ICAEW.com works better with JavaScript enabled.

Decisions over the medium term are critical to Wales' economy

The economy of Wales is waiting just now for the resolution of several political issues which are being addressed but will take some time to affect the way Wales works.

;

"Martin
Martin Warren

Consider the following three points:

  1. The Wales Bill is slowly progressing through Westminster, but will not be law for some time and will still need Welsh Assembly approval before it is finally in play. This still contains the challenge of income tax raising powers without a referendum.
  2. The PM has announced that Article 50 won’t be triggered until next March and that Wales will not be part of the Brexit negotiations although, apparently all home nations will be consulted and she “will work with the devolved administrations” (whatever that means).
  3. Negotiations are underway with the Treasury regarding the basis of future funding for Wales post the devolving of tax raising powers and the consequential adjustments that will have to flow. Similar talks with Scotland took almost a year and were far from harmonious and Cabinet Secretary Mark Drakeford and his team will need patience and determination to get the best deal for Wales and not just a carbon copy of the one Scotland achieved.

In the meantime business carries on and we can only speculate on the longer term future for Wales.

May I just take this opportunity to apologise to members, members firms and their students for our failure to get ACA training off the ground in Swansea this autumn. I will be working hard to make this happen for next academic year and hope that the momentum gained with many of you will not be lost. If you want this to happen please make your voice heard and help the University of South Wales to make the case.

Martin J. Warren
Director for Wales