04/10/2011

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:00:21. > :00:24.Good afternoon. Welcome to the programme. It's

:00:24. > :00:26.draft Budget Day here in the Assembly today. The Welsh

:00:26. > :00:30.Government will set out its spending plans for the next

:00:30. > :00:34.financial year later this afternoon. Before all that takes place we will,

:00:34. > :00:44.of course, bring you coverage of First Minister's Questions. Feel

:00:44. > :00:46.

:00:46. > :00:48.free to get in touch with us while As usual, our Welsh Affairs Editor

:00:48. > :00:51.Vaughan Roderick will be here to cast his expert eye over

:00:51. > :01:01.proceedings later, but first let's go over to the chamber for First

:01:01. > :01:11.

:01:11. > :01:16.There is one question to the First Minister.

:01:16. > :01:22.Question one, Christine Chapman. Will the First Minister provide an

:01:22. > :01:27.update on what the Welsh Government is is doing to eradicate poverty in

:01:27. > :01:34.Wales? An anti-poferty action plan is being developed.

:01:34. > :01:39.Thank you. Despite that progress, I think that a high number of Welsh

:01:39. > :01:49.children are still living in poverty, exacerbated by the cuts

:01:49. > :01:54.made by the UK. Now the indicators by which we assess child poverty

:01:54. > :02:02.has changed. Sometimes there is a lack of understanding of the true

:02:02. > :02:07.nature of child poverty. What more can we do to ensure that

:02:07. > :02:13.child poverty remains at the forefront of public awareness and

:02:13. > :02:17.the the awareness of the agencies. The child poverty strategy gives a

:02:17. > :02:23.clear account as to what we can achieve as a Government in helping

:02:23. > :02:27.to reduce poverty and it contains three new objebg tis for tack --

:02:27. > :02:31.objectives for tackling child poverty.

:02:31. > :02:40.Thank you. Well, the severe child poverty in Wales report published

:02:40. > :02:49.by Save The Children in February February said that Wales as the

:02:49. > :02:55.severest child child poverty among the nations. A report found that

:02:55. > :03:00.child poverty rate between the mid- 1990s improvement had been lost in

:03:00. > :03:08.the previous five years, where the Welsh Government's new child

:03:08. > :03:14.poverty target requires the rate to fall four times as past over the

:03:14. > :03:18.next ten years m. How do you respond to the call for joint

:03:18. > :03:23.action with the two governments working together to device a plan

:03:23. > :03:28.to tackle the severe child poverty? We are having to work with the UK

:03:28. > :03:34.Government when it comes to child poverty and we expect a commitment

:03:34. > :03:39.from them that they continue to take child poverty seriously.

:03:39. > :03:43.In the Western world poverty is very much a relative term. If you

:03:43. > :03:47.have no roof over their head, that is real poverty. Minister, what

:03:47. > :03:53.steps is the Government taking to ensure that local authorities are

:03:53. > :03:56.meeting their full obligations to provide housing to those households

:03:56. > :04:00.who need housing as a priority need?

:04:00. > :04:03.Well, local authorities have their responsibilities in terms of

:04:03. > :04:07.providing housing and you will know we have targets with regard to the

:04:08. > :04:11.numbers of houses we wish to see built every year and we know that

:04:11. > :04:15.good progress was made in the previous four years of Government

:04:15. > :04:21.particularly when the Government of the day and that's progress we want

:04:21. > :04:24.to build on. Thank you. First Minister, you will

:04:25. > :04:28.know one of the best ways of dealing with poverty is to give

:04:28. > :04:32.young people opportunities in terms of better education and skills. How

:04:32. > :04:36.is your forthcoming Budget going to be targeting particularly those

:04:36. > :04:39.young people who are growing up in poverty to ensure that they have

:04:39. > :04:45.the opportunities and that they do get the education and skills needed

:04:45. > :04:48.to apply for descent paid jobs and get out of poverty? I don't want to

:04:48. > :04:54.pre-empt the Budget Statement. But it is a manifesto of this

:04:54. > :05:02.Government toin crease education -- to increase education funding by 1%

:05:02. > :05:04.a year. Will the First Minister make a

:05:04. > :05:09.statement on employment levels in Wales?

:05:09. > :05:13.Yes, the latest employment data shows that there are 1.3 million

:05:13. > :05:16.people in employment in Wales, but we know that the economy remains in

:05:16. > :05:23.a fragile state. Thanks for that answer, First

:05:23. > :05:29.Minister. First Minister, the advent of 24-hour news means we are

:05:29. > :05:34.seeing the Tories sucking away prospects on a minute to minute

:05:34. > :05:38.basis. It is making it for young people to find work. Next time you

:05:38. > :05:44.meet the UK Government can you stress to them that Plan A is not

:05:44. > :05:49.working? It is clear that Plan A isn't working and there doesn't

:05:49. > :05:51.seem to be a Plan bmt and that's -- Plan B and that's something I

:05:51. > :05:54.regretment First Minister, I listened

:05:54. > :05:57.carefully to your answer there. What you didn't say, of course, is

:05:57. > :06:02.that Wales has the least competitive business rates regime

:06:02. > :06:06.in the United Kingdom. That is contributing to the uncertainty

:06:06. > :06:10.particularly for small business that could do so much better if

:06:10. > :06:13.they were taken out of business rates altogether. Will you give

:06:13. > :06:17.careful consideration to our party's proposals to withdraw

:06:17. > :06:24.people from business rates altogether where their ratable

:06:24. > :06:28.value is under �12,500 to give them the confidence to create new jobs.

:06:28. > :06:35.The small business release scheme is in place until September of next

:06:35. > :06:44.year, unfortunately we don't have a magic money tree which seems to

:06:44. > :06:50.grow in Conservative Party head quarters.

:06:50. > :06:57.This morning MBMA announced it will be cutting 400 jobs at its Chester

:06:57. > :07:00.centre in spite of announcing a postof �348 million. Bank of

:07:00. > :07:04.America says most of the jobs will be voluntary, however, this is

:07:04. > :07:10.going to be a body blow to many families in north-east Wales who

:07:10. > :07:13.work there. Is this the worst short-term thinking that prevads

:07:13. > :07:16.the banking sector and would you examine how retraining support

:07:16. > :07:20.could be offered to the banking sector workers who live in north-

:07:20. > :07:24.east Wales? As you know, of course, we have

:07:24. > :07:27.invested heavily in retraining over the past three or four years. It is

:07:27. > :07:32.right to say that many people working at Bank of America work on

:07:32. > :07:35.this side of the border. I agree, it is important that where business

:07:35. > :07:41.desrksz are taken, they are not taken on a short-term basis rather

:07:41. > :07:51.they should be planned for the longer term.

:07:51. > :08:09.

:08:09. > :08:12.TRANSLATION: Has the Government commissioned or gathered any data

:08:12. > :08:13.or research about the jobs that have been lost already in the

:08:13. > :08:15.sector which make up the Government's economic regeneration

:08:15. > :08:18.programme particularly over the past three years because these

:08:18. > :08:21.sectors are extremely important, but I would like to have some sort

:08:21. > :08:23.of idea if if jobs have been lost and where can we collaborate to

:08:23. > :08:25.ensure those gaps are plugged. There are statistics that are

:08:25. > :08:27.published and these are the labour market statistics every quarter.

:08:27. > :08:29.And contained in those statistics it is possible to look at which

:08:29. > :08:33.sectors have been hit hardest. But as regards finding out exactly

:08:34. > :08:42.where every job is lost, that is not possible.

:08:42. > :08:47.We move to leader's questions. Wyn Jones. Does the First Minister

:08:47. > :08:51.agree that we need a package of measures to promote the economy now

:08:51. > :08:55.and we need an injection of capital? You say in your programme

:08:55. > :08:58.for Government that you want to look into innovative and

:08:58. > :09:01.collaborative ways of raising capital to invest in the

:09:01. > :09:06.infrastructure of public services and as that document does not tell

:09:06. > :09:11.us exactly how you're going to achieve this, can you tell us today

:09:12. > :09:16.how you intend to achieve that? I agree with what the leader of

:09:16. > :09:20.Plaid Cymru is saying and that, of considers, is -- of course is why

:09:20. > :09:25.we must ensure that borrowing powers come to the Welsh Government

:09:25. > :09:28.as soon as possible bearing in minute the discussions will take

:09:28. > :09:31.place between the Welsh Government and the UK Government, a process

:09:31. > :09:37.supported by all parties in this assembly.

:09:37. > :09:40.I take it First Minister, when your programme for Government mentions

:09:40. > :09:44.finding innovative ways of working, you will have to go further than

:09:44. > :09:47.just borrowing. It is apparent to me that borrowing is something that

:09:47. > :09:51.we are all agreed on, but I am sure you would agree with me that we

:09:51. > :09:55.need to go further than that. A shortage of capital money is a

:09:55. > :10:02.challenge, of course, �800 million is what the Assembly Government is

:10:02. > :10:06.going to lose by 2014 and in real terms, that is a cut of over 46%

:10:06. > :10:10.when you take inflation into account and if you look at the

:10:10. > :10:16.draft programme that you had already published then the

:10:16. > :10:20.reduction in the education budget and the health budget will be

:10:20. > :10:24.around 50%. So there will be a significant reduction in capital

:10:24. > :10:29.expenditure and the question is, and I virtually asked it already,

:10:29. > :10:33.but if you are saying that you're going to go, try and get borrowing

:10:33. > :10:41.powers, what in addition are you going to do? There has been some

:10:41. > :10:46.discussion of borrowing using Local Government's borrowing powers. But

:10:46. > :10:55.no discussion has taken place between yourself and local

:10:55. > :10:59.authorities. Can you tell us what you know? There is a plan for Wales.

:10:59. > :11:04.Are you dependant on borrowing powers? No, we will look at all

:11:04. > :11:09.kinds of means of raising capital in the future. It is important of

:11:09. > :11:19.course, that the schemes we look at are practical ones. The first step,

:11:19. > :11:21.

:11:21. > :11:26.Government has the right to borrow, of course, and to ensure that we

:11:26. > :11:30.have our fair share of funding bearing in mind the work of the

:11:30. > :11:36.commissioner. So we are looking at a number of ways of securing more

:11:36. > :11:42.capital for the Welsh, budget and borrowing is one part of that.

:11:42. > :11:46.Well, I will give you another opportunity now, but we, I had said

:11:46. > :11:49.that negotiations were to take place yourself and Local Government

:11:49. > :11:52.to see whether we could use the borrowing powers available to Local

:11:52. > :11:56.Government for Government plans. Schools is one example, for example.

:11:56. > :11:59.Road building is another. Can you tell us if any negotiations have

:11:59. > :12:02.taken place already because I do think that it is important that we

:12:02. > :12:07.should know how far those negotiations and discussions have

:12:07. > :12:11.gone. We know that you have to be ambitious and be proactive if we

:12:11. > :12:15.are to move things forward and another question in addition to the

:12:15. > :12:18.one on Local Government, what pressure have you put on the

:12:18. > :12:27.Treasury to ensure that, if there is an injection of capital for the

:12:27. > :12:31.UK, that Wales gets its fair share? We always do that with the Treasury.

:12:31. > :12:35.Naturally we've fought Wales' corner with the Treasury. We do it

:12:35. > :12:40.every week. Almost every day since the establishment of this

:12:40. > :12:44.Government back in May. And of course, we do have discussions with

:12:44. > :12:49.the local authorities. We have financial discussions, continuously

:12:49. > :12:53.with local authorities, but as said, we look at every practical means of

:12:54. > :12:57.securing capital for ales in the future and -- Wales in the future

:12:57. > :13:04.and one step is that the United Kingdom Government Government gives

:13:04. > :13:07.Wales the same rights as they do Scotland and Northern Ireland.

:13:07. > :13:11.First Minister, the Budget this afternoon provides us with an

:13:11. > :13:16.opportunity for you to show us where your priorities lie. Under

:13:16. > :13:20.Labour in Wales, we spend �604 less per head than on education in

:13:20. > :13:23.England. Wales is slipping backwards, for reading, maths and

:13:23. > :13:26.science in its international rankings and for the last four

:13:26. > :13:33.years, Welsh children have fallen behind their English counterparts

:13:33. > :13:37.in GCSE achievements. If this performance doesn't persuade you to

:13:37. > :13:44.prioritise education in your Budget this afternoon, what will? You know

:13:44. > :13:48.the Government priorityises -- prioritises education. I should

:13:48. > :13:54.emphasise that spending more doesn't necessarily mean that there

:13:54. > :14:00.is better delivery. The two runs together.

:14:00. > :14:04.So yes, extra funding is important, but so is better delivery.

:14:04. > :14:08.The performance of our schools across Wales needs to improve, but

:14:08. > :14:12.let us consider for the moment the performance of the worst off

:14:12. > :14:18.children in Wales. Just one in five children, who are in receipt of

:14:18. > :14:23.free school meals are poorest children, actually get five good

:14:23. > :14:26.GCSEs from grade A star to C. Just one in five. You surely would agree

:14:26. > :14:31.that this is a dreadful record for your Government and don't you agree

:14:31. > :14:34.with me that we should direct extra resources to those children that

:14:34. > :14:38.need it the most to help them succeed.

:14:38. > :14:41.We are looking to ensure that the budget for schools is protected in

:14:41. > :14:43.difficult financial times. You heard me talk about the commitment

:14:44. > :14:48.that the Government has publicly given many, many times. I don't

:14:48. > :14:53.accept that every school in Wales is somehow not doing well. Some

:14:53. > :14:55.schools are doing very, very well. The key is to make sure there is

:14:56. > :14:59.better consistency in terms of performance across the whole of

:14:59. > :15:03.Wales. First Minister, two years ago, you

:15:03. > :15:09.were implementing Rhodri Morgan's Budget. This year, it is your

:15:09. > :15:13.Budget. Surely the legacy of your Budget this afternoon should be

:15:13. > :15:18.additional help for our poorest children to give them the skills

:15:18. > :15:23.they theed to succeed -- need to succeed in life.

:15:23. > :15:28.Unless you have seen the Budget, the leader of the Liberal Democrats

:15:28. > :15:32.will have to wait to see what the Budget speech is.

:15:32. > :15:34.First Minister, will you be cutting council tax? Will you be be

:15:34. > :15:38.freezing council tax next year? is a matter for local authorities.

:15:38. > :15:44.Do you not think with the new money that's been made available to you

:15:44. > :15:51.from Westminster that it would be a sensible, it would be a sensible

:15:51. > :15:54.move on behalf of the Welsh Government to assist, to assist,

:15:54. > :15:58.hard-pressed Welsh householders with a freeze on council tax?

:15:58. > :16:01.Bearing in mind, in Scotland, they are freezing it for four years and

:16:01. > :16:05.this is the second year that this is happening in England.

:16:05. > :16:09.I mean really, for weeks and weeks and weeks the Leader of the

:16:09. > :16:14.Opposition has been saying any extra money should go on health.

:16:14. > :16:17.Now he has has flip-flopped. Why? Because he has been told to do so

:16:17. > :16:22.by the Secretary of State. We look at this and the benefit for most

:16:22. > :16:25.families in Wales is �3 to �5 a month and the reason why this money

:16:25. > :16:28.has been given to local authorities in England is because they have

:16:29. > :16:33.been hammered in terms of the Local Government settlement, in Wales we

:16:33. > :16:36.have not done that. I have to say to the Leader of the Opposition, we

:16:36. > :16:40.will be looking to use this money constructively. We will be looking

:16:40. > :16:44.to use it as part of an economic package because we believe

:16:44. > :16:49.investment in jobs and skills is important with the economy as it is.

:16:49. > :16:53.He is the leader of the Welsh Conservatives, not the servant of

:16:53. > :17:03.the Secretary of State. The leader of the Liberal Democrats has her

:17:03. > :17:04.

:17:04. > :17:12.own mind. His predecessor did the First Minister, you are acting like

:17:12. > :17:22.a petulant child in your description. Maybe we should buy

:17:22. > :17:23.

:17:23. > :17:28.you a romper suit and a rattle, to be honest. I am very interested in

:17:28. > :17:32.hearing. I'm sorry, I am really interested in what the leader of

:17:32. > :17:37.the opposition is saying but I can't hear him. We provided our

:17:37. > :17:42.budget last year, and we protected health spending and itemised how

:17:42. > :17:50.that would happen. This is new money being made available to you

:17:50. > :17:54.as a government. You are behind the curve on enterprise zones, failure

:17:54. > :17:59.in the education system, failing to protect health spending, you will

:17:59. > :18:04.not deliver the cancer drugs formed for Wales. When will you start

:18:04. > :18:10.delivering for Welsh households? noticed yesterday the leader of the

:18:10. > :18:15.opposition described himself as a farmyard areca who rants and raves.

:18:15. > :18:22.I praise him for that. I think self-awareness is a wonderful thing

:18:22. > :18:27.in a politician. People in Wales in March and May voted as they did to

:18:27. > :18:31.get protection against him and his party. We know full well when it

:18:31. > :18:41.comes to the health service in Wales, we haven't got health

:18:41. > :18:42.

:18:42. > :18:48.professionals telling us of Iraq -- irreparable damage will be done -

:18:48. > :18:57.his party has. In June, those people waiting more than 52 weeks

:18:57. > :19:00.for treatment, that figure increased by 60%. The situation in

:19:00. > :19:06.England is far worse than in Wales. We have nothing to learn from his

:19:06. > :19:12.party. In his Budget last year, he wanted to cut local government

:19:12. > :19:18.funding by 12.5%. He said we hadn't gone far enough, and now he wants a

:19:18. > :19:28.freeze in council tax. If we get back the �400 million that we have

:19:28. > :19:32.lost, then I will be more than pleased to consider such a move.

:19:32. > :19:42.TRANSLATION: What are the Welsh Government's plans for the

:19:42. > :19:47.

:19:47. > :19:55.agricultural industry? To promote and assist them, of course. Bearing

:19:55. > :19:58.in mind there are significant additional cost to farming, are you

:19:58. > :20:03.disappointed by the statement that Wales will be only country in the

:20:03. > :20:08.UK that will not provide any specific assistance to farmers in

:20:08. > :20:11.the less favoured areas? I don't understand this debate. Every

:20:11. > :20:16.farmer in this country will receive more money because of the changes

:20:16. > :20:26.that have been published and publicised. Much more money than

:20:26. > :20:26.

:20:26. > :20:31.was available. Every family will benefit in the future. We have to

:20:31. > :20:35.do everything we can to assist the agriculture will industry and one

:20:35. > :20:39.way of doing that is to make sure government bureaucracy on farmers

:20:39. > :20:47.is as light touch as possible. The First Minister will be aware that

:20:47. > :20:52.farmers can no longer Plough within one metre of boundaries, in order

:20:52. > :20:57.to protect them, but having seen the impact of this it is apparent

:20:57. > :21:01.that weeds grow into the fields from the hedgerows. Under the

:21:01. > :21:05.circumstances, can the First Minister and the government to

:21:05. > :21:13.reconsider this rule and provide more flexibility into the system?

:21:13. > :21:15.am happy to revisit anything if the problem is being created. In the

:21:16. > :21:18.light of the UK Government's decision to abolish the of a

:21:18. > :21:28.cultural wages Board, can you comment on the implications of that

:21:28. > :21:38.for Wales and how we might do things a bit do for it -- do things

:21:38. > :21:46.

:21:46. > :21:50.are bit differently. In recent times the sector of Welsh

:21:50. > :21:56.agriculture that has been under greatest pressure is the organic

:21:56. > :22:00.sector. What commitment will the First Minister make to support the

:22:00. > :22:04.sustaining and development of that important sector going forward?

:22:04. > :22:09.the organic farming scheme over the years has been helping with

:22:09. > :22:14.conversions particularly, and we see that there was a robust market

:22:14. > :22:20.for organic produce. On occasions in the past the prices have see-

:22:21. > :22:30.sawed dramatically, but the long- term prospects are good,

:22:31. > :22:35.

:22:35. > :22:40.particularly for dairy. What are the First Minister's priorities for

:22:41. > :22:44.the South Wales Central Region? I have asked you several times about

:22:44. > :22:50.the government's intention for Cardiff airport and the sport they

:22:50. > :22:56.are able to afford Cardiff airport to develop more route. Hopefully

:22:56. > :23:00.you have been in a position to have discussions with them. Can you tell

:23:00. > :23:05.us today how those discussions have receded, and your own personal

:23:05. > :23:11.support? In May you indicated your personal concern over this

:23:11. > :23:14.situation. There is still concern over the airport, over the way it

:23:14. > :23:18.operates. There has been a large rise in the number of complaints

:23:18. > :23:22.about it, certainly in my own postbag, which needs to be dealt

:23:22. > :23:26.with by the airport. There are ongoing discussions with the number

:23:26. > :23:32.of airlines and we need to make sure those discussions become

:23:32. > :23:39.fruitful. I can't reveal who they are. First Minister, would you

:23:39. > :23:42.agree with me that the new constructive approach outlined by

:23:42. > :23:51.Davis in the sharpened last week, that he wants to see constructive

:23:51. > :23:55.dialogue with all parties is to be welcome? The question was South

:23:55. > :24:01.Wales Central priority. I didn't see a question there, so you

:24:01. > :24:05.needn't answer. The last week I raised the issue of the factories

:24:05. > :24:13.in the South Wales Central Region under threat and ask you to explore

:24:13. > :24:16.the possibility of devolving, getting the budget devolved in

:24:17. > :24:21.Wales and for you to undertake a commitment that if the budget was

:24:21. > :24:25.devolved that those budget would be safeguarded. You agreed to explore

:24:25. > :24:30.the matter with the Minister for Education last week. Given that

:24:30. > :24:36.those workers are on the brink of losing their jobs, time is of the

:24:36. > :24:41.essence. Can you update us? We are very aware of the situation and we

:24:41. > :24:46.have discussed it many times in the past. I can't pretend that getting

:24:46. > :24:50.devolution of the Budget will be easy, nor that the UK government

:24:50. > :24:57.would acquiesce to that but we will continue to press the case. In

:24:57. > :25:02.fairness, in answer to the issue raised about the constructive nurse

:25:02. > :25:09.of this approach, I think he is being constructive by his own

:25:09. > :25:16.standards. What plans to as the First Minister have to 0 improve

:25:16. > :25:20.rail services in North Wales? are currently prioritising the

:25:20. > :25:25.transport plan and it will be published in the autumn. I have

:25:25. > :25:28.questioned do about the service from Holyhead to Cardiff and we

:25:28. > :25:34.understand announcements will be made by the minister when he

:25:34. > :25:39.announces his revised delivery plan for the national transport plan,

:25:39. > :25:43.hopefully this autumn. However, I am advised that already one

:25:43. > :25:49.locomotive is being repainted in the appropriate livery, that two

:25:49. > :25:56.more are expected to be repainted, and yet the clock is ticking to the

:25:56. > :26:03.current timetable where the current contract comes to an end. Could we

:26:03. > :26:06.please have some indication and not so much ourselves but the industry

:26:06. > :26:11.and the passenger representatives have some indication where we are

:26:11. > :26:21.going with this? The national transport plan will contain our

:26:21. > :26:23.

:26:23. > :26:28.proposals for taking forward the rail network in the future.

:26:28. > :26:38.TRANSLATION: Has the government committed itself to retaining rail

:26:38. > :26:38.

:26:38. > :26:44.services between North and South Wales including one particular link

:26:44. > :26:47.which has been of such great benefit to travellers between North

:26:47. > :26:51.and South Wales? We will be retaining that, bearing in mind

:26:51. > :26:55.that 10 years ago there was no single link between North and South

:26:56. > :27:02.Wales. We understand how important it is to make sure trains run as

:27:02. > :27:12.quickly as possible between Cardiff and Holyhead. First Minister, when

:27:12. > :27:14.

:27:14. > :27:16.can we expect a further announcement? This is part of the

:27:16. > :27:24.National Transport planned and there will be details on the future

:27:24. > :27:29.of the rail network included within that document. What plans does the

:27:29. > :27:34.First Minister have for making sure that everyone in Wales is able to

:27:34. > :27:38.access the internet if they want to? Anyone who can't currently

:27:39. > :27:48.access the internet is able to make an application to our broadband

:27:49. > :27:49.

:27:49. > :27:53.support scheme. My constituency has a broadband, not in a remote area

:27:53. > :27:59.but through miles from Cardiff City Centre. Can the Minister confirm

:27:59. > :28:03.that government activity will remedy hot spots will apply

:28:03. > :28:07.regardless of the location? Yes, we want to make sure we have as many

:28:07. > :28:13.people as possible with access to next generation broadband. We have

:28:13. > :28:16.made commitments regarding that by 2015. The situation in your area is

:28:16. > :28:21.complicated by the fact there is a difficulty with the way they are

:28:21. > :28:30.connected to the exchange. It can be remedied, but in the meantime

:28:30. > :28:35.residents can contact BT for help. Where Reeve parenting is not an

:28:35. > :28:39.option the scheme can help. One of the key issues that mid-Wales

:28:39. > :28:42.Tourism Partnership raised in the summer was the need to improve

:28:42. > :28:47.broadband infrastructure and increased small business access to

:28:47. > :28:50.it to make sure the tourism industry has the ability to fully

:28:50. > :28:57.market itself. I know your Government's commitment to deliver

:28:57. > :29:07.next generation broadband by 2015, but in relation to the next

:29:07. > :29:08.

:29:08. > :29:11.generation project will you commit to improving bought -- broadband in

:29:11. > :29:15.areas that are not currently serve to make sure they can stay

:29:15. > :29:21.competitive? The at is a matter for the discussions regarding the

:29:21. > :29:26.tendering process and the contract, and we are looking to make sure

:29:26. > :29:36.that the process to secure a provider to deliver this target is

:29:36. > :29:37.

:29:37. > :29:41.in place soon. Now that everybody has converted to digital television,

:29:41. > :29:48.there is a very significant spectrum that is available that

:29:48. > :29:53.will be auctioned before long under the Ofcom guidelines. It will be

:29:53. > :29:57.available to reach many rural areas of Wales that can't receive

:29:57. > :30:01.broadband in the traditional way. Will the government put pressure on

:30:01. > :30:06.Ofcom to make sure that when they come to auctioning that spectrum

:30:06. > :30:12.that they will reach at least 98% of the population in Wales and not

:30:12. > :30:17.the 95% that has been proposed to date? From what they understand,

:30:17. > :30:24.there are problems with Forgie across the UK, but there is a way

:30:24. > :30:30.of dealing with this. As a understand it, there is a means of

:30:30. > :30:35.improving mobile phone signals by making sure that a new broadband

:30:35. > :30:40.system is rolled out into rural areas. What we want to see is that

:30:40. > :30:47.people are able to use their mobiles and access faster broadband

:30:47. > :30:50.at the same time. There is a technical way of achieving this.

:30:50. > :30:55.Obviously we welcome the roll-out of fast broadband and we understand

:30:55. > :31:00.that is in procurement at the moment. Obviously for residents in

:31:00. > :31:08.urban not spot across Wales, they have been at a disadvantage for a

:31:08. > :31:13.number of years now. How will the procurement contract be awarded?

:31:13. > :31:23.When can residents expect to see improvement works beginning? We are

:31:23. > :31:24.

:31:24. > :31:28.Will the First Minister give an update on Welsh priorities for for

:31:28. > :31:36.for? Yes, they are outlined. Many my my constituents will be

:31:36. > :31:40.worried about Conservative plans announced yesterday to extend the

:31:40. > :31:46.disqualified period for unfair dismissal. Would you agree this is

:31:46. > :31:48.typical of the Tories and instead of attacking the hard won rights of

:31:48. > :31:53.ordinary working people, they should be focusing their efforts on

:31:53. > :31:57.getting our economy moving again? I don't understand the logic that

:31:58. > :32:00.at a time when people are afraid for the security of their jobs,

:32:00. > :32:08.that the Government should take the step of making them even more

:32:08. > :32:13.insecure. I do not think that is the right way forward.

:32:13. > :32:19.First Minister, NHS waiting times are a key concern to people in my

:32:19. > :32:25.area. You recently boosted about Wales success on waiting time

:32:25. > :32:30.beyond 36 weeks. Why therefore, does your programme for Government

:32:30. > :32:34.seem to include no mention of a 36 week target? And no reference of

:32:34. > :32:39.how meeting this target is an indicator of how the people of

:32:39. > :32:46.Wales will know your actions are on track. Is this because under your

:32:46. > :32:56.watch, the number of people waght over 36 -- waiting over 36 weeks to

:32:56. > :33:01.start treatment has risen by incredible 3,125% and do you accept

:33:01. > :33:06.that 2,125% -- 3,15% rise is something the people of Gwent

:33:06. > :33:08.should not be prepared to accept. There were four questions there. So

:33:08. > :33:14.you can choose to answer some of them.

:33:14. > :33:17.There is an issue with orthopaedics as we know. That's why we allocated

:33:17. > :33:22.money to orthopaedic surgery across Wales at the earlier part of this

:33:22. > :33:26.year and we are now seeing the effect of that money because the

:33:26. > :33:30.rises come in orthopaedic and no other specialism. In terms of

:33:30. > :33:34.targets, the reality is if you look at waiting lists, waiting times

:33:34. > :33:38.past 36 yeex, -- weeks, there are more people waiting in England than

:33:39. > :33:43.in Wales. There is a far greater percentage of patients waiting in

:33:43. > :33:46.England than in Wales. And so whilst there are always challenges

:33:47. > :33:56.in the NHS, and we have met that challenge with regard to

:33:56. > :34:01.orthopaedics, we still compare well with other parts of the UK.

:34:02. > :34:07.With economic figures present a worrying picturement the percentage

:34:07. > :34:11.of working aged people deemed to be economically inactive is now 27%

:34:11. > :34:14.which is 6% higher than the national figure. First Minister,

:34:15. > :34:18.this is something that has not happened overnight and it is time

:34:18. > :34:25.we stopped blaming other people. First Minister, what steps are your

:34:25. > :34:30.Government going to take in order to tackle this deprivation please?

:34:30. > :34:36.I don't think that is a criticism of your party leader, but I assume

:34:36. > :34:43.it is it is not. The situation economically is difficult. That's

:34:43. > :34:46.why we introduced in previous years pro act and react. We are looking

:34:46. > :34:50.forward to bring forward an economic package. I mentioned that

:34:50. > :34:53.the �40 million that we have had from the UK Government is money

:34:53. > :35:02.that could be best used for investment and best used as part of

:35:02. > :35:07.that economic package. Will the First Minister outline the

:35:07. > :35:10.Welsh Government's plans to support SMEs? Yes, our plans are set out in

:35:10. > :35:15.the programme for Government. thank you for that answer, First

:35:15. > :35:19.Minister. And you know, much has been mentioned this morning about

:35:19. > :35:25.the broadband roll out scheme that your Government is match funding

:35:25. > :35:28.and also on the procurement process to deliver high-speed services to

:35:28. > :35:31.those parts of Wales that commercial operators have not

:35:31. > :35:36.provided for. Two schemes that will benefit small business and social

:35:36. > :35:41.enterprises are in my region. Could you update members on that scheme

:35:41. > :35:46.and the proposed broadband roll out? Well, we aim, as I said, to

:35:46. > :35:50.have the contract in place by Marchment we want to ensure that

:35:50. > :36:00.all residences and businesses in Wales have access to high-speed

:36:00. > :36:02.

:36:02. > :36:07.broadband by 2015. First Minister, the Welsh

:36:07. > :36:10.Conservatives have proposed to abolish non-domistic rates for many

:36:10. > :36:14.SMEs and to simplify regulations following complaints from business

:36:14. > :36:20.leaders. We want to open up more public services and general

:36:20. > :36:24.procurement to SMEs. What steps are you taking First Minister to help

:36:24. > :36:30.SMEs maximise their potential instead of wasting time and money

:36:30. > :36:35.on red tape and regulation and disproportionate levels of NDR

:36:35. > :36:40.particularly in the first few years of a business start-up.

:36:40. > :36:44.It wasn't the Conservatives plans to abolish domestic rates. You ask

:36:44. > :36:54.the question will small companies. With we have the microbusiness

:36:54. > :36:55.

:36:55. > :36:58.strategy and the task group has been set-up. We are looking to help

:36:58. > :37:02.businesses and people are being recruited for that and we are look

:37:02. > :37:08.to go continue to improve procurement for small and medium

:37:08. > :37:14.sized enper triess and to help them gain more in terms of public sector

:37:14. > :37:21.contracts than has been the case in the past.

:37:21. > :37:24.First Minister, building a creative industry is crucial to our country.

:37:24. > :37:29.As the communities and equalities and Local Government committee

:37:29. > :37:34.commences its review of the media landscape in ales, what work is the

:37:34. > :37:38.Welsh Government doing to help Wales' creative industry sector and

:37:38. > :37:45.strengthen the media base in Wales? I recognise the creative industry

:37:45. > :37:48.sector is a key area for growth and we have implemented a number of the

:37:48. > :37:56.recommendations. There are other projects being created to support

:37:56. > :38:00.the sector specifically and these will be announced shortly.

:38:00. > :38:05.First Minister, you mentioned earlier this afternoon your

:38:05. > :38:10.intention to carry on with the reduction on business rates until

:38:10. > :38:12.September of next year. There is no reference to business rates in your

:38:12. > :38:17.programme for Government at all. What therefore, does your intention

:38:17. > :38:22.over the ensuing four years of this Government's programme? Our course

:38:22. > :38:27.has been stated publicly. The Minister for Business is currently

:38:27. > :38:32.considering this and is considering the business rate system and a

:38:32. > :38:36.report will be drawn up over the next few months.

:38:36. > :38:39.What plans does the First Minister have to promote the city regions of

:38:39. > :38:45.Wales? Well, we are considering the

:38:45. > :38:48.benefits of a city region approach as part of our efforts to have a

:38:48. > :38:53.sustainable economy. Would the First Minister agree that

:38:53. > :38:58.the single most important item of infrastructure that would help the

:38:58. > :39:00.Cardiff City region to be truly competitive would be the

:39:00. > :39:03.electrification of the valleys lines? Yes. In principle that is

:39:03. > :39:08.something that we would support. There is a significant cost

:39:08. > :39:14.attached to it, but we hope to work towards a position where such a

:39:14. > :39:21.project will become viable in the future.

:39:21. > :39:28.In the spring, you responded to my question asking you to outline the

:39:28. > :39:33.success of the Ryder Cup. And you replied that they had been some

:39:33. > :39:37.promisesing leads, but they had to remain private because it was a

:39:37. > :39:40.commercial sensitivity. Could I ask you, are you satisfied with the

:39:40. > :39:44.inquiries and would you publish a list of the successes? Well, there

:39:44. > :39:49.are a number of leads that are being followed. These things take

:39:49. > :39:57.time. With regards to tourism, Wales is favourably positioned in

:39:57. > :40:02.terms of tourism and particularly with regard to golf tourism.

:40:02. > :40:06.Thank you. As you will know, First Minister, many of us across the

:40:06. > :40:13.chamber are across party acknowledge the success of the

:40:13. > :40:19.Wales economy is is tied into improving transport infrastructure.

:40:19. > :40:29.Should we proceed with the Valleys electrification on the proposals

:40:29. > :40:33.

:40:33. > :40:36.drawn up around the Metro idea. As I said earlier on, we would be

:40:36. > :40:40.in principle in favour of a South Wales metro system. There is a

:40:40. > :40:43.significant cost that is attached to that, but nevertheless it is a

:40:43. > :40:49.system of transport that would benefit not just the city of

:40:50. > :40:52.Cardiff, but the wider area. That's it for First Minister's

:40:52. > :40:55.Questions this week. As mentioned earlier, the Finance Minister Jane

:40:55. > :41:02.Hutt will present the Government's draft Budget at 3pm. You can watch

:41:02. > :41:08.it on our Democracy Live online coverage.

:41:08. > :41:12.Our Welsh Affairs Editor, Vaughan Roderick, is here. Watching through

:41:12. > :41:19.that, there was one highlight, wasn't there, where the leader of

:41:19. > :41:22.the Conservatives accused Carwyn Jones of behaving like a pet

:41:22. > :41:26.petulant child. And offered to buy him a romper

:41:26. > :41:31.suit and a rattle! Grown-up politics. I mean it is

:41:31. > :41:36.interesting the dynamic between Andrew Davis and Carwyn Jones.

:41:36. > :41:39.Almost a Westminster dynamic. You hear the sound increasing in the

:41:39. > :41:44.chamber and these noisy exchanges between them. One has to say

:41:44. > :41:48.perhaps a lot more heat than light being generated, but it seems to me

:41:48. > :41:52.that Carwyn Jones enjoys doing battle with someone he sees as

:41:52. > :41:56.being, you know, an old-fashioned right-wing Conservative whereas

:41:57. > :42:01.with Nick Bourne, the previous Conservative leader, he was much

:42:01. > :42:07.more proactive, more willing to praise the Government. This is

:42:07. > :42:09.political knock about which traditional Labour people like

:42:09. > :42:12.Carwyn Jones are used to and happy with.

:42:12. > :42:16.I mention we are going to see the draft Budget statement later on.

:42:16. > :42:20.There will be more more knock about there, isn't there? The Government

:42:20. > :42:24.to get this draft Budget passed have to reply on the support from

:42:24. > :42:26.one other party so they will be setting out their bargaining

:42:26. > :42:30.position? This is the beginning of the process, not the end. Five

:42:30. > :42:33.weeks after today, before the Budget has gone through various

:42:33. > :42:37.committees and comes back to the assembly for a vote. Now you are

:42:37. > :42:40.almost certainly going to see all three Opposition parties saying,

:42:40. > :42:44."We're not going to support this." They will be looking for

:42:44. > :42:49.concessions. Plaid Cymru want concessions on economic development.

:42:49. > :42:53.Some sints in -- hints in the First Minister's Questions there there

:42:53. > :42:56.maybe concessions in that area. It maybe Plaid Cymru they are reaching

:42:56. > :42:59.out to. The Liberal Democrats are pushing education. Their idea of

:42:59. > :43:05.the pupil premium to help the most disadvantaged students in our

:43:05. > :43:13.schools. The Conservatives are refighting the last assembly

:43:13. > :43:19.elections. Carwyn Jones did reach out almost to Kirsty Williams by

:43:19. > :43:22.suggesting she stands by her principles. He maybe picking up on

:43:22. > :43:26.something that happened in the Press briefings this morning where

:43:26. > :43:29.the Liberal Democrats made it clear that they didn't support a freeze

:43:29. > :43:33.on council tax in Wales. They said extra money coming to Wales because

:43:33. > :43:36.of the freeze in council tax in England should go on schools.