Economic Growth 2025-01-29
2025-01-29
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Response quality
Questions & Answers
Q1
Direct Answer
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Context
The MP asked about recent discussions on increasing economic growth in Wales, referencing the UK Government’s freeports scheme.
I wish Wales luck in the Six Nations, but I wish Scotland more luck. Scotland, like Wales, is set to benefit from significant tax incentives and investment under the UK Government's freeports scheme. Does the Secretary of State agree that the scheme offers an excellent opportunity for economic growth?
I thank my hon. Friend for his question, and I wholeheartedly agree with him. The freeports programme will deliver economic growth and jobs across Wales. Anglesey freeport’s tax sites have gone live, which is excellent news. The freeport aims to attract over £1 billion of investment into the green energy sector and to create nearly 5,000 jobs by 2030. The Celtic freeport is set to attract £8.4 billion of private and public investment, and to deliver 11,500 jobs.
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Q2
Partial Answer
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Context
The MP inquired about ensuring economic prosperity for both Wales and Northern Ireland, particularly focusing on trade relationships between the two regions.
Given the significance of trade relationships between Northern Ireland and Wales, particularly in agriculture and textiles, can we ensure that any economic prosperity for Wales is beneficial for Northern Ireland as well?
As I said, the Government are determined to see growth right across the United Kingdom, in all four nations. The relationship between Wales and Northern Ireland is very strong, and long may that continue.
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Assessment & feedback
Specific details about how economic prosperity for Wales will directly benefit Northern Ireland were not provided.
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Q3
Direct Answer
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Context
The MP welcomed the announcement on creating AI growth zones across the UK, which will create jobs and boost living standards. She specifically referenced Vantage Data Centres' plans to invest over £12 billion.
I welcome the recent announcement on the creation of artificial intelligence growth zones across the UK, which will turbocharge growth and boost living standards. As part of that AI development, Vantage Data Centres has plans to invest over £12 billion across the UK, creating at least 11,000 jobs, including in my constituency. Will the Secretary of State speak to her colleagues around the Cabinet table and work with me and others to develop an AI growth zone for south Wales to secure the economic growth that we so desperately need?
I am glad that my hon. Friend raised that. She will know that the Government are fully committed to harnessing AI to improve productivity and efficiency, and to boost economic growth. I was pleased to hear the Chancellor talking about AI growth zones in her speech. Like my hon. Friend, I want to ensure that Wales maximises AI opportunities. I will be happy to discuss that further with her.
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Q4
Partial Answer
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Context
The MP highlighted the advantages of economic relationships between regions within the UK, specifically asking for a reaffirmation that there are benefits for Northern Ireland from its economic contact with Wales.
One of the advantages of this great United Kingdom of Great Britain and Northern Ireland is that every region benefits from the trading opportunities that arise. Will the Secretary of State reaffirm that there are advantages for Northern Ireland from its economic contact with Wales, as there are for Scotland and England?
As I said, the Government are determined to see growth right across the United Kingdom, in all four nations. The relationship between Wales and Northern Ireland is very strong, and long may that continue.
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Assessment & feedback
Specific details about the economic advantages for Northern Ireland from its contact with Wales were not provided.
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Q5
Direct Answer
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The MP requested support for his campaign for a banking hub in Ystradgynlais to address the issue of high-street bank closures.
Wales is in dire need of economic growth, as we have some of the lowest wages in the United Kingdom and areas with the highest levels of poverty. Does the Secretary of State agree that banking hubs can be part of the solution? Will she support my campaign for a banking hub in Ystradgynlais, the largest town in my constituency?
I know Ystradgynlais well, and would be happy to meet the hon. Member to discuss a banking hub. He will know that we have seen the decimation of high-street banks over the last 14 years. Banking hubs are a crucial element in keeping a community together, and in ensuring its access to cash.
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Q6
Partial Answer
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Context
The MP highlighted job losses at Cardiff University due to a funding crisis and questioned the government's national insurance hikes.
We have heard this week that it is growth for Heathrow but decline for Welsh universities. Cardiff University in the Secretary of State’s home city is axing 400 full-time jobs due to a funding crisis, with nursing, music and modern language degrees on the chopping block. This is an education disaster playing out in real time. Will the Government scrap their national insurance hikes to ease the strain on universities?
The potential job losses at Cardiff University are deeply concerning and will come as a significant blow to university staff and their families. I hope that there will be sufficient volunteers for a voluntary redundancy programme, so that we avoid compulsory redundancies, and that support will be provided to those impacted. The right hon. Lady will know that the last 14 years of Conservative policies have seen the university sector decimated across the United Kingdom.
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Assessment & feedback
Specific measures addressing national insurance hikes were not mentioned, only a general comment on past policies.
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Q7
Partial Answer
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Context
The MP highlighted the significant drop in EU students starting full-time undergraduate courses in the UK due to Brexit.
On Conservative policies, the Secretary of State will know that universities are also being hammered by Brexit. The number of EU students starting full-time undergraduate courses in the UK fell by 68% between 2020 and 2024 to the lowest level in 30 years. Surely she agrees that our rejoining the single market would help universities to attract more students, as well as boosting economic growth.
This Government have made economic growth their No. 1 mission. The Prime Minister is leading from the front in resetting the UK’s relationship with the EU. However, the right hon. Lady’s question highlights the stark risks associated with separatism. Those risks are why I will always be a strong and passionate advocate for a Wales that thrives as part of the United Kingdom.
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Assessment & feedback
Specific details on rejoining the single market were not provided, focusing instead on broader economic policies.
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