On 7 November 2012 peers took part in a debate on the Welsh economy, led by Liberal Democrat peer Lord German.
The Welsh Assembly has devolved responsibility for economic development. Public spending is funded by annual settlement from the UK Parliament.
The settlement was cut by 11% in real terms over four years in the 2010 Spending Review.
For 2012-13, the Welsh government has been granted £1.2bn for capital spending, down from £1.1bn in 2011-12.
In October 2012, Wales had an unemployment rate of 8.3%, compared to 7.9% for the UK as a whole.
Average wages in Wales were amongst the lowest in the UK in 2011-12.