Byron Davies AM
The Welsh Labour Government must spend the third round of EU structural funds wisely or risk condemning parts of Wales to remaining amongst the European Union’s poorest regions, Welsh Conservatives claimed yesterday.
Wales has received over £4billion in the past two tranches of EU structural funds and is set to receive a further £2billion in the new 2014-20 round.
European Structural Funding is awarded to regions with a gross domestic product of less than 75% of the European Union average. West Wales and the Valleys have qualified for a third round.
Speaking after the debate, Byron Davies AM, Shadow Minister for European Affairs, said:
“The fact that parts of Wales have qualified for a third round of EU poverty payouts is an indictment of Labour’s failure to raise prosperity levels in West Wales and the Valleys, despite the spending of over £4billion.
“Despite the accession of former Soviet bloc countries, parts of Wales remain amongst the poorest parts of Europe with productivity levels below 75% of the EU average.
“Any fool can spend money, but this £2billion of EU funding must be spent carefully and thoughtfully to deliver the maximum benefit for the Welsh economy and create the conditions in which indigenous businesses can prosper.
“It’s simply not good enough for Labour Ministers to crow about input and how much money they’re spending when they should be focussing on output, on productivity and on the benefits delivered for the Welsh economy.
“Instead of splashing cash on short-term gimmicks, schemes and temporary grants, spending should focus on investment in infrastructure to secure long-term private sector growth to create jobs and prosperity in Wales’ poorest areas.
“Last week, a Wales Audit Office report concluded that Labour’s plans for structural funds are caught up in too much red tape and that there remains little ambition in setting targets.
“After 15 years of failure in successive Welsh Labour Governments, Ministers must now bring forward considered proposals to invest EU funds to build a more prosperous economy for the people of Wales.”
