What can Wales expect from the Budget next week?
Mark Drakeford suggested there could be "big projects" announced in renewable energy, housing and transport
- Published
Finance Secretary Mark Drakeford has said he does not expect "a bumper Budget for Wales" from Chancellor Rachel Reeves on Wednesday.
But he told BBC Politics Wales he expected her to set out "the first steps" to "repair the damage of the last 14 years" when the Tories were in power, but indicated it could take five years to achieve that.
Drakeford said he had been "in conversations" with the Treasury and prime minister about coal tip safety, and he was "hopeful that we will see a movement in that direction" when it comes to paying for making former coal mines safe.
He added if it was not forthcoming this week then he expected it would be mentioned in the Spring statement.
- Published30 October
- Published25 October
Meanwhile, opposition parties warned that there would be negative impacts, particularly for rural Wales, in the Budget.
Sam Kurtz, Member of the Senedd for Carmarthen West and South Pembrokeshire and the Welsh Conservative's economy spokesman, said increases to National Insurance contributions for employers would "negatively impact" Wales' small and medium-sized businesses, and a hike in fuel duty would have a disproportionate impact on rural households.
Ceredigion Preseli MP Ben Lake MP, Plaid Cymru's Treasury spokesman, said he was "very concerned" about speculation that scrapping relief on inheritance tax for agricultural land, "would devastate the family farm model that is the bedrock of the agricultural industry in Wales".
Chancellor Rachel Reeves is due to announce her Budget on Wednesday
Drakeford also said there would not be any changes to the model used to calculate how much money the Welsh government receive from the UK Labour government, despite Welsh Labour long campaigning for a shake-up to the Barnett formula.
He said one of the chancellor's most "difficult decisions" was cutting winter fuel payments to pensioners and making it a means-tested benefit.
Drakeford said the Welsh government would mitigate the impact by increasing the amount of money available to people in an emergency, and it had also announced £1.5m extra for warm hubs over the winter.
In terms of investment, he suggested there could be "big projects" announced in renewable energy, housing and transport.
On Sunday, Reeves said there would be £1.4bn made available for improvements to "crumbling" classrooms in England.
Drakeford said there was more the Welsh government wanted to do on improving school buildings in Wales, and added "there's certainly more we need to in the health estate as well".
When does Welsh government set its budget?
The Welsh government will set out its own draft budget for the next financial year in early December.
Welsh Labour do not have a majority in the Senedd so will need to make a deal with other parties in order to pass its budget.
Drakeford said that he had met all three opposition parties in the Senedd and would be following up with them "when we know how the Budget at the UK level has had an impact on Wales".
He said passing the Welsh budget was a collective responsibility, not just for the Labour Welsh government, saying "responsibility for passing a budget lies with the Senedd as a whole".
Opposition parties did not agree.
Kurtz said it was "for the Labour government in Cardiff Bay to come forward with a proposal that does come and cover some of the issues that we want addressed here in Wales".
And Lake added if Labour was "unable to get their budget through the Senedd, that is very much their failure, and not the institution of the Senedd".