The UK Government will make sure building materials for a proposed floating offshore windfarm off the Pembrokeshire coast will be “as local as possible,” amid calls for Milford Haven to be awarded a freeport status.

Welsh Secretary David TC Davies told the Commons he had made the case to the Crown Estate, which is responsible for the planned windfarm in the Celtic Sea, after Labour told him that building new turbines outside of Wales would be “absolutely unconscionable”.

Tory chairman of the Welsh affairs committee, Preseli MP Stephen Crabb, meanwhile, urged ministers to award freeport status to Milford Haven, as it would work with “real projects, real industry” to deliver floating offshore wind.

After mentioning jobs at risk in the Welsh steel industry, shadow Welsh Secretary Jo Stevens told the Commons: “Steel workers need a government on their side and the industry needs a partner that can provide stability and not sticking plasters.

“Floating offshore wind in the Celtic Sea is a real opportunity for our steel industry and the wider supply chain in Wales, and it would also help mitigate the impact of the cost-of-living crisis for many Welsh businesses in that supply chain.

“If the Government doesn’t provide the necessary stability, we are going to see those platforms built in France and Spain and floated over to the Welsh coast which would be absolutely unconscionable.

“What is he doing to ensure that the Crown Estate leases will use local supply chains in Wales?”

Welsh Secretary Mr Davies replied that he had “met with Crown Estates on a number of occasions to discuss the next bidding round for the sites which are out there in the Celtic Sea”.

He added: “I have been trying to ensure that the supply chain is as local as possible.

“That is why we have supported the conversations between developers and the Crown Estate, and also why I personally visited Pembrokeshire to ensure that the growth deal there supports the new infrastructure, the dock which can allow those projects to be floated out to sea.”

Welsh affairs committee chairman Mr Crabb said: “Does the minister agree with me that whatever interventions we make, or Welsh Government make, has to work with the grain of the private sector?

“To that end does he recognise that the overriding strength of the Celtic freeport bid is that it does work with real projects, real industry to deliver floating offshore wind in the Celtic Sea?”

Wales Office minister Dr James Davies replied: “He will know that there are decisions ongoing in terms of freeport awarding, with at least one due in Wales and an announcement to be made shortly.”