Select Committee on Welsh Affairs Minutes of Evidence


Supplementary memorandum submitted by Rt Hon Peter Hain MP, Secretary of State for Wales, Wales Office

BETTER GOVERNANCE FOR WALES

  Thank you for you letter of 10 November. Rhodri and I very much enjoyed the session with your Committee; as you rightly said, it was nothing if not lively! In terms of the questions to which you requested a written response:

STAFFING

How will the Bill ensure that the National Assembly will have both the powers and resources to fund any necessary increase in staff?

  As to powers, the Bill will establish a National Assembly for Wales Commission (comprising a limited number of Assembly Members) which will be the corporate body with powers to provide or secure that the Assembly is provided with the staff, services and property required for the Assembly's purposes.

  The resources required by the Assembly Commission will be payable out of the Welsh Consolidated Fund. This fund will be broadly analagous to the current "Welsh Block": that is, it will represent the resources which will be available to fund the Commission and Ministers, consisting principally of the grant from the Secretary of State for Wales but also including other sources of income. Bodies whose needs will have to be met out of the Welsh Consolidated Fund will be the Welsh Assembly Government itself; the Wales Audit Office and the office of the Public Services Ombudsman for Wales.

Will the National Assembly for Wales have explicit powers to scrutinise and authorise a Welsh Consolidated Fund?

  The size of the Welsh Consolidated Fund will be determined in essentially the same way as the Welsh Block is currently, and will be accounted for transparently to enable scrutiny. However payments out of the Welsh Consolidated Fund will only be made if authorised by a Budget Resolution passed by the Assembly. The only exceptions to this will be the distribution of National Non-Domestic Rates and the costs of the Auditor General for Wales and Public Services Ombudsman for Wales. The independence of these office-holders from the Welsh Assembly Government will be assured through arrangements whereby their costs will be charged directly on the Welsh Consolidated Fund (and therefore not subject to a vote in the Assembly), though these will be transparent arrangements to ensure that both bodies account publicly for their funding requirements.

What proportion of the staff from the current ASPBs (to be incorporated into the WAG) will be working for the WAG, and for the NAW respectively?

  Those bodies which merge before the "Better Governance for Wales" proposals are implemented will in legal terms be merging with the existing corporate body which is the National Assembly for Wales. However all the functions carried out by staff from the ASPBs which are merging with the Welsh Assembly Government will become functions of the Welsh Assembly Government, so in effect the staff carrying out those functions will be Welsh Assembly Government staff. The permanent staff of the National Assembly for Wales will not be civil servants once the Welsh Assembly Government and the National Assembly for Wales are legally separated. Thereafter, as with all Welsh Assembly Government staff, individual staff will be free to make career choices. There will be a policy, after that separation takes place, of facilitating secondments between the Welsh Assembly Government and National Assembly for Wales (and indeed other public bodies).

MEMORANDUM OF UNDERSTANDING?

The Memoranda of Understanding between Wales and Whitehall will be revised in the event of the formal separation of the executive and the legislature. What changes would you like to see in the Memoranda of Understanding?

  Once the position in Wales changes as a result of legislation implementing "Better Governance for Wales", the agreements and guidance on the conduct of business between the Welsh Assembly Government and Whitehall Departments will clearly need to be revised. The revised documents will have to correctly reflect structure, terminology and accountabilites; and to fully support the processes required to ensure that the new arrangements established under the legislation work effectively.

MINISTERS

Do you see any problems with having provisions to the Bill to limit the number of Ministers and deputy Ministers?

Will we see such provision when the Bill is published?

  The First Minister and I agree that this would be a good idea and there will be provision in the Bill when it is published.

  Please do not hesitate to let me know if I can be of further assistance. As I said at the end of the evidence session, I think that your Committee has done tremendous work scrutinising Wales Bills, and I very much hope your Report considers how the pre-legislative scrutiny of future Orders in Council might best be undertaken.

Notional results for a National List

  Note on methodology: The figures below provide notional results for the 2003 and 1999 Assembly elections. The model assumes that the five regional lists are replaced by a single national list. The figures have been produced by aggregating the results from the five regions.

  The purpose of this modelling is to assess the extent to which the introduction of a single national list would lead to fragmentation in the Assembly by enabling fringe parties to achieve representation. It also assesses the effect of applying a 5% threshold to a notional list.

  2003 Assembly elections—no threshold


Party
Lab
Con
PC
LD
Green
Marek
UKIP

Seats
30
10
10
7
1
1
1
Difference
0
-1
-2
+1
+1
0
+1


1999 Assembly elections—no threshold


Party
Lab
Con
PC
LD
Green

Seats
27
9
17
6
1
Difference
-1
0
0
0
+1


2003 Assembly elections—with 5% threshold


Party
Lab
Con
PC
LD
Marek

Seats
30
11
11
7
1
Difference
0
0
-1
+1
0


1999 Assembly elections—with 5% threshold


Party
Lab
Con
PC
LD

Seats
27
9
17
7
Difference
-1
0
0
+1






 
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Prepared 13 December 2005