Wales is expected to receive an extra £1.7billion from next April as Rachel Reeves has claimed her Budget will provide the largest-ever funding increase in the history of devolution.
In what was Labour's first Budget in Westminster since 2009, the Chancellor announced a block grant of £21billion for the Welsh Government for the 2025/26 financial year, which includes £1.7billion of consequential funding.
Part of the £1.7billion awarded to Wales includes £25million to combat coal tip safety and prevent future landslips.
The Aberfan disaster in 1966 saw 116 primary school children and 28 adults killed after a coal tip collapsed in South Wales.
Despite the £25million figure, the Welsh Government has previously said it will need between £500-£600million over the next 15 years to combat the issue.
Today there was no clear commitment to long-term funding from the Chancellor.
The Welsh Government will have control over where the extra £1.7billion is spent but the Welsh First Minister has already outlined that bringing down NHS waiting lists is the number one priority ahead of the 2026 Senedd elections.
First Minister of Wales, Eluned Morgan, welcomed today's Budget, describing the last 14 years with a Conservative Government in Westminster as “wading through mud”.
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“Over the past fourteen years, the Welsh Government has tried again and again to have productive conversations with our UK counterparts. It has been like wading through mud.
“Meaningfully engaging with the UK Government in this process shows once again that this UK Government respects devolution, and our two Governments are working together to deliver for the people of Wales.
“We knew that with this Budget, tough choices would have to be made. But Rachel Reeves has set out her plan to fix the foundations of the economy, and look to the future.”
It's thought 70,000 workers in Wales will also receive a boost in pay from the next financial year as a result of the Chancellor’s announcement on raising the National Living Wage from £11.44 to £12.21 an hour.
The Leader of the Welsh Conservatives, Andrew RT Davies slammed today's Budget, stating it's “built on the back of keeping pensioners cold this winter”.
He added: “Labour’s smash-and-grab Budget will have a devastating impact in Wales.
“This Budget is built on the back of keeping pensioners cold this winter, and the National Insurance rise will be an incredibly destructive jobs tax for Wales’ economy which is already struggling after decades of Labour rule.
“Nobody is surprised that the UK Labour Government has cut business rates relief, just as they have done in Wales, further proving that the Labour Welsh Government’s abysmal record is the blueprint for Keir Starmer’s party.
“And just like their assault on rural communities in Wales, now Labour’s change to inheritance tax rules risks marking the end of the family farm.
“While extra money for our health service is always welcome, it must be ringfenced for cutting NHS waiting lists. But the lack of money for social care reform is a worrying omission from this Budget and is in effect kicking tough choices into the long grass.
“The Welsh Conservatives will defend our businesses from tax raids, and will always fight to keep pensioners warm.
“In the short term, we will provide a voice to those businesses that will close as a result of these measures, and the employees who will sadly lose their jobs.”
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