10. Debate: The Final Budget 2022-23

Part of the debate – in the Senedd at 5:55 pm on 8 March 2022.

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Photo of Janet Finch-Saunders Janet Finch-Saunders Conservative 5:55, 8 March 2022

I'm sure that all Members would love to join with me in welcoming the UK Conservative Government's budget 2021 announcement of an extra £2.5 billion per year, on average, for the Welsh Government through the Barnett formula over the spending review period. And let us not forget that this is on top of its annual baseline funding of £15.9 billion. The Conservatives are giving Wales the largest annual funding settlement since devolution, and still you moan.

But are you planning to use it wisely? No. You're paying for school meals for some children of parents on very high incomes, putting unnecessary pressure on the public purse—and we're talking £90 million. You're showing your true socialist colours by wasting £20 million on a universal basic income pilot, and you are reducing the capital budget for health and social care, meaning a lack of investment in the NHS estate and equipment, despite the Welsh NHS Confederation stating that staff are more productive when they have the right, up-to-date equipment to efficiently treat patients. That is not good.

COP26 united the world in acknowledging the need to 'keep 1.5 alive' and achieve net zero. This Welsh Government launched the Net Zero Wales carbon budget 2021-25, but it is clear from the budget that not enough is actually being done to protect our environment. There's £37 million allocated to progress the shift to low-emission vehicles; however, Wales is sadly lagging behind much of the United Kingdom when it comes to the installation of fast charging points. In fact, Wales has only four more rapid charging points in the whole country than Milton Keynes, which has a population of just 265,000. Absolute failure.

Of the £1.8 billion in capital funding, £1.6 billion is spent on the decarbonisation of housing. Therefore, it's actually reasonable to question how £200 million can be effectively used to combat our climate emergency. The main body to help enhance environmental protection and monitor pollution incidents, Natural Resources Wales, is actually receiving a real terms cut in its funding, remaining the same at £69.7 million for 2022-23.

Despite declaring a nature emergency, this budget actually makes it challenging to understand the exact spend in relation to direct benefit for nature. It is really vital that the Welsh Government produces detailed analysis across budget lines as to how this budget actually does combat the nature emergency. In fact, this ambiguity is just further evidence that Wales Environment Link are correct that the scale and pace of action needed to address the nature crisis are simply not in place.

The budget does nothing to extend the rates relief for small-scale hydro plants, to encourage investment in such projects. Instead, we have a Welsh Government distracted by working towards the expansion of the state and the creation of Ynni Cymru, a publicly owned energy company for Wales. Have you not learnt the lesson, Minister, from Bristol City Council, which, despite investing £36 million to fund an energy company, went on to sell it for £14 million? But that is rather like this Government spending £52 million on an airport, plus a further £100 million, only to have it valued at £15 million. That is what we're dealing with here. I think you should leave those kinds of ventures to the private sector, where such expertise does flourish, and they have ambition and aspiration.

The same goes for the revenue allocation of £1 million to develop Unnos in 2022-23. Honestly, why don't you leave our house building to the developers who actually just want to get on with building those homes that you have failed to allow to be built over the years? 

Despite Net Zero Wales noting the Welsh Government's expectation that, by 2025, around 148,000 across Wales will receive retrofit measures to reduce heat loss, and a capital allocation of £72 million made in 2022-23 for residential decarbonisation, along with a total revenue allocation—