12/10/2011 am.pm

Good morning and welcome to the programme. We have got a

Westminster happy hour coming up. We will take you to Westminster in

a moment for Prime Minister's Questions. You can get in touch

with us whilst we are on air. But before we head off, a quick chat

with my two studio guests - Plaid Cymru's Llyr Huws Gruffydd and the

Conservative Suzy Davies. The unemployment figures have been

published this morning. If I can just give you a headline -

unemployment in Wales and stands at 9%. They have not been that high as

long as I can remember. How much of a concern is that? Nobody wants to

see a rise in unemployment. We are talking about a quarter where

people have left school at which may contribute to it. It does show

at there is a responsibility on government in the UK and in Wales

before it gets worse. A 9% rate is higher than we have seen before.

What can this place do to contribute to bringing back down?

Not as much as we like, but the Minister announced the jobs front

yesterday and we need to develop our infrastructure. We need to

spend money to get people into work to get the economy moving. The

biggest concern is a youth unemployment. We are seeing the

children of parents who were possibly unemployed in the 1980s.

looked through the figures fleetingly this morning. The

pretend -- percentage of 16-17 year-olds is 18 %. We hear about

youth unemployment being a big problem. How much of a concern is

that for you? There might be a seasonal blip, but it looks as if

there is an underlying trend. The opposition parties the need to keep

a close eye on the Minister's plans. On the UK level, we have got the

introduction of the work programme which has been targeted to 16-17

year-olds. There are things coming forward. It seems when you get

figures like that it is not happening quickly enough. Do you

think a finger can be pointed at the UK government? We are facing

severe cuts and they are coming primarily from Westminster and that

is leading to difficulties in employment. It is not just

unemployment, there are other things happening within the economy.

There will be huge pressure put on those people in terms of people who

are claiming disability payments and other types of benefits that

are going to be cut and I think that will create another sub

culture, if you like, of hardship. If you put it all into the mix, we

know we are facing Quinn times, but it is worse than some people have

set. It is about getting people who have been left languishing to get

into work. It does not benefit anyone if people have been left on

benefits and no-one is helping them to get back into work. Feng KPI. We

are going to go over to the House of Commons.

Over to our Correspondent. Thank you. Question ands for Wales.

latest unemployment figures in Wales are disappointing. We do not

need -- need to leave a legacy of the young unemployed people. We

will make sure we give them the help they need to find full-time

jobs. We are introducing measures to support young people to find

employment. 46 % of the workers in my constituency and 45 % of the

workers in the Honourable Member's constituency work in the public

sector. This government wants to set up to 25 % of these workers.

The theory is they will be employed by the private sector. With today's

huge increases in unemployment, where will these jobs come from?

The Honourable Gentleman will know this government inherited the most

appalling economical legacy from the party opposite. A party

opposite seems to think there is a bottomless purse to fund public

sector jobs. He will however be pleased to note that in his

constituency there are, according to the latest figures, some 273

vacancies and I suggest he encourages his constituents to seat

there's places. Are you aware of the recent reports which make it

clear that the fivefold increase in youth unemployment in a Wales is

the legacy left to this government by those on the benches opposite.

In those context, bearing in mind the success of the Prince's Trust

in getting 75 % of young people into employment, work or training,

will he commit the Government to working closely with the Prince's

Trust in involving them closely in the work programme? Well, I commend

the work of the Prince's Trust. I would remind the House that the

Welsh government has a significant role to play. It is in charge of

economic development and and it is in charge of training which is keep

to reducing youth unemployment. that cutting the benefits of young

people to encourage them to search for non- existent jobs crawl?

think the member will find that the work programme that this government

has introduced has introduced a level of tailored support for young

people and other people seeking work. The most important thing for

those people in the position he mentioned is to regain work as

quickly as possible. In my constituency young people are being

equipped with the skills they need. Does he share my concern that the

grants have been cut and there are fewer apprenticeships and

opportunities for young people to get back into work? The issue of

economic development is firmly in the hands of the Assembly

government, as indeed is training. That is entirely a matter for them,

but I am bound to say that I was surprised to see given the economic

backdrop that the economic development budget was cut last

week. One of the flagship government policies that was meant

to help the private sector growth in Wales was the National Insurance

holiday. It has only supported 300 businesses, less than 0.7 %. Will

the Minister tell the Chancellor it is not working in Wales and he

needs to help the 16,000 people who found themselves on the dole as a

result of this government? I think he will find that the increase in

unemployment is a preferable to be incompetent management of the

economy of -- by the government he supports. The Chancellor does keep

these matters under constant review. I am keen to attract more inward

investment to Wales as it is crucial to the recovery of the

Welsh economy. I am working to make sure we can improve the situation.

One of Our best asset is a what rugby team. They are a powerful

advocate for inward investment into Wales. Inward investment can be

helped through enterprise zones. There has been a delay of six

months in making a decision on enterprise zones by the Welsh

administration. Mike honourable friend is right and echoes my work

on many occasions. I do work as closely as I can with the Welsh

government and I encourage them to introduce enterprise zones. It has

been six months of wasted opportunities though. There is

every indication that these enterprises may look similar to

those announced across the board in England, but I am delighted that

finally the Welsh government has announced enterprise zones. When

the Prime Minister of the United Kingdom comes in and sit next to

her during questions, or she asked him to put the Welsh flag up over

Number 10 Downing Street this weekend, like he did with the cross

of St George for the England football team in the World Cup?

Members wish to head the reply! can heartily endorse that

recommendation! Whether the powers that be will be able to fight that

flag or not, I do not know. I cannot give him that guaranteed --

guarantee. One of the issues my constituents raised his business

rates. What discussion has the Secretary of State had with the

Assembly to build on the excellent work local authorities are doing to

reduce the burden of business rates to these companies that wish to

expand? This is a matter for the world government, but I do think

the Welsh government needs to look carefully at the conditions that

exist on the other side of the border in England and ensures that

inward investing companies and other companies in Wales are not

disadvantaged in terms of tax and non-tariff barriers. I would

encourage him to make his representations to be watched

government himself. As she will be a fair, at least two coalmines in

South Wales have been in receipt of inward investment which is growing

there employment and output. Can I thank them both for resource in the

rescue and investigation work following the terrible tragedy at

the mine in the Swansea Valley which caused the death of four

experienced Colliers. Could a or so spent the Secretary of State for

her support over this tragedy, including ensuring that equivalent

to be charitable gift aid that could have been claimable, the

government has agreed to give be 25 % up left to the fund, which is

nearly at �400,000. Can I also thank the principal inspector of

mines and the police for their dedicated and heroic work. I would

like to pay tribute to those foot so it brilliantly led the rescue

efforts in the immediate aftermath of the tragedy last week. But he

and I saw those efforts first hand. I note the impact this event will

have had on his local community. As the Shadow Secretary of State says,

up I have agreed that the government will contribute to the

Swansea Valley fund. I am pleased to say that charitable status has

been secured and we are working in the Wales office with the fund

organisers on the details of the government payment. I am grateful

to her for that. I believe there are a number of important lessons

to be learnt for the future. Can she ensure the report due at the

end of this map is delayed so that account can be taken of a suspicion

-- of a submission I plan for her He issued a call for evidence in

May as an in the process of writing up his report. As this is an

independent of you, it would not be appropriate for me to intervene in

the timing of the report. However, I am sure that any lessons that can

be learned from the investigation into the tragic events at the

Gleision Callery, any recommendations are taken forward.

I look forward to receiving his submission on this. West commission,

Mr Speaker, I will answer questions three and four together. I have

regular discussions with Ministers on how we can improve job

conditions. We will continue to work with the Welsh Government to

achieve that aim. I thank the Secretary of State for that answer.

Can she look at the Bristol Channel and the Severn because as the

second higher rise and fall in the tide. There is a power there that

could be produced and jobs that could be produced by harnessing

tidal pools. Could I ask her what we are doing about it? I think he

knows we have looked at this and we do not intend to review the Severn

tidal power before 2015. It would be irresponsible to rule out such

an important source, circumstances are likely to change down the line.

As I have said before, if the private funding for this project

comes forward, this is something we would look at particularly

seriously. Under the last Government, there was fast too much

onerous employment regulation. Will they welcome the fact that this

Government will be double in the period to qualify to go to an

unfair dismissal tribunal and also charging fees? I think the

honourable gentleman knows we are trying very hard to create the

right conditions to can -- to allow public sector growth. He will know

that we are also exempting them from audit requirements which will

save some up to �200 million a year. The point that he has raised is

just another way in which we are trying to help private business

grow in the UK. Alpine report estimated that 30,000 people in

Wales would lose the Incapacity Benefit as a result of the changes.

How optimistic argue that the private sector will be able to

create that level of employment questioned the honourable lady

makes a valid point. I know with the labour market statistics today

they have not brought good news. I am pleased to report there are

90,000 vacancies across the UK at the moment, of which there are

12,688 and Wales. I know that with the excellent job that is being

carried out between working links and JobCentre Plus, there will be

opportunities for people to find themselves back into work. This

morning we have seen the shocking increase in unemployment. 16,000

more people in Wales desperate to find work. A massive 13.5% in

crease in the last few months as a direct result of this Government's

policies. Can the Secretary of State explain how given this huge

rise in employment -- unemployed and the squeeze on household

incomes, the reduction in the real purchasing power of pensions and

the cruel slashing of the winter fuel allowance at a time of

rocketing prices, can she explain how her Government policies will

stimulate consumer demand in Wales and get growth going? How they will

stem... We are grateful to the honourable lady. Can I extend a

warm welcome to the honourable lady who is now on the front bench. She

and I have exchanged many conversations together and I wish

her well. I am sure she will complement the right member for May.

We would also like to extend our best wishes far. I take no joy from

the figures this morning but I do take joined from the fact that we

have announced sector are based work academies. I hope she will

explain that the Labour Party in the Welsh Government is cutting the

Enterprise budget and not using the party to fees the council tax in

Wales as it is being frozen in England. Mr Speaker, through our

economic policies we are committed to delivering sustainable growth

across the UK including Wales and not just Condon -- concentrated in

Wales -- London and under -- the South East. We are creating the

right conditions for the private sector to grow in Wales. The UK

Government, at the time of high unemployment, high inflation and

rise in borrowing, has taken money out of the economy by putting VAT

up. Does the Minister agree with the Federation of Small businesses

it is time to take a look at a change in it seek to increase

employment levels and Wales? These are matters that the Chancellor

keeps on to review. I am surprised to see that the honourable

gentleman does not regret the fact that the Welsh Assembly Government

has decided to cut its economic development budget at this

difficult time. The enterprise those could create private sector

employment in the most needed parts of Wales. Does he not think that

the Welsh Government's approach has been disjointed at best where some

of the areas in some of the most needy parts has not. He is not

responsible for the Welsh Assembly Government. I agree with my

honourable friend that enterprise zones are key to economic

development and I regret the Welsh Assembly Government has still not

clarified his intentions in this regard. It was reported that the

sharpest decrease and private sector him -- employment happened

this month. I am sure that the honourable gentleman will welcome

today's announcement of sector apply to the whole of the United

Kingdom, including Wales. This will give young jobseeker's the tools

they need to find employment more easily. I have regular discussions

with ministerial colleagues on promoting economic growth and Wales.

My business advisory group is meeting for the North time later

this month. We discuss a wide range of issues that affect the Welsh go,

Amy. -- economy. Would she agree it that as well as exempting small

businesses from domestic regulation, the Government must continue its

approach to reduce red tape and regulation from Brussels? I agree

with my honourable friend. I think it is extremely important in this

day and age when we're up against such economic barriers that we

ensure that it is easy for businesses to thrive in the UK so

the UK becomes the best placed to do business. Can the Secretary of

State talk about how the Welsh Office is aborting economic growth

in the newly announced enterprise zones and will she meet with me to

talk about this. In her constituency, unemployment has gone

up by 11.7%. I need to remind the honourable gentleman that the

enterprise zones are a be devolved matter and they fall to the Welsh

Government. I would ask him to make his representations to the Minister

for business. Can I tell what we're doing. We are increasing capital

spending on roads and railways. We are creating a superfast broadband

network. We're cutting corporation tax and we're cutting regulation,

we are doing a lot to support businesses and I won the Welsh

Government to rise to that challenge as well. There are too

many private conversations taking place. I wanted you bought the

questions and the answers. Speaker, we will consult on

proposed changes to the tariff scheme up and reduce the effects

across the UK in the autumn. We have spoken to a number businesses

across the UK and understand their concerns in this regard. Labour in

Surrey. They created 300 jobs in my constituency. The Tories have

increased unemployment in Wrexham but in the last six months by 12%.

Why are they reversing the successful Labour policy that is

creating private sector jobs when they are supposed to be favouring

jobs and growth? I agree with the honourable gentleman that they are

an important employer in hand -- in his constituency. He will be aware

that they were favouring solar farms and not domestic

installations. He will welcome the announcement that they have secured

a multi-million pound contract. They will install solar panels in

3,000 council homes. One of the grande technology companies that

could boost job creation in Wales. Strong Government support for these

industries will not put the country out of business but will help to

stimulate growth in this area. honourable friend is right. We are

committed to the growth of green industries and Wales. It is still

far too noisy. I know we will all be united and wanting to hear the

next question. With permission, I will answer questions it and 10.

Yesterday I announced the terms of reference of membership of the

commission on devolution in Wales, the cell commission. It will look

at the current regulations and it will aim to report in the autumn of

next year. It will report on the constitutional arrangements and

report and 2013. Over �9,000 per person spent on public expenditure.

In my constituency it is �2,000 less. Yet again Labour has left

Wales in a mess and we want to know what the Prime Minister and the

Secretary of State is going to do about it. Mrs Bone is right. She

says the economy of this country was left in a complete mess by that

lot over there. But he is asking back to a complex questions. The

Barnett Formula is not being looked at by this commission. It is the

subject of bilateral communications between the Treasury and between

the devolved in this racial -- Ministry of -- Government.

welcomed the announcement on the commission of devolution and Wales.

This was a commitment of the coalition Government in Wales. Can

I ask the Secretary of State why are the recommendations

specifically not be looked at. If all of the recommendations are

going to be dismissed, then there will be difficult it ensuring

cross-party support which is important for this commission.

Speaker, can I thank the honourable gentleman to give me the

opportunity to correct them. He has misunderstood the terms of

reference that were agreed across all four parties. I am delighted to

see his party taking part in this commission. What they sell

commission will be looking at his part two of the Halton report. I

know the First Minister is not keen on because it is about taxation

powers and what is excluded is the Barnet formula and something called

a halt and flop which is part of the bilateral communications. Can I

reassure him that I want to move forward if I can on a consensus

basis and I'm delighted his party has worked with me on this

commissions of far. The report will be made in 2013. Will she ensure

that there is a provisional legislative slot with this

commission artists saying that there are some changes necessary

within this Parliament? The right macro has enough experience of

legislation in this House to know that that is not something I can

connect to. They are two parts to the sport, the first will come at

the end of 2012 and the latter report on the shape of powers

between the UK Government and the Welsh Government will come towards

the end of 2013. I will bear in Order. Questions to the Prime

Minister. I am sure the whole House will wish to pay tribute to be

lance-corporal and the marine. were committed and courageous

servicemen who gave their lives in the service of Our country. Our

thoughts are with their families, friends and colleagues. This

morning I had meetings with ministerial colleagues and will

have further such meetings this afternoon. The house will want to

endorse the Prime Minister's words about a were heroic service

personnel. On another issue, what is the Prime Minister then to do

about those group of women in their late fifties who have seen their --

beat pensionable age rise, which means an initial extra two years.

think it is right to raise the retirement age to 66 as we have

done. We know there are a large group of people affected by this

transition and some people having to work for an extra two years. We

are looking at what transitional help we can give to these people

and will make an announcement shortly. Can I join the Prime

Minister in pain tribute to hour servicemen who lost their lives.

They work in -- courageous men who died serving our country.

Condolences to their families and friends. A year ago during our

exchanges, the Prime Minister justified his economic policy by

saying unemployment will fall. Given it has risen by 140,000, is

it not time he admits his plan is not working? These are

disappointing figures that have been announced today and every job

that his last is a tragedy for that person and their family. That is

why this government would do everything it can to help get

people into work. That is why we have the work programme, which is

the biggest back-to-work programme since the 1930s. It will help to

0.5 million people. We have a welfare reform to make sure it pays

for people to be in work. That is why we are reforming our schools,

including raising the participation age to 18 so we end the scandal of

16 and 17 year-olds on the dole. That is why we have a record number

of apprenticeships. But I accept we have got to do more to get Our

economy moving and get jobs for our people. But we must not abandon the

plan that has given us record low interest rates. It is not working!

Today's figures show it is not working and it his -- it is his

failure. Why does he not accept responsibility and do something

about it? I accept responsibility for everything that happens in our

economy. I wish some people who have been in government for 13

years would accept the responsibility for the mess they

left behind. We are doing everything to keep our economy

moving. We have cut taxes, we had the regional growth fund, we force

the banks to loan money. There any say this to him, because I know

what he wants. He wants us to change course on reducing a what

deficit. If we do that, we would end up with interest rates like

Portugal, Spain, Italy and Greece and we would send our economy into

a tailspin! I want him to change course so he has a credible plan to

get people back to work in this country. What the Prime Minister

does not seem to understand is that month after month as unemployment

goes up, the number of people claiming benefits go up, costs go

up and fewer people are in work and paying taxes. To have a credible

plan on the deficit you need a credible plan for growth and he

does not have one. It is not just young people who are suffering. Can

the Prime Minister tell us that -- one was the last time that the

unemployment amongst Women which the levels it has done today?

wrong on his figures. There are 239,000 people in work since the

election. He asked about a credible growth plan?! I asked where his is?

Why did the former Chancellor of the Exchequer say this? If you do

not have a credible economic plan, you are not at the races. Order!

What are the people think of what is being said, they must not show

up their heads off. The Prime Minister and the leader of the

opposition will be held and that is the end of it. Our plan is

supported by the CBI, the business organisations, the IMF, he cannot

even get support from his own former Cabinet ministers. The

former Home Secretary says I think the economic proposition that

Labour puts at the moment is unconvincing. If he cannot convince

his party, how can he convince the country? A Conservative chair on

his select committee says his policies are incoherent. Typically,

he did not answer the question on women's unemployment, so let me

tell him. It is at its highest level since 1988, when another

Conservative government was in power. Instead of apologising for

months late to Maya honourable friend, he should apologise to all

the women of the country. Last year in his Budget the Chancellor

announced a flagship policy on growth. He said the National

Insurance holiday for start-up firms would help 400,000 businesses.

Can the Prime Minister tell this House how many businesses had

actually taken part? 7,000. And on the issue of women in work, of

course I want to see women in work, more women in work. There are

50,000 more than at the time of the last election. It is this

government that has introduced free childcare for two year-olds and

extended childcare for three and four year-olds. We will be giving

child care to all those working less than 16 hours, helping

thousands of families out of poverty and into a better life.

That is what we are doing. He needs to address the big picture which is

this - he cannot convince the former Home Secretary, a former

trade Minister, former Chancellor that he has any idea of what to do

with the economy and the reason why is if we adopted his plan, we would

not be working with the IMF to sort out the eurozone, we would be going

to the IMF to ask for a loan! case he had not realised, when the

Chancellor says 400,000 firms will benefit and only 7,000 are, it

should tell him something. It should tell him his policies aren't

working. His plan is not working. Why does he not agree with us and

cut VAT and put more money in people's pockets. Get the

construction industry going and get young people in work. The one-party

opposite learn that you cannot borrow your way out of a debt

crisis? They left us the biggest deficit, the most indebted

household and what is their answer? T Boruc more money. Is it any

wonder that the former trade Minister described the policies as

ridiculous. -- to borrow more money. What a terrible answer! And DS --

and yes, I will take on those companies in this country that are

doing the right thing. We are seeing a change in the energy

sector because of what I said. Let me just say to him, on the day of

the worst unemployment figures in 17 years, the Prime Minister is

fighting to save the job of the defence secretary, but he is doing

nothing to save the jobs of the hundreds and thousands of people up

and down the country. It is one ball if you are in the Cabinet and

another for everyone else. Well, the last Labour leader thought he

saved the world. They need to accept responsibility for the mess

they made of the economy. You are the party that borrowed too much,

spent too much, let us with unregulated banks, let us were the

less we have to clear up. When you see those two sitting on the front

bench who work for so long in the Treasury, you have to ask

yourselves you would not bring back Fred Goodwin to sort out the banks,

why would you bring them back to sort out the economy? The house

will want to here Sir Peter Tapsell. As Mike honourable friend happened

to noticed that since I put the point to him last month, the head

of Our serious frauds got has publicly deplore the fact that no

serious British bankers have been prosecuted for their ill --

irresponsibility. -- our Serious Fraud Squad. He has urged

legislation should be introduced to Npower his office to prosecute such

as vendors in the future. It is important that inquiries are

conducted in to what went wrong at the banks because clearly it we are

left playing up a mess that the responsibility of others has a left.

If there is room for criminal prosecution then there should be.

Our responsibility is to make sure we regulate the banks and financial

institutions properly and that is what we put the Bank of England

back at the centre of this job. Will the Prime Minister publish a

full list of all the ministers and Downing Street staff who since 20th

May 10 have met Adam Werritty, including himself. Thank you, Mr

Speaker. Order! Would my honourable friend the Prime Minister agreed

that in light of difficult times encountered by my constituents

working for BAe Systems, it is even more important that continued

investment is escalated? Obviously deep position at BAe Systems have

been of concern and that is why we have put in place plans for an

enterprise zone on both sides of the Pennines. It is a great British

company, there is a huge forward order book for it. I will do

everything I can to support that company, including promoting tax

breaks abroad. I have spoken to the Japanese and will soon be speaking

to Saudi Arabia. Imperial Health Care Trust which offers outstanding

clinical care and research in three major hospitals in west London is

being forced to make 5% per annum cut for five years. That is 25 % of

its �900 million a year budget. How does that fulfil the Prime

Minister's promised not to cut They now have a new health

spokesman. I can tell you, he has not disappointed. This is New

health spokesman. It is irresponsible to increase NHS

spending in real terms. That is Labour's position. That it is

irresponsible to increase health spending. We disagree. Her children

and Britain today who live in families that do not provide them

with the type of environment they deserve. That has led to many of

our many social problems. With the Prime Minister agree with me that

this Government needs to do all it can to help some of Britain's

poorest families? I agree with him. If you look at the evidence, some

of the most troubled families in our country, they get the huge

number of interventions from social services and education. But no one

is getting in there to help turn those families around, to change

what those families do to give them a better chance. We are

establishing a new Elms -- surface. We are going to be putting you

resources to turning around 120,000 most troubled families in our

country. We can make a huge difference for those families and

we can reduce that they put on the taxpayer at the same time. Will the

Prime Minister instruct our ambassador in Kiev to make

representations on behalf of the Government and Parliament about the

appalling show trial and princes sentence send down to the former

Prime Minister. Prime Ministers do make mistakes and to lose elections

I she did. She has been put on trial for policy decisions she took.

Will he make clear the Ukraine will not be able to open membership

talks with the EU. We agree that her treatment is absolutely

disgraceful. The Foreign Secretary has made a strong statement about

this. The Ukrainians need to know that this will affect their

relationship, not only with the UK, but with the United Nations -- with

the EU and NATO. UK Government debt is key to job creation. Would the

Prime Minister join me in welcoming the support from Bedfordshire

university, 100 business leaders and my constituency to it set up a

mentoring scheme to support early- stage businesses and Bedford. Will

he ask his Minister to work with me to see if this can be replicated

across the country? I pay tribute to what might honourable friend is

doing. It will be small businesses that will provide the growth and

wealth this country needs. That is why we have an agreement with banks

to increase lending to small businesses, we are providing rate

relief to small businesses, we are giving the small businesses a

holiday from regulation. I applaud all efforts on the local level to

give small businesses the mentoring help and support they need to grow.

Responding to the sound Select Committee's report far forensic

science, a Minister said that we do not agree with the report. Given

that the Home Office was 50% adrift and the National Archive should be

protector. Will he intervene and review the decision to close this

institution because the profession is now losing key scientific staff

from the country and from the profession. I will certainly look

at what the honourable gentleman says. I look at this at the time in

some detail, knowing well the forensic service. The evidence was

overwhelming that the model was not working and change was needed. That

is what has happened and sometimes it is better to make that change

than endlessly review it. The Prime Minister inherited a welfare system

where families were able to claim �2,000 a week in housing benefit

and those working are or worse off than those on benefit. What is the

Prime Minister doing to help families that go out to work?

speaks for millions in the country when these is what people want is a

welfare system that will help people who want to pretend and work

hard and to the right thing. What we are doing is putting in place it

caps so that you cannot have these absurd amounts of money going in

housing benefit to individual families. Sometimes �2,000 a week.

Secondly, universal credit is going to richer it is also worth while

people working and working a little harder. The party opposite now

claim after a decade of giving people for nothing, let's see if

they are able to back that far -- by voting for tough caps on the

welfare bill. If people break the ministerial code, should he or she

did the accord? It is up to the Prime Minister whether the person

keeps their job are not. In the case of the Defence Secretary, it

is important when the Leader of the Opposition has called for not -- an

inquiry, let us allow the Cabinet secretary to do his work to

establish the facts, then a decision can be made. Let me be

clear, the Defence Secretary has done excellent job clearing up the

mess they had been left by Labour. Retirement... He was looking a

transitional arrangements and I would hope that they would result

in is slowing down in the increase of retirement age for women.

have looked at this issue carefully. We will be making an announcement

shortly. We have to look at the most difficult cases where people

have quite an extra amount of working time they would have to do.

Clearly, it is right. We need to equalise men and women's pension

payments. Given that, I hope he will be pleased when the

announcement is made. All Theron records in quoting gender equality.

Will the Prime Minister of date the house on the consultation that he

and the Deputy Prime Minister are having with other Commonwealth it

leaders about this issue: --? Would he not agree that it is better to

resolve this issue before any future royal children are born?

believe this issue should be sorted out. There has been support for

that. In terms of the consultation, I have written to the heads of

state, the Prime Ministers of the other realms concerned, we will be

having a meeting about this. It is not an easy issue to sort and for

many of them there may be issues and worries about starting the

Parliamentary or other legal process. I am clear it is an issue

we should have sorted amount would be delighted to play a part in it.

Does the Prime Minister agree with the recent advice from the shadow

Treasury Minister who said what we is pick good winners and losers and

to conceive of such a simplistic winners and sinners model?

honourable lady makes a good point. The greatest need in our economy

right now is to generate wealth and jobs and investment. Labour

launched a big attack on business which will get us out of these

difficulties. Was the Prime Minister a way before today that

his chief spokeswoman was a former colleague of Mr Adam Webber t?

whole issue, he will produce his report. I would ask people to have

patience, let the facts be established and then we can move

ahead. Is my right honourable friend aware that nearly 40 members

from the side of the House of signed the -- an amendment in my

name that all offenders convicted of using a knife any threatening or

endangering manner will receive a custodial sentence. Will he

consider supporting this amendment? I was listening closely and I know

the Justice Secretary is doing this as well. We do want to move ahead

with the mandatory sentence and we will look at the arguments my

honourable friend mix. Sir John Major said that the Government

should use the euro crisis as an opportunity. His first priority was

the Commons fisheries policy. When will he tell the European Union

that Britain has to withdraw from it? I l was listen carefully to Sir

John Major's advice. In the short- term, what Britain needs to do is

get behind the solution to the eurozone crisis. Frankly, it is

having a chilling effect on the whole of the European economy and

on the American economy as well. That is the first priority. I

except that at the same time as doing that, it is important to get

some safeguards for Britain as eurozone countries go ahead and

sort out their problems, we need safeguards to make sure the single

market goes on working for the UK. Several businesses advertise the

new jobs. Does the Prime Minister agree that there would be further

good news if the banks honoured their pledge to commit to credit

flow and will he keep the pressure on and encourage businesses in

Wales to start advertising for more jobs? We will supply keep the

pressure on the banks. In spite of the difficulties, there are half a

million new private sector jobs in our economy, compared with at the

time of the election. We need of -- all of the things that we -- allow

businesses to grow and expand. We have the Merlin agreement which is

increasing the lending to small businesses. We also have what the

Chancellor has called credit easing to make sure that we can look at

other ways to expanding credit and our economy. This week I had the

privilege of meeting two people from the ready to work campaign.

Impressive young people campaigning against rising youth unemployment.

Can he tell us what his happen to his fight to reverse the trend in

rising youth unemployment? And can he tell us when the last mighty

unemployed young person? It has been going up since 2004. It went

up in the growth years as well as the difficult years. What we need

is a comprehensive strategy that deals with all of the problems of

youth unemployment, including the fact that there are too many people

leaving school aged 16 who spent 13 years under a Labour Education

Secretary. They need to take sums are responsible to for this. They

left school without qualifications to get a job. It is about making

sure we have better education, a welfare system that helps people

into work, and a welfare programme that provides real work for real

young people. Mr Speaker, a recent taxpayers' allows report revealed

that 38 union leaders were enumerated at over �100,000 each,

including Derek Simpson. He received over �0.5 million. Does

the Prime Minister agree with me for union boss pay restraints?

always listen to the trade unions but they will never listen to the

taxpayers a Lions. They do not want to hear about excessive pay in the

public sector. -- taxpayers Alliance. Can he get a grip on his

backbenches following last night's debacle in this chamber. Does he

understand that the perception out there in the real world is that

some MPs would rather talk about their own pensions instead of

discussing and injustice and the death of 96 women and children?

are going to protect that time for that debate. On the issue of MP's

pensions we need to show a restraint at a time when the public

sector is has to show restraint. They will have to be a debate, but

it will not eat into the time for the important debate he mentioned.

Can my right Hon very friend tell the House what action he is taking

to reintroduce rigour into our education system and then the

ridiculous situation under the last Government when 22% of students

studied proper academic studies? think that the Education Secretary

is doing a good job of focusing schools in improving results in

English and maths. And then doing some simple and straightforward

things there were not done for 13 years by making sure the

punctuation and grammar count when Will the Prime Minister reflect on

the comments made by the Taoiseach yesterday regarding the public

inquiry? I have reflected on what was said yesterday. I have

reflected on this whole issue for many months since becoming Prime

Minister. I profoundly believe that the right thing for the Finucane

family and Northern Ireland is not have another costly and open ended

public inquiry which may not find the answer, but instead for the

British government to open up and tell the truth about what happened

22 years ago. We do not need an inquiry to do that. That his wife

the Northern Ireland Secretary will make a statement explaining how we

will do it. In that ends, the greatest healer is the truth, frank

acknowledgement of what went wrong and an apology. Let us get there

quickly and do the right thing. seems the lads will be released and

that will go a long way to peace in their area. The anyone reflects on

what that sold -- if anyone reflects on what that soldier has

gone through, they probably could not comprehend. I wish him and his

family well. That is Prime Minister's questions

over for another week. Plenty to talk about back in the studio.

We will get on with that now. That was a traditional ping-pong Prime

Minister's Questions. One of the worst for a long time. You could

practically guess what they were going to say before they open their

mouths. Very predictable in terms of Ed Miliband's attacks. He has

been on about changing course, but not offering a credible alternative.

Bleating about reducing VAT is one thing, but actually they failed to

support Plaid Cymru when that was a credible solution for a while ago.

David Cameron seems to be in denial. I am not convinced the plan is

working. He needs a plan B. It is 18 months down the line and he is

still trying to blame the Labour government. It does not help him.

His plan a working? Regarding the economy? -- is Planner A working.

It was a bit predictable today, but it did give the government to set

up what it is trying to do and remind people of the steps it is

taking to try and improve people's personal situations at a difficult

time. What do you make of Ed Miliband's performance? I think I

know what the answer will be, but do you think he succeeds in landing

blows? He had three goes at it today and it did get monotonous

towards the end. It is a shame he still pursues this line of

questioning because Cameron does get the better of him every time.

He need a new approach. It comes down to this one point - he has no

alternative to offer. He does not really know what he is asking for.

He comes back relentlessly on this one question. He did set up a few

points, VAT been one of them. He will say he does have a credible

point. Of course he would. Fundamentally, he is not being

distinct enough in what he is offering. If he wants to land blows,

he needs to show a distinct alternative which is not there.

us go back to Welsh Questions that started at 11:30am. We really

expected, we heard reference to it at the end about the Commission on

devolution. I thought it would be dominated the talk about that and

it did not come in until the last five minutes. In it didn't and that

surprise me. That might suggest that the Commission does not

register beyond certain members of parliament who are interested in

that area. A know Labour MPs? was very telling. Not a single one

phrase the question on made reference to it. Maybe that is by

Dick tact from Peter Hain because we know there are differences of

opinion. Ed Balls has also said that things will not change. Carwyn

Jones has a different view here, so it Labour a clearly split on it and

I think the silence says it all. Are you please to see your party in

government at UK level introducing and delivering on a promise? That

is what it is there to do. Some promises take longer to deliver

than others. This one has been lined up for a while and I am

pleased it is happening now. Even though it was late on in the debate,

it was used for to have it brought up to remind people about the

differences with the Barnett formula. George Osborne has said

that it is something he is prepared to look at. But the fact it does

not form the body of the inquiry, it does it suggest it will not be

dealt with? The opposite. The process has already started on it.

We have had one report already there is an indication that George

Osborne will look at it. Cheryl Gillan also said it is up and

running. It's a strange when you have a commission looking at this

court powers for Wales the Barnett formula is not taken into

consideration. There are implications for the rest of the UK

and how that formal works, but that hints towards the fact that people

do not appreciate the fact there are implications for the UK. You

cannot look at it in isolation and that is a point that was missed by

the Welsh Secretary. We will hear from Cheryl Gillan Shaubli. There

will be more to discuss. -- Cheryl Gillan. In the meantime, let's

cross over to the Senedd. This afternoon we start off with

questions to ministers. Today we have got the education Minister and

the local government Minister. A lot of people will be interested in

the unfolding drama about the University of Wales that has taken

another turn today. BBC Wales broke a story last week about a scandal

where the University of Wales was providing degrees for overseas

students in order for them to apply for visas. There have been calls

for the chair of the university to resign. We heard today that the

Institute in Cardiff wants to distance itself from the brand.

Other academic institutions want to do that. Beyond that, most of this

afternoon will be devoted to cancer treatment. Both parties agree there

should be an National Cancer plan. We are going to talk about that now

with Durham Miller, a Conservative member. What is distinctive about

your ideas? We have been calling for a National Cancer plan to be

implemented alongside a cancer drugs fund and buy a cancer co-

ordinator. What we are finding his there appears to be no resistance.

All parties in the Assembly seemed to agree. We are glad that the

Labour Party have caught up with us, but we are not finding the

consensus we need to be guarding access to cancer drugs. --

regarding. Why is that? Each board or trust has a Cancer Fund to pay

for medication needed by cancer patients. We also need to make sure

that resources are used correctly. It is not right that referral times,

the targets for referral times have been missed. No-one is doing

anything about it. We have got to get to grips with this problem and

that is why I am delighted there are to debate in the Chamber this

week, following on from a debate we held last week on this issue. We

need to keep it as Our top priority. You and the Conservative Party

seemed keen on individuals dealing with these situations. Why should

anyone person deal with this? need somebody at the forefront,

driving things forward. They would be a useful point of contact to

make sure the thinking was joined up across the whole service. We are

not seeing that at the moment in Wales and that is what we

desperately need if we are going to see cancer survival rates continue

to improve and access to drugs and services improve. Why we look at

the things you are recommending, many of them are difficult to

disagree with. -- when we look. The Lib Dems are talking about bespoke

plans for individual needs. However, there is no money in the health

service, so how come we improve the situation? There is a lot of

consensus. It is great parties agree on certain element, but these

fundamental differences when it comes to the establishment of a

cancer drug fund is difficult. It is great to have a plan, but you

have to make sure there is someone there to drive it forward. We

believe the best way to do that is to have a cancer co-ordinator for

Wales. But what if we cannot afford things that the moment, how can we

expand when the money is not there? We would have to fund that through

the introduction -- re introduction of a small prescription charge for

those who can pay. Would that provide enough money? It would. We

are talking about �3.3 million out of the �6 billion budget. It is not

a massive amount and it is achievable. It would make a real

difference to those suffering from cancer. We do not see why the

government is trying to resist this. I'm sure there will be a whole host

of ideas and we look forward to hearing a cross-party view this

afternoon. Thank you. Back to the studio.

The you can follow the debate that work spoken about online. The Welsh

Secretary Cheryl Gillan has announced that a former clerk to

the National Assembly will be the chair of the commission looking at

how Wales will be funded. The commission will look at two areas -

financial accountability of the Assembly and the powers it has. Our

correspondent has been speaking to Cheryl Gillan and he asked her

whether there was an accountability gap? There is disappearance of

power without responsibility because �15 billion is passed to

the Welsh government to spend, but they are not responsible for

raising any of that money. It is fair to say that that lack of

accountability needs to be examined to see whether there are areas, as

was late outs in the report done by the Welsh government, if we can

link that accountability said that the people that spend the money up

responsibility -- are responsible for raising that money. No devolved

government has a cheap tax powers without ever referendums. -- has

achieved. Will there be the case? do not want to prejudge what is

going to come out of the commission. Why the need to look at powers? We

had a referendum earlier this year - was the issue not settled? Would

you not confirm the fears of people who are against the Assembly

I think that is the wrong way to conduct devolution. Devolution is

not about putting the Government into blocks of concrete and saying

you must never made. The commercial will look at what is logical. --

the commission. How do we make devolution were better for Wales?

How do we let localism work? This is the UK Government, about getting

decisions closer to people. We want to see if there is a better way of

improving are gradually improving, making changes to that do evolution

agreement. What is key about this is that I have got it to the stage,

terms of agree -- reference have been agreed. We are looking for

what we can do can essentially, rather than almost one institution

sing, give me more powers. That is not good for Wales. This is the

third or 4th commission we have seen in the last day could. Is this

not just more constitutional navel- gazing? No this is the coalition

Government carrying out its job properly. Devolution was done and

in a symmetrical way. In Wales it was interfered with halfway through

the last Labour Government because there have been two on wheels. Now

what we are saying is that, yes we want decision-making closer to

people, but now we're going to look at this properly. We said inner

coalition agreement we will look over the housing. I said I would

deliver the referendum and I have. We are establishing it. We are in

the worst financial crisis ever and here is the UK Government tinkering

around, yet again, with constant done -- constitutional issues. Have

you got your priorities right? our priority is to stabilise the

economic situation of the UK. This commission is the way we are

looking at the economy. You do not have to hold every other part of

Government. It would be wrong for Wales and the United Kingdom not

looking at more accountable to for the Welsh Government and not to

look at a division of powers that was arrived at, by two political

acts, rather than looking at how we get the power in the right place,

to be decided at the right levels of Government. This is the

responsible way about going about her business.

That was the Secretary of State Cheryl Gillan talking to our

correspondent. Let's see what I guess think. Firstly, your reaction

to the set-up of this commission --. The first thing to say is that I am

glad the we have at announcement but it came swiftly. There is a

genuine point to be raised. The size of the commission and the

representation on it. I am pleased every political party has a say on

this. And there we have an independent voice brought to it as

well. Personally I would have liked to have seen more balanced, more

independent voices, including people who have been involved in

constitutional changes. A little broader would have been quite

useful. I do not think it undermines the legitimacy of it.

is not four politicians, it is people appointed by the political

party. You are looking for the breadth of experience. If you look

at the Conservative representative who is a Minister here. But I think

you need a political consensus across the parties. I think that

has to be the case and I think it is healthy the you do have

representatives from particular different viewpoints coming to the

table, along with independent nominees, so you can have a proper

look at the situation. Are you satisfied that Plaid Cymru is

involved? The SNP in Scotland did not get involved are not our Nick

Calman commission. It is important the commission plots unambitious

pause -- course now for devolution in Wales and I would rather be part

of those discussions than being shouted from the outside. I am

fully behind our participation in the process and I am excited as

well. David Cornock raised the issue, has the Government got its

priorities right? We have just had the referendum. It is it -- is it

time to look get the constitutional question again for us --? Cheryl

Gillan acknowledge there is no accountability issue that we have

as politicians here in Cardiff Bay to pass laws but we're not

responsible for the money we receive. We are responsible for the

way it has spent. The commission will look at the powers as well?

The level of support in the recent referendum suggests there is an

appetite for more devolution in particular areas, and I am hopeful

that the commission will come to that conclusion also. I do not

agree with you last point. I think the whole issue about the

referendum about freeing up existing powers was... We have not

seen them being put into action. This is an issue about additional

and different powers, that was not addressed in the Welsh referendum.

Trying to discuss them as part of the process is not helpful. It may

be answer wait to the arguments of the no campaign back in March when

they said this would lead to a slippery slope of additional powers.

I would like to discuss them as separate concerts. I am old enough

to remember the existing -- the Richard commission. Not all of the

recommendations and those have been taken on board. Is there a danger

here that whatever this commission comes a month, it does not see the

light of day? That will be the test. There was a question today whether

they will secretary could give a commitment that there would be

space in terms of legislative time tabling for something to come

forward. She declined so we will have to wait and see. The important

thing is that the commission will have risen brings conclusions and

then political pressure has to be born. We will be back with you

later. Mark has been meeting some people

who have been the Senate today to present a petition today.

It is hard to believe that anyone can be cruel to be a creature like

the miniature Shetland pony. Apparently this is a major problem.

People will treat -- people maltreating these creatures.

Jennifer MacGregor who is looking after our Shetland pony and Nick

Ramsay from the Conservatives. Tell us who you represent and why you're

here? I am chairman for the Society for the welfare of horses and

ponies. We are involved in all South Wales and we have had a major

problem of the past few years with animals that have been abandoned or

are on the roads that we have to be -- we have had to pick up. They are

all baloney to people who do not have passports or Micra chipping so

it is difficult to ever find an honour when we have something that

comes in in a bad state. When you say a major problem, give us an

idea of how it is getting worse? We're talking about thousands of

animals. Upon the hills and then roads. It is it very big problem in

this area. At last, people are starting to become aware. William

Powell, there is a law that states that falls -- young horses should

be microchip. The petition is calling upon the authorities to

enforce the micro chipping regulations. As the committee, we

will be looking at close detail, at how to take this forward. Clearly,

it is a matter of great concern locally and that is reflected in

the number of petitions we have here this morning. And an original

presentation as well. Nick Ramsay, is there something you have been

aware of? It is a problem all over. We have the horse hospital which do

wonderful work in my constituency. I visited the hospital some months

back and realise the extent of it. There are laws in place, but

unfortunately they are not having an effect on what is happening.

This will help raise the profile of the problem we have got. In

addition to that, I have received thousands of postcards from people

who are concerned about this. you for joining us today. An

important issue and it is goodbye you are bringing it to public

notice. That was marker and a pony. Before

we go, we will have a quick chat with her guests. We will top about

the University of Wales and its future. As a holder of a degree of

the University of Wales, Leighton Andrews has said this morning that

the in a restive will should be given a decent burial. We have

heard all sorts of stories. How do you feel as someone who studied

there? Huge concerns. It is a great concern. There are questions to be

asked about fundamental issues about the governance of the

University of Wales and how it has been allowed to get to this point.

The Minister was right to bring up the question of the individuals

involved in this. It is a shame that we do not have his statement

in the Senate. It was an urgent question this afternoon. Limits the

scope for other members to contribute. The Minister should

make key statement to the House. He is making bold statements on radio

stations and he is good it grabbing headlines, it is here we should be

discussing issues. What remembers can hear these fears. We have heard

what Leighton Andrews said. Other institutions want to change the

name. Do you think Leighton Andrews should have said more should have

been said -- done? I think this is a terrible shame. The good name of

unit - why the universe did is one century-old. It is disappearing in

this shambolic debacle. It is upsetting. The writing was on the

wall. The University of Wales should have been saying, while our

be losing our flagship institutions. That is why the Minister and others

have said individuals need to be looked at to see what happened.

Minister's Wayne has hardened. On Monday he was Colin for the chair

of the council to step down. That reflects the mood generally. People

are becoming impatient with the situation. The University of Wales

needs to give out be clear signal in terms of getting to the writ of

some of the governance issues that have been highlighted through the

investigator for the BBC has done. At the end of the day, the Minister

needs to bring a clear statement to the House, and on a statement, so

we can see where he stands and move forward from there. Thank you both