10. Debate: The Draft Budget 2019-20

Part of the debate – in the Senedd at 6:43 pm on 4 December 2018.

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Photo of Darren Millar Darren Millar Conservative 6:43, 4 December 2018

Diolch, Llywydd, and can I move the amendment, which is tabled in my name?

The Cabinet Secretary started his speech with a reference to the context around this budget and the context in which he has had to set it. He referred a great deal to austerity and the challenges that the UK Government has had to face, and, as a result, the Welsh Government has had to face as a result of the pressure on public finances, but he didn't mention at any time the fact that the reason that we were having to cope with austerity in recent years has been as a result of the disastrous state of public finances that were left by Gordon Brown and Alistair Darling during the Labour Government's time in office.

Now, let me give you a little bit more detail on the context in which this budget has been set, because whilst you have heard that austerity is continuing, nothing could actually be further from the truth. The Welsh Government has a budget in excess of £16 billion next year. It's a record-breaking budget, the largest budget the Welsh Government has ever received, and actually the budget will have increased over the period of the spending review, over and above inflation, between 2015 and 2020.

This year is the biggest budget in the history of devolution, and the current funding arrangements between the Welsh Government and the UK Government mean that for every single pound spent on a devolved area in England, Wales receives £1.20 to spend here. On top of that, the recent spending decisions announced by the Chancellor in his autumn budget mean that the Welsh Government's revenue budget is going to increase by £550 million—that's over £0.5 billion by 2021. And in addition to that extra cash, the UK Government is scrapping the Severn bridge tolls, expected to give £100 million a year boost to the Welsh economy every year. It’s already committed to supporting the development of a mid Wales growth deal, and it has pledged, unlike the Welsh Government, £120 million for a north Wales growth deal, and I think that it’s about time you put your hand in your pocket to put some money on the table too.

So, you've got a rising budget from Westminster and you've got new flexibility in terms of the taxation powers that have been devolved by the UK Conservative Government and that, I believe, is the context in which you are setting your budget and I believe it gives you an opportunity—[Interruption.]—to do things differently. I'll happily take an intervention.