1. What assessment he has made of the level of business investment by banks in Wales. (902453)

Recent Bank of England data show that the availability of credit to businesses, including small and medium-sized enterprises, has increased significantly across the United Kingdom.

Businesses in Wrexham tell me that the biggest barrier to growth is the lack of availability of finance. Today Barclays has talked of more redundancies and more bankers’ bonuses. Will the Secretary of State support me by establishing a regional bank for Wales which will be attuned to the local economy, and which will provide the finance for business that will enable the local economy to grow?

The proposal for a development bank for Wales was floated recently by Professor Dylan Jones-Evans, and I believe that he is now conducting another exercise for Edwina Hart, the business development Minister in Wales. We are certainly prepared to consider the proposal, and, in fact, I have already discussed it with my right hon. Friend the Secretary of State for Business, Innovation and Skills.

Does my right hon. Friend welcome the fact that it was this Government who passed the Financial Services (Banking Reform) Act 2013, which enabled local banks to come into existence and has resulted in the creation of more than 20 new challenger banks, and which the Labour party voted against?

I entirely agree with my hon. Friend. Furthermore, the Government are working closely with the British Bankers Association to set up a business finance taskforce, which gives bank customers a right of appeal when they feel that they have been treated unfairly.

Why, instead of coming out with the usual Government flannel, does the Secretary of State not admit that, according to the House of Commons Library, net bank lending—that is, new loans minus repayments—to small and medium-sized enterprises in Wales has been negative over the last two years? Since the third quarter of 2011, small businesses in Wales have paid back to the banks £148 million more than they have been able to borrow, and medium-sized businesses have paid back £186 million more than they have been lent. The truth is that the banking system in Wales is broken, and the Secretary of State is doing nothing about it.

On the contrary, as my hon. Friend the Member for Hexham (Guy Opperman) has just pointed out, the Financial Services (Banking Reform) Act has put a great deal more power into the hands of customers. It has also done a great deal to repair the damage that was done under the last Labour Administration.

Many of my constituents continue to be affected by the interest rate swap scandal, when banks were deliberately targeting businesses, and wrecking lives and real economic activity. My constituents Mr and Mrs Bartels, for instance, were deliberately bankrupted by Barclays. What can the Secretary of State do to support the excellent work of the hon. Member for Aberconwy (Guto Bebb) and the all-party parliamentary group on interest rate swap mis-selling to secure justice for Welsh businesses that have been ripped off by exploitative banks?

I entirely agree with the hon. Gentleman: my hon. Friend the Member for Aberconwy (Guto Bebb) has indeed done a great deal. If the hon. Gentleman wishes to write to me about the individual case that he mentioned, I will investigate it further.

Given that banks are still not doing enough to help entrepreneurs in Wales, does the Secretary of State support his right hon. Friend the Chancellor in his legal pursuit of the European Union to prevent it from capping bankers’ bonuses?

The position on bankers’ bonuses is entirely clear. In respect of the banks in which the Government have a shareholding, my right hon. Friend the Prime Minister has already said that there will be no cash bonuses of more than £2,000 at RBS and Lloyds Banking Group, and that the Government will veto any proposals to increase overall pay—that is, pay and bonus bills—at RBS.

2. What recent assessment he has made of employment trends in Wales. (902454)

Our long-term economic plan is working, and it is working for Wales. The economy is growing, and there have never been more people in work in Wales as unemployment continues to fall. I want to see all parts of Wales share in that positive trend.

Can the Minister confirm that, because of the difficult decisions the Government have made, Wales has seen a larger fall in the rate of economic inactivity than any other UK nation?

My hon. Friend is, as ever, exactly right. Wales has seen a larger fall in economic inactivity than any other part of the United Kingdom. We all welcome the fact that 57,000 fewer people are economically inactive in Wales, but that has come about only because of the responsible decisions made by the Government—decisions that were opposed by the Labour party.

I do not quite recognise that rosy picture of unemployment rates. Since 2011, long-term and youth unemployment in Wales has quadrupled. That is not something to celebrate. What are the Government doing to ensure that young people are able to find good jobs in Wales? Are the Government going to consider applying for part of the €6 billion European youth jobs guarantee fund, and if not, why not?

Nobody is painting a rosy picture. There is still a long way to go and, in Wales in particular, there are still serious challenges to address. But neither are we in denial about the positive picture that is starting to emerge. That is something that we want all parts of Wales and people from all walks of life, including young people, to benefit from. That is one of the reasons that we are making it easier for businesses to hire young workers through the national insurance holiday for businesses.

We have already heard about the importance of the small and medium-sized enterprise sector to Wales. One thing that would assist it is a further cut in business rates. Are the Government going to consider that, given that roughly 90% of employment in Wales is in the SME sector?

The right hon. Gentleman is right to say that small and medium-sized businesses are the engines of job creation in Wales. They are the ones that are driving the fall in unemployment. Decisions on business rates have largely been devolved to the Welsh Government, and we are taking forward proposals to devolve them entirely, so that is really a discussion that he ought to be having with colleagues in Cardiff.

10. Does my hon. Friend agree with my Welsh relatives that the reduction in the number of people unemployed in the last quarter by 12,000 is entirely due to the fact that the Government’s long-term economic plan is working? (902463)

My hon. Friend and his relatives in Wales are right. That is exactly what is happening. There is a long way to go, however. The recovery is patchy, but a positive picture is emerging for Wales. Nobody should be in denial about the growth that we are seeing across Wales.

Recent improvements in employment rates in Wales are obviously profoundly welcome, but chronic unemployment continues to dog us. Last week, I met a miner in my constituency who had not worked for 30 years, since the pit closure programme. He, like many others in Wales, wants to know the full truth about the political motivations that lay behind that programme, which poured thousands of Welsh people on to the dole. Does the Minister agree that the papers should now be published in full so that we can know the truth?

I am not going to be drawn on that specific issue, but there is a serious problem with long-term unemployment in Wales, with 200,000 people there who have never worked a day in their lives and 92,000 children living in homes where nobody works. That is exactly why the hon. Gentleman should be supporting what we are doing through the Work programme and our welfare reforms, which are going to benefit exactly those people.

So a Minister for Wales refuses to engage on the issue of the miners’ strike that poured thousands of people on to the dole in Wales. Is he seriously telling those Welsh miners that they do not have the right to know the truth? Will he take the opportunity, when he comes back to the Dispatch Box, to apologise for the actions of his predecessors and for the political motivations that lay behind that strike?

We understand why the shadow Secretary of State is bringing this politically motivated issue to the Dispatch Box today: it is because he has run out of things to say about the economy in Wales, about unemployment and about growth. Over the past three years, he has been proved wrong on all those issues.

May I invite my hon. Friend the Minister to congratulate the management of Dunbia on the announcement that 200 new jobs are to be created at Felinfach in the Aeron valley, contributing to the food processing sector that is so important to rural Wales? Those new jobs are good news for Wales.

I join my hon. Friend in welcoming the investment from that meat processing company in his constituency. The agri-food sector is incredibly important to west Wales, and not least to Ceredigion. My hon. Friend represents one of the most important farming and agricultural constituencies in the UK, and the investment by that company is a sign of the growing confidence in the UK economy and the Welsh economy.

3. How many fitness to practise cases regulated by the Nursing and Midwifery Council in Wales are waiting to be resolved. (902455)

While the Government do not hold the information requested, the Nursing and Midwifery Council advises that there are currently 190 fitness to practise cases in Wales that are waiting to be resolved.

The Health Select Committee drew attention last year to the fact that there were 400 unresolved cases going back over a two-year period. Will the Secretary of State tell us how many of those cases are in Wales and how long they have been waiting for resolution? Is it not unfair on patients in Wales that that matter is still hanging over those hospitals?

I commend the right hon. Lady for her role in chairing the committee that came up with such an important report on the processing of complaints in the health service.

Although the issue of complaints about nurses and midwives must be one for the Nursing and Midwifery Council, we are clearly anxious to ensure that complaints should be properly investigated. That is why we were extremely pleased that the Welsh Minister for Health and Social Services has now instituted his own inquiry into this issue.

Does the Minister agree that people who have complaints about the NHS in Wales under the Labour Welsh Assembly Government are unable simply to cross the border and access the far better treatments, wider range of drugs and shorter waiting lists on offer to those fortunate enough to be served by the Conservative coalition Government in England?

Clearly, the issue of access to cross-border services is a matter of concern both to patients and practitioners in Wales. The Wales Office is closely engaged on this matter with the Department of Health and with the Welsh Assembly Government.

4. What discussions he has had with the Secretary of State for Justice on the Ministry of Justice’s shared services centre in Newport. (902456)

The Wales Office is in close contact with the Ministry of Justice, which is still at an early stage in evaluating options for the shared services centre in Newport. The Government are committed to ensuring that services are delivered efficiently, while providing value for money for taxpayers.

In December, hundreds of workers at the MOJ’s shared services centre in Newport learned that their jobs could be privatised, and obviously the work force has great concern that jobs could be outsourced or offshored, as we have seen with the Government’s model. Given the bad news that Newport received last week with the potential loss of jobs at Avana Bakeries, will the Minister speak up for public sector workers in Newport and tell the MOJ to abandon its plans?

I thank the hon. Lady for her question. On the point about Avana Bakeries, she should be aware that I spoke to that company on Friday afternoon; the scenario is obviously very difficult for the city of Newport.

On the shared services centre, the evaluation of options is, as I said in my initial answer, at an early stage, but the Government will work with staff, trade unions and other stakeholders to assess any impact on staff. We are very mindful of the jobs impact on the hon. Lady’s constituency.

5. If he will discuss with the First Minister the standards of education in Wales and of Welsh jobseekers in England; and if he will make a statement. (902457)

I am concerned that Wales risks being left behind in the employment market. All young people deserve an education system that provides them with the qualifications, skills and training needed to compete successfully in the global jobs market.

You will know, Mr Speaker, that I served on the Committee that dealt with the Welsh Language Act 1993, that my mother is a Welsh language speaker and that I very much support bilingualism in Wales. However, does my right hon. Friend share my surprise that when I was debating the low standard of education in Wales with the Labour First Minister, he admitted that his Government took their “eye off the ball”? A whole generation of Welsh children was betrayed by the Labour Welsh Government.

The First Minister clearly did take his eye off the ball. The recent programme for international student assessment—PISA—ratings show the extent to which the Welsh educational system is failing. That is because the Welsh Government are pursuing a course that does not mirror the improvements we are making in England, and I very much hope that the new Welsh Minister for Education and Skills will learn from the reforms we are implementing.

12. My two children were educated in Wrexham in their early years. Does the Secretary of State share my concern about the PISA league tables, which he mentioned? What discussions is he having with the Welsh Assembly Government to try to ensure the very best education for all our children in Wales? (902465)

The Welsh Minister for Education and Skills has apologised for the failings of the Welsh Government, and that is a good start. However, they ought to examine the reforms we are implementing in England and give serious consideration to emulating them.

6. What discussions he has had with Ministers in the Welsh Government on waiting times for mental health support for combat veterans in Wales compared with those in England. (902458)

It is essential that our veterans receive the best support and medical treatment, including mental health care, available to assist them to rebuild their lives.

A military veteran living in Carmarthenshire has been told by NHS Wales that he has to wait up to eight months for urgent mental health treatment. The Veterans Association tells me that in parts of England the wait would be seven to 10 days. Will the Secretary of State sort out this problem on behalf of Welsh veterans?

That is clearly a disturbing tale. The military covenant gives veterans the right to access to early health care. The sort of delays that my hon. Friend is referring to are quite unacceptable, and I invite him to write to me about the issue.

The generosity of Welsh people in donating to mental health charities for veterans is unsurpassed. However, there have been concerns in recent months about the regulation and oversight of some of those charities and of some of the treatments available. Will the Secretary of State meet me to discuss those concerns to ensure that every penny piece that is raised by people in Wales goes towards the very best treatment for our veterans?

The hon. Gentleman raises an extremely important issue and I would be pleased to meet him to discuss it.

On Friday I met members of Swansea’s Combat Stress group, who told me that the nearest places for in-patient treatment were in Shropshire, Surrey or Scotland. Will the Secretary of State meet me and the Secretary of State for Defence, who is now in his seat, to talk about providing facilities for in-patient care for war veterans in St Athan and the idea of moving units coming out of Germany to St Athan in south Wales to provide much needed employment and economic stimulus?

Too long!

I suggest that the hon. Gentleman attend the meeting that I have already agreed with the hon. Member for Ogmore (Huw Irranca-Davies).

7. What assessment he has made of the effects on Wales of the Government’s policy on superfast broadband roll-out. (902459)

As a result of the £57 million investment by this coalition Government in Westminster, the roll-out of superfast broadband in Wales will transform our broadband network. Last month, it was confirmed that 100,000 Welsh homes and businesses can now get access to superfast broadband.

I thank the Minister for his response. I welcome the fact that the roll-out is doing well in Wales. Will he respond to the fact that Llandudno and Llandudno junction, which are key commercial centres in north Wales, are not even scheduled for roll-out as yet? Is that another example of the Welsh Labour Government prioritising south Wales over north Wales?

All Welsh Members of Parliament want their constituencies to be at the front of the queue for superfast broadband. The roll-out implementation plans are agreed between BT Cymru, the Welsh Government and Broadband Delivery UK. If my hon. Friend has specific concerns about that process, will he please raise them with me, and I will ensure that they get an airing?

14. I represent a very rural constituency where poor broadband is a particularly important issue. Has my hon. Friend made any assessment of the effect of poor internet connections on property values? That issue applies to the whole of Britain as well. (902467)

I am not aware of any specific studies on the value of properties with regard to a lack of access to good-quality broadband, but I recognise the point that my hon. Friend makes. High-quality broadband is vital for revitalising the private sector and many of our rural communities.

8. What plans the Government have for the future of the Land Registry and jobs in its office in Wales. (902460)

The Government are currently consulting on the proposal to create a new company, still subject to Government oversight, which would be responsible for delivering land registration services.

The Land Registry has a customer satisfaction rating of 98%. As a trading fund, it does not cost the taxpayer anything; indeed, it makes a significant surplus year on year. It made £98.8 million in the past year alone, yet the Government are now consulting to end its trading fund status. Will the Minister confirm that if, as a result of the consultation, the status of the Land Registry is changed to that of a Government-owned company, the people of Swansea will be protected, jobs will be protected and the services will not be changed?

I thank the hon. Lady for her question. I will say again that no decisions on implementation have yet been taken, as all views from the consultation on the right commercial model for Land Registry need to be considered before any decision is taken. None the less, we expect that the majority of staff will be transferred to the new service delivery company, with a small minority remaining in the office of the chief land registrar.

9. What recent discussions he has had with his ministerial colleagues on the effects of VAT on the tourism and hospitality industry in Wales. (902462)

Tourism and hospitality play an important role in the economy in Wales, attracting more than 4 million people from across Great Britain between July and September last year. The World Economic Forum has recently ranked the UK fifth in Europe in its travel and tourism competitiveness index.

Our near neighbours, the Republic of Ireland, and most other European countries have reduced the level of value added tax in the tourism sector, boosting jobs, growth and investment in their countries. The United Kingdom and Wales are among those with the highest rates of VAT in Europe, and, according to an independent inquiry, that has led to the suppression of jobs and investment. Will the Secretary of State lobby the Treasury to ensure that we have a competitive rate of VAT and that we reduce VAT, which is a tax on jobs?

I am sure that the hon. Gentleman is as happy as I am that tourism expenditure in Wales increased by £746 million over the past year. The United Kingdom is highly competitive in the tourism market. As I said in my initial answer, the World Economic Forum has indicated that the UK is the fifth most competitive economy in Europe, ahead of France, Portugal and Italy.

As in Scotland, VAT on tourism in Wales has a negative effect on the industry. Will he press his Treasury colleagues to ensure a reduction from 20% to 5%, as requested in yesterday’s debate in Westminster Hall, to benefit very scenic constituencies like mine and Carmarthen East and Dinefwr?

I am hugely grateful to the hon. Gentleman for the interest he shows in the Welsh tourism industry. I invite him to visit Wales and see what a competitive product we have there.

11. How many people in Wales benefited from the recent reduction in the additional rate of income tax. (902464)

Approximately 4,000 people in Wales pay the additional rate of income tax.

I thank the Secretary of State for that brief response. In his maiden speech as a Member of the Welsh Assembly, the right hon. Gentleman said, “We have no tax-raising powers—long may that state of affairs continue.” As someone who supported the Assembly having tax-levying powers in the 1997 referendum, I find that view extraordinary. Surely the reason he now wants income tax to be devolved to Wales is to cut public services and cut taxes for the rich.

Rather than concentrating on what I said in 2002, the hon. Lady ought to listen to what her hon. Friend the Member for Pontypridd (Owen Smith) said only last week. The Labour Government in Wales do not want income tax devolved to Wales, but the Conservative and Liberal Democrat coalition Government here in Westminster do.

13. What assessment he has made of changes in real wages in Wales since 2010; and if he will make a statement. (902466)

Wales had seen the biggest increase in average earnings of all the regions and nations of the United Kingdom, with earnings increasing at twice the national average and more than twice the current rate of inflation. Wage levels are still not where we want them to be, but that is still positive news for Wales.

Wales has the highest proportion of people earning less than the living wage, which is outrageous. What are the Government doing to tackle that problem?

My right hon. Friend the Chancellor of the Exchequer has already said where he wants to see the national minimum wage going, as conditions allow. We want to see a strong minimum wage that will benefit low-paid workers. One of the most important things we are doing is taking 130,000 of the lowest-paid people in Wales out of income tax altogether by increasing the personal allowance to £10,000, something the hon. Lady and her colleagues should very much support.

Does the Minister accept that wages in Flintshire have dropped dramatically since the election of the Conservative and Liberal Democrat Government and that the situation is not helped by cuts to child tax credits, by the bedroom tax or by other measures they are taking? Will he join my hon. Friend the Member for Wansbeck (Ian Lavery) this afternoon in his plan to introduce a Bill to scrap the bedroom tax?

If the right hon. Gentleman looks at the figures, he will see that the biggest destruction in real wage levels occurred under the last three years of the previous Labour Government, and we are still recovering from the economic trauma of that period. Wage levels are still not where we want them to be, but they are increasing in Wales, which is positive news for people on the lowest incomes.

Well, we have got through the lot, the principals are present and the House is expectant, so we can move on to questions to the Prime Minister.