Incorporating HC 34 i-xii, session 2007-08 and HC 281 i-xvii, session 2006-07

This Welsh Affairs Committee report, "Globalisation and its impact on Wales" (HC 184-I, ISBN 9780215526373), examines the effects of global trade on a variety of economic sectors, including employment and skills, broadcasting, and food supply and production. The Committee found evidence of existing skills gaps in Wales, for example in specialist areas such as science, and recommends that to avoid dependence on low skilled, low paid jobs, the UK and Welsh Assembly Governments work with the higher education sector to raise the skills base. Universities are the drivers of the knowledge economy, which is key to success in the global marketplace. The Committee believes it is imperative that the UK and Welsh Assembly Governments fully integrate the commercial potential of higher education into their policies. Welsh companies can increase their value and stimulate the local economy by exploiting a strong local identity and values, and by making use of higher level and specialist skills to offer premium goods and services that cannot be sourced abroad, particularly in the farming and food production industries, where Wales is developing a global reputation for excellence. Also in the report, the Committee: welcomes the use of innovative methods of broadcasting used by S4C to engage with audiences outside Wales; recommends the commissioning of more programmes reflective of Welsh identity; supports initiatives helping Welsh companies to exploit their global potential in the creative industries.

Nobel Prize winner Stiglitz focuses on policies that truly work and offers fresh, new thinking about the questions that shape the globalization debate.

In recent years, the United Kingdom has become a more and more divided society with inequality between the regions as marked as it has ever been. In a landmark analysis of the current state of Britain’s regional development, Philip McCann utilises current statistics, examines historical trends and makes pertinent international comparisons to assess the state of the nation. The UK Regional–National Economic Problem brings attention to the highly centralised, top down governance structure that the UK deploys, and demonstrates that it is less than ideally placed to rectify these inequalities. The ‘North-South’ divide in the UK has never been greater and the rising inequalities are evident in almost all aspects of the economy including productivity, incomes, employment status and wealth. Whilst the traditional economic dominance of London and its hinterland has continued along with relative resilience in the South West of England and Scotland, in contrast the Midlands, the North of England, Northern Ireland and Wales lag behind by most measures of prosperity. This inequality is greatly limiting national economic performance and the fact that Britain has a below average standard of living by European and OECD terms has been ignored. The UK’s economic and governance inequality is unlikely to be fundamentally rebalanced by the current governance and connectivity trends, although this definitive study suggests that some areas of improvement are possible if they are well implemented. This pivotal analysis is essential reading for postgraduate students in economics and urban studies as well as researchers and policy makers in local and central government.

Work of the Committee 2008-09 : Third report of session 2009-10, report, together with formal Minutes

Globalisation is having an enormous impact on the UK's economy creating significant challenges for policy-making with the shift in economic power from West to East, particularly the rise of China and India in the global economy. The effects will be on felt on highly-skilled jobs as well as some less-skilled employment, and public policy needs to respond to the likely implications for the labour market. The Committee's report considers domestic policy challenges relating to the promotion of innovation and improving the business environment and the skills base in the economy, and issues discussed include: the drivers of globalisation, trade and protectionism, global imbalances, as well as the beneficial and adverse effects of globalisation for the UK economy. The Committee recommends that, in order to promote understanding of the impact of globalisation on jobs and communities, the Government should publish an annual review of new developments affecting the impact of and prospects for globalisation. Given that protectionist sentiment is increasing, posing a threat to the progress of both developed and developing countries, the Committee supports the Government's promotion of a successful conclusion to the Doha trade round. Globalisation is also threatened by the risk of a disorderly unwinding of global imbalances and the success of a reformed International Monetary Fund will be judged by its performance in ensuring global imbalances are properly addressed.

This inquiry arose from the Committee's belief that any benefits of the 2012 Olympic and Paralympic Games should be felt in Wales and not only in London and the South East of England. The Committee cannot yet conclude whether Wales will benefit from the 2012 Games. Few events will be held in Wales and it is not predicted that Wales will benefit greatly from tourism generated by the Games. An opportunity was missed in the original bid to locate events in Wales particularly in respect of mountain biking and canoeing. In retrospect, it now seems misguided to build expensive new venues when such facilities exist in Wales. Lottery funding will be diverted from Wales to fund the Games, with a loss of an estimated £100 million, which will have a long-term effect on grassroots projects with a reduction in the number of new facilities built and possible problems in maintaining current structures. The Government has launched the London 2012 Business Network and CompeteFor, but there Welsh companies currently only account for 2 per cent of all the total number of registrations on the CompeteFor network. The most obvious benefit to Wales arises from the fact that the Olympic and Paralympic Games in London provide a unique opportunity to generate interest in sport amongst children and young people. Disability sports is a great success story for Wales and the community programme ensures that there are opportunities for children and young people with disabilities. It is important that all sections of Welsh society are engaged with the Olympics and Paralympics and its ideals.