Five things to look out for as Mark Drakeford unveils Wales’ budget | Global News Avenue

Mark Drakeford is preparing to outline the Welsh Government’s £25bn spending plan that will take Wales into 2026.

The Welsh Finance Minister will unveil the budget on Tuesday afternoon, which will affect the economy and some taxes paid by individuals and businesses.

But since Labor only holds a majority in the Senate, it will have to reach a deal with another party to pass it.

Here’s what to pay attention to.

First Minister Eluned Morgan recently admitted record waiting times for NHS care were “a crisis”.

Reducing the business backlog caused by COVID-19 is a priority for the Welsh Government post-pandemic.

Three years later – most of which has been with Morgan as health secretary – more people are waiting than ever.

The health sector will occupy half of this budget, covering the period before the next senatorial election in 2026.

But Mark Dayan, policy expert at the Nuffield Trust, said improving the situation would take time.

“I think what we’re seeing, whether it’s some improvement in waiting times before the ’00s or some of the cautious improvement we’re seeing elsewhere in the UK, is that even if you start to turn things around, it’s going to take a long time for the average person The number of weeks to wait has really changed significantly,” he said.

In October, Chancellor Rachel Reeves gave the Welsh Government an extra £1 billion for this budget.

Mr Drakeford said it put them in “a different world” after a long period of tight spending and high inflation.

Cardiff University experts say it should be allowed Increase NHS spending No need to raid other departments.

But the picture after 2026 is less optimistic, which could lead to difficult decisions for public services in the not-too-distant future.

Most of these services are run by 22 local authorities in Wales, some of which have issued A dire warning about their financial situation.

Social care, schools, bin collections, libraries and swimming pools are all provided by the council, with most funding coming from Drakeford.

There’s a huge hole in their budgets, and it’s unclear how some will cope balancing accounts.

Their leaders believed that the NHS could not be solved unless social care was solved.

But companies providing care services say there is barely enough money to pay staff the real living wage the Welsh Government wants.

Soon they will have a bigger one too UK Government Budget National Insurance Bill.

Drakeford is happy Reeves gave him more money, but every week at Sened, opponents attack her for other big decisions she has made.

These include means testing pensioners to cover winter fuel costs and maintaining a two-child benefit cap.

this Scottish Government Offers of help have been expressed to those affected.

Although the Welsh Government does not have the same powers as Scotland over the welfare system, it still faces calls to help people pay their living costs.

However, it does have some taxing powers, including some income tax and land transaction tax paid when buying a house.

They could give ministers more money to spend. a lot of Business rates have increased since the last budget.

But raising income taxes would be a big decision. Welsh interest rates have remained unchanged since devolution in 2019.

With Labor holding less than half the seats in the Senate, it cannot make the budget a reality unless it can convince at least one member of the other party to back it in a key vote next year.

We can expect a lot of behind-the-scenes negotiations and haggling, if it hasn’t already started.

Morgan tries to up the ante with a chilling warning How much money will Wales stand to lose if the budget fails to pass.

Losing the vote could also result in a 10p per £1 reduction in income tax, depriving the Welsh Government of vital funding.

That might appeal to some, but for the Senate it would mean a political and financial crisis – and it’s hard to see the government getting through it.

Drakeford said his draft budget would deliver “a bright future for Wales”.

The Welsh Conservatives said social care needed more funding and the NHS was “at a point of crisis”.

Conservative shadow finance minister Peter Fox also called for a “thorough review so taxpayers’ money is well spent and allocated efficiently”.

Support from Wales’ sole Liberal Democrats MP, Jane Dodds, was enough to pass the budget.

Her spokesman said she wanted more funding for social care, child poverty and rural investment.

The last three budgets were passed as part of a partnership agreement with Plaid Cymru, which has now ended.

Plaid finance spokesman Heledd Fychan said the First Minister should “fight for a fair deal” with the UK government led by Keir Starmer.

“If she fails, then Labour’s budget will mean more cuts and diminishing returns on NHS funding,” she said.