Oral question asked in the House of Commons, by Lord Hain (Labour). It was answered on Wednesday, 11 May 2011 on behalf of the Wales Office.

Devolution Funding

Question: I know that the hon. Members for Cardiff North (Jonathan Evans) and for Vale of Glamorgan (Alun Cairns) will disagree with the Secretary of State on that, because Labour won the Assembly seats in their constituencies with thumping majorities. If, as the Chief Secretary to the Treasury suggested yesterday, Alex Salmond is to get the borrowing powers that he is demanding, as well as the ability to reduce corporation tax, how will increasing borrowing fit with her Government's preoccupation with reducing the deficit at all costs? Furthermore, is not her Conservative-led Government playing into the hands of separatists by promoting separate economies?

Answer: I would never play into the hands of separatists; I am a devoted Unionist, as I hope the right hon. Gentleman is. Before the Assembly elections, he and his party consistently boasted that they would win a majority in Wales, and I consider failing to do so a significant failure for him and his leader. On the question of separatism, however, he will know that my door is always open, and I would hope that we could join in common cause on this matter. He and I, and his party, support the United Kingdom and I want to ensure that all steps taken by the Wales Office will reinforce the United Kingdom. I see him nodding, and I am grateful for his acknowledgement that he would join me in that cause. I am sure that we can work well together on that.

Secondary information