I would like to welcome this draft budget, which outlines continued support for local authorities as they continue to provide services at the forefront of the pandemic. I understand that it's more generous than what has been allocated for English councils by UK Government, and the fact that it is free from hypothecation, as in Scotland, is most welcome.

However, I'd like to outline some concerns I have about the lack of funding outlined for the maintenance of existing highways maintained by local authorities. The Welsh Local Government Association have been told there will be no continuation of the much valued grant of £20 million and that road maintenance funding is being reinvested into active travel. I was told in response to my question in the Senedd that funding from the pause in the building of new roads would be reinvested in active travel and the maintenance of existing roads. In these challenging financial times, it's essential that we do not neglect the maintenance of our highways. Following 10 years of UK austerity and cuts to public service funding, a 2020 county surveyor survey estimated that a backlog of deferred highway asset maintenance of more than £1.6 billion currently exists.

In addition to constant use and ageing, our assets are undergoing pressure from the effects of climate change. The heavy rainfall we are experiencing washes away road surfaces, creates potholes, sunken gullies and fills drains with debris that then have to be constantly emptied to be effective. Recent additional Government grant funding has provided authorities with the opportunity to arrest deterioration of some, but not all the highway assets. It was really much valued, that £20 million each year over the last three years. A steady state investment is required annually to keep the assets in their current condition. It's estimated, just to keep them in their current state, carriageways require £65 million per annum, footways £9 million, and structures including bridges £46 million per annum. These structures, such as bridges, are being impacted greatly by flooding and climate change. So, they really need this investment. Allowing assets to deteriorate to this level where replacement is the only option risks incurring avoidable costs in the future, and the potential for some assets to fail at short notice, which is happening now, such as a new bridge—. There's a bridge in Denbighshire and there have been landslides in Flintshire. Many local authorities have been impacted. All this will necessitate expensive reactive repair, closure and, in extreme instances, increased user risk.

I notice that trunk road agencies continue to be comparatively well funded, as they have again in this budget, but most of our highway network falls to local authorities. Motorways and dual carriageways account for a very small percentage of our infrastructure across Wales. Our roads need to be maintained so they continue to be available for use by pedestrians, cyclists, public transport, motorists and businesses. It's impossible to provide dedicated cycle routes on the majority of our highways. Cyclists need to use the edge of roads, which are made dangerous by potholes and blocked gullies. These also cause increased wear of tyres, which are one of the greatest pollutants and cause exacerbation to climate change as well, and pollution in our water courses. Going forward, I would like to see significant and continued Welsh Government investment in our roads network to ensure that they are fit for purpose. They are our biggest assets. Thank you.