Speaking in yesterday’s Senedd Debate on the Welsh Government’s Draft Budget 2021-2022, North Wales MS and Shadow Local Government Minister Mark Isherwood blasted the underfunding of North Wales Local Authorities and the “wholly inadequate” support for the third sector and charities.
Mr Isherwood said the pandemic has “shone a spotlight on the failings of successive Labour Welsh Governments in managing our vital public services”, and called for the budget to be more focused on helping communities to build back better in the recovery from the pandemic.
He said:
“Effective budgeting is about both how much and how well money is spent. The pandemic has shone a spotlight on the failings of successive Labour Welsh Governments in managing our vital public services. In the year before the pandemic, NHS waiting times doubled in Wales, and increased eight times during the pandemic. As Joseph Rowntree Foundation reported last year, Wales has retained the highest poverty rate of all the UK nations throughout devolution since 1999.
“Further, their “Poverty in Wales 2020” Report two months ago found that Wales still “has lower pay for people in every sector than in the rest of the UK” – and that “Even before coronavirus, almost a quarter of people in Wales were in poverty, living precarious and insecure lives”.
“These shocking statistics highlight the failure of successive Labour Welsh Governments to adequately use their resources and devolved responsibilities to tackle long-standing social injustices in Wales.”
He added:
“This Draft Budget provides wholly inadequate support for the third sector and charities in Wales, at the forefront of Wales’ response to the pandemic whilst experiencing a dramatic decline in vital income that supports services. It states that an additional £700,000 will be provided, on top of the £3 million to support the sector in its response to COVID-19 and the £24 million Welsh Government Third Sector Covid-19 Response Fund. However, the Wales Council for Voluntary Action estimate that charities in Wales have lost around 24% of their income this year, or £1.2 billion for charities based in Wales. This Draft Budget therefore needs a greater focus on helping our communities to build back better.
“For example, the Bevan Foundation have called on the Welsh Government to use some of the unallocated hundreds of millions from the additional £5.2 billion provided by the UK Conservative Government, as part of a multi-year investment strategy to support families in poverty.”
With regards to funding for Local Government, Mr Isherwood expressed concern that despite the impact of COVID-19 on local services and communities in Wales, Councils will receive a smaller increase in their settlement than this financial year, and that North Wales Councils are again losing out, with an average 3.4% increase compared to 4.17% in South Wales and 5.6% for top-placed Newport
He also criticised Labour Welsh Government for once again refusing a funding floor to protect Councils like Wrexham and Ceredigion, expected to cope with increases of just 2.3% and 1.96% respectively.
He said:
“As I have been repeatedly telling successive Welsh Governments for many years, working with the public and voluntary sectors to design, deliver and fund key early intervention and prevention services will spend money better, deliver more, reduce cost pressure on Statutory Services - and therefore save more from the Welsh Government's budget too.”