01 April 2004
The Welsh Assembly government will find it difficult to forge ahead with the proposals for increased autonomy in the long-awaited Richard Commission Report – should it choose to back the plans.
Just hours after the publication of the two-year independent study on March 31, Secretary of State for Wales Peter Hain said he still expects the executive to undertake a referendum should it want to move Wales towards a model similar to Scotland, which has national tax-raising powers.
However, one of the core conclusions of Lord Ivor Richard's study is that such a referendum would be 'complex to devise and might not be justified'.
Hain said Richard's report contained 'food for thought', but added: 'To move it forward, it will be important to achieve consensus between Westminster and Cardiff Bay. However, I repeat what I have already made crystal clear… a referendum would be required on a Scottish model.'
That could hinder the executive from implementing a radical agenda for further devolution over the next decade.
The ruling Labour executive had not formally responded to the proposals by the time Public Finance went to press, but sources at Cardiff Bay claimed 'ministers are broadly positive about many of the recommendations'.
Richard's nine-person committee recommends a beefed-up Assembly –with membership rising from 60 to 80 AMs, elected by single transferable vote – and additional primary law-making powers in currently devolved sectors, such as health and education.
More radically, he also calls for tax-raising powers and suggests a separation of the Assembly's legislature from the executive. These changes should be phased in by 2011 and would cost Wales around £10m extra per year.
Richard said: 'We unanimously concluded that the Assembly needs more powers in order to address Wales' needs and priorities most directly, and to be directly accountable to the people of Wales.'
However, the call for tax-raising powers is not exactly hard-line. Such powers would be 'desirable, though not essential', Richard states.
Plaid Cymru said the proposals did not go far enough. However, it said Richard had recognised that the 'current constitutional settlement was too weak and confusing'.
Plaid president Dafydd Iwan said it provided the opportunity to 'make Wales a modern, confident nation ready to take its place in the world'.
Welsh Liberal Democrats said Richard had provided 'clear vision'.
PFapr2004
