HC Deb 11 January 1999 vol 323 cc74-5W
Mr. Denzil Davies

To ask the Secretary of State for Wales, pursuant to the oral answer from the Under-Secretary, the hon. Member for Neath (Mr. Hain), of 9 December 1998,Official Report, column 306, if he will set out the basis of his calculation for the figures of £1.5 billion to £2 billion to which West Wales and the Valleys could be entitled. [64635]

Mr. Hain

This is our best rough estimate of the level of resources that might be available to Wales for economic investment. It is impossible to be specific about the level that European funding might contribute until the overall EU budget has been set.

Mr. Wigley

To ask the Secretary of State for Wales what representations his Department has made to the European Commission regarding economic indicators other than unemployment being used when determining which areas qualify for Objective 2 status. [64749]

Mr. Hain

The UK government, in negotiations on the new Structural Funds programme, have proposed that Objective 2 status be based on a range of indicators which would allow Member States to use their own national and regional criteria to target funds at areas of greatest need. These indicators represent measures of deprivation, the degree of social cohesion, the level and type of unemployment and geographical issues. Negotiations are, however, continuing and the final criteria for Objective 2 status are unlikely to be agreed by Member States before March 1999.

Mr. Wigley

To ask the Secretary of State for Wales what assessment he has made of the financial benefits to Wales of economic indicators other than unemployment being used to determine which areas qualify for Objective 2 status. [64750]

Mr. Hain

Specific estimates of the benefits to be made to Wales of certain areas obtaining Objective 2 status have not been made yet. Any benefits depend not only on whether the indicators chosen secure Objective 2 status for any part of Wales, but on the total financial package for the Structural Funds agreed by Member States. Firm estimates will not be possible until Member States have agreed the Agenda 2000 proposals and the associated financial framework.