Archive for the ‘Welsh Assembly’ Category

BEFORE ANY READER JUMPS TO CONCLUSIONS THIS IS NOT A WELSH ASSEMBLY ISSUE.  ANY CHANGES TO THE BARNETT FORMULA WILL BE MADE AT WESTMINSTER BY THE NEXT GOVERNMENT

I was on a panel at the University of Bangor last night with, among others;

• Gerald Holtham, Chair of the Independent Commission on the Funding of the Welsh Assembly
• Professor John Thornton, Bangor Business School and former member of the IMF
• Dafydd Wigley, Honorary President of Plaid Cymru
• Rob Irvine, Editor of the Daily Post

The presentation given by Gerald Holtham was superb.  Concise, analytical and detailed it was delivered with no prompts and no need for the support of a power point presentationdespite the detail and scope of his presentation.

The first report produced by the Holtham Committee looked at the way in which the Barnett Formula impacts upon Wales.  The Barnett Formula is, as many readers understand, a mechanism by which funding for Wales, Scotland and Northern Ireland was adjusted back in the late 1970’s (as a temporary measure) to account for the different needs of the four constituent parts of the UK.  It is, as has been recognised by all four parties in the Assembly, in need of an overhaul and being brought up to date in order to reflect the current position in terms of the ‘needs’ of the four countries of the UK.

The problem with Barnett, as highlighted by the Holtham Committee, is the fact that it is now less equitable than it should be but not to the degree claimed by Plaid Cymru (I will come back to this).  What the Holtham Committee did was to examine the needs based adjustment utilised by the Treasury in England in order to assess funding support for the English regions and then apply the same principles in the context of Wales, Scotland and Northern Ireland.  This is what they found;

•  Wales should get £114 for every £100 spent in England.  Under Barnett we get £112
•  Scotland should get £105 for every £100 spent in England.  Under Barnett they get £120
•  Northern Ireland should get £121 for every £100 spent in England.  Under Barnett they get £125

Whilst the Welsh shortfall is significantly less than the absurd and dishonest claims made by Plaid Cymru, most recently by my opponent here in Aberconwy, there is a shortfall which accounts for about £350m of expenditure each year.  Why has this position been allowed to continue under the current Labour administration? 

According to Mr Holtham the main reason is the fact that the Labour Party, knowing that their only chance of success at the forthcoming General Election is to retain the large majority of the 59 Scottish seats , have decided to ignore the issue.  Changes to Barnett would be damaging to Scotland and with the Labour Party under threat from the SNP they have decided to allow the status quo to continue because their own electoral prospects are more important than the principle of equity between the nations of the UK.      

A final point about Barnett.  It is, for all the flaws highlighted above, a fundamentally UNIONIST formula.  The only reason you can argue for changes and revisions to the Barnett Formula is if you believe in the United Kingdom.  The whole concept of Barnett and the debate that surrounds the issue is that funding from the UK Treasury should be distributed to the English regions, Wales, Scotland and Northern Ireland on the basis of need in order to try and create an equitable distribution of spending based on need throughout the UK.  The fundamental dishonesty of the debate surrounding Barnett in Wales is the fact that Plaid Cymru continually make wildly exaggerated claims about the unfairness of the current formula without ever attempting to explain what would happen if their stated aim of an Independent Wales was to be achieved. 

Think about it.  No Union = No Barnett Formula.  Plaid Cymru claim that the current shortfall is hugely unfair to Wales.  The current shortfall has been identified by Holtham as spending of £112 per head via the Assembly block grant rather than the £114 per head which Holtham thinks it should be if the needs based analysis used to distribute money to the English regions was utilised here in Wales.  What would be the shortfall if the stated Plaid Cymru aim of independence was achieved?  They never seem to be willing to respond to that question and their Honorary President conspicuously failed to address the issue last night when I made these very points.

The lesson is clear.  When Plaid talk about Barnett ask them what they would do to make-up the shortfall if Barnett did not exist because that is the ultimate aim of their policy of independence.

I will blog on tax and borrowing issues as discussed last night in due course.

Guto

Bu i mi recordio darn i raglen deledu Hacio brynhawn Gwener ar gyfer ei ddarlledu yr wythnos yma dwi'n credu. Cafwyd trafodaeth eithaf manwl ynghylch fy agwedd tuag at refferendwm ar bwerau pellach i'r Cynulliad.

Gofynwyd i mi ddatgan fy marn ar y refferendwm arfaethedig. Yn fras dwi'n credu fod tacluso'r system LCO yn synhwyrol ac felly hefyd fwyafrif y Ceidwadwyr ym Mae Caerdydd. Serch hynny, os ydi Plaid Cymru neu'r Blaid Lafur am droi'r ddadl yn un ynghylch pwerau'r Alban i Gymru (sydd ddim yn cael ei gynnig) neu fel sy'n fwy tebygol refferendwm ar lywodraeth Geidwadol yn San Steffan yna anodd iawn fyddai rhannu llwyfan gydag arweinwyr ymgyrch fyddai, yn ei hanfod, yn un llai na gonest.

On Friday I recorded an interview for Hacio, the Current affairs Programme for young people broadcast by S4C. The interview was a fairly detailed discussion about my views in relation to the proposed changes to the way the Government of Wales Act 2006 works.

I was asked whether I would support the changes proposed within the 2006 Government of Wales Act. I have never been reluctant to accept that the current LCO system is cumbersone and lacking in transparency and efficiency and stated as much. This is a view I share with many Conservative members who have real doubts about the performance of the Assembly. My concern, which I stated clearly, is that an referendum campaign will be hijacked by those advocating Scottish syle powers (which are not on offer) and many in plaid Cymru and Labour who will use the referendum as a vote of confidence in relation to a new Conservative Government in Wetminster. In my view any such approach from Labour and their freinds in Plaid Cymru would be very damaging to any consensus view on the referendum proposed in relation to changing the current LCO system.

Great session in Gogarth today. A good team again and a response which was very pleasing.

The most important meeting however was with a resident who works in a senior position within education in the Constituency. Financial pressure from the poor WAG settlement means that we face real pressures to the budgets of local schools in the 2010/11 financial year. Due to accumulated reserves and careful management of resources within individual schools it is anticipated by the resident in question that front line services might be protected this year but it should be remembered that the WAG budget has not been reduced for this financial year. The real cuts will hit in 2011/12.

What came across clearly was the huge frustration felt by the resident in question about the disparity between WAG spending on education and what is spent in England. I have previously mentioned this disparity as being in the region of £500 per year per pupil but my respondent (who was clearly on top of his brief) stated that the difference is closer to £600 in relation to special needs schools and as much as £800 for secondary education. Consider those figures. If WAG spending on education was at the English level a primary school with 200 pupils would be £100,000 better off. A secondary school with 1,000 pupils would be £800,000 better off.

Why have Labour and Plaid in their role at WAG allowed such a situation to arise? What will my Labour and Plaid opponents do about this situation? Plaid Cymru this morning distributed another leaflet via the Post Office which claimed that there were 33million reasons to vote for Phil Edwards. I honestly fail to see that such a claim will do him much good but in view of the fact that his close friend and mentor, Gareth Jones AM, is considered to be the Plaid AM with responsibility for education why will Mr Edwards not challenge him on the way in which WAG fritter money away on pet projects but continue to underfund the education of our children?

WAG is seen by Plaid Cymru as being beyond criticism but in truth it is an institution where the priorities of governments, both Labour and Labour / Plaid, has led to the future of our children being shortchanged for a decade and more. When Mr Edwards calls upon you ask him why the proper funding of education is not one of the 33 million reasons to give him your support.

Guto

Fe fyddaf ar raglen wleidyddol S4C, sef CF99, heno am 10yh.  Y pynciau trafod fydd;

1. Beth fydd prif bynciau yr etholiad cyffredinol ac i ba raddau y mae dyfodol cyfansoddiadol Cymru yn fater sy'n codi ar stepan y drws (cliw bach - tydi o ddim!).

2. Pam fod yr holl bleidiau yn ymddangos fel petaent yn mynd ar ôl pleidlais y dosbarth canol?

3. Beth yw ein barn o ddogfen cynghori ymgeiswyr Plaid Cymru gafodd eu dosbarthu gan y blaid honno i'w holl ymgeiswyr (pwy ddaru ollwng y ddogfen i ddwylo'r wasg sy'n gwestiwn gwell fe dybiaf).

Hyd yma nid wyf yn sicr pwy arall fydd ar y rhaglen ond fe fydd yna gyfranwr o Blaid Cymru fe fyddwn yn credu o ystyried pwnc trafod 3.

I will be on the S4C political weekly CF99 this evening at 10pm.  The topics for discussion will include;

1. What are the main issues on the doorstep and to what extent with the constitutional question in Wales play a major part in the election (clue - raised with me once since the start of the year)

2. Why are the main political parties courting the 'middle classes'?

3. What do we make of the instruction booklet prepared by Plaid Cymru for all their candidates (a booklet that would indicate a very low opinion within Plaid HQ of the intellectual ability of their team!).  I must confess to being more interested in knowing which one of their candidates leaked the booklet to the media.

At the moment I have no idea who will be up against me but in view of these questions I suspect that there will be a representative from Plaid Cymru.

Guto

My good friend Dylan Jones-Evans has one of the best blogs in Wales - always worth a read.

Today he deserves to be read by anyone who is concerned at the economic stagnation suffered by North Wales due to the continued poor performance and mistakes of the Welsh Assembly Government.  The way in which EU funds and organisations that worked (such as the old WDA) have been mismanaged is costing us employment opportunities and prosperity.

I challenge you to read his comments and argue that he would not have been a more effective voice for Aberconwy than our current AM.

Guto

Ers ymuno gyda Llafur yn Mae Caerdydd fe ymddengys fod Plaid Cymru'n dysgu'n gyflym sut i weithredu mewn modd Llafuraidd!  Er fod Alun Ffred Jones yn un sydd, yn ei dro, wedi bod yn hallt ei feirniadaeth o arfer Llafur i apwyntio aelodau'r Blaid honno i swyddi o fewn quangos Cymru ymddengys fod ei agwedd wedi newid rwan ei fod mewn grym.

Mae apwyntiad Laura McAllister i gadeiryddiaeth Cyngor Chwaraeon Cymru trwy gymeradwyaeth Alun Ffred yn ddatblygiad digon trist.  Yn aelod pybyr o Blaid Cymru, cyn ymgeisydd i Blaid Cymru ac awdures hanes y Blaid oedd yn gyfoglyd o unochrog y mae y Dr McAllister yn amlwg yn driw i'r Blaid.  Ond onid dau wynebog ydi gwled Plaid Cymru bellach yn gwneud yr union beth yr oeddent yn arfer gwyno amdano pan oedd yr esgid ar y droed arall?

Mi wn y cawn gyfiawnhad fod y broses ddewis yn un agored, ac fod yr ymgeisydd gorau wedi'i dewis ond yn yr un modd ac y bu i aelodau Plaid Cymru awgrymu ffafriaeth gwleidyddol yn achos dau o gadeiryddion Bwrdd yr Iaith dwi hefyd am wneud yr un sylw am y penderfyniad hwn gan weinidog Plaid Cymru.  'Who you know' sy'n cyfrif yn y Gymru ddatganoledig fe ymddengys.

Since going into partnership with Labour down in Cardiff Bay it would appear that plaid Cymru are quickly learning old Labour tricks.  The minister of Culture, Welsh Language and Sport, Alun Ffred Jones used to be quick off the mark in accusing the Labour Party of appointing their own cronies into quango positions of influence here in Wales.  Now that he is in power it would appear that his attitude has changed.

The appointment of Laura McAllister as Chair of the Sports Council for Wales by Mr Jones is a disappointing development.  A long-standing member of Plaid Cymru, former candidate and the authour of a nauseating 'history' of the Party that was little more than a hymn of praise it is clear that Dr McAllister is very faithful to her party.  It is, however, hypocrisy to do in power what you attacked Labour for doing when you were in opposition.

I know that we will have the usual 'guff' about the selection process being open and transparent but this was exactly the response of the Labour Party when Plaid Cymru criticised appointments such as two consecutive chairs of the Welsh Language Board as being motivated by party politics.  I, however, will call a spade a spade.  In the brave new Wales of the Labour / Plaid administration it would appear that who you know is as important as what you know.

Guto

I have agreed to be on the following panel at Bangor University to discuss the issue of tax raising powers for the Welsh Assembly.  I'm opposed but I suspect that I will be a minority voice at the event.  What is your views on the matter?

Hawl i newid trethi i'r Cynulliad.  O blaid neu yn erbyn?  Beth yw eich barn chwi?  Dewch i Fangor os am wrando ar y drafodaeth.

PUBLIC CONSULTATION SEMINARS

Tax and Borrowing Powers for Wales

Monday 22 February 2010: Marine Hotel, Aberystwyth, 5.30 -7.30pm

Tuesday 23 February 2010:, 5.30-8.30pm, Businesss School Bangor University, 5.30pm-7.30pm

Wednesday 24 February 2010: Open University, Cardiff, 5.30-7.30pm

These seminars provide a briefing on the arguments for and against the National Assembly acquiring tax and borrowing powers. The arguments are being considered by the Welsh Assembly Government’s Independent Commission on Funding and Finance for Wales which will deliver its final report in mid 2010 and on whose behalf the IWA is organising these seminars. As well as examining the pros and cons of the operation of the National Assembly’s present block grant, the Commission is charged with

· Identifying possible alternative funding mechanisms including the scope for the Wesh Assembly Government to have tax varying powers as well as greater powers to borrow.

The system of funding the National Assembly, via the Barnett-determined block grant relating largely to size of population, was considered in the Commissioned’s initial report Funding devolved government in Wales: Barnett and beyond published in July 2009. The question now facing policy-makers is whether the block grant should be supplemented by tax revenues. This is the view of the Calman Commission which has proposed a significant amount of additional  devolution of powers over tax to Scotland. Its key recommendation is that the Scottish Parliament’s current power to vary the basic rate of income tax by three pence in the pound should be replaced by a Scottish rate of income tax. The basic and higher income tax rates levied by the UK government in Scotland would be reduced by 10 pence in the pound and the block grant from the UK to the Scottish Parliament would be reduced accordingly. It would then be a matter for Scotland to decide whether to set a a ‘Scottish rate’ that would simply recreate the status quo, or alternatively set a rate that was higher or lower than 10 pence, with its budget affected accordingly.

Should Wales follow suit or adopt a different approach? What would be the advantages of the Assembly Government acquiring borrowing powers to finance capital projects?

CONFERENCE PROGRAMMES

Attendance at these seminars is free

5.30pm    Tea and registration

6pm     Opening presentation by Gerald Holtham, Chair, Independent Commission on Funding and Finance for Wales

6.20pm   Panel discussion and questions

7.30pm    Close of seminar

The GVA figures for the UK released by the Office for National Statistics are pretty dire if you live and work in Wales.  If you have children and want them to have a future in their own locality then the figures are even more depressing.  Wales is now officially the worst performing country / region of the UK.  We have been overtaken by Northern Ireland and the North East of England.

What is truly awful about these figures is that they have occurred during a period when Wales has enjoyed unprecedented levels of EU funds to develop our economic performance.  I have argued consistently that EU funds have been badly managed in Wales by the Assembly - both under Labour and the current Labour / Plaid Cymru administration.  The facts seem to back my view.  If we have declined to significantly at a time of substantial EU intervention in our economy what will happen during a period of significantly reduced public spending in Wales?  

Wales needs a real change in attitude and behaviour in terms of wealth creation.  With the decline in GVA figures and our drop to the bottom of the pile in terms of new business start-ups since 2007 (we used to be top of this list in the late 1990's) it's clear that our Minister for the Economy, Ieuan Wyn Jones from Plaid Cymru, is not up to the task.  We need change and we need it urgently.

The following is a brief letter about this issue which I have sent to the Daily Post.  You read it here first!

Dear Sir,

Recent Gross Value Added (GVA) figures released by the Office for National Statistics made depressing reading with Wales the worst performing region or country of the UK by some distance.  On average Welsh GVA is less than 70% of the UK average with Wales now being overtaken by the North East of England and Northern Ireland. 

Of even more concern was the domination of the sub-regional worst performing areas by Welsh Local Authorities.  Four of the five worst performing local authority areas are here in Wales.  It’s appalling to see Conwy / Denbighshire join Anglesey on this list of the five worst performing areas with a GVA figure of £11,910 per head.  This figure is less than 60% of the UK average of £19,951.

It should also be noted that the Welsh position has declined significantly since 1996 during a period when huge sums of European funds were spent in West Wales and the Valleys (an area that includes Conwy and Denbighshire).  I have consistently argued that Assembly decisions in relation to EU structural funds have resulted in this EU intervention being squandered by both politicians and bureaucrats at the Welsh Assembly.  The facts seem to support my views.

The current situation should shame the Labour / Plaid Assembly Government.  Despite all the rhetoric from Labour and their Plaid Cymru partners’ real opportunities for people to prosper and develop in Wales are being lost whilst we continue to allow wasteful and ineffective government projects to dominate the Welsh Economy.  It’s time for a change.

Yours sincerely,

Guto Bebb

Aberconwy Conservatives      

· Mae diweithdra Cymru bellach yn uwch na’r rhelyw o ranbarthau’r DU.

· Mae gwariant ar addysg yng Nghymru yn £500 y pen yn llai nac yn Lloegr.

· Mae canlyniadau arholiadau yng Nghymru yn wannach na’r cyfartaledd yn Lloegr.

· Mae’r Cynulliad yn gofyn i bob ysgol sydd a 90 neu lai o ddisgyblion gyfiawnhau eu bodolaeth.

· Mae’r Gweinidog dros Iechyd yn y Cynulliad wedi cyfaddef nad yw’n ymwybodol o lle yr aeth £1bn o’r gyllideb Iechyd.

· Mae cynlluniau allweddol ar gyfer gwella ffyrdd yng Nghymru wedi eu gohirio.

Er gwaethaf yr uchod, ac fe allwn fod wedi parhau i ychwanegu at y rhestr, fe dreuliodd y Cynulliad ddoe yn dadlau am ‘semantics’ dyddiad pleidlais ar bwerau pellach i’r sefydliad.  Bu i Blaid Cymru fygwth gadael y llywodraeth nid oherwydd bod hanner y cynnydd mewn diweithdra Prydeinig wedi digwydd yng Nghymru'r mis diwethaf ond oherwydd bod Llafur Cymru yn hanner awgrymu na ddylid blaenoriaethu pleidlais ar bwerau pellach. 

Nid bywydau pobl Cymru sy’n poeni Plaid Cymru a Llafur yn y Cynulliad ond yn hytrach yr angen i gadw eu pleidiau eu hunain yn hapus yn achos y cwestiwn cyfansoddiadol.  Ni chafwyd gair gan neb am fywydau go iawn y boblogaeth syn dioddef o ddiffygion y llywodraeth ym Mae Caerdydd.  Yn gynyddol y mae Bae Caerdydd yn ymdebygu i ffrae deuluol gyda dim ystyriaeth o gyfrifoldeb tuag at neb y tu allan i’r dethol rhai yn yr elit gwleidyddol Cymreig.   

· Welsh unemployment is now higher than most regions in the UK.

· Education spending in Wales is £500 per head lower than in England.

· Welsh Educational achievements now lag behind the English average.

· The Welsh Assembly expects any school with less than 90 pupils to justify its existence.

· The Welsh Health Minister has acknowledged that around £1bn of spending cannot be accounted within the Health budget.

· Crucial plans to improve key Welsh roads have been cancelled.

Despite the above, and I could have extended my list significantly, the Assembly spent yesterday debating the semantic issue of the date for a referendum on further powers for the institution.  Plaid Cymru threatened to leave the coalition government not because half the increase in unemployment within the UK occurred in Wales last month but because Welsh Labour implied that the date of a referendum on further powers was not a priority. 

It would appear that Plaid and Labour politicians in Cardiff Bay are not concerned with the lives of people who live in Wales but rather the internal squabbles within their respective parties with respect to the constitutional question.  There were no discussions yesterday about the concerns of real people leading real lives in Wales who suffer due to the widespread and continued failures of the Welsh Assembly.  Increasingly the debating chamber in Cardiff Bay resembles a family argument with no consideration of the duty that they have towards those who live beyond the Welsh political elite.  

Guto

Wales constitutes around 5% of the UK population.  Today we accounted for 50% of the increase in UK unemployment according to the office of National Statistics.

What a sorry state of affairs.  Whilst Plaid Cymru hail the efforts of their leader, who holds the Economic Portfolio in Cardiff Bay, and Gareth Jones AM makes claims about the success of programmes such as Proact (which has yet to spend a penny in Conwy) the real world continues to see blow upon blow rained down on Welsh businesses and communities. 

And what do Plaid and Labour offer us?  On business rates they appear to be happy to see 40,000 Welsh businesses pay more in rates next year (Mostyn Street is facing a 15% increase - has Gareth not noticed the number of empty properties?).  And on one of the few real opportunities to create long term employment in North Wales (Wylfa B) we have Rhodri Morgan on TV and radio stating again that he would oppose a new power station in Anglesey - a development that would see people employed across north west Wales.

Ieuan Wyn Jones understands little and cares even less about business and his party are second only to Labour in their disdain for Welsh businesses.  Happy in their obsession with the vice like grip of the public sector on the economy of north Wales Plaid and Labour politicians plan and debate the merits of using the election of a Conservative Government at Westminster as a means of attempting to win a referendum on further powers for the Welsh Assembly.  Whilst Rome burns the emperors in Cardiff fiddle.  We need real change and some leadership on the economy that can only be provided by a Conservative Government.  Westminster under the Conservatives will have to shame Plaid and Labour into action in Cardiff for the sake of what remains of the Welsh economy.

Guto