National Assembly for Wales

Good afternoon and welcome to this afternoon's Plenary meeting. The first item on our agenda this afternoon will be questions to the First Minister, and the first question is from Sioned Williams. 

Diolch yn fawr. Before I start, can I extend my sympathies to all of those affected by the dreadful scenes that are coming from the school in Gratz in Austria? I'm sure we'll all be thinking about the trauma being faced by those families who are trying to come to terms with their loss. 

Using the Wales-specific claimant data published by the Department for Work and Pensions, and the evidence from authoritative sources, the data comes from the DWP, and we use evidence from authoritative sources, such as the Bevan Foundation and Policy in Practice, to assess the impact of the welfare reforms proposed in Wales. We will report on this in response to the UK Government's Green Paper on the reform of benefits. 

Many things your Labour colleagues in Westminster have done since taking office have dismayed and disappointed so many in Wales desperate for change—the change they promised, the change you promised, especially after years of Tory austerity and poor progress by the Welsh Government on reducing poverty levels. From the retention of the two-child cap to the cutting of benefits to disabled people, the impact on Wales, on the communities we represent, is deepening further as a result of political decisions. Today’s damning report by the Joseph Rowntree Foundation shows that nearly 0.5 million people in Wales live in deep poverty. And that poverty is deepening further as a result of political decisions. Children in families with three or more children have a poverty rate of 43 per cent, and the two-child limit is playing a key role in that. The incomes of people in Wales could be cut by £466 million by the plans to cut welfare, changes that the report again says will have a devastating effect on poverty levels.

You say you’re going to respond to the consultation. I want to reiterate that many of the cuts to welfare are not being consulted on. Citizens Advice has even said that by refusing to properly consult on its plans, the UK Government is choosing not to ask questions it doesn’t want answers to. So, I don’t want misleading spin, or meaningless slogans as an answer; I want to know, Prif Weinidog, what commitments have you sought from your Labour partners in Westminster that they will not inflict policies that will deepen poverty in Wales.

Thanks very much. We're very aware that there are many people in Wales who are struggling, and they're struggling with the cost-of-living crisis and have seen huge increases, in particular when it comes to food and fuel prices. I think there's a better chance of tackling poverty if we try and work with the United Kingdom Government, and, obviously, we'll challenge if it's not in Wales's best interests. We agree, however, that the welfare system does need reform. People who can work, we believe, should work. I’m really pleased that the Prime Minister has listened to the concerns of people over the winter fuel allowance and reinstated that support to the vast majority of pensioners in Wales. And, of course, more pensioners, proportionately, will benefit in Wales compared to England.

We’ll continue to raise concerns with the UK Government and the Secretary responsible for social justice. I met with Liz Kendall last week and set out our concerns in relation to the Green Paper. One day, I look forward to members of Plaid Cymru actually asking me a question about matters for which I have responsibility.

Well, the Joseph Rowntree Foundation and Bevan Foundation 'Poverty in Wales 2025' report released today found little progress in reducing poverty in Wales over the last 20 years, and warned that if no action is taken, child poverty in Wales could reach 34 per cent by 2029-30, making it the highest rate of all UK nations. Sixteen years ago, a decade after Labour came into power in Wales in 1999, the Joseph Rowntree Foundation reported that, even before the recession, half of the previous improvement in child poverty had already been lost, after child poverty reached the highest level of any UK nation, at 32 per cent, before the credit crunch in 2008. Last month, the Bevan Foundation launched a report on the impact of disability benefit reform in Wales, which you referred to. This found that poverty rates would increase significantly in affected households. This will face additional funding pressures on devolved services. So, in the context of devolved services, what, if any, contingency plans does your Welsh Government have for this, or are we to assume that you do not have any?

Poverty rates in Wales are high, partly as a result of over 10 years of austerity. We are in a situation where many, many people are struggling. The fact is that we have had a huge and significant uplift from the UK Labour Government—money that, let me remind you, you voted against. So, a lot of that money—a lot of that money—in the Welsh budget is earmarked specifically to support people who are in poverty, to make sure that there is additional support for people, many of whom don't have to pay any money towards, for example, their council tax. There's a whole range of support that we have spent in supporting people when it comes to poverty, including around £7 billion over the past few years, targeted at those people who are struggling the most.

I'm delighted to see the final section of the A465 improvements opening this week. This development will support economic growth by generating jobs, fostering prosperity, providing opportunities, and enhancing connectivity and benefits for communities throughout the region.

Thank you very much, First Minister. Of course, the Tories have opposed it and Plaid Cymru sought to delay it, but Welsh Labour has delivered the biggest single investment—[Interruption.]—the biggest single investment in the future of the Heads of the Valleys communities—they're all shouting at me because they don't like it, but I'll carry on—in the future of the Heads of the Valleys communities that we've seen since the industrial revolution. That has been delivered by this Government in the face of the opposition that people can hear this afternoon.

First Minister, you will see on your visit to Ebbw Vale later today a business that is able to relocate and expand because of this investment. But this investment has been made, as you say, in the future of our communities. Will the Welsh Government join with me in delivering a vision for the future economy of the Heads of the Valleys, and will you come to the Heads of the Valleys to work with us in order to deliver that vision?

Thanks very much. Alun, thank you for your support for this project and your enthusiasm for it, and the way that you see this as a platform for the future of the Heads of the Valleys that have suffered over many, many years. It's a transformational project. I thank you in particular for the report that you commissioned by the Bevan Foundation, which I've read with interest, and I think it's really important that we take up many of the ideas set in there.

Now, I've asked the Cabinet Secretary for economy—. She's been very involved in asking the Cardiff capital region to propose collaborative working arrangements for the northern Valleys areas, and also is looking to widen the Tech Valleys programme. But I do think that your idea about setting out a vision for the future of the economy in the Valleys based around that new road opening is something that we will work on. Thank you for your initiative on that, and I'd be grateful if you could set out some of your ideas in relation to that. As you say, I'll be very pleased to be visiting the Halton group, which is based on the Rhyd y Blew industrial estate in Ebbw Vale, today, to demonstrate how already that road is making a difference to the economy and to the social aspirations of the people in that area.

I don't think there's anyone here that would argue that the Heads of the Valleys improvements aren't impressive, but there has quite rightly been discussion and comment—and we will continue—on the delays and costs, because it has taken over 23 years and has cost nearly £2 billion. You need to put that into context. [Interruption.] I accept there have been some challenging sections of the road to improve. One area of challenge is what we call Blackrock—Gilwern to Brynmawr. Whilst the project has brought some safety improvements, there are also some new issues that have come to the area. On this section, there are no lay-bys, very little by way of hard shoulders, and the road is not suitable for cars to stop. In effect, it's basically a smart motorway. We know there are a multitude of concerns about these types of road, not least because if a vehicle breaks down or if there is an accident, vehicles can be left stranded and emergency services may struggle to get through. And that's what we're seeing on the Blackrock stretch of the A465. I've had several constituents who have had stranded vehicles. It's a daily occurrence, where the police are having to attend and close off lanes, and there are knock-on effects. So, I think, First Minister, it is clear that this area of the A465 needs to be reviewed. As the construction project is still somewhat ongoing, it might be the perfect time to do some of that review. I wonder if I could ask what steps the Welsh Government can take to reduce the impact of stranded vehicles on the Heads of the Valleys road, such as gantries or digital signals, which are sadly missing at the moment.

Thanks very much. This has been a long programme, no doubt about that, but it is a programme that has created over 2,000 jobs during the course of the project, a massive local spend, the supply chain, £203 million, 158 apprentices—all of those people have benefited as a result of the direct work on the road, and that's before we start talking about what the knock-on effects are going to be economically with that alongside the metro opening up the Valleys. These are transformational projects, and what you have to do is to stick with them on the long term, and that's what this Government has done. The investment, and anything that takes time, you've got to stick with it, you've got to absolutely believe in the project, and that's what this Government has done. That is going to be transformational for the project. Obviously, we will make sure that we do everything we can to make sure that safety on that road is at the forefront of our thinking as well.

Spanning almost the entirety of the devolution era, with way more than £1 billion spent and years of disruption for local residents, the Heads of the Valleys road is finally open fully. While we all hope the promised economic benefits will now be realised, the scale of delays and mismanagement has understandably raised some serious questions. With that in mind, what lessons has your Government learned from the handling of this project, and how will those lessons inform the planning and delivery of future major transport infrastructure projects in Wales?

Thanks very much. This was a particular way of funding. The mutual investment model was used for the first time. This is an example of where, if you don't have the money upfront and available, you still have to, actually, if you believe in a project, take the plunge, and that's what we've done. If we'd have listened to Plaid Cymru, the project would never have happened. Let's just be absolutely clear that the lesson that we've learned is that we will stick with the priorities of the people in the Valleys and we will deliver for them, unlike you.

Questions now from the party leaders. The leader of the Welsh Conservatives, Darren Millar.

Diolch, Llywydd. First Minister, yesterday, we saw a screeching u-turn on the winter fuel allowance by Rachel Reeves, after considerable pressure from the Conservative party both here in Wales and, indeed, at Westminster. You will know that over 0.5 million Welsh pensioners were deprived of their winter fuel payments last year, leaving some very vulnerable people with the unenvious choice of having to choose between heating and eating. It's an absolute disgrace. First Minister, you are supposed to stand up for Wales, yet what did you actually do in terms of this winter fuel allowance? You did absolutely nothing. You could have stood by our pensioners. You didn't. You could have introduced a Welsh winter fuel allowance. You didn't. You could have stood up to Keir Starmer and demanded that he replace and restore this winter fuel allowance sooner. But you didn't. So, will you take the opportunity this afternoon, First Minister, to apologise to the more than 0.5 million Welsh pensioners that you let down?

Look, I'm absolutely delighted that the Prime Minister has listened to the concerns of pensioners across Wales and across the rest of the country. This was certainly something that came up on my listening exercise last summer. I'm really pleased that, because we have made representations to the Prime Minister on this issue, he has changed his mind. That will make a difference to hundreds of thousands of pensioners across Wales this winter in a country where we do have more older people and housing that is more difficult to heat. This will be of huge benefit to those people. I don't think that it's bad to listen to people and then to make sure that you respond to them.

I know you don't like hearing it, First Minister, but you have failed on this issue. You didn't get the support there that you could have provided last winter for our pensioners.

Let's see if you can stand up for Wales on another issue, because this week is NFU Cymru's Welsh Farming Week, a week in which we celebrate the role of our farmers in putting food on our tables and helping to support our Welsh economy. Yet your UK Government's decision to introduce a family farms tax is having a detrimental impact on the future of our farming industry here in Wales. It is a tax that threatens livelihoods and threatens lives across this country. It undermines future generations and it threatens the break-up of our family farms.

Analysis has shown that over 15,000 farms will be impacted in Wales, risking their closure. And just last week, the CBI published research that estimated that the changes to agricultural property relief and business property relief will see a £14.8 billion hit to the UK economy over the next five years. So, it's not actually saving the Treasury any money, and it's going to lead potentially, across the UK—those two changes—to over 200,000 job losses, thousands of which will be here in Wales. When it came to our pensioners, you failed to stand up for them; will you stand up for our farmers now and call for this family farms tax to be scrapped?

Darren, this time last year you were campaigning to try to become an MP. You failed, but had you won, you would have had the opportunity to ask these questions to the relevant person. In this Chamber, I am responsible for devolved issues. The winter fuel payment is not a devolved issue and neither is inheritance tax. Let me just be clear that, as a UK Government tax, it's the responsibility of the UK Government to undertake assessments of the proposed changes.

You love to have it both ways, don't you? One minute you're claiming credit for the restoration of winter fuel allowances, which is not your responsibility, and the next minute you're trying to dodge a bullet in relation to the family farms tax when agriculture is entirely your responsibility. You do have the power to support our farmers. You've got the power to be able to shout up on their behalf to get this family farms tax scrapped.

What have you actually done to support our farmers, though? You introduced a sustainable farming scheme that, had it been implemented in its first draft, would have delivered a reduction in Welsh livestock numbers by over 120,000, a loss of over 5,500 jobs on Welsh farms, and a £200 million loss to the Welsh economy, with unrealistic targets for trees and biodiversity. It is no wonder, First Minister, that a poll showed recently that just 3 per cent of Welsh farmers actually trust the Welsh Labour Government. 

We all know that a revised scheme is due to be published and that there is development of that scheme that is ongoing, and it is absolutely essential that that is a scheme that works for Welsh farmers and for the future of our agricultural industry. So, can I challenge you today: will you commit to having a binding vote on whether that new scheme will proceed? Because every single Member in this Chamber deserves to have their say on such an important matter that will affect our countryside and we all understand—certainly on this side of the Chamber—that no farmers means no food and no future.

I think, Darren, that you should try to keep up with the changes that have happened over the past year, because what the agriculture Secretary has been doing is listening and responding and making sure that we have a sustainable farming scheme that is in a position that works not just for farmers—let me just be clear, not just for farmers—because it's the public who are paying for those subsidies. It's the public who are paying for those subsidies, and the public want to see a return. And so this is about balance. It is really important that we get that balance in the right place, and that's why we've got to listen to all sides of this argument.

There are issues. I know that there are farmers who are absolutely devoted to looking after the environment and climate change. Those are things that are critical when it comes to the public. That is the kind of thing—listening to both sides of the argument and coming down to a position. Let's face it, there is a huge amount of money that goes into supporting farmers in Wales, a vast sum of money compared to any other sector. So, I just think it is really important that we get this right and it works for everybody in Wales, not just the farmers.

Leader of Plaid Cymru, Rhun ap Iorwerth.

Diolch, Llywydd. I've been rereading last week's questions to the First Minister. I asked her then about the classification of the new Oxford to Cambridge railway line as England and Wales, just like HS2. She again resorted to her usual patronising, 'Let me give you a lesson in devolution' line. But can I respectfully suggest that she needs to do some revision on how a First Minister should be fighting for fairness for Wales? Because she told me that Oxford to Cambridge, a major new rail scheme wholly in England, being classed England and Wales was just normal—Wales losing out on hundreds of millions of pounds. Yes, she'd make the case for more, but that's just how it is.

But since then, we have found that, just like Crossrail, the Elizabeth line in London, Oxford to Cambridge was classed as England only by the Treasury for four years. We were getting our share until Labour actively moved the goalposts. Labour went out of its way to make sure Wales wouldn't get the money when the big spending really began. Labour created a new HS2 scandal. Will she admit that, far from me needing a lesson, she had no idea what was going on with the funding for that railway?

I've learned to expect nothing but constant negativity from the Plaid Cymru leader. I've been clear and I've been consistent when it comes to rail funding that we have not been getting our fair share of funding in a position that the Tories left us with for over a decade. The difference between the Tories and the UK Labour Government is that they've recognised that injustice. I don't know what's going to be in the spending review, but the one thing I do know is that if Labour gave Wales a total land of milk and honey, Plaid Cymru would still find fault. The spending review hasn't been published yet, we're expecting something positive from the spending review, but it's really important that we keep on making the case for us to have our fair share of funding.

Whatever little Labour gives Wales, however paltry, this First Minister will say that it's brilliant and that it is a land of milk and honey. She criticises the Conservatives for their underspending on rail, and yes, I agree, but Labour has made it worse.

Llywydd, the First Minister had no idea what was going on with funding in this case. And if she didn't know, she should be joining me in condemning the UK Labour Government for betraying Wales. Will she? Nothing short of 'condemnation'—I'll listen out for that word. If she did know that we were getting consequentials until this year, and turned a blind eye to the reclassification, then she is part of the betrayal herself.

Every week, the First Minister comes here to defend the actions of her colleagues in Whitehall, exposing her red Welsh way as nothing more than following Starmer's way. Now we know what the red Welsh railway looks like, what's her plan to undo this mess?

You say you care about funding for Wales. What we know is that that's simply not true. When the Welsh Labour Government put over £1 billion on the table to help deliver public services, you voted with the Tories against money to bring down waiting lists, you voted against money to fill potholes, you voted against money to create jobs, you voted against money for transport. You voted with the Tories when it came to the budget. And let's not forget that if you had your way, Welsh people would have to foot the bill for billions of pounds for separating Wales away from the United Kingdom as well.

Nobody is believing her broken record. Labour MPs in the past have voted against giving Wales a single penny from the UK Treasury.

The UK Government's spending review tomorrow was an opportunity to start undoing decades of underinvestment in Wales. The First Minister says she agrees that both Labour and Conservatives have been guilty of that underinvestment over the years. But, of course, when the Chancellor speaks tomorrow and no doubt dresses up some announcements as being very kind and generous to Wales, we now know that hundreds of millions of pounds have just been taken off Wales, so it can then be handed back through sleight of hand.

And remember, any millions given pales into insignificance compared with the billions owed, and billions this Labour Government in Wales used to agree was owed. We're not buying it on these benches, and neither will the people of Wales. This is duplicitous politics at its very worst. So, in the name of transparency, let's try and get some honesty from the First Minister: can she even tell us how much rail funding she has asked for from the UK Government?

I don't know what is in the spending review tomorrow, but what I do know is you've already decided it's not going to be enough. That is absolutely clear. [Interruption.] Oh, it isn't. It isn't. And that's the point. If we produce that land of milk and honey tomorrow, you've already decided that that's going to be the story.

It is really important for us to recognise that the UK Government has identified the fact that there has been underfunding in relation to railways. We'll have to see if they manage to do something about it tomorrow. We don't know. I don't know. I'm amazed that you seem to know before anybody else in the country. But I do think it is important for us to recognise that there is an opportunity here to correct over a decade of wrongdoing. I do hope that the Government comes up with the goods in the spending review.

The NHS works very hard each year at preventing waste and making recurrent savings that help support the delivery of its services. For example, NHS Wales achieved a record level of savings in the last financial year.

First Minister, I have received constituent casework regarding a prospective patient waiting years for a knee operation. Placed on a waiting list for surgery, it was suggested by their GP to seek private healthcare. Making enquiries with a private provider, they then noticed an NHS e-mail used by medical professional secretaries arranging appointments. Because of this, it can be assumed that, whilst working for the NHS, secretaries are conducting additional work beyond their job description for outside organisations during their NHS working time.

While NHS staff perform normal duties, it appears that others are sifting through e-mails benefiting other organisations. As stated by my constituent, surely NHS consultants and their staff doing private work should not be using NHS e-mails and, no doubt, working on NHS time. First Minister, what is the Welsh Government doing to ensure that this grey area of practice is being eliminated within the Welsh NHS? Will you ensure all health boards remind staff that double-jobbing is illegal, and commit to an all-Wales audit to establish how wide-reaching it is? Diolch.

Thank you, Altaf. People who are paid by the taxpayer to work in the NHS should be doing nothing but working for the NHS. I'd be very concerned if they are using that time to do any kind of private practice. So, if you've got any details that you can send me in relation to that, then I will certainly be anxious to follow up. What I can tell you is that the NHS is taking very clear steps and active steps to try and make as many savings as possible to try and make the system far more efficient, and it is important that we maximise the time of the people who work in the NHS. We've reduced, for example, the costs we spend on agency staff by 34 per cent in the last two years. So, that is a significant saving. The NHS organisations in Wales delivered £210 million-worth of savings in 2023-24. So, that is a huge effort. But you're quite right, it's important that we make sure that people who are paid by the Welsh taxpayer are actually employed to do a job that serves the Welsh taxpayer.

We have several schemes to support leaseholders and residents of fire-defective buildings. These include the leaseholder legal advisory service, the leaseholder support scheme and a recently established leaseholder and residents group. The building safety fund ensures all residential buildings over 11m can be surveyed to identify fire defects.

Prif Weinidog, I regularly speak to leaseholders, and the frustration is obvious from them. Eight years after Grenfell, we are still discussing in this place the construction issues that were exposed by that terrible tragedy. In April 2024, Redrow, one of Britain's largest house builders, agreed to do the remediation work at Celestia, around the corner here, because tests carried back in 2019 found out that there were not proper fire barriers between neighbouring flats, that the cladding was deficient and the insulation fell well below the safety standards. However, that agreement between Redrow and the leaseholders did not include the loss that these leaseholders have suffered, meaning the decrease in the value of their property and not being able to sell their property. For this, a resident took Barratt Redrow to the High Court recently, lost on an illegal argument, is facing costs over £36,000 and cannot afford to go on an appeal route because the courts now are limited to the very rich alone, unfortunately. Many residents feel trapped. I am worried what might happen. What more can the Welsh Government do to help them, Prif Weinidog? Diolch.

Thanks very much. I think it is important for us to note that next Saturday marks the eighth anniversary of the Grenfell tragedy. I think that reminds us of the devastating consequences that can result when building quality and resident safety are not prioritised. I want to start by saying that our thoughts continue to be with everyone who were affected by the Grenfell tragedy.

I think it's really important for us to learn the lessons. I know that there's a phase 2 report that we are hoping to comment on before the summer recess. I was really pleased that here in Wales we hosted a meeting of the UK housing Ministers last week and there was a really productive discussion about the Grenfell inquiry phase 2 report.

Now, I'm aware of the recent ruling that you're talking about. Obviously, it wouldn't be appropriate for me to comment on private legal matters. But what I can tell you is that we have got a leasehold support scheme to support those in significant financial need as a direct result of fire safety issues. That allows leaseholders to sell their property at a fair market value. Now, that scheme has been available since June 2022. It's been widely publicised, but it will close at the end of this month. So, I would urge leaseholders who find themselves in financial difficulty to check on their eligibility as soon as possible.

First Minister, it has been eight years now since the Grenfell tragedy, and it was a tragedy. So, why haven't those lessons been learnt? And why is Welsh Government still working at such a glacier pace? What is the excuse for it? I don't think there is a valid one. You are contributing to making many lives across Wales unbearable because of your inaction. When will there be a proper timetable for remediation, please, because buildings need to be safe and people need to be compensated properly?

Thanks very much. Well, we've got 448 building in our programme. What I can tell you is 42 per cent of these buildings are either complete or works are onsite, and 50 per cent of buildings are at their planning stages. The Cabinet Secretary with responsibility for this met the developers yesterday to underline the need for speed in relation to this, but I think it's probably worth underlining also that the Welsh building safety programme, unlike the UK programme, covers external and internal fire safety issues, and we have committed £210 million to address these fire safety issues.

We support people across Wales, including those in South West Wales, to deal with the cost-of-living crisis. This includes using some of the £1.6 billion uplift in the Welsh Government's budget to increase pay for many of the devolved public sector workers, many of whom are contending with increased daily living costs. Now, on top of this, the Welsh Government has spent over £7 billion since 2022 on schemes that support the people who need it most.

The best way to tackle the cost-of-living crisis, of course, is to ensure we have more people in work, paying into the system in the first place, but today's economic stats paint a bleak picture of a Labour Chancellor in Westminster that has simply lost control of the economy. So, it's no wonder that people are feeling the pinch. Today we've seen employment down to levels not seen since the pandemic. Meanwhile, welfare claims are up, pay increases for workers are slowing, and borrowing is up too. And it's because of decisions taken by this Chancellor, most notably the damaging rise in national insurance, making employing people more expensive in the first place. So, given the UK Government's recent propensity for u-turns, will you stand up for Welsh workers and businesses by calling for the Chancellor to reverse here damaging national insurance rise in tomorrow’s spending review?

Well, thanks very much. In fact, in the last quarter, we've seen a reduction in Wales, in terms of the numbers of unemployed, but it is important for us to focus on the need for more jobs in Wales. It's one of the four priority areas that we're focused on. Through doing things, like the new Heads of the Valleys road, we will be unlocking the potential for good jobs. It's really important for us to recognise also things like the metro project. Again, I remember when I was chair of Cardiff Business Partnership, the one thing—this was years and years ago, about 15 years ago or so—the priority of the businesses in Cardiff was the metro, because they wanted to access that vast pool of labour that is up in the Valleys. So, all of that now has been completed and is in place. So, we will absolutely stick to this absolute ambition that we have in the Welsh Government to drive growth and jobs in Wales, and that's one of the reasons why we'll be hosting an investment summit this winter.

Now, we're making good progress on cutting NHS waiting times and delivery of social homes, and we're connecting our communities through better rail, roads and creating a more reliable, joined-up bus network. And we're supporting families through job creation in major infrastructure projects and growth sectors.

Thank you, First Minister. This will be an important few weeks, both for Wales and the UK. After 14 years of cuts to Wales from the previous UK Government, there should be more evidence of the change that people here in Wales voted for at last year's general election. There'll be a UK spending review this week and, in the very near future, a much-needed UK-wide industrial strategy, and all these choices should mean good news for Wales.

I welcome your four priorities for the Welsh Government because they're forward-looking and provide a sense of purpose and ambition for public services, the environment and, crucially, for the growth of economic opportunity here in Wales. In responding to the UK spending review and the UK industrial strategy, can you confirm that your four priorities will continue to be the focus for the Welsh Government, and in particular, if there is to be a Welsh Government spending review, that your four priorities will be the central priorities that you build upon for making any decisions for the Government that you lead and the future of Wales?

Thanks very much, Vaughan. Let me be absolutely clear: these are not my priorities—these are the people's priorities. They came from the people. I went out and listened to them, and they told us what we should be focusing on. And it is important that we keep listening to them. I must be clear that I think that those priorities that they set out for us last year remain the priorities. There may come a time when they will want to direct us in a different way, but it is really important, I think, for us to focus in particular on economic growth, which is the thing that is the transformative part of really what enables us to invest in public services, to give people purpose in life, to give them meaning in life, to make sure that there is an opportunity to contribute in whatever way that they can, but to make sure we also give support to those people who are vulnerable and weakest in our communities. So, we need to make sure that all of those things are in place, and that's why we will continue to focus on those priorities and, in particular, to drive economic growth and to drive jobs—quality jobs—at a time when, let's face it, the world is changing quite quickly around us. We need to be very fleet of foot in terms of making sure we stay ahead and take advantage of the opportunities as they arise.

One of the goals you set last September, First Minister, was to prioritise green jobs and growth. Analysis commissioned by RenewableUK Cymru suggests that Wales could benefit from £47 billion-worth of investment in renewables by 2035, creating thousands of jobs. However, your Welsh Government is failing to provide strong leadership. Blue Gem Wind has told the Welsh Parliament that political leadership is critical. RenewableUK have voiced fears that Wales is being left behind compared to other parts of the UK. And Statkraft have highlighted the vital need to provide clear and unequivocal signals that make Wales an attractive place to do business in. Do you agree with the Secretary of State for Wales, who actually has gone in total opposition to you and Plaid Cymru here, by undermining the renewables sector through repeatedly calling for the devolution of the Crown Estate? Do you agree with Jo Stevens, our Secretary of State for Wales, that devolving the Crown Estate for Wales puts floating offshore wind at great risk, thereby undermining your own green jobs and growth agenda?

Look, I've been very clear when it comes to the Crown Estate that we want to see it devolved. I want to see Wales landing a fair share of that investment. Forty-seven billion pounds—that's great, but if we don't see benefit for Welsh people, that's not going to be great. So, I'm going to be making sure that we get a fair cut when it comes to that kind of investment.

Let me tell you that I have had a very strong relationship with lots of these developers. I've actually been out to WindEurope to encourage them to come, to give them very strong signals that we are open for business, that we want them to come. I don't know who you've been speaking to, Janet, but I've been speaking to people who are very, very excited about the opportunities here. They're excited about the fact that we're not just talking about this, we're actually doing things. We've poured additional money into planning to speed up the process. We've made sure we've set up a task and finish group when it comes to floating offshore wind. We're getting all of these pieces of the jigsaw in place. So, I don't know who you're speaking to, Janet, but I can tell you that the people I'm speaking to are very, very excited about the opportunities in Wales.

As you listened—'listened' is what you said—to the people of Wales last year, there was little surprise that people had told you that they wanted to see more affordable homes and also that they wanted to see good jobs in green sectors. One in every 14 homes could tell you about their experience of being on a waiting list for social homes in Wales. But last year only 2,600 social rent homes were built in addition—3 per cent alone of the demand. We need 12,000—12,000—jobs to deliver retrofitting work for our homes, to improve the standard of homes in terms of energy efficiency and to decrease energy bills that are far too high. Yet only 2,000 construction apprenticeships, not to mention retrofitting apprenticeships, have been created. So, the Government is failing in this vital work of upskilling the workforce. First Minister, perhaps you have listened and had noted your priorities, but when are you going to deliver when it comes to housing?

Well, we are on track. In the first three years, we've delivered over 9,000 homes, and it's good to see that that is happening across Wales, including in your own area. It was good to visit the work that's being done by the agencies involved in this in your constituency, where they were taking on apprentices, and it was great to speak to the local colleges who are working with these developers in order to ensure that there are places for people who are having trouble finding a house to live.

In the Learner Travel (Wales) Measure, we set out the statutory obligations local authorities must adhere to regarding school transport. Beyond this, they have the discretion to offer greater provision if they wish to. We believe it is right that councils are empowered to make decisions that best suit their needs.

Thank you, First Minister, for that response. The trouble is that councils aren't using that discretion. The Children's Commissioner for Wales and the Welsh Language Commissioner have expressed grave concerns about the impact the changes to school transport arrangements in Rhondda Cynon Taf will have on children and young people, particularly in terms of access to Welsh-medium education.

Now, in the Rhydyfelin area of Pontypridd, for example, there will be no bus transport available to the nearest Welsh-medium secondary school, which is 2.9 miles away, whilst there is a new English-medium school on the doorstep. So, I know that a number of parents there are going to take their children out of Welsh-medium education or won't even drive their youngest children to the Welsh-medium school. A 13-year-old pupil from this area wrote to me to say, in her words: 'I love the fact that I can speak Welsh and I don't want to stop. I want to carry on attending my school without arriving there feeling tired and coming home feeling tired too.'

So, I'd like to ask what steps are being taken by the Welsh Government to ensure that local authorities like Rhondda Cynon Taf use that discretion that they have, that we don't then lose pupils who want to study the Welsh language but don't feel that it's an option for them anymore?

Well, thank you very much. And as you say, they do have discretion, but they must at least comply with the statutory requirements. Later this week, we will be publishing changes to the guidance on learner travel provision, and this consultation is a valuable opportunity for groups to contribute to policy development that ensures that pupil transport is safe, efficient and effective.

The Cabinet Secretary for Transport and North Wales hosted the first learner travel summit in May, and it was a good opportunity, I thought, to bring key partners together. So, you're quite right, it is up to the local authorities if they want to go further when it comes to the discretionary availability. That comes down to funding; it comes down to money. They have to make some tough, tough decisions, and, I'm afraid, had we been in a situation where they'd have seen massive further cuts as a result of you not voting for the budget, it would have been a lot worse than it is now.

[Inaudible.]—cutting it, so it wasn't adequate.

Well, it would have been a lot worse if you'd have been in, I can tell you.

Published guidance for all health boards sets out the Welsh Government’s expectation on them to actively engage with their population on services and also on change. Llais was established for this purpose, and, by listening to stakeholders and making representation to health boards, their views help to shape, develop and deliver service improvements.

I'm glad you mentioned Llais there, the successor to community health councils. You will be aware of the recent report that Cardiff and Vale health board released on conditions in the theatres at the University Hospital of Wales, where illicit drugs were identified, theft was identified, sabotage was identified, and bullying was identified, along with numerous other incidents that, frankly, are horrific to think were going on in such a sensitive setting. I then, as a regional Member, approached the community health council or Llais to see what engagement they'd had with the health board. The reply I had back from the chief executive indicated that, up until the day of publication of the health board's report, they had had no engagement, and they'd only had sight of that report on the day of publication.

Is that your vision for what Llais should be about and how the health board should treat a statutory body that is the advocate for patients and people who use the health service in Cardiff and Vale, or will you take action to make sure that Cardiff and Vale health board engage properly with Llais and other statutory providers so they can be that canary in the coal mine to alert them when these types of things are happening in their facilities?

Thanks very much. I think we were all very concerned when we read the reports relating to the theatres review at Cardiff, and I do hope that the health board is taking very serious measures to correct some very difficult situations there. You're quite right; Llais should be engaged with the health board. That is a statutory process. They have engaged with over 40,000 people this year, which is a massive increase on last year, but it does make sense for the health board to have at least discussed with Llais. It was a commissioned report, I think, internally by the health board itself. What usually happens with Llais is that that is something that comes from the public and goes into the health board. It doesn't usually work the other way round, but there is no reason why it shouldn't.

Thank you, First Minister.

The next item will be the business statement and announcement, and that statement is to be made by the Trefnydd. Jane Hutt.

Thank you very much, Llywydd. There is one change to this week's business. The statement on ill health prevention will be issued as a written statement. Business for the next three weeks is shown in the business statement, which is available to Members electronically.

Trefnydd, I'd like to request a statement from the Deputy First Minister and Cabinet Secretary for Climate Change and Rural Affairs on the Welsh Government's support for young farmers across Wales. Now, many Members here attended the National Farmers Union celebration of Welsh food and farming event this lunchtime, which was a fantastic opportunity for us to celebrate the food and drink sector and show our support for Welsh farmers. The event also focused on what the next generation of farmers needs to flourish. We heard a very powerful speech from Delyth Robinson about the challenges facing farmers today. I'm sure, Trefnydd, you will agree with me that the Welsh Government must support young farmers and invest in them to ensure our farming industry has a bright future.

We know that farming has an ageing workforce and, according to the Farmers Union of Wales, in 2023, the average age of Welsh farmers is now over 60, with just 3 per cent of farmers under the age of 35. I appreciate that the Welsh Government will make an announcement regarding the sustainable farming scheme in due course, but I'd be grateful if we could have a statement from the Welsh Government on the work being done to support and invest in young farmers in Wales so that we can have a thriving farming sector for years to come.

Diolch yn fawr, Paul Davies. Yes, it was clearly a very successful event that was held, a celebration, as you say, of our farming community and the role that they play in all aspects of our economy, and, of course, young farmers are key to that bright future for farming in Wales, and that is addressed in the sustainable farming scheme. Of course, the Deputy First Minister will be coming forward with an update in due course.

Last week, I asked for a statement from the Cabinet Secretary for Finance and the Welsh Language regarding national insurance contributions. I was told that I would have an opportunity to question him the following day, which I did, but there are some unanswered questions remaining in terms of the shortfall in terms of national insurance contributions and the impact that that will have, and also in terms of clarity in terms of the third sector. As we heard from the Cabinet Secretary last week, this is going to be a recurring issue—so, not just in this financial year—therefore, I would like to ask once again: could we have time to discuss the implications for the Welsh budget, not just in this financial year but ongoing, and the impact this will have on services, inevitably, across communities in Wales?

Diolch yn fawr, Heledd Fychan. As you said, you were able to raise it; there was the opportunity with the oral Senedd questions for the Cabinet Secretary for Finance and Welsh Language to raise these issues, raise the issue about national insurance contributions. Of course, he did provide a written statement the week before. And I will feed back this to him and the questions you raise, but also recognise that there are responsibilities across Government, particularly for myself, in terms of the third sector, to address some of those issues.

Trefnydd, once again, I call for a statement from the First Minister regarding defence spending in Wales. As you will recall, I have previously raised this matter with you and requested a formal statement, yet no response has been forthcoming. In light of the UK Government's recent announcement to increase defence spending, I have written to the Secretary of State for Defence to advocate for Pembrokeshire as a key location for future defence investment. Pembrokeshire already hosts significant defence assets, including the Castlemartin firing range in Cawdor barracks, as well as a number of critical supply chain businesses. Furthermore, the two former royal naval armament depots at Trecwn and Black Bridge represent substantial untapped potential, which, with the right investment, could serve as a vital strategic function. 

The county has a proud military heritage and it is home to several strategic industries integral to the nation’s security and economic resilience. We are living in a pre-war era, Trefnydd, and I therefore would urge you to press the First Minister to set out clearly how she intends to ensure that Wales, and Pembrokeshire in particular, secures its fair share of this essential new investment.

Well, thank you very much. Diolch yn fawr, Sam Kurtz, for that question. Indeed, this is something for the Cabinet Secretary for Transport and North Wales, with his responsibilities—. It’s very much across Government, though, in terms of the Cabinet Secretary for Economy, Energy and Planning. I know that the First Minister is very, very aware and recognises the crucial importance in terms of our defence businesses, not just in Pembrokeshire, but across Wales, particularly in relation to the supply chain. Indeed, General Dynamics I think had a recent visit from the First Minister and the Cabinet Secretary, so it is clearly on the agenda, because, obviously, of the strategic defence review and what that means for Wales. I know that that is what we’re engaging with now, in terms of the impact for Wales.

I’d like to request two statements, Trefnydd. First, from the Minister for Mental Health and Well-being on the Government’s efforts to formulate a dementia action plan. In response to a debate tabled by Plaid Cymru last year on dementia diagnosis, the Government committed to drawing up a dementia action plan, which is so vital to tackle the low rates of diagnosis. But the timetable for consulting on a dementia action plan hasn’t yet been announced. Therefore, could the Welsh Government announce a timetable for that as soon as possible?

Secondly—

One of my constituents, Deirdre Murphy, a 70-year-old humanitarian campaigner from Swansea, was arrested in the West Bank by the Israeli Government at the end of May and she still hasn't been released. Her lawyer has said that the way the Israeli authorities have handled her case is extremely worrying. So, I'd request a statement from the Welsh Government describing what actions it's taking to help secure her release, and also calling on the Labour UK Government to urge Israel to stop the effective criminalisation of international humanitarian aid and activism. Diolch.

Diolch yn fawr, Sioned Williams. It is really important that we do get clarity on the way forward, the consultation period in terms of a dementia action plan. Clearly, this is something where, recently, only in the last two or three weeks, we did have Dementia Awareness Week, and I certainly am very proud, and, I’m sure, across the Chamber, of those towns and counties who have become dementia friendly as well. And it is important to recognise that.

Clearly, it is awful and horrific to hear again about the plight of that person, in terms of the West Bank, and the actions that were taken. Her release surely must be secured. So, thank you for raising that again, but we have to say, again as a Welsh Government, that we are deeply concerned about the ongoing conflict and humanitarian crisis in Gaza, and the current methods of distributing aid, I think, which has become so clear. And, of course, you know that I did issue a written statement calling for a lift on the aid blockade in Gaza, and stating that humanitarian aid should never be used as a political tool. And I also believe that this is about actually respecting international law, so we do join with those Governments, including the UK Government, in calling for Israel to respect international law. But, again, the plight of that person detained in the West Bank must be addressed.

A few weeks ago, I had the privilege of meeting members of Headway Denbighshire and Conwy, a remarkable group supporting individuals living with acquired brain injuries. It was clear from my visit that there is an urgent and unmet need for a rehabilitation centre in Denbighshire or Conwy—somewhere accessible like Rhyl or Llandudno. These individuals have survived life-changing injuries, and many now face long journeys, often across the border, to access support in places like Gwynedd, or even Liverpool. For those living with these sorts of injuries, these journeys are very cumbersome. We have a brain injury assessment unit in Colwyn Bay, but not a treatment and rehabilitation centre, which means that the crucial follow-up care is simply not there.

One Headway member I spoke to was injured in a serious crash, and spoke about the lack of help navigating legal, financial and emotional challenges. And these are not isolated stories, Trefnydd; they are happening now across north Wales. We know that Betsi Cadwaladr University Health Board had the highest number of head injuries and strokes in Wales last year, with over 3,200 admissions, including nearly 1,000 head injuries, yet access to structured rehab is a postcode lottery.

So, can the Welsh Government outline what steps will be taken to deliver a dedicated brain injury rehabilitation centre in north Wales, and will the Trefnydd—the health Minister, sorry—agree to meet with Headway and its members to hear their calls first-hand? Thank you.

Thank you very much for that question. And, of course, Headway must be—. We must thank and congratulate Headway for the work that they do and undertake to support those with head injuries. It’s something where the third sector plays an important role in terms of patient support, and links and advocacy with health boards and health professionals. Very specialist services are required, I know, in terms of brain injuries and responding to them, but your question is on record now, and you will have the opportunity, I know, to pose these questions to the health Ministers, and indeed the Cabinet Secretary, in due course.

Diolch. Last week was Welsh Wine Week, Trefnydd, and I was lucky enough to visit an outstanding vineyard in my own region—White Castle Vineyard—which is a real success story, nestled in a beautiful part of Monmouthshire, and which produces award-winning and world-renowned pinot noir white wines and sparkling wines. We are now blessed with many great vineyards across Wales, with the industry and the reputation of Welsh wines going from strength to strength. As well as offering a real quality Welsh product, they bring in many tourists too, especially as Welsh wine is gaining a growing reputation across the world.

I would like to request a statement from the Welsh Government on the Welsh wine industry, on what this Government is doing to promote it across the UK, and the globe, and how they are supporting our Welsh winemakers, and recognising the benefits that the Welsh wine industry is bringing to the economy across Wales. Diolch.

Well, thank you very much, Laura Anne Jones, and thank you for drawing attention to Welsh Wine Week. And, as you say, we are blessed with vineyards across Wales. You have drawn attention to a vineyard in your region, and it’s really important that we recognise—. And, I think, the Deputy First Minister and Cabinet Secretary responsible for the food and drink industry really recognises that this is something to celebrate, but also it is important in terms of Wales in the world, exports, and, indeed, our whole food and drink industry. So, thank you for drawing attention. I'm sure we could all mention the vineyards that we support in our constituencies, but you have today, and that's really welcome.

I would like an urgent statement, please, Trefnydd, from the Minister for culture following the announcement, with very little warning, that the grant of £90,000 to Ysgol Gymraeg Llundain, the London Welsh School, will come to an end in March of next year, in the middle of the school's academic year. Now, the school is clear: without that £90,000, the school will close, and thereby bring to an end 70 years of Welsh education in London. The school has ensured generation after generation of Welsh speakers. For such a small figure, Trefnydd, £90,000, the implications are huge for the school—teachers will lose their jobs, children will have to leave the school in the middle of an academic year, and the impact will be huge on the broader London community. I know Julie Morgan talked of this during her time in Westminster. The school has faced a number of challenges over the years; it would be a great shame if the school had to close because the Welsh Government wasn't providing £90,000 to them. Thank you.

Diolch yn fawr, Rhys ab Owen. Thank you for drawing attention to Ysgol Gymraeg Llundain. I can't answer the question today—I'm not the Cabinet Secretary or Minister responsible—but you have made your point today in the Senedd.

Trefnydd, we have experienced multiple surgeries switching to taking only private patients over recent years. Like many Members of the Senedd, I regularly receive constituents' complaints over the near impossibility of accessing an NHS dental practice within Wales. One of my constituents needed his crown replaced, which would normally be £260 if it fell under band 3 of dental charges. However, they were then informed that their branch does not offer crowns under NHS terms and they would need to pay £800 at the same branch to go private. I'd like to request an urgent update from the Cabinet Secretary for Health and Social Care on what work is in train to help prospective patients and to address emerging dental deserts, which create increasing inequalities.

Thank you very much, Altaf Hussain. Of course, in terms of dentistry, you will be aware of the consultation that is being undertaken at the moment in terms of the new general dental services contract. It is important that we hear of the experiences of patients in terms of access to dental services and of barriers that might appear in terms of that access, but also in terms of what is eligible in terms of NHS support. So, again, this is an important question. It is a question that will, I'm sure, be acknowledged by the health Ministers, the Cabinet Secretary and officials. But I think it is important as well that we say that colleagues do look at the consultation on the new contract proposals, and, of course, they would be able to respond with examples and questions about the provision of dental care in Wales.

I want to ask for a statement on nursing capacity and overseas recruitment. Andrew R.T. Davies raised the report on the theatres in the Heath during First Minister's questions. I've been through that report line by line with the chair of the trust and with another official, and I can assure the Chamber that they are taking these allegations very seriously and have a plan for action.

The report did contain some very positive issues, in particular the feedback from nurses from overseas, mainly from Kerala, who explained how welcome they felt when they came to Wales, and in particular to work in the theatres in the Heath, and described all the different ways the trust had taken to give ongoing support to them. I wondered whether it would be possible to have a statement on the ways that we welcome and induct nurses in particular who come from overseas to help us in the health service.

Thank you very much, Julie Morgan. It is really valuable to have that feedback. Obviously, we've had discussions and questions on Cardiff and Vale University Health Board and their service review of theatres this afternoon. Of course, this is being taken very seriously in terms of that review. Of course, it is really important that we look to the feedback from staff. That is something that takes place in terms of the internal staff surveys that take place with all staff that are engaged in the service. So, thank you for giving such positive feedback from the nurses from overseas, particularly those who were recruited from Kerala in India. I think it is important that we do shine a light on that, and that we recognise their huge contribution anyway to our NHS Cymru, that we welcome and that we support and we recognise the contributions that nurses from overseas make in Wales and in our hospitals, and specifically today at the University Hospital of Wales.

Trefnydd, I recently visited a business called Stashed Products. The founder, Elliot Tanner, appeared on Dragons' Den earlier this year and was successful in his bid to the dragons on the BBC programme. This business, along with dozens of other businesses in mid Wales, has a particular problem when they want to grow their business or expand. It's a good problem, but dozens of businesses are unable to upscale because there aren't sufficient commercial units available for them to move into of 10,000 square foot or greater, or land available for them to build on themselves. This is a problem that is known, it's been acknowledged by past economy Ministers when I've raised this issue, but I would be very grateful this afternoon, Trefnydd, if you could ask the economy Minister to provide an update on business availability in the Severn valley area particularly, and how businesses that want to upscale can receive that support from Welsh Government. This is a good problem, but one that really needs to be resolved in order to unlock the potential for further growth in mid Wales, and of course it will release those smaller premises for start-up businesses as well.

Thank you very much again, a very positive question that does require an answer in terms of the way forward. It's good to hear about Stashed Products and that it featured on Dragons' Den. Obviously, it's got prospects, and we need to make those connections. The First Minister spoke of the investment summit earlier on today, and of course that will be coming forward later on in this year. Clearly, the opportunities and prospects for businesses, as you describe, are important, and I will feed that back to the Cabinet Secretary for Economy, Energy and Planning.

Lastly, Peter Fox.

Trefnydd, I wonder if I could ask for a statement from the Cabinet Secretary for Transport and North Wales on issues in Monmouth. Many of you won't understand or realise the perfect storm of transport issues that has come down on Monmouth town over the last couple of years, with Welsh Water digging everything up, we've had a landslip on the A40, which is still in place, we have work going on with active travel—there are so many things—and roadworks on the A40 and on the Wye bridge. This has come together and is absolutely bringing the town to a standstill, but also bringing the local economy to a standstill, and affecting one of those main arterial routes into Wales. Even children are not managing to get themselves to school to take their exams, and it's not sustainable. I would, therefore, welcome a statement by the Cabinet Secretary outlining what the Welsh Government are doing to support the town of Monmouth and to ensure that the ongoing works will have the minimal impact, going forward? 

Thank you very much, Peter Fox. I think we're all aware, and in our own constituencies, of when there is more than one set of roadworks or circumstances affecting our road infrastructure, which can be very difficult for local residents and, indeed, for visitors—and Monmouth has both—as well as the businesses themselves that are affected. So, this is something that I am sure you have raised with the local authority and, indeed, the Cabinet Secretary for Transport and North Wales will also be able to respond to any question that you put to him. 

I thank the Trefnydd. 

Item 3 today is a statement by the Deputy First Minister and Cabinet Secretary for Climate Change and Rural Affairs on water quality in Wales. I call on the Deputy First Minister, Huw Irranca-Davies. 

Thank you very much, Dirprwy Lywydd. Water is one of our most essential natural resources, crucial for health and well-being. Our goal is for the people of Wales to enjoy a thriving water environment that is sustainably managed. This means ensuring rivers, lakes and coastal waters are clean and healthy, support public health and diverse wildlife, and provide recreational opportunities. Today, 44 per cent of rivers in Wales have achieved 'good' ecological status, a rate three times higher than that of England.

This month, we have marked World Environment Day on 5 June and World Ocean Day on 8 June.  These days remind us of the importance of our planet’s ecosystems and the urgent challenges that we face due to climate change. Last winter, Wales faced a series of devastating storms and, conversely, we've just experienced the fourth driest March on record. Over the spring season, we moved into the category of ‘prolonged dry weather’, which placed significant strain on our water resources, on our agriculture, and our ecosystems. So, managing our water resources is vital and I want to take this opportunity to share progress with Members. 

On 15 May, I was pleased to initiate a new series of water quality summits at the Cardiff wastewater treatment works. Attendees included senior representatives from industry, regulators, farming unions and non-governmental organisations. This summit focused on proactive measures and investments by water companies to reduce sewerage impacts, and it highlighted the role of sustainable drainage systems and the potential of nature-based solutions. Following previous water quality summits, we recognised the power of local knowledge in driving improvements. We have provided over £1.7 million of funding to nutrient management boards for six special area of conservation rivers since 2022, enabling the creation of actionable nutrient management plans. A further £872,000 of funding has been made available this financial year to support the delivery of these plans, which aim to improve river water quality and to facilitate housing developments without harming the local environment. I will continue to convene the summit series over the next nine months, with a focus on agriculture and rural land use, pollution and nutrient neutrality, and broader river catchment planning.

We are also delivering tangible improvements through the bathing waters programme. In 2024, 98 per cent of designated bathing water sites met stringent water quality standards for the second consecutive year. Of the 110 bathing waters assessed in Wales, 103 received the highest classifications of 'excellent' and 'good'. And this progress is a testament to our collaborative approach involving public, private and academic sectors too. And we are delivering on our programme for government commitment to designate inland bathing water sites. On 9 May, I was delighted to announce Llanishen and Lisvane reservoirs in Cardiff as a designated bathing water site for the 2025 season. On a recent visit to the reservoirs, I saw how the joint efforts between Government, Natural Resources Wales, local authorities, water companies and the communities are delivering real outcomes for water quality and for public well-being. To help improve water quality management, we have undertaken a consultation to explore potential reforms to the Bathing Water Regulations 2013. So, we will work closely with the Department for Environment, Food and Rural Affairs, with regulatory bodies, local authorities and other stakeholders to introduce these changes for the 2026 bathing season.

Co-delivery has underpinned all of the action taken by the Welsh Government and the UK Government to restore the River Wye to good health. The UK Government Minister for Water and Flooding, Emma Hardy, and I have committed our Governments to working more closely together. On 11 March, we jointly announced a new £1 million research initiative to tackle water quality issues in the River Wye. This funding builds on existing collaborations between the Wye nutrient management board and the Wye catchment partnership. It will enable onsite living lab projects to be tested across the catchment, building on existing collaborations such as the £20 million Land Use for Net Zero, Nature and People programme, which addresses soil phosphorus levels.

But this partnership working does not stop there. In February, the Water (Special Measures) Act 2025 received Royal Assent and officially became law. This Act is a significant step forward towards strengthening water sector regulation, particularly in tackling pollution and improving customer outcomes. The passing of the Act and the ongoing work of the independent water commission led by Sir Jon Cunliffe highlight our commitment to enhancing water quality and regulatory standards. I welcome the IWC’s recent interim report and I’m looking forward to receiving the final report later this summer. Once I have considered the recommendations, I will set out the proposals I intend to take forward here in Wales.

Looking ahead, I’m pleased that we will continue strengthening efforts for improved water quality through our water quality capital programme. Following our £40 million allocation between 2022 and 2025, we have now allocated a further £21.5 million for 2025–26. Working closely with NRW, these efforts have tackled metal mine remediation in partnership with the Mining Remediation Authority. So, for example, work at Frongoch lead mine has included diverting clean water and capping waste tips. This has resulted in a 70 per cent reduction in metals loading from the site into a tributary of the Afon Ystwyth. I have consistently made it clear to both water companies and to Ofwat that customers in Wales expect, and indeed deserve, to see tangible improvements in environmental outcomes whilst also ensuring that bills are kept affordable for customers.

Following the recent independent price review process led by the regulator, Ofwat, I’m pleased that our water companies will both drive forward significant investments totalling £6 billion between 2025 and 2030. This investment will involve embedding green solutions like sustainable drainage systems, SuDS. SuDS are mandatory for almost all new developments. They relieve pressure on the network and ensure that storm overflows are only used as a last resort. Wales is leading in this policy area, and it is in everyone's interest to continue to work together to deliver.

Our water environment, Dirprwy Lywydd, must benefit everyone in Wales, both now and in the many years to come. Diolch yn fawr.

Thank you once again, Cabinet Secretary, for bringing forward yet another statement on this. We all know, as Members here, the real problems that we're having in our rivers, pollution on our land, pollution in our rivers, pollution in our mines and pollution in our seas. Now, 968,000 hours of sewage was released into Welsh rivers, lakes and the sea just in 2024, an average of one sewage spill every five minutes from Dŵr Cymru, and 1,810 sewage spills, or the equivalent of 17,000 hours from Hafren Dyfrdwy. All of this is just the tip of the iceberg when it comes to the issue of water quality in Wales, especially at a time when there is a 27 per cent increase in the average water bill for Dŵr Cymru customers from April, increasing from £503 to £639.

Now, the independent water commission has reported many failings with the current strategy for managing water in Wales. And it is devolved here; you cannot pass this buck to anybody else. The commission found a lack of an aligned regulatory approach between Ofwat and the Welsh Government and NRW. I have seen myself that lack of an aligned regulatory approach, when we have it reported in pollution incidents, and water leaking from busted pipes, which goes on for weeks and months, and at a time when people are paying too much for their water in Wales. It's not good enough. As Ofwat continues to drive towards reducing the number of combined storm overflow spills in Wales, while the Welsh Government and NRW are driving compliance to reduce overall harm, the Welsh Conservative group believes that this misalignment needs to be evaluated and addressed rapidly. The independent commission recommends that the Welsh Government explores the implementation of the Water (Special Measures) Act 2025 provisions to expand a regulatory toolkit for NRW. Last week, my Welsh Conservative colleagues and I called on you, Deputy First Minister, as part of the Environment (Principles, Governance and Biodiversity Targets) (Wales) Bill, to explore providing the office of environmental governance Wales with a responsibility for reviewing those water regulations in Wales.

Now, whilst the commission notes that policies in regard to water supply are aimed primarily at addressing short-term pressures, it is important that we move away from that aspect and ensure that all Welsh Government policies in regard to water quality, the supply and its management are considering a longer term picture. As the commission notes, setting high-level strategic priorities at Welsh Government level, alongside a broad outline for the evolution of Bills over time, should ease pressure and tensions and could strengthen water systems planning.

Water quality in Wales is shocking, from increases in spills leading to fines, to putting rubbish on our beaches, on our riverbanks and on our coastal paths, and with Surfers Against Sewage now very actively pursuing us, as Members, when they are made aware. Recently, in my own constituency, Llanfairfechan was a no-go area for swimmers, and also lovely, beautiful beaches on Ynys Môn. It is now that we are coming up to that season, when even people who don't frequent them for wild swimming—. People want to bring their families on holiday. They want to go into our beautiful seas, and why not? This week, these beaches included West Shore, due to storm sewage being discharged from a sewage overflow, and Rhyl, where bathing is not advised at all due to poor annual classification. Please, Deputy First Minister, our tourism industry is the only real industry that we have now in Wales—[Interruption.] Well, you tell me. You have driven the steel out and everything, so let's not go there, shall we? The Welsh Government needs to be doing more to address these spills.

I have raised it with you before: do you intend to take any steps against a chief executive who is remunerated by £892,000 in total, with a bonus of £91,000? We cannot continue having statement upon statement upon statement while those leakages occur—those thousands of issues of sewage entering our rivers and our seas. It is time for real action. If the Welsh Conservatives are the Government in Wales next year—

Janet, you need to conclude, please.

—we will ensure that water quality improves rapidly. Diolch yn fawr iawn.

Diolch yn fawr iawn, Janet, and I can simply say, reflecting on my opening remarks, that it will be this Welsh Labour Government that delivers on water quality, as we've done, indeed, over the last few years. But there is always more to do.

I note you were saying that you and other Members were being pursued by Surfers Against Sewage, in the nicest possible way, of course. I've met with them as well, and I really welcome their campaigning, along with people like the friends of the Usk and Wye and the foundation, and everybody else involved in citizen science, because I think they are turning the spotlight on what we need to do.

I just want to turn the spotlight back on some of the things that you just said, because the apocryphal nature of what you just said may suggest that it's not safe to go in on any of our beaches. So, let me just say again: today, because of the investment that we've put in—that we put in on the back, actually, of the water framework directive under the former European arrangements—40 per cent of Wales's water bodies overall achieve 'good' or better overall status under the water framework directive. It rises to 44 per cent when looking at some of Wales's most precious rivers. The latest results are 8 per cent higher than the first classifications that came out. I mentioned to you the incredible progress that we've made on our beaches, which you're shaking your head at—[Interruption.]

One second, please. There are no conversations across this room. The Member has had a chance to present her questions; the Cabinet Secretary is to respond. We have many Members who wish to speak, and the time limit is very tight. I expect everyone to keep to the time limit, including the Cabinet Secretary.

I'll be very brief. We've provided over £56 million, under this Welsh Labour Government, of additional funding between 2022 and 2026 to address water quality challenges across Wales. Following the recent water price review determination, which concluded in December, Dŵr Cymru will invest £6 billion—it's an unprecedented amount—between 2025 and 2030, including funds specifically to deliver environmental improvements, including tackling nutrient pollution and actually going at some of those CSO spillages as well, which Janet referred to. What we need to do, and what my intention is, is to keep their delivery in that firmly under the spotlight, whilst also keeping bills affordable, particularly for those who are the most vulnerable customers.

On the OEGW, the biodiversity targets and the statutory principles, these will indeed help drive forward improvements in water quality in our rivers, in our estuaries, in our coastal waters, as well as across wider environmental factors. The new England-and-Wales legislation, part of the working together with our colleagues in the UK Government, means that, indeed, penalties and fines are now are available for chief executives because of underperformance. That is a step forward as well. But there's a range of things we are doing. 

You mentioned the Independent Water Commission report. We're very pleased to see that report coming forward, because it was jointly commissioned by the Welsh and UK Governments to look at the regulatory structure. So, it's another example of how we're trying to lead on regulatory reform. I'm looking forward to the final report of that being brought forward late in the summer and responding to it then, once we've considered the recommendations.

Thank you to the Cabinet Secretary for the statement. As a nation, of course, we are fortunate in having, on the whole, plenty of water. As we approach a future where a lack of water will become such an issue internationally, we are in a good position in that regard.

But whilst the size of our waters is not a problem, the quality of those waters continues to be problematic, as we've heard. Other Members have already mentioned Surfers Against Sewage and the fact that they had found that sewage was discharged into our waters once every five minutes last year. We also saw the Drinking Water Inspectorate downgrading our drinking water recently. I think that we all want to reach a situation where we no longer see or consider these things as being normal.

The alarming deterioration in quality has, of course—and we've heard already—coincided with Welsh customers paying some of the highest water bills in these islands. The industry is broken, I'm afraid. What's been especially frustrating has been the lack of robust accountability. The mere £2.6 million-worth of fines that have been levied in Wales since 2021 because of water pollution incidents pales in comparison with the damage that's been inflicted. 

We've learned that the Glas Cymru remuneration committee is considering uprating executive pay. I think that that is, to put it mildly, a less than transparent effort to circumvent the terms of the new the new Water (Special Measures) Act to tighten regulation of the sector. Cabinet Secretary, that doesn't feel right, does it, for this to be happening at a time when over 100,000 households in Wales are classified as being in water poverty? Would you agree with us that there should be a complete freeze on performance-related bonuses until we see significant improvements in the quality of drinking water and performance with storm overflows?

I would press you again, Cabinet Secretary, on whether you will commit to an urgent review of how executive pay in the industry is linked to performance and environmental standards. The fact that these issues have escalated over such a long period of time does raise questions about the effectiveness of Ofwat as the chief regulatory body in this sector. I know that Pedro Arrojo-Agudo, the UN special rapporteur on the human right to clean water, has been forthright in their criticism of Ofwat’s complacency, in their words, especially compared with the seriousness with which water quality is monitored and enforced in other European countries.

I’d ask what consideration the Welsh Government has undertaken on establishing a bespoke regulatory regime for Wales’s water companies in line with those that already exist in other devolved nations. I wonder if you’d agree as well that we also need to see far greater national strategic leadership on this in terms of driving improved standards. Of course, some of that has to come from the Government. I was disappointed that the Welsh Government doesn’t set specific targets for water companies in Wales to invest in the installation of storm overflow screens. I’d be grateful if you could provide an update about any progress with this programme.

The timeliness and reliability of the data that we get are also vital in this context. It was mentioned in Dr Susannah Bolton’s recent review of measures to tackle water pollution from agricultural sources. The fact is that inconsistencies in the data, methodologies and collections have been a recurring hindrance in evaluating the effectiveness of our regulations in Wales.

You’ll be aware, Cabinet Secretary, that in England there is legislation that has recently been introduced that would require all sewage treatment works and storm overflows to have water quality monitors installed by 2030. That will enable polluting incidents to be attributed more accurately to either water company assets or other issues. Could I ask, in addition to what’s already been said, whether the Government intends to follow suit, and if not, what alternative measures would you intend to introduce to address these issues?

Finally, Cabinet Secretary, this year does mark the end of Dŵr Cymru’s latest asset management plan period, which was underpinned by a series of targets on environmental standards, including achieving fewer than or equal to 19 incidents per 10,000 km of sewer for total pollution incidents, and zero serious pollution incidents by this year. My final question to you: I appreciate NRW’s storm overflow spill data report for 2024 hasn’t been published yet, but could you give us an update, please, on the likelihood that these targets will be met, and any consequences if they are not?

Delyth, thank you very much. First of all, the England and Wales legislation that we've taken through in collaboration with the UK Government makes clear that chief executive bonuses should be tied to performance, and those bonuses should not be being paid if there is not satisfactory performance. So that's a step forward there in holding the people right at the top of the organisations to account.

Regulatory reform is needed. That's what the Jon Cunliffe review that has already produced its interim report is actually addressing, and we look forward to the final report, which will come forward in the summer. One word of reassurance: I am taken by the extent to which Sir Jon Cunliffe has engaged with stakeholders here in Wales and understands the Welsh policy context and framework and the different models of water ownership, for example, here in Wales, as well as aspects such as the well-being of future generations legislation.

On the control of agricultural pollution review, I really hope that, as we have welcomed the report from Dr Susannah Bolton and said in all its recommendations we accept them, we will take them forward—. There are short, medium and long term recommendations. I would welcome real clarity in the support for taking forward all the recommendations, no cherry-picking, but all of the recommendations as we go forward. Because I think Dr Susannah Bolton's piece of work on control of agricultural pollution is significant and well evidenced. It relies on great engagement with stakeholders in Wales and points a way forward for all us, but I'd welcome the full support of Plaid Cymru and others within the Chamber. 

On storm water monitoring, Wales is already well ahead of where England is. We will seek to do more and to encourage our two water companies to do more, but they are well ahead—streets ahead, rivers ahead—of England on storm water monitoring. 

And simply to say on the investment, you're absolutely right—we do need to make sure that the investment that is going forward from our water companies does now deliver. They are taking a different approach here in Wales, Delyth, which I think Senedd Members need to be clear on. Rather than simply saying we're going to deal with every single instance, they're doing a risk-based analysis as to what is the risk to the ecological health and the water quality of the most significant discharges, prioritising them, identifying them and working through them.

So, they deal with the worst aspects first and then all the way through, until ultimately we need to get to the point where we have none at all. But rather than taking a crude approach to it, they're doing it in an evidence-based way, based on the risk to the status of those rivers and the ecological quality.

But just to be clear, with the money that will be taken forward now with the record level of investment by water companies in the period 2025 to 2030, that will include money specifically to reduce harm from storm overflows, money specifically to prevent nutrient pollution, and also money specifically, for example, to support customers who struggle to pay.

So, I agree with you on those points. We want to see the investment, we want to see the outcomes, and we need to see the protection of the most vulnerable customers as well.

I welcome the Minister's statement and his acknowledgement that water is one of the most essential natural resources, crucial for health and well-being. I support the goal for the people of Wales to enjoy a thriving water environment that is sustainably managed. This means ensuring rivers, lakes and coastal waters are clean and healthy, supporting public health and diverse wildlife.

I want to ask about the River Tawe, which I know the Minister knows well. The anglers and walkers in the area tell me that raw sewage is still getting into the river, and solids sometimes get left behind on the riverbanks. I do not think this is acceptable. Industrial discharges, wastewater treatment plants, leaky septic systems, fertiliser run-off and animal manure can introduce nitrates into our rivers. When concentrated nitrates are high, plants that can use this fertiliser quickly and efficiently grow out of control, leading to large algal blooms. What action is being taken to reduce nitrates in Welsh water?

Mike, thank you so much for that question. Can I just pay tribute to the anglers associations on all our rivers, on the Tawe, but also throughout the land—including, Dirprwy Lywydd, in your own constituency—for the work that they do on driving improvements within water quality, and working with NRW and others? 

Mike, I would say very strongly to you and your connections with the Tawe anglers, report instances you're aware of, but also, I would suggest—and I'm sure they will accede to this request from you directly—we have multiple sources of pollution going into our rivers, but, for example, on Dŵr Cymru investment, request to meet with them and sit down with the anglers association and with others, and go through how they will now target the investment on the Tawe river.

And similarly, of course, we have different sources of pollution as well. Whether it's agricultural pollution or development pressure, I think the water catchment approach that we are introducing with our nutrient management boards is undoubtedly the way forward, bringing everybody together, so everybody plays a role in lifting the standards. But Mike, yes, the Tawe anglers and others I think play a crucial role in driving up our standards in river quality.

Thank you for your statement, Cabinet Secretary, but let's be honest, this Labour Government's track record on water quality is appalling. And the consequence of that is, of course, heartbreaking. Welsh Water continues to dump sewage in our waterways—over 100,000 times last year—with rivers like the Wye and the Usk in my region suffering as a result.

Despite the landmark case fining Welsh water over £1 million, there is still much more that needs to be done. Although the total number of sewer discharges is down, Welsh Water's discharges per overflow hit 47 last year, while the average discharge reduction target in England and Wales is 21, all of this whilst Welsh Water bosses are receiving extortionate bonuses, and Welsh Water bills are the highest in the UK.

Cabinet Secretary, there have been over 11,000 sewage discharges this year. I welcome any work in collaboration that you've outlined in your statement, but it's delaying the action part of cleaning up our rivers. Tests have been taking place for years, but the lack of inaction over the last two and a half decades has been apparent. It's the action part that we need now. It's heartbreaking to see our rivers and habitats around us—

Conclude now, please.

—dying. What weight do you actually have, and what has been promised? I welcome that you've consistently made it clear to water companies and Ofwat that things aren't good enough, but—

You need to conclude, please. I've got a lot of Members wishing to speak.

—what has been promised to you in those questions that you've asked them, and to link that performance with the extortionate bonuses that water company bosses are paying themselves? Diolch.

Thank you. So, Laura, I'll repeat what I said earlier, in terms of bonuses, that we have taken forward both England and Wales legislation that now links those bonuses to performance, and if performance is substandard, those bonuses should not be paid.

You will note in my opening remarks that I specifically referred to the River Wye and the additional investment that, on a joint basis, UK Government Minister for Water, Emma Hardy, and I announced—an additional £1 million on water qualities in the River Wye. That was hugely welcomed, I have to say, by those who attended that, those volunteers, citizens, scientists, organisations involved in the Wye catchment partnership and the Wye nutrient management board, and it builds on the work that they're doing already. So, there are direct actions as well. And the other thing is to recognise that the Wye and the Usk have a range of pollutant pressures on them, which include development pressure, but also include agricultural pressure from nutrient and phosphate load. So, again, I would welcome your support in working with us, with the catchment stakeholders, which do include farmers as well, to make sure that we do not have leakage into the Wye and the Usk, which leads to that algal bloom that you're talking about. 

Now, this is why it's important to say every single actor in this space needs to step up and play their part. The water companies do, the developers do, the farmers need to as well, the food producers need to as well, and I think the catchment approach here, and the money that we're putting in, which has been hugely welcomed by those people who are working on the Wye and the Usk, is the way forward—everybody together, supported by Government, but actually working on their local knowledge as well.

I think I'm not alone in this Chamber in remembering growing up in the south Wales Valleys, where our rivers were literally filthy every day with oil, with coal pollution, with pollution from industry, and nobody wants to go back to those days, or pretend that those days exist today. In order to achieve our ambitions, which I think are shared across the Chamber, for the future of water quality in Wales, Deputy First Minister, I believe we need greater clarity. I believe we need greater clarity on where the law stands. I'm not convinced that the current approach provides a clear legal position about water quality and regulation. I believe that we need a greater clarity and focus on policy. And I believe we need a greater clarity of regulation. I'm concerned that the direction of travel at the moment is ensuring that, whilst good things are happening—and I very much commend the statement you made this afternoon—there is a confusion of policy and a confusion of regulation and a confusion of law. I believe that we need clarity. I would like to see a Welsh water Bill—

And you need to ask your question now, please.

—produced by, perhaps, the next Government, but certainly the Welsh Government, providing greater clarity of where we stand with the law and regulation, and the purpose and direction and objective of policy.

Alun, thank you very much indeed, and, like you, I genuinely am old enough to remember when the waters were either black or they were orange running out of the streams, particularly within the south Wales Valleys. And we've turned that round, and that should be a note of optimism, that we can actually do it, when we line up the incentives, the stick as well as the carrot as well. You're right on the regulatory piece: there does need to be clarity. That's why I think Jon Cunliffe's report on the wider water regulatory space, including, interestingly, with a Welsh perspective specifically, and the fact that he's not only looking at, if you like, the Ofwat interplay with water companies, but he's looking at that catchment management approach—. I agree with what he's put forward in his interim report, that the solution of this is actually on a catchment level, and bringing all those players together. And the objective is very simple: the objective is improving water quality year after year after year, and that will require the water companies to invest in the right things. It will require the farmers to work with us and to take away the nutrient load that's spilling into the rivers. It will require developers to work with us whilst we also enable affordable housing.

So, we're very, very clear on what we need to do, and one of the ways we will drive this as well, I have to say—and credit to the former First Minister for starting this initiative—is through the river summit process. Now, what we're doing in the ones between now and the next Senedd election is we're focusing those on outcomes. We don't want just to hear about good practice, we want to see how good practice is made common practice right across the piece, because that's what we need. But rather than—. Sometimes in these debates you get to the point where it's a bit of finger pointing, 'Well, they should be doing more. They should be doing more.' Well, actually, we should all be doing more. Now, that's where we need to be on this. So, I think we're taking the right actions to align this up. The first bid has gone in for a new piece of legislation in the next Senedd term, which will be a water Bill.

I want to take my minute to talk about micro and nano plastics, Cabinet Secretary, in water. We've known about this problem for decades. Plastic-based products such as tyres, clothing and paint shed micro plastics as they break down. Water then carriers the micro plastic into our farmland and then into our food. Micro plastics are then passed into our bodies. Studies have found that micro plastics can reach almost all of our organs after entering the human body, including the brain, and there is emerging research that this can lead to disorders of almost every organ system, including digestive, respiratory and immune systems. Without knowledge or action regarding micro plastics in Wales, our health can be compromised in unknown ways for decades to come, and the cost will then, of course, be passed on to our health service. An understanding of water quality in Wales is incomplete without the testing of micro and nano plastics. What steps is the Welsh Government taking to tackle this issue? Diolch yn fawr.

Thank you. It's a very important issue, and as everybody knows who takes part in the beach cleans or the river cleans, we're picking up micro plastics consistently wherever we go, but also the nano plastics is a real issue because we are now finding micro plastics and nano plastics in every part of the ecological chain, but also in every part of the food chain as well, including, actually, within the human body and within brains and so on. It's deep at the beds of the ocean, but it's also right within us as well, and we do need to tackle that. I'm happy to come back to you on the detail of what we're doing within micro plastics in terms of testing and nano plastics, because we do have a working group on this across Welsh Government, and I can write to you with more detail on that.

Cabinet Secretary, in Newport East, communities and campaigners feel very strongly that we need better water quality, whether it's our rivers, our sea or our lakes or any other water body. I very much agree with that, and we've heard a lot of concern here today. I must say, from the opposition benches, I think it has been a bit imbalanced. As you say, all polluters need to be held to account and need to explain how they're going to improve our precious water environment, including the farmers, and the opposition seem very shy to mention the role of farmers. As far as the River Usk, for example, is concerned, the pollution is overwhelmingly agricultural pollution from farming in general and from intensive poultry farms, for example, so there's no way that they can be left out of this equation.

Cabinet Secretary, the new environment Bill is going to be very important in terms of governance and regulation, but obviously there is much that we need to do before then to ensure rivers like the Usk and the wetlands, for example, in Newport get that protection.

You need to ask your question, please, John.

What will we do in the here and now as well as with the forthcoming legislation?

Thank you, John. I think the legislation will really help drive improvements as well, because of a number of reasons. One, because you have environmental principles then underpinning—subject to the will of the Senedd passing the legislation—all that we do in public bodies, and all that Welsh Government Ministers do as well on a statutory basis, but also developing those targets—the right targets that can really drive improvements. That could include, by the way—and we need to allow the new environmental governance body to actually help shape some of these targets, based on the work we've done with the biodiversity deep dive, the biodiversity target advisory group as well—to help shape some of these so that they're the right targets to drive improvements.

But fundamentally, you are right, too often we get into this, 'It's somebody else's job to do' and so on. There's not one cause or one solution to this—it is multiple solutions and it's complex, but the greatest way we can do the service for this generation and for future generations is to all accept that we all have to do it. So, I have to do it as a Welsh Government Minister, local authorities and Natural Resources Wales have a role to play as well. So do developers and farmers and land managers. So do the water companies and everybody else. So do citizens as well. And one of the great advantages of the new legislation, again subject to it being passed by the Senedd, is it actually puts in place that office of environmental governance Wales, the Welsh environmental governance body, that will enable citizens to actually hold Government and public bodies to account right across the piste, and will also allow that body, should it pass with our will here, to actually follow its own investigations and to say to me as a Minister or to say to other bodies, 'You're not doing the right things here. You are failing in your legislation. You are failing in your policy.' That is a powerful tool.

Deputy First Minister, Dŵr Cymru were fined £1.3 million for 800 sewage permit breaches across Wales, and I believe that that money should be reinvested into restoring our waterways. So, I'm just interested why the Welsh Government hasn't set up a proper water restoration fund, like they have in England, that guarantees that every penny raised from fines gets reinvested into restoring our waterways and our rivers, because people are fed up of raw sewage in their local waterways, which is making people and pets sick. And it seems to many people that big water companies just write off the fines and push that cost on to their customers. So, do you think it's time, Cabinet Secretary, that we have that fund in Wales to make sure that we do protect our waterways and protect public health across the country?

Well, on the funding, James, I've laid out already the sheer scale of the funding that we are not just now, but have been investing in this from the Welsh Government, from an NRW perspective and others, but also the scale of investment now that Dŵr Cymru and Hafren Dyfrdwy are also going to be doing in the five years ahead, which will be an unprecedented scale of investment in their infrastructure and in improvements to water quality. I would say that it is a last resort, I think, when fines are levied upon companies, because, indeed, what you actually want companies to do is to have good performance, not to rely on fines being made. But sometimes there is a darn good reason for these fines—if their performance lag, then they should be fined. But it won't inhibit us from continuing our investment in improving water quality, and we will be holding the toes of the water companies to the fire in delivering the outcomes, now that they have a massive uplift in investment in their infrastructure.

You're right to highlight the importance of Llanishen reservoir as a place for clean bathing, which, unfortunately, are all too rare, because our 40 per cent of rivers in good quality, compared to England, I'm afraid, expresses the fact that there's such a low base in England, and the privatisation of water was a total disaster. Indeed, if it wasn't for Dŵr Cymru and Carl Sargeant's persuasiveness to enable them to take over the reservoir after the vandalism caused by Pennsylvania Power and Light, and its subsidiary, Western Power Distribution, we simply wouldn't have this resource. And it tells us that we absolutely need to husband all our reservoirs and all our water much better in future.

So, I have two questions arising out of your statement—

You only have time for one question, please. You haven't the time.

One is: housing developments without harming the local environment—where are they? And what can the Welsh Government do in the next nine months to improve the building regulations so that new SuDS developments can happen that aren't dependent on new-build housing?

Thank you very much. I can answer them both together because it's of one—it's developmental pressures whilst also maintaining and improving water quality. So, the work that was done in the previous round of river summits and with the nutrient management boards focused very much on phosphate loads that were inhibiting development, but we needed to work with developers to make sure that they weren't damaging the rivers. That has unlocked development now in different river catchments in Wales. There's more to do. There are parts, in Newport and others, where we desperately need affordable housing, but we need to put the right things in place rapidly to ensure that it doesn't have a detrimental effect on the rivers. So, we’ve already put that laser focus on it, and we’re starting to see results for it. And you’re right on SuDS as well. I’m an evangelist for SuDS. We’re well ahead of the game here in Wales on that—some of the developments we see in Cardiff, in fact, specifically within this. They’re vitally important, because it takes the pressure off what many people refer to, those combined sewage overflows. If we can get, actually, more of the rainwater falling on the roofs actually going through natural processes, and, by the way, having benefits for the greener environment of people around them, well, that’s a win-win in so many ways.

So, we’ll keep on investing and driving that forward. We have a very good SuDS—. I’ve forgotten the name for it, but it’s basically a good practice group as well. We hosted an event recently here in the Arup offices in Cardiff, and we brought people from across the UK to show what we are doing and what more we need to do with SuDS.

You remind us in your statement, Cabinet Secretary, how Wales faced a series of devastating storms in the winter, yet, conversely, we’ve just experienced the fourth driest March on record, and, of course, over the spring season, we’ve moved into the category of prolonged dry weather. So, you’re illustrating to us there the unpredictability of the weather, and the unseasonal nature of the weather these days. And in doing so, of course, what you’re doing is making the case yourself to move away from the farming by calendar approach to the water quality regulations. So, can I ask: when will the Government scrap that particular approach, because, as you say, the weather doesn’t follow the calendar anymore?

So, as of now, I will repeat—and it’s very important to repeat—that the current measures remain in place until we bring forward alternatives. But I would ask you, Llyr, in your background and your engagement with the farming community in your area, but also in your role with the climate change committee, to come with us on this, because we’ve said we will accept, in full, all the recommendations, some of which are short and can be quick wins, some of which are medium and require a bit of working through, to be honest, to bring forward what alternative measures would look like. And it’s got to be right, because you and I do not want to sacrifice the quality of those rivers by leaping at something too rapidly. And there are long-term ones.

So, I would simply ask you to support, as we do, the entirety of the package, and then work through it in the way that she’s very helpfully signalled, which is that some of these are more medium-term ones that we need to do a bit of work on, through the autumn, into the spring and so on, but, right here, right now, we cannot simply sacrifice, lift the flood gates on this and simply say, ‘Do whatever you want.' The current measures do stay in place, and it’s important to say that message.

I was very pleased that you mentioned Llanishen and Lisvane reservoirs, as did Jenny Rathbone. And I was pleased to join the Cabinet Secretary to have a look at them yesterday morning. And I’m sure he was able to see the huge benefits that they have brought to the environment in Cardiff, and what an asset they are to the community, who, of course, fought for 20 years to have them there. But the announcement that the reservoirs have been designated as a bathing water site for the first time is very welcome, and I think it does show the great work that Welsh Water have done on that site. And the reservoirs are already being used for a whole host of water activities—paddle boarding, canoeing, cold water dipping, and, of course, open water swimming. But, in order to keep the water safe for public bathing, and for public health, the water quality has to be maintained. Will the Cabinet Secretary explain how this will be done in places like Llanishen and Lisvane reservoirs?

Yes, thank you, Julie, and it was a great visit and the weather stayed good for us as well. But it was wonderful to go around that reservoir, with the investment, by the way—because there’s been a lot of criticism today—of Dŵr Cymru as well in doing that and making the right decision, making that, now, a facility not only for water recreation, but also for biodiversity as well. And it was great to see the rare species that are there, and the site of special scientific interest around there, with the waxcaps, and so on and so forth.

But you’re right in terms of the testing of the water—absolutely agree with the importance of testing and maintenance. So, NRW carries out regular testing now at all designated bathing waters, and they monitor for two types of bacteria. They monitor for E.coli and intestinal enterococci, if I’ve pronounced that right. These are the tests that form the basis of classifying bathing waters as either ‘poor’, ‘sufficient’, ‘good’ or ‘excellent’. If poor bathing water quality is identified, NRW then work with stakeholders to develop and implement an action plan to improve the water conditions at that site. And NRW sample each bathing water at least five times per season. Most, however, I’ve got to say, are tested 10 times per season, with some sites being tested as many as 16 or 20 times. So, you're absolutely right, we've got to not just do the designations, welcome as they are, and that journey that we're on, but also then keep on testing to make sure that they're safe for everybody.

I'm grateful for the opportunity. Minister, one thing that I took away from your statement today and responses was the idea around a catchment-first focus. I think that's really to be welcomed and commended. That brings me back then to Llyr Gruffydd's question as regards the NVZ regulations. That needs to be a priority—looking at this as a catchment-first approach, rather than the one-size-fits-all approach that the NVZs are currently installed in Wales and enacted.

The second point: we've seen across the border changes to rules to create new reservoirs for the first time in over two generations. Are you as a Welsh Government looking at installing new reservoirs and constructing new reservoirs here in Wales, given that we are looking at creating new homes, given that we need ample drinking water for people? So, what are the Welsh Government's thoughts around new reservoirs in Wales?

Sam, thank you very much. And look, thank you for your support as well on that catchment-based approach. The great thing about the catchment-based approach is that it does bring all players together. It's challenging sometimes, I've got to say as well, because there will be different imperatives. But, if we're all agreed, if everybody in that catchment is agreed, that they all need to contribute to improving the water quality, then we've got a game on—then we really do.

I think, in Susannah Bolton's work, she did indeed say that there are areas of farming in Wales—. I look at—. Within my area, for example, we've got mixed light livestock and arable, we've got upland hill farming and so on. And when I met with them several years ago and said to them, 'You're probably not going to be impacted by these reforms', I was right, but they were worried about it. What she said is that we need to think about how do we target those areas where the impact on the water quality is worse, and how do we then also work with those where the impact is less and so on. She's also put forward, as Llyr said, different approaches to this. Now, is there a willingness, I would say to you, within the farming community, to work with myself, with NRW and with others to try out some approaches to see if they work, and to test and prove that they work? But that's some of those—. That's that bit of more medium-time work. But I'm really keen to take this on with urgency and pace—all of the recommendations. But you're right in what you say there about the catchment approach.

Now, at this moment, in terms of reservoirs, we don't have any plans at the moment for new reservoirs, if that's what you're asking, but we always keep this under review. My understanding is that water companies don't have any plans currently either, but they do do transfers between water bodies as well to make sure that they can maintain the system. But we'd always keep an open mind on this. But, at the moment, there are no plans to do new reservoirs. I do see, by the way, as the former DEFRA Minister with this, that the south-east has been water stressed for decades, absolute decades, you've got the chalk streams in the south-west that are under immense pressure, and yet no reservoirs are being built, from water companies or landowners and so on. So, there is—. I'm glad to see now that they're moving into that space. At the moment here, we don't see the pressing, crying need for it, but we always keep an open mind on it if proposals come forward.

And, finally, Joyce Watson.

Diolch, Dirprwy Lywydd. The landscape of Mid and West Wales is testament to how our industrial past continues to impact on our environment today. So, I'd like to pick up on the metal mine remediation the Cabinet Secretary mentioned in his statement. It follows on from evidence he gave to the Climate Change, Environment and Infrastructure Committee last week, as part of Stage 2 of the Disused Mine and Quarry Tips (Wales) Bill. The potential impact of former metal mines on water pollution levels is concerning. Can the Cabinet Secretary go into more detail about how the Welsh Government is working to address these particular concerns?

Joyce, I will indeed. With your dispensation, Dirprwy Lywydd, can I just mention my thoughts at the moment are with the family of Peter Stanley, who passed away very recently with a sudden and untimely death? Peter was one of the most highly respected environmental professionals, and he led the metal mines remediation programme at Natural Resources Wales, did incredible work. He dedicated his whole career to tackling the legacy of pollution from abandoned metal mines. It's one of Wales's most complex, long-standing environmental challenges. So, our thoughts do go out to his wife, Mrs Cerian Stanley, and his family. He will be much missed, much missed indeed. And I've been on to see the work that he was doing.

You are right, Joyce, Wales's proud industrial heritage has left us with a very difficult legacy of pollution from some of our past industries. We've provided now £16 million-worth of funding to NRW and the Mining Remediation Authority this year to deliver the water quality capital programme. Over the three years, we've allocated £40 million to this programme, delivered by NRW, to implement targeted remediation. I was part of this. There's a specific £15 million of capital funding for 2024-25 for water quality improvements, including specifically the metal mines programme managed by NRW and the Coal Authority. Now, this invests in things such as research projects, innovative treatment solutions, working with academia and industry experts on treatment trials at the sites—I mentioned one in Frongoch in my opening remarks, on the River Ystwyth—and piloting field-scale innovations as well.

And simply to say, Dirprwy Lywydd, local authorities also play a part in this, because they have a duty to identify the contaminated land in their areas, including metal mines, and ensure that it is managed appropriately. But we're bringing some real heft to this now thanks to the work of experts in the field.

I thank the Cabinet Secretary.

Item 4 is a statement by the Cabinet Secretary for Economy, Energy and Planning, economic growth in Wales, free ports and investment zones. I call on the Cabinet Secretary, Rebecca Evans.

I'm pleased to provide Members with an update on our work to drive economic growth across Wales through free ports and investment zones. The Welsh Government is committed to building an economy that is greener, stronger and fairer, rooted in sustainable industries, inclusive growth and long-term resilience. Our approach to free ports and investment zones reflects that vision, seizing the opportunities of decarbonisation and technological advances.

Turning first to free ports, as a result of our two Governments working together with local partners, the Celtic and Ynys Môn free ports are now open for business, with designated tax sites. From the outset, we negotiated to ensure that both reflect Welsh priorities and values, and are supported by both reserved and devolved powers. Both have strong economic potential, align with net-zero goals, and are committed to inclusive growth for future generations.

The Celtic Freeport brings together two significant ports with strong credentials in offshore wind, hydrogen and advanced manufacturing. It has the potential to attract billions of pounds in private investment and create thousands of high-quality jobs. The Anglesey Freeport provides an opportunity to turn the economy around, capitalising on the island’s maritime infrastructure and skilled workforce.

The green revolution will be embodied in both our free ports. We want more renewable energy developers to come to Port Talbot, Pembrokeshire and Anglesey, and we want to realise the job opportunities that go with renewable energy. Wales has vast energy potential, and we must retain as much of that value as possible in Wales.

As a catalyst for this change, I am pleased to have agreed the full business cases for both free ports on behalf of the Welsh Government. Final agreement with the UK Government and memorandums of understanding are close to completion. This will allow us to start releasing £25 million of capital funding to both the Celtic and Anglesey free ports to invest in vital infrastructure and skills projects.

This funding will sit alongside a package of tax reliefs. Using our devolved tax levers, businesses will qualify for five years of non-domestic rates and land transaction tax relief. However, these benefits are conditional. We require our free ports to adhere to our principles on fair work, environmental sustainability and social value. We will not allow a race to the bottom on employment or environmental standards.

A key part of our oversight role will be to ensure investment is genuinely additional, and that growth in our free ports does not simply move economic activity from other parts of Wales. We have established robust governance and monitoring frameworks. We will work closely with the free ports' delivery bodies, local authorities, trade unions, businesses and landowners to deliver on the promise of the business plans.

Now, let me turn to investment zones. Working closely with the UK Government, £320 million of funding for two Welsh investment zones was confirmed in the autumn statement; £160 million is available to Wrexham and Flintshire in north Wales, and the other £160 million is available to Newport and Cardiff in the south.

I'm pleased to report that the Wrexham and Flintshire investment zone is making great strides under the leadership of the north Wales corporate joint committee, which has completed most of the business plan process. This investment zone is expected to attract £1 billion of private sector investment and create 6,000 new jobs with a primary focus on advanced manufacturing. The £160 million of Government funding will be used to address innovation, skills and transport challenges to help the advanced manufacturing cluster to grow and thrive.

Plans for the Newport and Cardiff investment zone have also taken a significant step forward with the agreement of its sectoral focus and main sites. These will be centred around their unique strength in compound semiconductors. This cluster is important not just within the UK, but globally. Our compound semiconductor industry and research institutions are leaders in innovation, attracting investment, and manufacturing.

Together, both our investment zones will accelerate growth in key industries of the future. As with free ports, Government support comes with conditionality. We want investment zones to support quality employment, workforce progression and economic inclusion. So, I want to take a moment to place these developments in a broader context.

Free ports and investment zones can be powerful investment programmes, but their effectiveness depends on how they are implemented and integrated into wider economic strategies. And that's why we are working closely with local authorities, universities, further education colleges, industry bodies and trade unions. These partnerships are essential to creating the conditions for long-term success and moving beyond the headline investment figures. We want growth with a purpose, growth that reduces inequality, growth that builds community wealth, growth that lifts people out of poverty and respects the planet they live on. 

Our investment doesn't end with the agreement of the business cases. In partnership with the UK Government and other devolved Governments, we are working on a plan to set out those further actions that we will take to support and enable our free ports and investment zones to realise their ambitions.

We are able to learn from the experience in England to target key issues, such as how we can help free ports and investment zones access finance; how we can make it easier to get planning approvals and consents; and what we can do to help land international investment as well as support local businesses; as well as how we can work with colleges and universities to develop training programmes and innovation projects. Throughout implementation we will continue to engage with stakeholders and Members of this Senedd.

To conclude, free ports and investment zones offer us an opportunity to accelerate economic transformation, and to do so in a uniquely Welsh way. That means putting people and planet first. It means working collaboratively and it means ensuring economic growth is a means to an end, with that end being a better future for people who live and work in Wales.

I'm going to call a short break. Sorry, Cabinet Secretary, but we seem to have a problem with our broadcasting. You are here, but you are not on screen, basically. So, if we have a five-minute break just to check the broadcasting, and then we'll come back for spokespeople to ask their questions. 

Can I thank you all for bearing with us? We'll continue where broadcasting was lost. So, over to you, Cabinet Secretary.

Thank you. As with free ports, Government support comes with conditionality. We want investment zones to support quality employment, workforce progression and economic inclusion. 

I want to take a moment to place these developments in a broader context. Free ports and investment zones can be powerful investment programmes, but their effectiveness depends on how they are implemented and integrated into wider regional economic strategies. That is why we are working closely with local authorities, universities, further education colleges, industry bodies and trade unions. These partnerships are essential to creating the conditions for long-term success and moving beyond the headline investment figures. We want growth with purpose. Growth that reduces inequality. Growth that builds community wealth. Growth that lifts people out of poverty and respects the planet they live on.

Our involvement doesn't end with the agreement of the business cases. In partnership with the UK Government and other devolved Governments, we're working on a plan to set out those further actions that we will take to support and enable our free ports and investment zones to realise their ambitions. We're able to learn from the experience in England to target key issues, such as how we can help free ports and investment zones access finance, how we can make it easier to get planning approvals and consents, what we can do to help land international investment as well as support local businesses, and how we can work with colleges and universities to develop training programmes and innovation projects. Throughout implementation, we will continue to engage with stakeholders and Members of the Senedd.

To conclude, free ports and investment zones offer us an opportunity to accelerate economic transformation, and to do so in a uniquely Welsh way. That means putting people and planet first. It means working collaboratively. And it means ensuring economic growth is a means to an end, with that end being a better future for people who live and work in Wales.

I thank you, Cabinet Secretary, for the statement and advance sight of it today. The Welsh Conservatives welcome the progress outlined today on free ports and investment zones and share the ambition to drive economic growth across all parts of Wales, because, my word, don't we need it? These initiatives offer a real opportunity to support decarbonisation, encourage innovation and create the high-quality jobs our communities need. The Welsh Conservatives believe in a Wales that is open for business. 

We particularly welcome the formalisation of the Celtic and Anglesey free ports. These projects demonstrate what is possible when local authorities, businesses and both the UK and Welsh Governments, of different colours, work together with shared purpose.

Your announcement with regard to the package of tax reliefs is particularly welcome. Further information on how these reliefs compare to other free ports in England and Scotland would be welcome. In Anglesey, the partnership between the Isle of Anglesey County Council and Stena Line presents a real opportunity to unlock the potential of north Wales as a centre for maritime innovation, new energy and international trade. The announcement of £25 million in capital funding is welcome, and we are encouraged to hear that the business cases and memorandums of understanding are nearing completion.

Likewise, in my own region of west Wales, the Celtic Freeport, spanning Port Talbot, Milford Haven and Pembroke Dock is a project that I've long championed, alongside the Deputy Presiding Officer. Built upon a proud industrial heritage, it is now focused on forward-looking sectors, such as the floating offshore wind sector, hydrogen production and other sustainable fuels, including aviation fuel. The involvement of major players, such as Haush, who've got Toyota and JCB behind them, RWE and Dragon LNG, demonstrates the credibility and the potential of this free port. It also showcases, again, the power of partnerships between the port of Milford Haven, Pembrokeshire County Council, Neath Port Talbot Council and Associated British Ports to deliver a coherent and ambitious vision.

Cabinet Secretary, you rightly note that free ports and investment zones are not an end in themselves. Their success depends on effective implementation, robust oversight and close collaboration with local and regional stakeholders. So, in that spirit, I'd like to raise a few areas for further clarity. First, competitiveness. With sites like Teesside already further along, what steps is the Welsh Government taking to ensure our free ports match or exceed their offer in terms of infrastructure, investor readiness and supply chain development? Secondly, and you’ve mentioned this in your statement around planning and regulation, investors require certainty and speed, so can you outline any measures to streamline the bureaucracy to ensure timely delivery of projects in these areas? And thirdly, the engagement with small and medium-sized enterprises—while the involvement of major corporations is vital, those big-name companies, the smaller businesses, the supply chain backbone, must not be left behind. So, how is the Government ensuring that SMEs across Wales, especially in the rural and underdeveloped areas, can access the benefits of both free ports and investment zones?

And coming on to investment zones, we welcome the significant developments in north-east Wales, particularly the Wrexham and Flintshire zone. With a focus on advanced manufacturing and its expected £1 billion of private investment, it is a compelling example of strategic economic intervention. We also note the progress made in shaping the Newport and Cardiff zone around the compound semiconductor sector. While the focus on getting the sectoral priorities right is important, Cabinet Secretary, can you provide an expected timeline for when this zone will move into delivery and start generating tangible economic benefits?

And looking beyond current sites, what for the rest of Wales? Many communities in mid and west Wales, including Ceredigion and Powys, have long been overlooked in terms of strategic economic planning. None of them fall within investment zones or within the free port zones. So, how are you exploring additional opportunities in these areas or via other new investment zones so that this is genuinely seen as Wales-wide economic growth?

Finally, defence and security investment—I raised this with the Trefnydd earlier today—is another area, I believe, where free ports and investment zones can play a vital role. These zones are not only about economic growth, they are about national resilience. Wales already has a host of several key defence-linked facilities, suppliers and businesses, so, Cabinet Secretary, will you commit to working with the UK Government and the industry to ensure our free ports and investment zones actively support defence-related investment and help safeguard jobs and create new jobs in these strategically vital sectors?

Finally—Llywydd, this is the last point—I urge the Cabinet Secretary to ensure that free ports and investment zones are aligned with broader national priorities. These have immense potential to create jobs and boost exports, but they must also tie in with our skills agenda, our development of the next generation of workforce, and I note that we have an Economy, Trade and Rural Affairs Committee report on this tomorrow. But we are committed as Welsh Conservatives to seeing success from the free ports and the investment zones, and hope to bring economic sustainability and growth across all of Wales.

I'm very grateful to the spokesperson for those questions, and particularly for the strong support that I know that he has shown, and I think that colleagues from right across the Chamber show, towards the free port programme, and the desire to see it become the success that we know that it can be.

I'm really pleased to hear those questions about the particular levers that the Welsh Government is bringing to this, and those are our tax levers, particularly around non-domestic rates and land transaction tax. In respect of non-domestic rates, our support forms two pillars, the first being around non-domestic rates relief. The intention there is for rates relief to support new and existing businesses when they expand into new or unused space within the free port. Local authorities will be the ones to grant that NDR rate relief in line with the criteria that are set out for free ports and investment zones, and then it will be for the individual local authorities that administer those rate reliefs to adopt a local scheme and determine, in each individual case, when to grant relief.

Alongside that, we're working on the non-domestic rates retention. We do have an overarching rates retention policy for Wales, and this has included considering options for city and growth deals and free ports and investment zones. We've really tried to seek that balance between providing incentives for investment zones whilst also protecting those pooling arrangements that are a fundamental feature of the NDR system and that support the funding of local government across Wales. Our offer here is to the 50 per cent retention rate, and that has allowed us to include this offer as part of the package of investments available to each investment zone, rather than excluding the retention as well. We thought that that was a pragmatic way forward, and it's a way that fits our overall strategic approach to non-domestic rates in Wales. The UK Government does have a different approach to both NDR retention and local government funding, but we've set out our policies that align to our wider approach to those taxes. I think that both of those will make the free ports in Wales attractive propositions, as will our approach to land transaction tax as well. We've created a special tax site relief for land transaction tax, which, again, will make the prospect of moving into those areas and hopefully buying land that is currently unused or property that is underutilised more attractive to those businesses as well. I'm really pleased about the way in which we've been able to develop our own particular tax offer here in Wales. 

And those points about competitiveness are really important as well, so what will make our free ports different. I think the thing that's really special about the free ports that we have in Wales is that we're absolutely playing to our strengths, and I think that that's important in terms of the different approaches that all free ports will take. So, particularly the free port in Anglesey, for example, that's looking to create economic growth and job creation, but is very much focused on developing further the offer around energy, and turbocharging the existing Energy Island programme, which has such a contribution to make towards net zero and decarbonisation.

And then in the Celtic Freeport, that's very much including the real potential that I know that we all see in relation to supporting the emerging floating offshore wind sector, but also the advanced manufacturing and advanced materials sector opportunities in that space as well. So, it's very much about playing to the existing strengths and growing and developing those, so that we've got a really unique offer here in Wales.

In terms of planning, we've been doing an awful lot to speed up the planning process. Colleagues will be familiar with the additional funding that we've provided for both Natural Resources Wales and Planning and Environment Decisions Wales in order to bolster their ability to move those applications through more quickly. And, of course, we've got the Infrastructure (Wales) Act 2024 as well, which seeks to improve the consenting process, again to provide certainty and clarity, but a smoother, more streamlined process for business as well. Again, I think those things will be really important in future.

There were some really big names referenced there in terms of the businesses that might be interested, which I think is fantastic, but alongside that the really important point was made about making sure that our supply chains are geared up and ready to take advantage of those opportunities as well, and that's very much part of the free-port approach. It's about the infrastructure, it's about the tax reliefs but it's also about ensuring that we have the skilled people available to take advantage of those opportunities locally.

And then I think the points around defence, again, were really well made. There are opportunities here for us in Wales both in terms of the UK Government's renewed commitments in relation to defence spend, but also with the agreement that the UK Government has come to with the European Union, which opens up a huge amount of potential spend to Welsh businesses as well. We've got eight of the 10 largest defence companies in the world with a presence here in Wales, but also, alongside that, we've got 285 small and medium-sized businesses that are really important in that supply chain as well. So, I know that they'll be interested in what the future opportunities are in the investment zone and free-port space. I am due to meet the UK Government's Minister for defence procurement shortly, and I'll be able to set out again the opportunities that we have here in Wales. But thank you very much for your support of the programme.

It's no secret that when free ports were originally proposed, I wasn't in favour of them. From memory, I was one of two Members to speak against them in the Chamber—I think the other was Joyce Watson—and I haven't changed my mind. The immediate question that jumps out to me is simply, 'What has been happening over the last few years?'—only now agreeing the business cases, still waiting for the memorandum of understanding to be signed off.

Now, even as somebody who didn't support the concept of free ports, it's very clear, to me at least, that the progress of that change and the pace of that change is not where it should be, especially when you compare to those other free ports that Sam Kurtz mentioned that are already up and running, and are already moving at pace with those investments. But what really concerns me is, actually, the material change that our constituents have seen as a result of these free ports.

When the Welsh Government first endorsed the free-port model, we were promised transformative economic benefits, tens of thousands of jobs, billions in investments and free ports forming a part of a green revolution, but years on, we are still waiting. That's a fact. That's a reality. Now, if free ports are meant to be a cornerstone of our economic strategy, then we need to actually understand exactly what we're getting, and, right now, there's a huge lack of clarity and credibility. Now, the original promise across the Celtic and Anglesey free ports was 20,000 jobs by 2030. That figure has now been quietly revised down to 17,000 on the Welsh Government's website. That's a 15 per cent drop from the original figure. For the Celtic Freeport, we were promised 16,000 jobs. Then, more recently, this was downgraded to 11,500, according to Jo Stevens, the Secretary of State for Wales. And now it sits at just 11,000 on Celtic Freeport's website. That's a 31 per cent reduction in job estimates. So, perhaps the Cabinet Secretary can provide some clarity on those figures. Because when you can downgrade a forecast by a third in just a few years, how seriously can we take those forecasts? How grounded were these forecasts in reality? And were these original numbers just designed to sell the bid more than actually reflect real outcomes? Now, I can answer that last question, actually. The answer was 'yes'. Literally, the next day after these were signed off, there was an article in the Financial Times exposing the figures as having no substance or backing. We still don't know how these figures were calculated. There's been no transparency on modelling. So, perhaps the Government would be happy to publish how they were calculated, given that the Government is using those figures on its own website.

Now, we were told the Celtic Freeport opened to business in November 2024. We were then told, in March this year, that the official launch brings jobs 'a step closer'. It again begs the question: what exactly has been happening during this time? Local communities, such as Port Talbot, within the Celtic Freeport, have seen significant job losses but have yet to see any benefit from the free port as it currently stands. Now, the communities have a right to actually get what they've been promised, which is that these free-port deals will deliver for them. But all we've seen from the Celtic Freeport so far are strategies, frameworks and meetings: no clear delivery, no major employment, no visible change. How many jobs, for example, have actually been created to date—not promised, not projected, but actually delivered? How much investment has actually been secured so far, not committed on paper, but confirmed and flowing into the local economy? Again, based on this statement, the answer is absolutely nothing. None. Now, I really do worry that when we throw figures around—big figures—and promise the world to our constituents, we do one thing: when we don't deliver on them, we alienate them, and we put them on a course straight into the hands of those who don't have their best interests at heart. And this will be another example of where that happens.

Finally, looking at port readiness, relevant to the Government's desire to attract renewable energy developers to the ports, earlier this year, the Cabinet Secretary, to the economy committee, said that discussions were under way with partners regarding port readiness around advanced manufacturing, technical services and maintenance. Now, assuming the Celtic Freeport is one of these partners, what progress has been made in these discussions, and what concrete outcomes can you point to as a result? Because, again, looking at those other free ports that have been set up, but looking further afield onto the continent in Europe, we're seeing investments being made already. We are far behind the curve. And when we talk about the potential of offshore wind, we are going to miss out on that potential, because what will end up happening is that those places that have got off the ground will have the capacity to manufacture and assemble these wind turbines, and they will circumnavigate Wales in its entirety. So, there's a real job of work that needs to get under way here, and we simply haven't seen that.

So, to conclude and sum up, Dirprwy Lywydd, seeing that my time is coming up, in your conclusion, Cabinet Secretary, you said that free ports and investment zones offer an opportunity to accelerate economic transformation. Well, all evidence is to the contrary—so far, progress has been slow. 

I'm grateful for those questions, although I am confident that the Member will be proved wrong in terms of the contribution that free ports can play in terms of economic growth and vibrancy within Wales. I understand the Member's concerns. I know that, when free ports were first floated with me as a concept, I was actually quite concerned about two things in particular, one being workers' rights and the other a potential race to the bottom in terms of environmental protections. Now, the work that we did with the previous UK Government, actually, to secure those things for Wales, I think, has been really important, and our free-port guidance and policy now means that free ports are committed to establishing a workers' consultative forum to represent the interests of workers. We have that across the Celtic Freeport region to ensure that they have a platform to raise concerns, to share ideas and to influence relevant decisions. So, I think that that's important, but we've also been facilitating some meetings between the free port and the unions as well to see how we can strengthen and bolster that relationship. So, I understood that those concerns were raised at the time, but I think that we've been able to find ways to mitigate those and provide a different offer in Wales, which is why, in my statement, I was referring on a number of occasions to growth done the Welsh way, which is absolutely about protecting workers' rights and our environmental obligations and responsibilities. 

I think, in terms of the work that's been happening, we do have to remember that this is a long-term programme and those free ports have only actually been open for business for a small number of months now. An awful lot of work has been going on through that space of time and previous to that in terms of engaging with businesses to explore what their needs are, what opportunities they see, and how we can work together to realise those. I do understand that these things do take time. There's an awful lot of work going on behind the scenes, but you can't make announcements when the information is commercial and so on. But I do want to just reassure colleagues that there's an awful lot of interest in the free ports and what they can offer, and the opportunities there. So, I'm confident that they will absolutely deliver on our vision for them.

The points about port readiness are really important, and, again, that's a space where a lot of important work is going on. Colleagues will be familiar with the UK Government's national wealth fund. I think that's going to be a really important player in terms of making sure that our ports are ready to grasp the opportunities of the future. There's £27 billion-worth of funding available through the national wealth fund—£4 billion of that is for local authorities, but the rest is there to support the private sector and to potentially bring forward projects that might not otherwise be able to be brought forward. So, I do think that the funding is available, the will is there, and, most importantly, I think that the partnerships are there. So, one thing that—. Regardless of a view on the free ports, I think the one thing that people will be impressed by is the level of collaboration that has been taking place through the free port with businesses of all sizes, with representative bodies, with unions, with colleges, with the UK Government and so on as well. So, I do think that things are in a good place to start motoring forward, but, with any journey, you have to start somewhere, and I feel that we have started now on a strong footing. 

I share the concerns that are being raised here about free ports and investment zones. What reality tells us is that they always grow by dislocating businesses from elsewhere and from dislocating an economic area. It's very difficult to point to an example anywhere in the world where that has not actually been the case, and I suspect that that will be the case in Wales as well.

But, fundamentally, my concern is this, Cabinet Secretary. What you are doing and what the Welsh and UK Governments are doing is investing in the areas where the market already provides investment. There are two parts of Wales where the markets already provide, one is the south-east, and the other is the north-east, and what we're not doing is investing in the poorest parts of Wales. What we're not doing is creating investment zones, for example, around the A465, the Heads of the Valleys road, where we've already invested in new communication structures. What we're not doing is then investing in the business infrastructure around that, and that's a real failure. And from the point of view of a Labour Government, my expectation would be that economic policy would follow the wider political priorities of the Government, which are to reduce and eradicate poverty—

You need to ask the question now, please, Alun.

—and to ensure that we have economic activity in the poorest parts of the country. So, my question to you, Cabinet Secretary, is: how will you ensure that Blaenau Gwent and other parts of the Valleys are not disadvantaged by the work that's going on around the M4 corridor and elsewhere, and how are you going to ensure that the communities that I represent in the Heads of the Valleys will also be able to benefit from the investment in and from the Welsh Government?

I'm grateful for those questions. I think that addressing regional economic disparities is central to the work, particularly, of the investment zones. That's explicitly one of the things that the Newport-Cardiff investment zone is seeking to address.

And I think we also have to remember, though, that investment zones and free ports aren't the only game in town. Welsh Government is engaged in supporting economic development and regeneration across Wales in different ways. I should have mentioned, in response to the first speaker, the mid Wales growth deal—that's moved into the delivery phase. So, we are seeing actions in different ways all across Wales, and investments have to demonstrably not be displacing investment that would be otherwise taking place. And I think that that was a concern that we've all shared when we've been developing the investment zone and free ports propositions.

I want to thank Alun Davies for the meeting that we had yesterday talking about the Welsh Government's investment in the A465. That's huge investment over many years, and creative investment as well, using the mutual investment model when we weren't able to find other ways to fund that vitally important project. And the First Minister today, in her First Minister's questions, was talking about the value of the A465 and the invitation to Alun to work together with Welsh Government to set out that strategic vision for what the offer is now we have that really important road. Those points, I think, that both Alun Davies and the First Minister were making around connectivity, around skills and so on, will be really important as well.

I think that, where we do see economic growth happening well, it's in areas where we have examples of clusters developing. So, we've got great examples in south-east Wales, particularly around cyber, for example, working with major businesses, the supply chain and also the colleges to grow that particular sector. What the investment zone project and the free port projects also seek to do is to build on those existing strengths to grow out from there as well. But I just reassure all colleagues that we are working hard to grow the economy in all parts of Wales.

I'm sure the Cabinet Secretary would join with me in acknowledging that it was the UK Conservative Government that actually brought us free ports. We need to be positive about these free ports. They are a beacon of economic hope for residents of north-west Wales, and as many as 13,000 jobs could be created.

The Ynys Môn free port consists of sites at Prosperity Parc, Parc Cybi in Holyhead, M-SParc near Gaerwen, and two brownfield sites on Llangefni industrial estate. Now, as you know, the intention is to have separate customs and tax sites. Businesses in these tax sites can look to enjoy various tax benefits, including, potentially, a reduction in national insurance costs for new staff. So, will the Cabinet Secretary confirm what the intended tax benefits will be? Also, in Ynys Môn central taxation zone, M-SParc, I understand that the phase 1 building, which is in existence and is really—

[Inaudible.]

—yes, okay—is really successful, is included for tax benefits, but the new build that they're having will not be subjected to this. What steps are you taking to work with M-SParc to try and see them realise as many tax benefits as possible? Diolch.

I'm really grateful for those points and, Janet Finch-Saunders is right, this was a project that began under the previous UK Government. I think, throughout, we always acknowledged that it was one area where we were working well with that UK Government and that information sharing was very good, collaboration was very good, and we were able then to secure particular aspects to our own Welsh free ports, which weren't, at the time, available elsewhere, around environmental protections and workers' rights and so on. I will always acknowledge that that work was positive.

In terms of the tax reliefs, I set out to a previous speaker the Welsh Government's tax reliefs around non-domestic rates and land transaction tax. But, from the UK Government's part, their tax reliefs would include the zero rate of secondary class 1 national insurance contributions, enhanced structures and buildings allowances, and enhanced capital allowances. So, that's the offer that they’re making, alongside, of course, the seed capital of up to £25 million per free port to address infrastructure gaps. So, there's certainly a good offer, I think, from both Welsh Government and UK Government, using our respective levers. And I'll be sure to ask officials to have some further discussions with M-SParc around the specific point that was made.

Thank you to the Cabinet Secretary for this afternoon's statement. I'm pleased that the business plan has been approved now, and I'm grateful to Isle of Anglesey County Council for their co-operation with Stena, so that we've reached this point. But it is still important to be honest about the challenge in terms of job displacement and in terms of the promises of job numbers. I don't believe the figures of 13,000 jobs for Anglesey for a second. We have to be honest. But there is an opportunity here, and we have to make the most of that opportunity. That's what's important now.

I'm pleased about the ongoing emphasis on job creation in the renewable energy sector. That tells me that offshore wind and tidal energy is the aim, not a solar plan, which doesn't bring economic benefits to Anglesey. But in order to make the most of these opportunities and to ensure that we are true to the original intention, could I have more information from the Minister on the kind of monitoring and governance that will be in place now in order to be open with the public as to how the risks are mitigated and how we can make the most of those opportunities?

Again, I'm very grateful for those points, and recognition of those points around displacement, which we are working really hard to ensure isn't one of the unintended consequences of the support for the free ports.

In terms of jobs, Anglesey's full business case suggests that the free port could create 5,000 jobs and increase UK gross domestic product by £1 billion. Some of the specific areas that it looks to deliver would be leveraging and protecting the unique geography and the characteristics of the island, which is incredibly important because, of course, alongside the free port work, there is the incredible tourist industry and so on, which needs to be protected as well, alongside other important sectors—agriculture and so on.

Regeneration of dormant sites, I think, is particularly important. We've got one of the three tax sites at the former Anglesey Aluminium site, and then another is at the former Shell oil depot, so again, looking after and regenerating those particular sites is important. And addressing economic inactivity by increasing economic activity is another key focus of the Anglesey Freeport, again trying to move that gap closer in terms of the statistics that we see, particularly in Anglesey, for economic inactivity. So, I think all of those things are really important, as is the fact that protecting the Welsh language and culture is very much central to the objectives of the Anglesey Freeport as well.

In terms of governance, I think that the transparency and the work that happens on the boards is really important. I know colleagues will be taking opportunities to engage with those boards particularly, and to explore the documentation and so on that is provided by the boards, which I think should, I hope, provide colleagues with a good level of detail in terms of monitoring and reassuring themselves of the value that the free ports are bringing to their communities.

Cabinet Secretary, you mentioned the Newport and Cardiff investment zone and the great strengths there in terms of semiconductors and cyber security, for example, which do offer great potential. Also, of course, there is the new large-scale battery storage site being developed at Uskmouth, data centres, possible tidal energy feeding into that battery storage so it's renewable energy that is being provided, and the possibility of artificial intelligence developing as a further sector in that area. So, I really do think it's very exciting and there is enormous potential there for high-quality, high-tech jobs. How do you see all of that fitting together, Cabinet Secretary, in terms of the investment zones, UK Government policy and how the Welsh Government and the local authority can work with the private sector, academia and other players to realise that potential?

I'm also really excited about the potential in the things that I'm seeing happening in and around Newport. When we agreed the Newport and Cardiff investment zone with the UK Government, the compound semiconductor cluster, with its supporting R&D infrastructure, was really central to that. Of course, we've got the catapult, the universities and so on working in that space, and we are global leaders in many ways in that space.

That's one part of the particular offer in relation to the investment zone, but I also see opportunity beyond that. The Welsh Government has been very supportive of the proposals and the bid, if you like, for an AI zone in the Newport to Bridgend area as well, because there's an awful lot happening in that space.

I visited Vantage Data Centers recently, and that was really fascinating to understand the important role that they can play in supporting the growth of AI, the growth of industry, the growth of innovation and start-ups and so on within the area. That was wonderful, and to hear about their planned investment to further grow their footprint in Wales is really good as well.

I also visited the battery storage site, which is referred to as well, because again, that will be really important. I think that geographically there is an awful lot happening and coming together in Newport, which gives a huge amount of potential. We will aim to capitalise on that, both through the Cardiff and Newport investment zone that we're talking about today, but then also, I would hope, through the work on AI, which I hope will bear fruit very soon.

And finally, Joyce Watson.

Diolch, Dirprwy Lywydd. I am on record as a free port sceptic, as has been mentioned, but when you look at the Teesworks review, which reported on the scheme under the previous UK administration, many of the concerns people had around transparency and value for public money were indeed borne out.

However, the Labour Government has recognised the need to improve governance structures and promised more local decision making, which I welcome, and you mentioned those already today. This Government has been clear and consistent that free ports here in Wales must reflect our values and our priorities in terms of environmental standards and fair work.

The other concern was that Wales must not be short-changed. Again, under the Conservatives, there was a lack of engagement on this particular policy. I recall Ministers from the devolved administrations being compelled to lobby the Treasury on this matter and being ignored. Can you assure me that the problems that beset this policy under the Tories are now resolved?

Again, I'm very grateful for that, and the recognition that this isn't growth at any cost; this is very much about doing things in our Welsh way, with making sure that we have our own priorities at the forefront. There are always going to be red lines for us in terms of the kind of policies that we support, which is why we worked so hard to ensure our Welsh free ports have that focus on fair work and environmental standards as well.

There is the Celtic Freeport fair work charter. That's really important. Celtic Freeport will be providing some further clarification through an addendum to that to all landowners, making clear the Welsh Government policies on fair work and highlighting our economic contract, so that all of those partners are very aware of their responsibilities. The free port also will encourage landowners to engage with trade unions and to inform workers of their right to be a member of a trade union, which again will be very important. But I think that ensuring that our values are right at the heart of the free port programme from day one has been really important in terms of setting this journey on the right path.

I thank the Cabinet Secretary.

Item 5 today is a statement by the Cabinet Secretary for Finance and the Welsh Language on fairer local taxes. I call on the Cabinet Secretary, Mark Drakeford.

Dirprwy Lywydd, this is a statement about local taxes, about the vital part that local taxes play in all our lives. I am also going to mention the efforts made throughout this Senedd term to make those local taxes fairer. Every time we leave our own front door, we can see these taxes in action. They fund our schools, they deliver the social care on which so many rely, they create the roads that we travel on. They fund waste collection services, which have made Wales a global recycling leader. More than £3.7 billion is raised every year through council tax and non-domestic rates, and this provides us with a firm foundation for democracy in the place where we live. They are the contracts that local leaders have with their residents.

Our aim as a Government has been to create as fair conditions as possible for people and businesses to make their contribution. At every step, we have chosen progressive policies, innovative ideas and fair treatment of taxpayers.

In the most direct way, this has meant making decisions that, in this term alone, have left literally billions of pounds in the pockets of taxpayers and businesses.

At the heart of our approach to local taxation is the fact that, for more than a decade, we have retained a rules-based, Wales-wide council tax reduction scheme, a scheme that continues to support almost 260,000 families every year. And in case anybody believes that this political choice was inevitable, just look across the border at the experience there. The poorest residents of many English local authorities now pay hundreds and hundreds of pounds in council tax out of benefits that were never designed to cover those costs. That cruel postcode lottery does not apply here in Wales, not as an act of nature, but because of the support of progressive parties, sustained for over a decade here in this Senedd.

That progressive journey took a major step forward last year with the passing of the Local Government Finance (Wales) Act 2024. The Act reflected our determination to rebalance the council tax between those who have the most and those who manage on the least. It gave practical effect to commitments made both in the programme for government and the co-operation agreement. It puts Wales on course to be the only part of the United Kingdom that will have seen a council tax revaluation not just once but twice by 2028, with a statutory duty to undertake five-yearly revaluations thereafter.

I want to mention the work of the Valuation Office Agency, because it's through its use of new technologies that we've been assisted in that revaluation process. Those new technologies and that work have won international recognition, while, at the same time, assisting us with a far wider range of rebalancing improvements in the system.

As well as abolishing the scourge of imprisonment for non-payment of council tax, capping court fees and making the rules right for care leavers in Wales, we are now consulting on further measures to make the system fairer yet. Two separate consultations are currently taking place so that this work can be completed in this Senedd term.

The pattern of council tax discounts and exemptions has existed, largely untouched, for more than 30 years. This Government, with our local authority colleagues and others, has completed the only comprehensive, system-wide review of the more than 50 discounts, disregards and exemptions that have grown up over that period. Consultation on our proposals, including our intention to retain the single person discount, will conclude in August, and I look forward to returning to the floor of the Senedd with measures to implement these proposals.

At the same time, we are consulting on important actions to reform enforcement practices when households fall into council tax debt. The current system is unfairly weighted against those who experience difficulty in paying. I want to shift the focus away from harmful escalation and towards supportive prevention. This consultation proposes changes that will affect the lives of families in every single constituency in Wales. 

Finally, Llywydd, in relation to council tax, the Government is also introducing a streamlined appeals process that will be easier to navigate and provide a better, modern system for taxpayers. By April of next year, we will have delivered on all of these goals.

I turn now to reform of the non-domestic rates system. Here, Llywydd, at the heart of the changes brought about in this term is the move to three-yearly revaluations. Working again with the VOA, a successful revaluation took place in 2023, and we will deliver a further revaluation next year. More frequent revaluations maintain fairness by ensuring that ratepayers' bills reflect relative changes in the property market. Alongside the 2023 revaluation, a reformed appeals process was implemented to take advantage of modern digital systems and to improve the flow of information. 

Last year we provided new reliefs to support property improvements and low-carbon heat networks, contributing to our growth and decarbonisation goals. We have made 100 per cent non-domestic rates relief a permanent feature of childcare provision here in Wales. We have withdrawn charitable rate relief from independent schools, bringing the tax rules in line with schools that are not charities. Our aim, given the considerable funding we invest in them, is to ensure that reliefs are financially sustainable and target support in the most economically effective ways. And in that context, I draw Members' attention to the third consultation to be highlighted in this statement.

Last month our consultation on proposals for differential multipliers was launched. The aim in redrawing the multiplier is to ensure a better balance between the situation of small and medium-sized retailers and larger retailers. We must bear in mind the unique context that small and medium-sized retailers face.

Llywydd, substantial progress has been made in recent years to tackle the avoidance of non-domestic rates. Steps have been taken to address those who have been exploiting the reliefs for empty properties. Also, local authorities have been given stronger powers to root out tax avoidance. In terms of the fourth and final consultation to be mentioned this afternoon, I know that Members will be interested in the proposals to implement our new general anti-avoidance framework, and in the proposals to ensure that ratepayers notify local authorities about any changes.

Finally, I want to assure the Senedd that this Government continues to explore the feasibility of more fundamental reform through alternative taxation systems, for example a local land value tax, as a long-term potential replacement for either or both local taxes.

I am anxious to see this discussion move beyond the theoretical and into the realms of the practically possible. Over the past few weeks, we have invited tenders from those who can come forward with projects to test approaches to valuing land. Although the sector was slightly sceptical initially, I'm pleased to say that tenders have been submitted for every aspect of this work. These tenders include innovative proposals, using new technological possibilities that may help to resolve practical challenges as we value land in the future.

I want to use the coming months to test the boundaries of what might be possible in the next Senedd term. Let's open the door to more radical, fundamental and progressive reform in the future, building on the very significant achievements since 2021, as I have shared with you already this afternoon. Llywydd, thank you very much.

I thank you, Cabinet Secretary, for your statement. Looking at council tax first, it's clear, we all agree, that this is a regressive tax and that it will never really become a fair local tax. Indeed, I think that there are a few things that can make it fair. However, I welcome the current consultation, seeking views on disregards and exemptions. As we have heard, this will run until mid-August, and I encourage people to respond to the proposals being made.

There is recognition that many people do not realise that they, or their households, may be eligible for exemptions or to be disregarded altogether as being eligible for council tax. I think that this is something that we need to find a way around, and help residents understand what they actually can apply for. 

The 25 per cent single person occupancy discount is crucial to many people, and I was pleased to see in your statement, and in the consultation, that this will remain. I welcome that. However, I am still concerned that the Local Government Finance (Wales) Act 2024 gives the opportunity for councils to disallow this exemption under certain conditions.

I welcome the review of enforcement practices—that has to be welcomed—as I do the streamlined appeals process. That is also welcome, provided that it does make things easier and more transparent for council tax payers. However, there has to be a discussion around the fairness of council tax. I know, Cabinet Secretary, that you're looking at various elements of this, but we have to look at the levels being forced onto council tax payers more generally.

We believe that continuous increases, year on year, that are generally more than double or triple the inflation rates are not sustainable. Take this year, for example, where an average of 7.2 per cent increases have been passed on. This follows year upon year of similar inflation-busting increases that Welsh families are being asked to cover.

Some may say that there is clearly something wrong where, by stealth, the Welsh Government is increasing the tax on families by the underfunding of local government, requiring councils, in turn, to pass on this shortfall in funding to the people. I'd ask: what is fair about this? It is recognised that there is a wide difference between council tax levels in different councils, and that is driven, we know, by the outdated local government funding formula. All must agree that the funding system is flawed; hence, there needs to be a funding floor for this year's settlement, but that's something that I welcomed.

The underfunding of local government needs to be addressed, so that council tax increases can be maintained or moved back to a more sustainable level of 2 per cent or 3 per cent. Now, this may be wishful thinking, but things can't go on where council tax levels are increasing at such a rate. Welsh council tax payers shouldn't be forced to pay for Government spending choices. It is time that, here in Wales, as in England, our constituents have the right to have a say on excessive council tax increases. As such, they should be granted a local referendum on levels proposed over 5 per cent.

Regarding the non-domestic rates system, well, we can't get away from the fact that business rates here are the highest in the UK. So, I welcome the consideration of the multiplier—something that we've been calling on for many years. We also have to recognise the pressures put on the retail, leisure and tourism sector, with the difference in business rate relief in the past being offered in England, not to mention the 182-day rule and the impending tourism tax. All of those things are becoming a perfect storm for many in business.

I do believe that the removal of charitable relief from the private school sector, coupled with UK Labour's value added tax decision for independent schools, are retrograde steps and are already driving pupils into the state sector, which, in turn, will increase costs to the public purse. All of these things demonstrate to me that Labour, at either end of the M4, are no friend of business and don't recognise the need for growth.

Cabinet Secretary, in closing, and to achieve fairer taxes, I would ask what the Government can do, together with councils, to help citizens to understand what council tax exemptions and disregards are available to them? Also, would you recognise that the current situation of Welsh households continually paying such high council tax levels is unsustainable, and is certainly not a fair approach to local taxation? And would you agree that it seems that the level of overall funding to local government is inadequate, and that the funding formula that distributes it needs reviewing to ensure that all councils are funded fairly, which would reduce the need for some councils to demand such excessive council tax levels? Diolch.

Diolch yn fawr, Llywydd, and thanks to Peter Fox for the list of positive endorsements that he began his contribution by outlining. I agree with his initial proposition that council tax is regressive by nature, and there are limits to which it can be made fairer, but the efforts throughout this term have been to take actions that do as much as we can, within the constraints of that system, to make it fairer than it otherwise would have been.

I think the level of council tax rises is obviously a matter that concerns local council tax payers, but the problem, as he well knows, is not that the Welsh Government unfairly fails to pass on funding to local authorities, it's that the money hasn't been there to do that. And compared to what English local authorities have faced over the last 14 years, Welsh local authorities have consistently been provided with better settlements: a 4.3 per cent uplift in the current year. You can argue that it's not enough, I understand that, but we have always—always—prioritised, within the budgets available to us, the help that we can provide to those local authorities. I don't agree with the point the Member made about local referendums. They are costly, they cost the council tax payer money, and they erode the sense of local democratic accountability, because, in the end, it's not the Welsh Government that decides on council tax rises, it is democratically elected local councillors who have that responsibility.

The formula is revised every single year with a group of independent experts sitting alongside the Welsh Government and local authority representatives. The problem, as I know Peter Fox knows very well from his time leading a local authority, is that while almost every local authority in Wales will agree that the formula needs revision, nobody can agree on how that should be done. The 22 local authorities each believe that the formula uniquely disadvantages them, and without a greater consensus in the local authority family itself, it's very hard to see how a reform of the formula could be brought about that would achieve the necessary consensus behind it.

As to business rates in Wales, 85,000 properties in Wales benefit from full or partial relief. Less than a third of business properties in Wales pay full business rates. I think there's further reform that's needed in the system, and not all of that is to do with extra money, it's to do with the way that the money is used.

I don't share for a moment his disappointment that there are students who are now within the Welsh education system who might otherwise not have been there. They are very welcome and they will benefit from everything that that education system will provide for them.

In general, Llywydd, I thank the Member for the constructive spirit in which his remarks were framed, and look forward to continue to work with him and others as we take the reform agenda forward.

May I thank the Cabinet Secretary for today's statement? Clearly, you referred to the work that was done through the co-operation agreement. I wouldn't disagree with your final comments with regard to the need for more radical and progressive change. Certainly, it is to be welcomed, what we have been able to do here in Wales with the powers that we have in this area. I certainly welcome some of the things that you've outlined that are different here compared to England, for example, because we have the powers to do that, which demonstrates, of course, the potential of devolution, and also of course, I would argue, independence, in terms of being able to deliver those more progressive changes that are more appropriate for our communities here in Wales. I welcome the consultations, and I'm sure that it'll be no surprise to you that there are a number of the proposed changes that we agree with entirely. But I do have a few questions or comments that I'd like to hear your response to in terms of some specific points.

First of all, in terms of the Government's consideration of how effective the measures have been when it comes to encouraging fewer properties to be left empty in Wales, specifically with the changes to the council tax and the 50 per cent, is there an intention to take this further and introduce, for example, a vacant land tax to take that principle further?

In terms of the proposed change to stop considering a hospital as an individual's long-term or permanent home, I'd like to ask the Government to reconsider. Ideally, of course, an individual would only have to be admitted to hospital for a short period of time, but we do know that there are exceptions, and sometimes not because an individual who has had to remain in hospital for much longer than expected doesn't want to go home, but because it hasn't been possible to undertake adaptations, for example, there are no appropriate housing options for them, no package of support available, no place for them in a care home and so on. We know of examples where people have had to remain for a very long time in hospital, and it's not the patient's fault. It doesn't appear fair to me that they should be penalised as a result.

Also, with regard to the exemption for extensive remedial or structural work, it's proposed that the exemption should be changed for a period of up to a year, and on a one-time-only basis, until there is a new owner. May I ask what consideration has been given to property in areas that often suffer flooding? For example, residents I represent have had to move out from their homes for the second time in five years whilst remedial works are undertaken following a flood. The first time, it took an exceptionally long period of time, following floods in 2020, for one because of the amount of property that was damaged in the Rhondda Cynon Taf area, but also it coincided with COVID and difficulties, with some residents being out of their homes for over a year. So, has any consideration been given in terms of those people who have had to undertake remedial works because of natural disasters, to ensure that they aren't penalised?

Also, in terms of exemption C, with unfurnished vacant property, has any consideration been given to providing more flexibility in this context, so that vacant properties that are furnished are eligible too? Because a number of people, as we know, sell homes that are furnished, and there are a number of examples of people have had to empty homes, even when they're being bought by another member of the family, just to avoid this. It can be a very long-winded process, buying a house, and we know, with probate and so on, it can take a very long period of time for that to happen.

And then, turning to non-domestic rates, I would like to note that we have been emphasising the need for a lower multiplier for small and medium-sized enterprises for a long time, and that we therefore support this entirely. It's vital, and I very much hope that it can be delivered very soon.

And one final question from me. We know that local government is under pressure and that the national insurance funding gap, for example, is adding further strain and stress. So, what support will be available to local authorities to implement any changes? And also, what consideration has been given to communicating these changes to residents and businesses so that they are aware of what the effect on them will be, and, of course, so that they can benefit from the changes? Thank you.

Thank you very much, too, Heledd Fychan, for those questions, and I thank her for what she said at the outset in terms of welcoming much of what we have done, and much of what we have done together through the co-operation agreement. 

The questions that Heledd Fychan asked me on discounts, disregards, exemptions and premiums are all caught up in the current consultation exercise. So, the consultation was launched on 23 May, so it hasn't very long been open. It will continue over the normal 12-week period. I hope we will be able to look at all the points of detail that she raised there—the treatment of people who are in hospital, sometimes for extended periods, sometimes not for any reason over which they themselves have control; the issue of flooded properties; the issue of properties that are empty and are required not to have furniture in them in order to meet the definition that's used in the current legislation. I'm very happy that the consultation will be able to look at all those. I'm grateful to her for raising those points so we can make sure that they are considered within the consultation exercise.

I think there's evidence that the ability of local authorities to have a higher rate of council tax on empty properties is having an impact. More local authorities are using it, more local authorities are raising the rate of council tax that they are able to levy on empty properties. But it is, in the end, only one strand in a much wider set of measures we are taking in order to try to make sure that properties don't stand empty when they could be brought into beneficial use and put to work for local people.

In relation to the reforms on non-domestic rates, many of the reforms we are proposing and are consulting on will, I believe, be measures that will increase the amount of revenue that local authorities are able to raise. There have, in the past, been some pretty egregious loopholes in the reliefs available for non-domestic rates—properties that are claimed not to be empty, when in reality they are; properties that are claimed to be being used for charitable purposes, when in fact they are not; information that is held back by business owners because they know that if it were to be relayed to the local authority there will be liabilities that will be entered into.

So, alongside the actions that are being taken to make non-domestic rates fairer as well—more frequent revaluations, to simplify the appeals process and so on—there are really important measures that we are consulting on here to make sure that good businesses that do the right things, that make sure they do pay their liabilities, they are not undercut by others who seek to evade their responsibilities and therefore have an unfair competitive advantage over the good businesses who do the right things. Many of the measures here will help to create a more level playing field, and that more level playing field will cause more revenue to become available to local authorities.

I'm sure everyone in the Senedd supports fairer taxes, although perhaps we all have different views on what fairer taxes are. I'm glad the Cabinet Secretary acknowledged the importance of taxes for provision of services, which I also outlined recently in an article in Nation.Cymru. The value of a house is the best indicator of wealth. I continue to ask that council tax be directly proportional to house prices. Does the Cabinet Secretary agree with me that council tax should be directly related to property value?

On non-domestic rates, it is the large retailers that act as anchor tenants in shopping centres. Without the anchor tenants—and we've lost several, including Debenhams and BHS in recent years—town and city centres would be even quieter than they are now. I welcome the action being taken to tackle avoidance of NDR.

Two questions. As city and town centre sites have a higher land value, why would a land value tax not have retailers leaving city and town centres to out-of-town sites? If the differential NDR charges have an adverse effect on large retailers, why does the Cabinet Secretary not share my concern about losing the last of the large retailers from Wales?

I thank Mike Hedges for those points, Llywydd, and of course I do agree with him completely that we have to rehabilitate the idea of paying tax. Tax is the means by which, collectively, we all get the benefits that we rely on all the time. House prices are a proxy for wealth. They're the best one we have in a practical sense, but they are by no means perfect. Members here will be very familiar with what was sometimes called the Devon widow issue—someone who is property rich but cash poor and is penalised, some people believe, when property taxes are relied on overexclusively.

Land value taxation—I'm grateful to Mike Hedges for mentioning land value taxation, because, of course, the advocates of land value taxation would say that they would go a great deal of the way towards reviving city and town centres because of the way in which they promote the beneficial use of the land at its most effective value. It encourages people to use the land they've got and to use it in a way that maximises its economic benefit, because that's the way in which you would be able to pay the tax that would be levied. As I said in my statement, we've done a lot of work in this Senedd term on a potential for land value taxation in Wales. In this last year, we will do some of the most practical investigation of how you can attach a value to land, one of the big stumbling blocks in implementing land value taxation, and I think we are in a position where there are new techniques, new data sources, new ways of being able to use that information to try and make some inroads into that policy challenge, and I'm cheered up by the fact that, having put out a tender, with some voices telling us there wouldn't be any interest in doing the work, we've actually had successful tenders in for every aspect of the work that we've commissioned.

Thank you, Cabinet Secretary, for a very important statement, which is a step forward in helping the most financially vulnerable people in our society. Thank you for taking away the threat of imprisonment. I know that doesn't happen very often, but the threat itself is very difficult for people to deal with. It creates huge stress for people, this threat of imprisonment. Thank you also for capping the court costs. It's a huge concern at the moment, the huge costs that people face in the courts. Capping the costs, therefore, is hugely important. And thank you for making the appeals system easier too.

According to the StepChange charity, a charity that helps people to live free of debt, they say that only 5 per cent of those who get into debt in terms of council tax feel that the local authorities take their personal situation into consideration before taking further steps against them. Legal steps, or sending a bailiff to the door, should be the last step; it should be an exception. The damage to people's mental well-being and to families' well-being is very clear, and the balance of power clearly lies with local authorities and their legal teams in this context. Implementing a payment system, as well as the ability to extend that scheme beyond the financial year, would enable people to continue to contribute to their local areas, but would also mean that they wouldn't have to choose between those vital bills, such as food, childcare and energy bills. So, can the Cabinet Secretary confirm that residents who do have difficulty paying—and we all hear from individuals in that situation—will receive the support that they need? Thank you very much.

Well, thank you very much to Rhys ab Owen for what he said about the work that we have already done. There weren't many people who were imprisoned for non-payment of council tax, but, as Rhys ab Owen said, it was that threat that placed a huge amount of pressure on people and, generally speaking, it was women who were penalised within that system.

The changes we're proposing to council tax debt in the consultation, Llywydd, I think are potentially very important. At the moment, if you miss a single payment—if you pay monthly and miss a single monthly payment—then the rules allow, within seven days, for a local authority to send you a bill for the full amount. That is what the law allows. And you can imagine, if you're struggling to pay a monthly payment, the idea that you'll be able to pay the whole of the rest of the year within seven days of that initial failure—. What happens is you get a malign cycle in which the council pursues someone who can't pay, costs get added to their bill, the council tax payer who is paying has to fund all of that system, and no money is received. Under the changes we are proposing, there will be a minimum of 63 days from the time a bill isn't paid to when action can be taken, and that is to allow local authorities to do what the people in the survey that Rhys referred to said wasn't happening—to engage directly with those individuals, to find a better way in which a path to payment can be created. I think that that will be a better system for people who find themselves in difficulty, but I also think it will result in more money being collected by local authorities than a reliance on simple enforcement powers ever manages to provide.

I thank the Cabinet Secretary.

Item 6 will be issued as a written statement.

Therefore, that brings us to item 7, a statement by the Cabinet Secretary for Social Justice on diversity and inclusion guidance for political parties. Jane Hutt.

Thank you very much. On 31 March, I was pleased to publish our diversity and inclusion guidance for political parties. The aim is to ensure that our democratic bodies are truly representative of all the people of Wales.

This followed a period of consultation and extensive stakeholder engagement to help inform the guidance, and I'm grateful to all who contributed to its development. The guidance discharges the Welsh Ministers' duty in section 30 of the Elections and Elected Bodies (Wales) Act 2024. It also responds to the recommendations of the special purpose committee on Senedd reform regarding the publication of diversity and inclusion strategies and anonymised candidate diversity data. The guidance encourages political parties to publish diversity and inclusion strategies to collect and publish diversity information on Senedd candidates and consider what action they can take towards achieving a gender-balanced Senedd through the use of voluntary quotas. It forms part of a wider package of reforms to make the Senedd fit for the twenty-first century, and to ensure democracy in Wales is more representative and diverse. We're leading the way in the UK with this voluntary guidance, and I'm encouraged by the real desire from all political parties in this Senedd to see not only more women in politics, but also greater diversity and inclusion across other characteristics. With the election less than a year away, parties should be putting this guidance into practice to ensure their selection processes for our Senedd truly reflect a modern and diverse Wales. The guidance provides parties with the tools to consider what actions they can take to contribute towards our shared ambition of a more representative and effective legislature.

The Future Senedd Committee recently published its report on parliamentary business in the seventh Senedd. Part of its remit was to consider solutions to barriers that may impede the Senedd's ability to represent people of all backgrounds, life experiences, preferences and beliefs. The report shines a light on a range of barriers to participation in elected office, including some that are within the gift of political parties to address. The committee found that candidate selection processes used by political parties can pose a barrier, and it is for political parties to tackle these. The guidance can help political parties as they look to reflect not only on what they can do in relation to their candidate assessment and selection processes, but also more broadly in terms of strategic planning, organisational culture, and candidate support. It also signposts political parties to helpful information about relevant legal obligations, including the Equality Act 2010 and data protection legislation.

Llywydd, we're all too aware of the rise in abuse, harassment and intimidation towards politicians, candidates and campaigners, including on social media. This is a significant barrier to participation in politics, particularly for people from under-represented groups. I'd like to acknowledge the important role of the Senedd cross-party women's caucus in considering these issues, and I welcome the attendance of the Jo Cox Foundation at the caucus meeting last week to discuss how we tackle abuse and intimidation in politics. Following a recommendation from the Jo Cox Foundation report, the Welsh Government is taking steps to exempt safety-related costs from spending limits for Welsh elections. Everyone should feel safe to stand for election, to campaign, to vote, and to work in delivering elections.

The guidance provides political parties in Wales with a head start in advance of the UK Government's proposed commencement of section 106 of the Equality Act, which imposes a duty on registered political parties to publish information about diversity of candidates. Building on our pilot access to elected office fund, the Act requires the Welsh Ministers to provide for a scheme of financial assistance to help disabled candidates overcome barriers to their participation in Welsh elections. The scheme will be open for applications from September this year, so it will be there to support disabled candidates wanting to stand for election. The Act also paves the way for additional support for people who share certain characteristics, socioeconomic or other specific circumstances, to stand. And following feedback from the evaluation of the pilot access to elected office fund, we've worked with Disability Wales to fund the establishment of the Access to Politics grass-roots network for disabled people interested in politics and standing for elected office, bringing together individuals to learn about the experiences of elected members and the type of support that's available. This complements the actions we're taking through the disabled people's rights plan for Wales, which will help us to advance the rights of and opportunities for disabled people in Wales.

We've commissioned research into the impact of socioeconomic influences on democratic participation in Wales. As part of the research, engagement is taking place with people from a wide variety of backgrounds, including elected members and candidates who are not successful in seeking election. And the outcome of the research will be shared with Members later this year. A significant amount of work is being taken forward by a range of third sector partners in Wales to help increase diversity in our democratic bodies. For example, the Equal Power Equal Voice programme supports women, disabled people, ethnic minorities and LGBTQ+ candidates, and has resulted in many success stories, including former mentees gaining leadership roles in public life. Elect Her have published their 'Be an MS' guide, which follows a number of events they've held over recent months to encourage women to stand for elected office in Wales. And I was also pleased to see the publication of the Diverse5050 coalition's diverse and equal representation toolkit on 1 May. This toolkit provides practical ideas and real-life examples to help parties ensure their candidates for elected office reflect the communities of Wales.

Finally, I'd say, Llywydd, that political parties have all the guidance and tools they need now to take action and play their part in ensuring that the seventh Senedd reflects the Wales we live in today. I look forward to seeing parties publish their strategies at least six months in advance of the Senedd election, followed by the publication of anonymised diversity information on Senedd candidates and elected Members within six weeks of the Senedd election. It will be important to reflect on the impact of this guidance and other action taken under the Elections and Elected Bodies (Wales) Act and by our key partners following the next Senedd election. It will be a significant point of reflection when the seventh Senedd will look at itself and ask to what extent it reflects the people of Wales. It will be for parties to demonstrate how they measure up to the test. And, Llywydd, we must also ensure that the seventh Senedd, in terms of its culture and ways of working, is as accessible and inclusive as possible, so together we can build a Senedd that better represents people from all walks of life, serves all our communities, and where everyone has a voice in our democracy. Diolch yn fawr.

Can I thank the Cabinet Secretary for her statement this afternoon? I believe that all parties are committed to breaking down barriers for candidates standing for election. Our democratic institutions are strengthened when they are diverse and when people from all walks of life contribute to them. That's why my party supported the drafting of voluntary guidance to support political parties as they head to the next Senedd elections.

Now, I understand that the consultation on the guidance only received 49 responses, which includes third sector organisations, political parties, academics, statutory bodies and local government. It is disappointing that more people did not feed into the consultation, as it's only by hearing about the challenges that people face, in terms of standing for election, can the Welsh Government offer meaningful guidance to parties on how to overcome those challenges. Therefore, perhaps the Cabinet Secretary can tell us a bit more about how the Welsh Government promoted the consultation in order to capture as many people as possible, and what outreach work was done to encourage people to feed in their views to the consultation.

Now, the Cabinet Secretary is right to say that guidance alone is not enough to ensure we achieve diversity in politics. The statement refers to the Elections and Elected Bodies (Wales) Act 2024, which requires the Welsh Government to provide a scheme of financial assistance to help disabled candidates overcome barriers to their participation in Welsh elections. It's great to hear that that scheme will open for applications from September. The Cabinet Secretary says that the Act paves the way for additional support for people who share certain characteristics, socioeconomic or other specific circumstances to stand, and so I'd be grateful if she could tell us more about how she plans to take this specific work forward.

Today's statement also refers to candidate support, and I agree that mentoring and shadowing opportunities for prospective candidates are a great way of supporting candidates and giving them some real-life experience of front-line politics. The Cabinet Secretary has referred to Equal Power Equal Voice, a scheme that some of my colleagues have taken part in, and we know that that scheme has proven benefits for candidates. For example, former Wrexham MP Sarah Atherton was a mentee on that scheme prior to her election. Initiatives like Equal Power Equal Voice, which the statement refers to, need to be supported in the future, as they help improve access to public and, indeed, political structures. Therefore, perhaps the Cabinet Secretary can confirm that the Welsh Government will continue to fund these schemes in the future so that the organisations that deliver them can be confident that the funding is there to continue with them in the medium and, indeed, in the longer term.

Now, today's statement refers to the action that political parties can take to protect candidates who experience abuse or intimidation, particularly on social media. We all have a role to play in supporting candidates to report abuse and intimidation to appropriate authorities, and all parties should be signposting candidates to appropriate sources of help and support. However, perhaps there is more that can be done around campaign safety, and so I'd be grateful if the Cabinet Secretary could tell us a little bit more about any work that is being done to help candidates campaign safely, particularly online, and to help encourage them to report abuse or intimidation.

The Cabinet Secretary has referred to the issue of socioeconomic disadvantage and that this guidance doesn't help address those financial barriers that stop people from standing for election in the first place. Some respondents to the consultation noted that the focus of the guidance should instead be on removing barriers to participation, such as financial constraints, access to resources or a lack of political education. Now, today's statement confirms that research into the impact of socioeconomic influences on democratic participation in Wales is now being undertaken, which is an important step forward, but perhaps the Cabinet Secretary can tell us a bit more about what work is being done to break down socioeconomic barriers. For example, what discussions, if any, have been had with the Cabinet Secretary for Education about political education and the opportunities there are in the curriculum to embed a culture where young people leaving education believe that they can actually be involved in politics at a local and, indeed, at a national level?

So, Llywydd, we all want better representation from our communities, and we need to do what we can to ensure that everyone has the opportunity to stand for election in the future. Therefore, can I thank the Cabinet Secretary for her statement today? Diolch.

Diolch, Paul Davies, and thank you for your positive response to my statement this afternoon. I think it was very important that this statement and, indeed, the work that's emanated from the consultation leading to the guidance is very much part of Senedd reform, and the whole pathway and journey of Senedd reform that has led us to this point. I think it is important to recognise that there was extensive consultation taking place at every stage of Senedd reform, including the work done by the special purpose committee, and that the work that we did to lead up to the public consultation involved a great deal of engagement with individuals and organisations and with my officials, and I thank Julie Morgan, who also took part in that. We made sure that we reached out to all of those equality organisations representing all of the protected characteristics and the other characteristics, like socioeconomic circumstances, as we wanted to ensure that we got that feedback.

And I think it is important to recognise that it has led to very robust guidance, and you refer to the financial assistance and the access that's going to be available as a result of learning from the access to elected office fund, because the evaluation of that pilot, as I said, was very clear that we needed more time for candidates prior to the election, that the time was too short and the impact was too limited, therefore we have now been able to say that we will introduce that and be able to bring that fund into action in September.

I think what's important is that it's providing funding to support individuals when they are official candidates for election. That's what the fund will focus on, and of course I have also mentioned the network that is now being funded as well. Some of this funding and support has come from the Cabinet Secretary for Housing and Local Government, because it's about democratic engagement, and I think that's really helpful to recognise that.

Thank you for recognising the importance of mentoring, and also of Equal Power Equal Voice, because this is something that, led by Women's Equality Network, has brought together organisations. Initially they got National Lottery funding and we supported that, we matched that funding, and of course, we agreed the extension of the funding. You've already acknowledged, and I think across this Chamber, the mentoring of people who have benefited from Equal Power Equal Voice is extensive, and we look forward to seeing that being taken forward in the future.

I think it is important to look back to your point about consultation and that we did make changes in light of the consultation responses that we received. There were clearly areas that required more clarity on certain aspects, there were additional ideas on action political parties could take, signposting to additional support for political parties. And also, alongside this, I do have to say that I very much welcome the work of the Future Senedd Committee, and of course we're looking forward to taking that forward as well.

Your points about safety and campaigning safety, and particularly online safety, are crucial. We're currently working with Ofcom in their regulatory role to build better links with social media companies, and see how new responsibilities around media literacy and online harms will be implemented. I mean, telecommunications aren't devolved, as we know; we don't have the regulatory powers to hold companies accountable, but we must have some influence on the social media companies, because we now have the Online Safety Act 2023, and the enforcement powers of Ofcom were commenced on 17 March, but the enforcement powers are very new. But we are working with Ofcom, as I said, to get clarity about how we work. They will work with platforms to ensure Welsh users and communities will be kept safe. And I think it's up to us and all political parties that we actually share the impact of misuse and abuse of online media, and that's something where I'd say online safety and online abuse will put people off standing. We already know, particularly women, we've got a collective responsibility for tackling divisive rhetoric, calling out this behaviour, and really tackling online hate, misinformation, misogyny, and also using our fact-check block for the record, to put the record straight.

Just finally, on your points about removing barriers, and you mentioned the socioeconomic research that, as I said, we've undertaken, and it's going to be taken forward. I will publish the research. I think what's important about the socioeconomic research that we're undertaking is that it really builds on the fact that, as a Government—and it was never enacted by previous Conservative Governments, and hasn't yet been enacted by this Government—we enacted the socioeconomic duty in the Equality Act, because we do see we want the widest representation of people and diversity in the seventh Senedd.

It is important, and the Cabinet Secretary for Education is here as well, that we look to the curriculum as a way of educating our young people to be ethically informed as citizens. So, you've mentioned political education—I think, really, in the sense of a small 'p'—and citizenship is at the heart of our new curriculum. It's not just the Welsh Youth Parliament, I think we've not got a shortage of young people who will want to come forward, as we've seen such tremendous confidence that has come from those youth parliamentarians who put themselves forward at a much younger age than us, and who are showing the way, I think, in terms of future democratic representation.

We have to welcome this guidance, but we must also note that it is a poor reflection of what could truly have created the change that you say that the Government wants to see in our democracy. Every action to improve democracy by increasing diversity is important, of course, and Wales's democracy deserves no less, but the truth is that perhaps it deserves more.

We live in dangerous political times. Our democracy is under threat, threats that stem from division and from fear that are exacerbated by the hard-right parties, which focus on our differences, deriding and misrepresenting efforts to ensure inclusion. Their strategy is clear: sowing doubt, undermining social cohesion, and creating a Wales that rejects rather than accepts, that shuts out rather than opening and developing. It's a duty on us as representatives and citizens to take a stand against that, and to say that Wales belongs to everyone and that everyone must have a voice in our nation's future.

'I am no longer accepting the things I cannot change. I am changing the things I cannot accept',

said the American civil rights campaigner Angela Davis.

This guidance emanated from this Senedd's aspiration to change the fact that women have been under-represented in public life for generations. Although the Senedd has broken new ground in the past, progress has slowed and, in parts of our democracy in Wales, has gone into reverse. The number of female leaders in local government, for example, has halved to just 9 per cent. So, how is the Welsh Government going to work with local authorities to ensure that women are represented in a range of leadership roles within local government? Specifically, what progress has been made in expanding the fund for access to elected office to candidates with caring responsibilities?

When women are in power, greater attention is paid to healthcare, to education, to poverty. And again, as you mentioned, online abuse and a lack of structural support prevent women from standing in elections. A number of us have received a huge amount of misogynistic abuse online, following posts that try to stoke and deepen division. So, I'm pleased to hear that the Welsh Government is seeking to work with Ofcom to tackle this grave issue.

By the same token, people from diverse ethnic backgrounds have faced unending barriers and prejudice, and disabled people face barriers that aren't inevitable, but have been constructed by a system that hasn't included their voices. So, do you believe that the Welsh Government has done enough to deliver change, the change that is needed, with this non-statutory guidance? Because you can't deny, Cabinet Secretary, that this guidance is far too late. Selection of candidates by all political parties has either been completed or is almost complete. 

Has the Government demanded that political parties report whether or how they would implement this guidance? Because to ensure that this guidance is successful, we cannot allow it to gather dust on a shelf in the offices of party leaders and chief executives. In order for them to understand what the situation is within their parties when it comes to diversity, adequate data must be collected, as you mentioned. So, what conversations has the Welsh Government had with UK Government on commencing section 106 of the Equality Act, which would make it a requirement for parties to collect and publish diversity data? What is the timescale for that?

Plaid Cymru will continue to take deliberate steps to promote our democracy, and in contrast with other parties here, I think, we have started the work by implementing robust measures to ensure gender equality in the selection of candidates for the next Senedd elections, as we are firmly of the belief that Wales cannot afford to wait any longer. As the Reverend Jesse Jackson said,

'Inclusion is not a matter of political correctness. It is the key to growth.'

If we want to see Wales growing—economically, socially, culturally—then our democracy has to grow too. Only by ensuring that everyone has a voice, is seen, is heard and is represented can we achieve that. Are you sure that this guidance is going to deliver that? Thank you.

Diolch yn fawr, Sioned Williams. It is so important, as you say, that all political parties take this guidance seriously. It is good to see representation across the Chamber today. And, for the political parties who are now represented in this Senedd, if we can get that assurance—and we certainly got it from the Welsh Conservatives and obviously Plaid Cymru, and I know the Welsh Labour Government and I’m sure our Liberal Democrat Member as well—we have to show the way. I think this is also the work of the seventh Senedd committee, as we move forward in taking that important work forward. Because I think it is encouraging, yes, it is voluntary, the guidance, it’s voluntary for parties as to whether they take any action proposed by this guidance, but it really has been informed by such significant input from external partners, including political parties themselves. We have a panel of political parties who I’ve met with regularly and have engaged in this through the Senedd reform discussions and debates over the years. It’s not a matter of the Government telling parties what to do; the guidance is about advising parties on what actions they can take, providing those useful signposts to relevant toolkits, to the scheme, Equal Power Equal Voice, to further guidance.

Also, the work that’s been undertaken by the Information Commissioner’s Office and the Equality and Human Rights Commission as well, because it is an ambition that we all share, and if that can come through this afternoon that we want a diverse and representative Senedd, it’s an ambition that we all share. And it has been the cornerstone of the Senedd reform programme since the special purpose committee reported back in 2022. We’ve discussed the merits and benefits of diversity in our elected bodies at the Reform Bill Committee and on the floor of this Senedd many times. And in many respects, this guidance, I think, and the publication of it, marks the culmination of these discussions.

It is important that this guidance isn’t just for our elections, it is for local government as well. Women have to be represented; we need to ensure particularly that women, diverse and other under-represented groups are represented in a range of leadership roles. As far as local government is concerned, this is something that I think will help lead towards more diversity in the elections that will be forthcoming, of course, in 2027.

But you do also draw attention to the great challenges that people and candidates considering putting themselves forward are facing up to in terms of particularly our concerns about safety and intimidation, and the toxic climate that we live in politically. I have mentioned the ways in which we are working with Ofcom. But we remain committed to taking every opportunity to tackle online hate and misinformation. We also recognise that this is something where we seek every opportunity to stand opposed to hate in all its forms and the targeting and harassment of candidates. Because there are real-life consequences, as we know, to harmful and hateful rhetoric. We need to make sure that Ofcom does use their enforcement powers, which commenced earlier on this year. 

I think it's important that we look at the opportunities that we have. The Special Purpose Committee on Senedd Reform recommended, for example, that gender quotas be pursued, but recommended further consideration on a cross-party basis of other diversity quotas, possibly for implementation sometime in the future. But we also have to say that we want to make sure that representation from other marginalised and other underrepresented groups is acknowledged, and parts 1 and 2 of the guidance are focused on supporting political parties to plan for and achieve diversity in the widest sense. 

I think in the outcome of the consultation, the guidance that is now being published, we need to make sure that we can encourage the organisational culture of our political parties through the access that we've got to the number of schemes that I've mentioned—access to politics, grass-roots networks, the diverse and equal representation toolkit. This has all come about because of Senedd reform, it's all come about because we've been able to fund some of those organisations—Elect Her, Diverse5050, Women's Equality Network Wales, Equal Power Equal Voice. We are leading the way in Wales and in the UK, and of course I have shared this guidance with the UK Government and encouraged them to give us a timeline in terms of section 106 of the Equality Act 2010.

Thank you very much, Cabinet Secretary, for this very important statement today. I particularly welcome the practical proposals that are in the statement. I think in the Assembly and now in the Senedd, we've always prided ourselves that we have had, in some senses, better representation than other parliaments in the UK.

I think it's very important to remember that, in 2003, we actually had 50 per cent women and 50 per cent men, which was quite unique in the world at that time, but unfortunately, that has gone down since then. But the reason that we did actually get to that position where it was 50:50 and the fact that we have had good representation from women here has been largely due to Welsh Labour's proactive work to ensure that there were more women here in the Senedd.

I'm sure that many of you will remember the twinning campaign, which ensured that there were equal numbers of women and men standing. It has made a huge difference to this Senedd, because in the Labour group in the Senedd, there have always been more women than men. So, I think those early days—I wasn't here, but I was working as an MP with people in the Senedd to ensure that the representation of women was high—have paid off ever since.

I think now we've reached the position where we are looking at a much wider range of people that we need to come to the Senedd. We certainly need equal numbers of men and women, but we need diverse women and men. We need disabled people. And I'm very pleased to see the guidance that has been published by Elect Her, for example, which the Cabinet Secretary has mentioned, about how to become an MS.

I wonder if you could tell us, Cabinet Secretary, how you've worked with Elect Her and also with the Jo Cox Civility Commission, which has identified a number of practical recommendations to support politicians at a time when, as we've said, abuse and intimidation towards us is increasing. We don't want that to be a barrier to people who are looking to come to this Senedd. 

Diolch yn fawr, Julie Morgan. It is interesting to reflect back, isn't it? I certainly can reflect back, and I think that there are one or two here who can reflect back to 1999. I'm probably here because of that positive action taken by the Welsh Labour Party for twinning. We had two constituencies, and one had to have a man and one had to have a woman. It was a very simple way of doing it.

But that was a voluntary measure that has proven to be very effective in Wales, and it did help to achieve that gender balance in the Senedd in 2003. Some political parties have not only taken voluntary action, but are now looking to the guidance in terms of gender quotas as well.

I think that if you do look at the voluntary action, I think that it's just worth the record reminding us—. It's important to note that, certainly, 57 per cent of the Welsh Labour Members in 1999 were women. It has been 57 per cent, 63 per cent, 62 per cent, 50 per cent—it goes down—and 52 per cent as far as Welsh Labour representation, and you see the representation in terms of other political parties as well.

It is important for the record, but it is also important because it came about as a result of a political party taking that action. I know that political parties are taking that action. So, it has proven effective. Practical tools that the guidance provides will actually help parties as they prepare for 2026. 

I think that Elect Her and those organisations that we have supported—. Elect Her has produced 'How Can I Become an MS?', and I look forward to seeing—. There have been a number of sessions over recent months to encourage women to stand for election in Wales at Elect Her, and we have been funding them. It is offering the opportunity to hear the voices of women who have successfully stood as Members of the Senedd, to learn from their experiences and learn about the support that is available once elected.

I think, Llywydd, you will recall that the Senedd engaged Elect Her to have women and girls take over the Senedd. We had a great event in the Senedd Siambr, full of diverse young women and girls, where all political parties were represented as well.

It is important that we look at this in terms of our experience and our understanding, and that parties do publish their diversity and inclusion strategies well in advance of the Senedd election, and also the anonymous information about the diversity of their candidates after the 2026 Senedd election. That is a key point: are our political parties ready with their strategies to be published? September is the date.

Kashmiri by birth, Welsh through conviction, I am proud that South Wales West voters elected me—not once, but twice—to represent their interests here in the Senedd. I was 10 years as a community councillor and five years as a borough councillor. I am proud to serve my constituents, regionally and in wider Wales. I know that the values of democracy are hard won but easily eroded.

Welsh Government guidance on so-called equal representation really risks crossing a dangerous line, from promoting opportunity to the imposition of outcome. First, we should educate society, then tell political parties to understand what democracy means. It is the rule of law. It is liberty. It is freedom of speech. Duty co-exists with obligation, and that obligation is obedience, and that obedience is democracy, which eliminates deception.

Equality of access cannot come just by bureaucratic diktats or targets that treat individuals not as nuanced, valued voices, but boxes to tick. This removes merit, choice and, frankly, voters' rights in deciding who is best representing them. Let's not replace one form of exclusion with another altogether. The truest diversity only flourishes where and when freedom leads. State-backed mandates delivered top down do not help people proving themselves as the best example of me. Instead, tell them, 'You must work for this to reap rewards.' Diolch.

Diolch yn fawr, Altaf Hussain, and can we thank you for standing at every level of government? It is so important that we have that representation, your representation, here, and bringing your diverse voice, history and heritage to enrich our Senedd. This is the message to the diverse people of Wales who we must reach out to, to encourage them to put themselves forward, and to put themselves forward at every level of Government, which, of course, this guidance will enable us to do.

Can I just say also that it is a responsibility of us all here today—and some of us won't be putting ourselves forward, as you know, to stand next May—that we help ensure that the seventh Senedd is more accessible, inclusive and diverse? That's where the Future Senedd Committee and the report, I think, are really important. It's shining a light on barriers to participation in elected office, candidate selection processes, and that's in the gift of political parties to address. But this guidance can help parties to provide them with those tools, information and the action and timelines for them to take this forward. I think we've got real prospects if we can unite in our aim for that diverse, inclusive Senedd from May 2026.

As the first out gay man in my party to be elected to national office, I am very aware of the challenges that particular communities have in being elected to office. You think things are getting better, but then, in the last few days, there have been a few stories involving me. I made the mistake of reading the below-the-line comments in some of the publications, and you notice that, actually, prejudice, which you thought had been dead and buried, is there, and it's reinvigorated, unfortunately, in the world that we're living in at the moment. That certainly won't deter me, and I hope it won't deter anyone else, but we've got to do something about it collectively, haven't we? Because I agree entirely with the spirit of everything that's been said. For our democracy to be effective, it has to be diverse.

Diversity trumps ability. It's a piece of evidence in social science. It's rather ironic now, but it's true that, actually, a diverse group of people make better decisions than even a more skilled one, because those diverse perspectives are incredibly useful in solving our collective problems, and that's why we need the most diverse range of representation. But can I urge the Cabinet Secretary to look urgently at the problem with social media, particularly in relation to women, people of colour, people who are LGBT? It is getting worse by the day, and it really represents an existential crisis for our democracy and our society. So, can we look at what more we can be doing urgently to protect our democracy and to advance the cause of diversity that we refer to?

Can I ask the Cabinet Secretary particularly in relation to the trans community? I had the great honour of meeting Sarah McBride last week, the first trans person to be elected to Congress. She is an incredible ambassador for a community that is under siege in the United States at the moment. But would you agree, Cabinet Secretary, that it would be a fantastic thing, as part of this new Senedd, that we had our first trans Member elected? And alongside the programmes that you've mentioned, and I know they're inclusive of LGBT people, could you commission particular research on the particular challenges that trans people, both trans women and trans men, face in political representation? And would you consider putting a focused programme together to enable us to achieve that objective of getting the trans community represented? Because with the challenges that that community is facing at the current time, the best way of addressing that is having their voice heard authentically in the room in our Senedd.

Diolch yn fawr, Adam Price, and, again, thank you for your leadership, for standing up, for your representation, for your voice, which has been so powerful for the LGBTQ+ community. And you're not the only one, of course, in this Chamber who's done that to help create this diversity, which is so important. So, you are a role model for the future as well.

As I said in my statement, we're very aware of the rise in abuse, harassment, intimidation, and it's towards politicians, candidates, campaigners. And social media—we discussed this, particularly in the women's caucus, and examples were brought forward of the impact that this is having on our elected representatives. It's a significant barrier to participation in politics, and I think we can look to the Jo Cox Foundation—Julie Morgan asked about this earlier on—and the civility commission, and the recommendations in that civility commission. I've mentioned the fact that we're already implementing the exemption of safety-related costs from spending limits as one example. We also want to follow this through.

We do want the widest diversity, and that's why we hold strong and firm to our ambitions in our LGBTQ+ action plan, recognising the inclusivity that that will bring, and recognition that equal power, equal voices, are supported by Stonewall Cymru as well as Disability Wales, and also EYST, the ethnic minority community organisation. So, yes, let's ensure that we do get that diversity into the seventh Senedd.

Of course, I welcome your statement today, and I welcome, actually, the way that this has been debated here today, because we know that, over the years, we have really trodden a path. I have spoken as a representative of this Parliament abroad, particularly in the Commonwealth Parliamentary Association, and we've heard today that the move to succeed in getting 50 per cent women elected here, of the numbers that were elected, came through the sheer hard work and determination and drive of parties. And it pleases me that we've got a women's caucus now that is moving together in this direction to ensure that we have wider representation within our membership.

So, this guidance will build upon those achievements, and it asks all the political parties to actively support inclusion, but also diversity. But I think the most important thing is the transparency about how those political parties achieve that, because I think that's certainly going to help us move forward. And, of course, it isn't just about gender, it's about disability, it's about ethnicity, socioeconomic circumstance. In short, it's about society being represented here. So, I do hope that all the political parties who put up candidates next year will take on board those new rules and boundaries, and that we will have a transformative Senedd next time.

We know that it came out of the Special Purpose Committee on Senedd Reform, and that there was a six-month deadline, really, prior to the election for parties to write out and say what they were going to do. Do you think that we're going to achieve that?

Diolch yn fawr, Joyce Watson, and thank you for taking the lead and chairing the women's caucus and engaging with the Commonwealth Parliamentary Association and sharing what we are doing in Wales. And I think that the caucus has brought us together. It has brought women together across the Senedd to recognise not just our circumstances—and we've mentioned the Jo Cox Civility Commission—but also our responsibilities to those who we want to bring, women, and the diversity of representation that we want to bring forward into the seventh Senedd. 

I do think that it's important that political parties know that we are expecting them to publish their strategies in the early autumn, and it is time for them to show in Wales, our political parties, that they are selecting in a way that means that we will have a Senedd that truly reflects a modern and diverse Wales. So, we're all accountable here today for ensuring that our political parties do that, because we are leading the way in the UK with this guidance, we are ahead of the UK Government in that they haven't yet commenced section 106 of the Equality Act, which would actually impose that duty to publish information about the diversity of their candidates. Local government was mentioned earlier on, and unfortunately we haven't got that strength of diversity yet, and yet there's work being undertaken by the democratic representation.

We really do need to take the opportunity today, I think, to recommit ourselves to make sure that we are committed to this guidance and that it will actually show the way forward for that truly diverse and inclusive seventh Senedd next May, 2026. And I shall be sad not to be part of that diverse Senedd. It's been a huge privilege to be a representative and actually to campaign all those years back for twinning, which actually led, probably, to some of us being here. 

Finally, Hannah Blythyn.

Thank you for your update, Cabinet Secretary.

I welcome the work you've done, not just on this, but to get us to this point in this Senedd and first Assembly. I do have some very real worries, though, that the next election could see us going backwards in terms of equality of representation, not least because of some of the challenges we've heard from others, whether that's social media, misogyny or homophobia that we're seeing rife across society rearing its ugly head again. I very much made an active decision when I had the opportunity to stand in this legislature because of the make-up, that there were more women here, that it was more representative, because it doesn't just change the face of our politics, it's not artificial, it changes the focus and it makes what we do and the policies that we produce so much better because we are experts by our own life experiences. And as we've heard, that diversity of experience really does make for better politics and better political institutions.

It goes beyond that. I was talking to somebody today who came in to shadow me and who is very much interested in—I read the statement—what we're doing here, but we're talking about how do we go beyond that first step, like you've talked about, supporting people to stand, but making sure, as you say, that this place is as inclusive, as accessible as possible once people are here. The work that we're doing in the Standards of Conduct Committee is really important at the moment in terms of futureproofing for the seventh Senedd, whether that's for women, people with protected characteristics, perhaps people who are neurodiverse or face mental health challenges. How do we make them know that this place is not just about the processes but about the culture, that it is an inclusive place and we will live up to those aspirations in the future?

Diolch yn fawr, Hannah Blythyn. We were so proud when you were elected and you stood up and you spoke as a gay woman. And not only have you spoken so often about your experiences—and that's been personal and very powerful—but you've also been a great role model for the school you went to, the community that you represent. And this is about reflecting Wales in running Wales, reflecting Wales in representing Wales. And I do believe that this is something where we all have to take decisions when we put ourselves forward about how we can not just represent our communities, but also represent those who are under-represented and need to have their voices heard. Diolch yn fawr, Hannah.

I thank the Cabinet Secretary for that statement. 

The final item this afternoon is item 8, the Renting Homes (Wales) Act 2016 (Consequential Amendments) Regulations 2025. I call on the Cabinet Secretary to move the motion—Jayne Bryant. 

Diolch, Llywydd. The Renting Homes (Wales) Act 2016 (Consequential Amendments) Regulations 2025 make necessary consequential amendments to the Landlord and Tenant Act 1987. These amendments ensure that the 1987 Act aligns with the Renting Homes (Wales) Act 2016. Unfortunately, the Renting Homes (Wales) Act 2016 (Consequential Amendments) Regulations 2022, which made earlier consequential amendments across the statute book, did not achieve the intended effect of the 1987 Act.

The regulations for which I seek your approval today return the eligibility position for right of first refusal, which can apply when a landlord intends to sell a property, broadly to that which existed prior to the implementation of the renting homes Act. As it currently stands, most landlords of an occupation contract must provide a right of first refusal to a qualifying contract holder when selling a qualifying dwelling. The effect of these regulations is that the contract holders under occupation contracts will not have the right of first refusal. This broadly aligns the position of contract holders with that of the assured tenants in Wales prior to the implementation of the renting homes Act. I am grateful to the Legislation, Justice and Constitution Committee for reporting on these regulations, and I ask Members to approve the regulations.

The Chair of the Legislation, Justice and Constitution Committee, Mike Hedges.

Diolch, Llywydd. The Legislation, Justice and Constitution Committee considered these draft regulations last week. The committee report contains just two merit reporting points, both of which raise matters the committee considers are likely to be of interest to the Senedd.

I will highlight the first of these reporting points this afternoon. These regulations are made using powers from the Renting Homes (Wales) Act 2016, which enable Welsh Ministers to make consequential provisions for the purpose of giving full effect to the 2016 Act. The title of these regulations set out today include consequential amendments, however the regulations actually correct an earlier 2022 consequential amendment. Therefore, the provision in these regulations is in consequence of the 2022 regulations, rather than in consequence of the 2016 Act. As such, the Legislation, Justice and Constitution Committee considers the regulations would be more accurately titled 'amendment' regulations. Diolch.

The Minister to respond. 

Diolch and diolch, Gadeirydd. As I said in my open remarks, it's unfortunate that the earlier consequential amendments did not achieve the intended effect of the 1987 Act at the time that the renting homes Act was implemented. However, passing these regulations will address this. So, I commend the Renting Homes (Wales) Act 2016 (Consequential Amendments) Regulations 2025 to the Senedd, and ask that Members support them.

The proposal is to agree the motion. Does any Member object? No. The motion is therefore agreed. 

We will not need to move to voting time, therefore. 

There we are. That brings today's proceedings to a close.