3. Statement by the Cabinet Secretary for Finance: The Draft Budget 2019-20

Part of the debate – in the Senedd at 3:34 pm on 2 October 2018.

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Photo of Jenny Rathbone Jenny Rathbone Labour 3:34, 2 October 2018

I think this is a very skilful budget, under very difficult circumstances. We all have to note the £800 million that might have been available if we'd managed to maintain the amount of money that could have been expected in line with inflation, if the UK Government wasn't continuing to stick with this austerity programme, which is causing so much pain to so many of our citizens. I think those of us on these benches are particularly distressed at the rise in child poverty that has occurred since 2010. So, I particularly welcome the amount of money you've set aside for enabling more children to take advantage of free school meals. The £7 million across Wales is very important and also the extra over £3 million to maintain the pupil deprivation grant to enable families who are struggling to continue to enable their children to access education in the same way as everybody else.

I'm not surprised that, on the Conservative benches, Nick Ramsay questions the validity of removing the charitable status of private schools and hospitals, but I think it's really important that we have a level playing field, particularly as the training of teachers, nurses and doctors is done by the state on behalf of our citizens, and many of them are then poached by the private schools and hospitals who don't make any contribution to the training of these invaluable individuals. So, it's absolutely right and proper that they should make a proper contribution to the cost of the people they benefit from.

I do not share Nick Ramsay's anxiety that in a future Welsh Labour Government we will use our income tax raising powers. Scotland hasn't used them and they've had them since 1999. So, there's no particular reason to assume that that would be something that would genuinely be open to the Welsh Government, because it's so easy for people who would be able to simply go across the frontier to England in order to avoid these taxes. I'm much more interested in how we can improve the collection of land transaction taxes, because those are things that can't be avoided.

I'm interested in the money that the Cabinet Secretary has set aside both for capital investment in our waste disposal, as well as the income aspect of it, because I recently visited the Cardiff recycling centre to look at the amount of money that can be made out of properly recycling. Aluminium, for example, has a very high price at the moment; cardboard, a lesser price, but even so, it's a very valuable contribution to mitigating the cost of collecting people's waste. We absolutely have to continue to adhere to the principles of reduce, re-use, recycle. So, I'm wondering if you could say a bit more about the £15 million capital to improve our recycling ability, and whether you envisage that being carried out by a consortium of local authorities, rather than each local authority having to provide for their own, because it seems to me that's one of the ways in which can do these things more efficiently.

You will be aware, Cabinet Secretary, that there was a well-attended lobby at lunch time demanding that £20 per person be spent on improving our cycling routes. So, in line with the Well-being of Future Generations (Wales) Act 2015, and our obligations under that, I'd be grateful if you could indicate how you think that the additional money you are setting aside for both filling in potholes, which is incredibly important to anybody who cycles, but also for local transport plans, as well as active travel, how those three aspects are joining up improving the number of people who are able to benefit from cycling and walking without the threat of being run over.

Anyway, I congratulate you on your draft budget and look forward to exploring the detail further.