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Small Businesses: North Wales

Volume 744: debated on Thursday 25 January 2024

7. Whether she has had recent discussions with the Welsh Government on the adequacy of Government support for small businesses in north Wales. (901142)

I regularly meet Ministers from the devolved Administrations through inter-ministerial fora to discuss a range of policy issues. SMEs across Wales have access to a range of UK Government services to help them to grow and thrive. The UK Government also recently announced that we will appoint new international trade advisers in Wales to provide tailored support for Welsh SME exporters to take advantage of new export opportunities.

The Labour Welsh Government are reducing rate relief for the hospitality sector from 75% to 40% in April. Following that announcement, Monmouthshire County Council, which is also Labour-run, called on its colleagues to maintain support at the same rate as in England. Business owners have criticised the Welsh Government, saying that it would be deeply unfair, but the outgoing First Minister has rejected their calls, and a number of hospitality businesses have already closed their doors this year. Will the Minister join me in urging the Welsh Government to maintain the 75% support that businesses need, instead of cutting their feet from under them just because Welsh Labour cannot manage a budget?

The hon. Gentleman is absolutely right: the Welsh Labour Government need to start supporting businesses and to maintain the 75% relief rate, as we are in England. The Welsh Government have also cut the budget of Business Wales from £26.6 million to £21 million. Figures from UKHospitality show that the average pub in Wales will be £6,800 worse off as a result, compared with England; for the average restaurant, that figure will be £12,000; and for the average hotel, it will be £20,000. I do not know who will be in charge of Labour in Wales, but it is about time that it started to back Welsh business, as the UK Government do.