English: The foundational economy, whilst not a complete analysis of our economy, is a very important analysis of a key part of it. Given the needs that the sectors meet, the foundational economy is here to stay, but public policy in all parts of the UK hasn't adequately addressed how we can help it to flourish and to deliver jobs that support a decent living. I want to focus in my speech on the particular role that the public sector can play to support the foundational economy generally. Public bodies, and I include in that local councils, NHS bodies and universities, are huge economic actors as well as deliverers of essential services. They have the capacity to stimulate their local economies through procurement. Some see this role as closer to their core mission than others. Whereas local councils probably have this at least as an aspiration, I'm willing to bet that there aren't many conversations happening within our universities, for example, about how they can proactively grow the local supply chain. It's not realistic to expect to procure everything from the local economy, but we need an approach to procurement that cultivates the local economy, helping to develop and grow businesses in the local supply chain over the long term, and not being satisfied simply with community benefits or a billing-postcode approach. In a recent conference that I convened in Neath on the regional economy, we heard of contractors shut out of bidding for construction work because the contracts let were too large, when they could have been disaggregated and made accessible to local players. What we need to tackle this sort of issue is a new duty of local economic development on major public bodies, which would take us beyond the idea of community benefits. Julie Morgan mentioned examples from Ohio, and, in Cleveland there, public bodies have worked together, developed a collaborative model, through which, in partnership, they proactively support local economic development through their procurement capacity. We are a small country and this is what we should be doing in Wales as well. But there is a more ambitious role for public bodies to play in key parts of the foundational economy. Take the social care sector, which several speakers have already referred to: a growing sector embedded in local communities, and one where the foundations on which it will grow in future are, frankly, precarious. Councils could invest in building care homes and rent them to not-for-profit operators. There's an enormous gap between the profit margins that a commercial operator demands and the current returns on local authority pension funds, and somewhere in between those two points is a point where the public sector can invest for a better return, and for care to be provided more cheaply and with better wages for the workforce than today. Most care workers are women, of course, so let's recognise today, of all days, the particular need to address terms and conditions in this sector. Take, as well, the energy sector, which has also been mentioned. Our communities are totally detached from their own capacity to generate energy, resulting in loss of value to major utilities companies and in fuel poverty, which will never be addressed by a community benefits approach, however generous that is. There are 300,000 residential properties across the Swansea bay regional area. A large number will need energy efficiency measures or renewable energy installation, and all can benefit from cheap energy. Nottingham council owns and operates an ESCo, an energy supply company, Robin Hood Energy. It has created local jobs, cut fuel poverty, reduced energy inefficiency and cut carbon emissions. It generates revenues to reinvest locally. They're looking to expand, by the way, so it's another growing sector. We should also acknowledge today some of the very innovative work under way in both energy and care, and other fields, by social housing providers in our community, who are key partners in the foundational economy. Smart local intervention could transform the foundational economy across, say, the Swansea bay city region. We are about to have a city deal. What we need alongside our city deals are region-wide community deals, investing in sustainable models in the foundational economy to take advantage of low borrowing costs, as well as the potential of the new UK municipal bonds authority and innovative joint pension fund management. There are long-term returns to the public sector and huge economic and well-being gains to the community. What the foundational economy is about is a broader, less economistic view of the economy - one that takes well-being seriously. It isn't about altruism, but about a sustainable economic model with a long-term horizon. It requires some imagination and the confidence to look at the economy differently, informed by a sense of common purpose.
Welsh: Er nad yw'n ddadansoddiad cyflawn o'n heconomi, mae'r economi sylfaenol yn ddadansoddiad pwysig iawn o ran allweddol ohoni. O ystyried yr anghenion y mae'r sectorau yn eu diwallu, mae'r economi sylfaenol yma i aros, ond nid yw polisi cyhoeddus ym mhob rhan o'r DU wedi mynd i'r afael yn ddigonol â sut y gallwn ei helpu i ffynnu ac i ddarparu swyddi sy'n cefnogi bywoliaeth weddus. Rwyf am ganolbwyntio yn fy araith ar y rôl benodol y gall y sector cyhoeddus ei chwarae i gefnogi'r economi sylfaenol yn gyffredinol. Mae cyrff cyhoeddus, ac rwy'n cynnwys y cynghorau lleol, cyrff y GIG a phrifysgolion yn hynny, yn weithredwyr economaidd enfawr, yn ogystal â darparwyr gwasanaethau hanfodol. Mae ganddynt allu i ysgogi eu heconomïau lleol drwy gaffael. Mae rhai yn gweld y rôl hon yn agosach at eu cenhadaeth graidd nag eraill. Er bod hyn yn ôl pob tebyg yn ddyhead, o leiaf, i gynghorau lleol, rwy'n barod i fentro nad oes llawer o sgyrsiau'n digwydd yn ein prifysgolion, er enghraifft, ynglŷn â sut y gallant fynd ati'n rhagweithiol i dyfu'r gadwyn gyflenwi leol. Nid yw'n realistig disgwyl caffael popeth o'r economi leol, ond mae angen ymagwedd at gaffael sy'n meithrin yr economi leol, gan helpu i ddatblygu a thyfu busnesau yn y gadwyn gyflenwi leol dros y tymor hir, a heb fodloni'n syml ar fuddiannau cymunedol neu ddull cod post o weithredu. Mewn cynhadledd ddiweddar a gynhaliais yng Nghastell-nedd ar yr economi ranbarthol, clywsom am gontractwyr yn cael eu rhwystro rhag gwneud cais am waith adeiladu oherwydd bod y contractau ar osod yn rhy fawr, pan allent fod wedi cael eu dadgyfuno a'u gwneud yn hygyrch i gwmnïau lleol. Yr hyn sydd ei angen arnom i fynd i'r afael â materion o'r fath yw dyletswydd datblygu economaidd lleol newydd ar gyfer cyrff cyhoeddus mawr, a fyddai'n mynd â ni y tu hwnt i'r syniad o fanteision cymunedol. Crybwyllodd Julie Morgan enghreifftiau o Ohio, ac yn Cleveland yno, mae cyrff cyhoeddus wedi gweithio gyda'i gilydd, wedi datblygu model cydweithredol, lle y maent yn mynd ati'n rhagweithiol mewn partneriaeth i gefnogi datblygu economaidd lleol drwy eu gallu caffael. Rydym yn wlad fach a dyma y dylem fod yn ei wneud yng Nghymru hefyd. Ond mae yna rôl fwy uchelgeisiol i gyrff cyhoeddus ei chwarae mewn rhannau allweddol o'r economi sylfaenol. Cymerwch y sector gofal cymdeithasol, y cyfeiriodd nifer o'r siaradwyr ato eisoes: sector sy'n tyfu ac sy'n rhan annatod o gymunedau lleol, ac un lle y mae'r sylfeini y bydd yn tyfu arnynt yn y dyfodol yn ansicr a dweud y gwir. Gallai cynghorau fuddsoddi mewn adeiladu cartrefi gofal a'u rhentu i weithredwyr di-elw. Ceir bwlch enfawr rhwng maint yr elw y mae gweithredwr masnachol yn galw amdano a'r enillion cyfredol ar gronfeydd pensiwn awdurdodau lleol, a rywle rhwng y ddau bwynt ceir pwynt lle y gall y sector cyhoeddus fuddsoddi er mwyn cael enillion gwell, ac er mwyn i ofal gael ei ddarparu'n rhatach a chyda chyflogau gwell i'r gweithlu na'r hyn sy'n digwydd heddiw. Mae'r rhan fwyaf o weithwyr gofal yn fenywod, wrth gwrs, felly gadewch i ni gydnabod heddiw, o bob diwrnod, yr angen arbennig i roi sylw i delerau ac amodau yn y sector hwn. Cymerwch y sector ynni, sydd hefyd wedi cael ei grybwyll. Mae ein cymunedau wedi'u gwahanu oddi wrth eu gallu i gynhyrchu ynni, gan arwain at golli gwerth i gwmnïau cyfleustodau mawr ac at dlodi tanwydd, problem nad eir byth i'r afael â hi drwy'r dull manteision cymunedol, ni waeth pa mor hael y bo. Ceir 300,000 eiddo preswyl ar draws ardal ranbarthol bae Abertawe. Bydd angen i nifer fawr ohonynt gael mesurau effeithlonrwydd ynni neu osod ynni adnewyddadwy, a gall pob un fanteisio ar ynni rhad. Mae cyngor Nottingham yn berchen ar, ac yn gweithredu cwmni cyflenwi ynni Robin Hood Energy. Mae wedi creu swyddi lleol, wedi lleihau tlodi tanwydd, wedi cyfyngu ar aneffeithlonrwydd ynni a lleihau allyriadau carbon. Mae'n cynhyrchu refeniw i'w ailfuddsoddi'n lleol. Maent yn ystyried ehangu, gyda llaw, felly mae'n sector arall sy'n tyfu. Heddiw hefyd, dylem gydnabod peth o'r gwaith arloesol iawn sydd ar y gweill ym maes ynni a gofal, a meysydd eraill, gan ddarparwyr tai cymdeithasol yn ein cymuned sy'n bartneriaid allweddol yn yr economi sylfaenol. Gallai ymyrraeth leol ddoeth drawsnewid yr economi sylfaenol ar draws, dyweder, dinas-ranbarth Bae Abertawe. Rydym ar fin cael bargen ddinesig. Yr hyn yr ydym ei angen ochr yn ochr â'n bargeinion dinesig yw bargeinion cymunedol i ranbarthau cyfan, i fuddsoddi mewn modelau cynaliadwy yn yr economi sylfaenol er mwyn manteisio ar gostau benthyca isel, yn ogystal â photensial asiantaeth bondiau trefol newydd y DU a'r dull arloesol o reoli cronfa bensiwn ar y cyd. Ceir enillion hirdymor i'r sector cyhoeddus ac elw enfawr i'r gymuned o ran yr economi a lles. Mae'r economi sylfaenol yn ymwneud ag edrych yn ehangach, ac yn llai economistig ar yr economi - gan fod o ddifrif ynglŷn â lles. Nid yw'n ymwneud ag allgaredd, ond â model economaidd cynaliadwy ag iddo orwel hirdymor. Mae'n gofyn am beth dychymyg a'r hyder i edrych ar yr economi mewn modd gwahanol wedi'i lywio gan ymdeimlad o bwrpas cyffredin.