Annex 3
LEGISLATIVE CONTEXT
ASSEMBLY FUNCTIONS
The National Assembly for Wales was established
by the Government of Wales Act 1998 ("the 1998 Act").
Section 22 of the 1998 Act states that Her Majesty
may by Order in Council:
— Provide for the transfer to the Assembly
of any function so far as exercisable by a Minister of the Crown
in relation to Wales.
— Direct that any function so far as
exercisable shall be exercisable by the Assembly concurrently
with the Minister of the Crown; or
— Direct that any function so far as
exercisable by a Minister of the Crown in relation to Wales shall
be exercisable by the Minister only with the agreement of, or
after consultation with, the Assembly.
The above power to make Orders in Council has
been exercised on a number of times, resulting in six Transfer
of Functions Orders currently in force. The first Transfer of
Functions Order (The National Assembly for Wales (Transfer of
Functions) Order 1999 SI 1999/762) which came into force on 1
July 1999 remains the principal Order in respect of the Assembly's
manufacturing and trade-related functions.
One effect of the Transfer of Functions Orders
is to have transferred a number of statutory functions of a Minister
of the Crown (most often a Secretary of State), in so far as those
functions are exercisable in relation to Wales to the Assembly.
An example of such a transferred function is that under section
126 of the Housing Grants, Construction and Regeneration Act 1996.
As such, the Secretary of State can no longer exercise the power
to give financial assistance under that section in relation to
Wales. Only the Assembly can exercise that function in relation
to Wales (Schedule 1 to SI 1999/762 refers).
In addition to the above and in pursuance of
a section 22 (1998 Act) Transfer of Functions Order, a number
of other statutory functions have become exercisable by the Assembly
in relation to Wales concurrently with a Minister of the Crown.
Such concurrent statutory functions are distinct from those that
are described as "transferred" in the paragraph above.
An example of a concurrent function is section 7 of the Industrial
Development Act 1982. Whilst the Assembly may exercise the power
to provide financial assistance under section 7 of that 1982 Act
in relation to Wales, the Secretary of State may also exercise
that power in relation to Wales (Schedule 1 to SI 1999/672 refers).
Furthermore, Transfer of Functions Orders may,
and have, placed constraints on the exercise by a Minister of
the Crown in respect of a number of statutory functions. By way
of example, Schedule 2 to SI 1999/672 provides that the functions
of the Secretary of State under section 8(5) and (7) of the Industrial
Development Act 1982 shall be exercisable only after consultation
with the Assembly.
Welsh Assembly Government initiatives in the
economic development arena are essentially undertaken under the
powers conferred by two major Acts:
The Industrial Development Act 1982; and
The Science & Technology Act 1965.
The Welsh Development Agency (WDA) pursues its
industrial development responsibilities under powers conferred
by the Welsh Development Agency Act 1975.
| 
