 2 November, and I am sure that it has checked them thoroughly.
We are suspicious about the Government’s motives in setting up the Silk commission, whose remit excludes fair funding. It looks as if the Government might be using it as a back door to cutting funding to Wales, or seeking to adopt measures that could leave Wales subject to fluctuations in funding that would be impossible to cope with. The Labour party will strongly resist any moves that would disadvantage Wales.
Many people have been puzzled by the timing of the debate, as the remit for the Silk commission has already been set, so it did not offer an opportunity to influence its terms of reference. Perhaps, when the commission has had a chance to study the issues, it may wish to seek views or raise questions in an interim report, and that would be a more appropriate time for a debate. Having the debate now, before the commission has even begun its work, but after the terms of reference have been decided, is somewhat bizarre. [Interruption.] I think that the Secretary of State is trying to intervene, but the point was well made by my right hon. Friend the Member for Torfaen that that does make us question the reason for the debate.
Mrs Gillan
I should like to inform the hon. Lady and the House that the terms of reference were agreed with the Labour party in the Assembly.
Nia Griffith
The irony being that today we have discussed the importance of Parliament; many Government Members have referred to the importance of the commission being set up by Parliament.
Nia Griffith
No, I think that I have made my point. Opposition Members felt that they would have had more chance to influence things if the timing of the debate were different.
Up and down Wales, as far as the person in the street is concerned, the Silk commission is set up and can get on with its work. What those people are worrying about today is the empty order book in their company, the shops that are closing in their high street, the cuts in their council services, losing their job or their home, their children not being able to find work, and the daily struggle to make ends meet as prices for essentials such as food, vehicle fuel and energy bills spiral upwards. They understand something that the Government seem to have forgotten—that before the Government can raise any revenue or talk about any formula to distribute it, they need wealth creation. Indeed, what is the point of talking about taxation without wealth creation?
This week the Government have sent completely the wrong message to potential investors in Wales. Only days after the head of Tata Europe told MPs that he has been having serious doubts about future investment in Wales because of this Government’s lack of a long-term manufacturing strategy, the Government confirm his doubts by trying to sneak out in a written statement yet further cuts to the feed-in tariff scheme, with devastating effects on the industry. This is not about feed-in tariffs. This is not just about manufacturing industry. This is about raising the proper revenue and then being able to do something with it. It is about wealth creation, setting the right long-term strategies that will encourage manufacturing to come to Wales, attracting the investment that we need and providing the wealth so that we can talk about what we do with it. [Interruption.] I still have two minutes to go, I believe.
Why do we remain wary of the Government’s motives and suspect that they might be setting up the Silk commission to try to reduce funding to Wales? Because daily we see funding being sucked out of Wales, whether in higher VAT, the change from the retail prices index to the consumer prices index for the calculation of pensions and benefits, or the winter fuel allowance being cruelly cut for the over-80-year-olds from £400 to £300 this month, leaving many worrying about whether they can afford to put the heating on. It is this sucking money out of Wales that worries us considerably.
Although we welcome the Silk commission, wish it well with its work and look forward to debating its findings, in the meantime I again ask the Secretary of State to make it a priority to establish the so-called Barnett floor to protect funding for Wales, and I urge her Government to adopt fiscal policies that will stimulate the economy in Wales.
Oral Answers to Questions
Nia Griffith Excerpts(12 years, 10 months ago)
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Mr Speaker
Order. I am rather surprised and disappointed by the slow progress today. We must speed up.
Nia Griffith (Llanelli) (Lab)
Given the Secretary of State’s discussions about enterprise zones with the First Minister and other Welsh Assembly Ministers, does she accept that whatever we do on the ground in Wales, and whatever stimulus the Welsh Assembly can provide, we still need a proper fiscal stimulus from her colleagues in the Cabinet here? What discussions has she had with her colleagues in the Treasury about ensuring that growth happens?
Mrs Gillan
The hon. Lady makes a very good point, and that is exactly why, following the Budget, there was an increased provision for the Welsh Assembly Government of £65 million. Just to correct any figures that have been bandied about, I have checked with the Treasury and £10 million of that £65 million was Barnett consequentials for enterprise zone expenditure, and £20 million was for small business rate relief consequentials. I am sure that with £30 million the Welsh Assembly Government will be able to do something.
Oral Answers to Questions
Nia Griffith Excerpts(13 years ago)
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Nia Griffith (Llanelli) (Lab)
Given that an enormous amount of time and money has been put into studying tidal energy in the Severn estuary, what efforts is the Secretary of State making to take forward the plans for that and ensure they do not get lost?
Mrs Gillan
The hon. Lady knows that throughout the years when I have been both shadow Secretary of State and now Secretary of State for Wales, I have been very supportive of all the work that has been done, particularly on tidal lagoons, as well as in examining the case for the Severn barrage, which has, of course, been put to one side for the time being. I can assure her, businesses in her constituency and our research institutes that we will always consider that option for future generation in and around the Welsh coast.
Constitutional Law
Nia Griffith Excerpts(13 years, 5 months ago)
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Owen Smith (Pontypridd) (Lab)
It is a pleasure to follow the Minister. As he said, the order is largely uncontroversial. The principal amendments are to article 39 of the National Assembly for Wales (Representation of the People) Order 2007, which stipulates that the office for an election agent for a regional election should be within that region; articles 114 and 133, which relate to the Legal Services Act 2007; and schedule 10, which relates to the format of the ballot papers for the constituency and regional lists. We are content that the amendments in articles 6 and 7 of the draft order, which expand the description of bodies regulating the legal profession that must be considered by election courts and describe the duties of the Director of Public Prosecutions therein, are entirely reasonable and appropriate, and we will be supporting them. We are also satisfied that the changes to schedule 10 described in article 10 of the amending order, which relate to the nature of the ballot papers, are also rational and evidence-based changes, based on consultation with all parties and the Electoral Commission. We will be supporting those, too.
We welcome, too, the change proposed in article 5 of the draft order, which amends article 39(2)(b) of the 2007 order and which, in keeping with suggestions made by the parties, the National Assembly and the Electoral Commission, allows election agents for the regional elections to have their offices anywhere in Wales, not solely within that region. That, too, is a sensible and practical change that reflects the realities of how political parties organise themselves for elections, with both regional and constituency bases. In fact, the changes to the constitutional law described in the draft order are all reasonable and sensible amendments. They have all been drafted after respectful consultation with the devolved Administration and are free of party political taint. As such, they stand in sharp contrast to all the other constitutional legislation that we have been debating in this House in recent weeks.
Nia Griffith (Llanelli) (Lab)
My hon. Friend talks about consultation. Does he know whether any research has been undertaken on the propensity of voters to go for the top name on the list? If so, does he know whether any thought been given to the fact that, with party names rather than individuals’ names appearing on the list, there will perhaps always be a tendency for a certain party to be at the top?
Owen Smith
I do not know whether there has been any research on that. I confess that I suspect that there has been none, and I doubt whether many of the provisions in either this order or, more importantly, the Parliamentary Voting System and Constituencies Bill have been adequately tested, as it has been rammed through with such unseemly haste.
As the Minister said, several of the reasonable amendments in the draft order are predicated on recommendations made by the Electoral Commission for Wales in its report on the conduct of the elections to the National Assembly in 2007—an election that was described in the commission’s document as having been
“alright on the night, but…by the skin of our teeth”.
The commission continued:
“The management of elections in Wales, with significant levels of postal voting, is a substantial exercise requiring strategic investment…project planning and risk management”.
There are lessons that we need to learn, and we need to ensure that the authorities in Wales—the Welsh Assembly Government and, I would suggest, Ministers—have learned those lessons.
Oral Answers to Questions
Nia Griffith Excerpts(13 years, 6 months ago)
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Mr Speaker
Order. I think that the Secretary of State will have intended to welcome a new occupant of the Opposition Front Bench.
Nia Griffith (Llanelli) (Lab)
5. What recent representations she has received on the implications for Wales of the Government’s proposals on constitutional reform.
The Parliamentary Under-Secretary of State for Wales (Mr David Jones)
My right hon. Friend and I have received a number of representations, and we have also discussed with the Welsh Assembly Government and other interested parties the implications for Wales of the Government’s programme of constitutional reform. Fairness throughout the United Kingdom is the underpinning principle of those reforms, and the Government have moved fast to introduce the constitutional reforms needed to restore confidence in Britain’s political system.
Nia Griffith
We all understand the idea of a maximum time limit of two months for responding to Select Committee reports, but we do not have to go for the maximum; we can respond earlier. Will the Minister explain why his right hon. Friend the Secretary of State did not respond to the Welsh Affairs Committee’s report on the constitutional reforms in time for those comments to be considered while the relevant Bill was being considered on the Floor of this House?
Welsh Grand Committee (Scrutiny)
Nia Griffith Excerpts(13 years, 6 months ago)
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Ann Clwyd
I am very pleased to hear that. Does anyone else want to express their intention to attend? They will be very welcome, because we shall have a proper debate on issues of Government policy as they particularly affect our constituents.
The debate on the Floor of the House last night was very truncated because of the guillotine that fell at various points, but it was obvious from the passions that were shown and expressed during that very short debate that people who represent Welsh constituents feel that they are being sold short because they have not been able to have the full discussion that we all wanted on important constitutional reforms that affect our constituencies.
Nia Griffith (Llanelli) (Lab)
Does my right hon. Friend agree that in the main Chamber, with MPs from all over the United Kingdom, the focus has to be on the principles in the Bill? There is no opportunity to cover in detail the issues that we want to discuss, which we in Wales can understand and would like to have a deeper discussion on, but with which we do not like to burden all our colleagues.
Ann Clwyd
I thank my hon. Friend. She reinforces the point that I am making: people feel frustrated and sold short because they cannot express their views. Tomorrow is an opportunity for MPs of all parties to come together and express their views in the Welsh parliamentary party.
Oral Answers to Questions
Nia Griffith Excerpts(13 years, 8 months ago)
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Mrs Gillan
I am sad that the hon. Gentleman has to ask such a question, but he knows that he has to because the last Government left this economy in tatters, and it has fallen to this coalition Government to put the economy back together again. As he well knows, we are providing an environment in which business can do business in the UK. We are reducing corporation tax by a penny each year, which will give us one of the lowest corporation tax regimes in the European Union, we have reduced the taxation regime for small companies, and we have incentives on national insurance for entrepreneurs setting up businesses. I can assure him that we are doing everything that we can to create a healthy environment in which businesses and private business can prosper.
Nia Griffith (Llanelli) (Lab)
What assessment has the Minister made of the impact on private businesses in Wales of the loss of public service contracts and purchasing power caused by redundancies, cuts to rises in benefits and the proposed new VAT regime?
Mrs Gillan
The hon. Lady knows that the deficit needs to be tackled immediately, and it was her Government who left us in this dire financial situation. Of course, I cannot pre-empt anything that might happen in the comprehensive spending review, but I recognise the vital role that public sector contracts play in the prosperity of businesses across Wales, and I know that the economy is heavily dependent on the public sector, so I have already made representations to the Treasury, and will continue to do so. However, I am afraid that the financial mess we are in was the responsibility of her party.