1. Questions to the First Minister – in the Senedd on 14 September 2021.
6. Will the First Minister make a statement on the Welsh Government's response to the UK Government's reform of social care funding? OQ56834
I thank Hefin David, Llywydd, for that. The Welsh Government continues to seek clarity on a series of issues that lie behind the headlines of last week’s announcement. That includes the quantum of funding available to Wales and, very importantly, the treatment of cross-border cases. Our ministerial paying for care group, as you've heard, will reconvene to bring forward proposals for Wales.
I'd respectfully say to the First Minister it would have been helpful, perhaps, to have had a verbal statement in the Chamber this afternoon on this, given that it was raised by the Deputy Minister for Social Services at the press conference and a written statement's been issued, and I think not least because national insurance is the most regressive way of funding additional social care, and I would have liked to have heard the Conservatives, because I know some of them have reservations about this—. I would like to hear their views on this way of funding social care. There is a better way to do it, and we've heard already the leader of Plaid Cymru make reference to the Holtham levy, which I've already said would have been a far better way to do it. And no doubt, First Minister, you are frustrated that that cannot happen. I think we are seeing the limits now of the devolution settlement that needs radical change.
Can you guarantee that every penny that comes from this rise is directed to social care in Wales? Can you give that guarantee? And we can see that the UK Government spending review is scheduled for 27 October. How soon after that will we then know the detail of the Welsh Government's plans?
Llywydd, Hefin David points to a very important continuing flaw in the settlement. Health and social care services in England now have certainty about how much money they will have for the rest of this financial year and in the next financial year. No devolved Government has the same certainty. We will not know until 27 October how much money will come to Wales. We know what the product of the recent announcements amounts to, but what we don't know is what other decisions will be made inside the UK Government that would have negative Barnett consequentials. So, we are just as likely to lose money for other decisions as we have been to gain money through this. That isn't the case for the Department of Health in England. They now know that, whatever other spending decisions are made, they're guaranteed to get the money that was announced. We will not know that. We will not know it until after 27 October, and the Member makes a very important point about the unfairness of that.
Now, last year that was partially mitigated by the Chancellor of the Exchequer, because he provided an overall funding guarantee to Wales, to Scotland and Northern Ireland, and we welcomed that because it ironed out some of this uncertainty for us. He's not been willing to do that this year and, as a result, we won't have the certainty that the Member asked for until we know both the money that will come to Wales and other decisions. Members here will remember the completely perverse decision that was made in terms of Barnett comparabilities in relation to the HS2 scheme, where we offered no comparabilities at all, despite the fact that it has direct impacts for us in Wales. We'll be watching for further such decisions over the weeks ahead, and then after 27 October, once we know what we've actually got for health, for social care and for the other very important responsibilities that this Senedd discharges, of course we will return to the floor here with the Government's proposals.