Wales struggles with rising unemployment, low wages, and economic stagnation, prompting urgent calls for action
Carmarthen: The Welsh economy is facing serious challenges. It has fewer jobs, lower wages, and slow growth. This was discussed in the Senedd recently.
Samuel Kurtz, the shadow economy secretary, highlighted the latest labor market data. He said it should be a wake-up call for Wales. The unemployment rate has risen for seven months, now at 5.6%, the highest in the UK.
Kurtz pointed out that Wales is falling behind the UK average of 4.4%. The employment rate in Wales is now 70%, which is the lowest in the UK. This is nearly 5% below the national average.
‘Spluttering’
During a debate, Kurtz noted that the economic inactivity rate is a staggering 25.6%. The UK average is 21.6%. He described the economy as sputtering, comparing it to a neglected car engine.
He said, “Labour has failed to maintain it. As a result, it’s slow and struggling.” The consequences are clear: fewer jobs, lower wages, and stalled growth. Wales is lagging behind the rest of the UK.
Kurtz, representing Carmarthen West and South Pembrokeshire, shared the Conservative plan for the economy. They aim to restore rate relief for retail and hospitality sectors and abolish rates for small businesses.
‘Stagnation’
Plaid Cymru’s Luke Fletcher criticized the Tories’ economic record. He mentioned wage stagnation for 14 years and rising child poverty. Average wages are only £16 a week higher than in 2010.
Fletcher called the latest economic figures a damning trend. He accused the Welsh Government of ignoring serious issues. He urged for a new economic development agency to help improve the situation.
‘Devastating’
Peter Fox from the Conservatives criticized the new UK Government’s policies. He warned that the economy is slipping, with large businesses leaving the UK. He pointed to the national insurance tax rise as harmful to business growth.
Labour’s Hefin David countered, saying the Tories are talking down the economy. He highlighted the negative impact of austerity on Wales since 2010. He emphasized the need for investment to grow the economy.
‘Misleading’
Rebecca Evans, representing the Welsh Government, pointed out a £22 billion gap in the UK’s public finances. She raised concerns about the reliability of the labor force survey data.
Evans stated that the data referred to by the Conservatives is not officially accredited. She accused the Welsh Conservatives of either not paying attention or misleading the public.
In the end, Senedd members voted 38-13 against the Tory motion, with amendments from Plaid Cymru and the Welsh Government also failing.
