The IWA has responded to the National Assembly for Wales’ Finance Committee’s scrutiny of the Welsh Government Draft budget 2018-19.
Our General observations on the budget included
- This budget generally represents continuity: broadly the same level of gradual decline of spend as the last 5 years, while the NHS is protected.
- Spending is increasingly dominated by health- and age-related spending. This trend is likely to continue, and needs explicit, active consideration at both UK and Wales levels
- The UK budget on 22 November 2017 may well result in some further material changes as UK spending choices become clear. The question remains as to where planned £3.5bn cuts to the UK budget will fall, and what the impact will be on the Welsh budget.
We also consider in more detail the implications of proposed spend on Health and the Environment, and the potential of next taxation powers.