Wales's powers divide opinion
Friday, November 14, 2008, 07:00
Their collapsed investments are blamed for triggering the global economic crisis which has pushed Britain, and many other countries across the globe, to the brink of recession.
Job losses, falling property prices, and householders feeling the pinch are some of its more obvious consequences.
But the worldwide financial reverberations which began on Wall Street also have a political resonance in Cardiff Bay.
Supporters of greater law-making powers for the Assembly have been campaigning for a referendum on the issue, which they hoped could be held as early as 2011.
But like mortgage holders watching the price of their properties freefall, they have watched with dismay as some have tried to nudge their cause down the political agenda.
Secretary of State for Wales Paul Murphy recently said that plans for a referendum on extra powers for the Assembly should take a back seat, while politicians deal with the economic crisis.
But should the credit crunch detract from the case for greater devolution?
Darren Price, the sole Plaid representative on Swansea Council, said: "Last year, when Plaid entered an agreement with Labour to govern Wales, one of the many policy decisions taken was to work towards a successful outcome in a referendum on law-making powers for the Assembly by its next election, in 2011.
"As far as we're concerned, that signed agreement will be delivered, regardless of what Labour MPs are saying in London.
"From my point of view, the only reason these Labour MPs do not want to see Wales gain extra powers is that their own roles will be diminished.
"The practical benefits of Wales creating its own laws, and making even more decisions for itself are clear.
"The idea by Paul Murphy that discussions on further devolution should be put on hold to deal with the economy is simply ridiculous.
"Does this mean we should stop trying to address key areas in education, such as the school reorganisation in Swansea, social services, the environment and health too?"
Supporters of the Assembly point to areas where it has set a precedent for the rest of the UK, such as abolishing prescription charges.
Two years ago, the Assembly was granted "enhanced" powers.
But crucially, decisions still have to be referred back to Westminster, where the Secretary of State, House of Commons, or House of Lords retains the power of veto.
Perhaps a growing awareness of what the Assembly can do — and more importantly, what it can't — is reflected in a measure of popular support for more law-making powers for the Assembly.
A website which attracts a following to campaigns such as "Let's get Tea Cosy Pete knighted" might not be the most accurate of social barometers.
But anyone trawling networking site Facebook recently might have been solicited to join Wales First.
In just a few weeks, almost 2,000 people have signed up to what bills itself as a non-party political group calling for a "yes" vote in the upcoming referendum on full law-making powers for the Assembly.
But after Welsh Secretary Paul Murphy's reflection on the issue, many feel it may be sometime before the people of Wales get to vote on the issue.
Peter Black, Lib Dem AM and Cwmbwrla councillor, said: "What has been proved since the Assembly was given more powers is that they are just not working.
"It needs to apply for powers, which is a long and cumbersome process and is slowing down government.
"It is completely against the spirit of devolution.
"The One Wales Government said there would be a referendum before 2011, but it looks likely to go by the board.
"There is cross-party support for a referendum, but if you do not campaign and sell it, then you will not win a referendum."
His claim of cross-party support is not a hollow one.
David Phillips, leader of Swansea's Labour party, said: "I am not in favour of making the Assembly separate from Wales, but I do think the government in Wales should be able to have the powers which let it act effectively for Wales.
"The Assembly is the poor relation because they have to ask for permission, and yet it has actually achieved a lot with little power.
"But for it to be effective it has to be able to raise taxes.
"And I am definitely in favour of that."
Traditionally, the Conservatives might be the party expected to oppose further devolution from Westminster.
But even some Tories are calling for change.
The leader of the Conservatives in Swansea, councillor Rene Kinzett, said: "Personally, I am fairly in favour of the extension of further powers to the Assembly for Wales.
"But I do see that the argument for it must be clearly proved so that the public can see this move as one of benefit to Wales and not just for the benefit of politicians."


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