Welsh Government
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Welsh Government and Welsh Liberal Democrats: Joint Statement on Two-Year Budget agreement

With a focus on supporting children and young people and early intervention, the Welsh Government and the Welsh Liberal Democrats have yesterday reached a ground-breaking multi-million pound two-year agreement to ensure stability for the people of Wales in these challenging financial times.

"Central to the agreement is an extra £44m in 2015-16 increasing to £51.2m in 2016-17, to boost the Pupil Deprivation Grant (PDG). This builds on the existing programme which is an important response to the commitment to break the link between poverty and educational attainment.  The additional investment will uplift the current PDG from £918 per pupil to £1050 in 2015-16, increasing to £1150 in 2016-17.

"This funding is over and above the Welsh Government’s commitment to increase school funding by 1% above overall changes to the Welsh budget.  In line with our commitment to raising standards and equality of opportunity for all to achieve their potential, we are extending the PDG to under 5s with an additional £3.8m in both years to ensure that those most disadvantaged children have access to high quality early education in their early years.  We will also be developing a strategic approach to supporting looked after children and children in need through the PDG.

"Enabling young people to access opportunities for work, education, training and apprenticeships has been a shared objective in the agreement. Our public transport system plays a vital part in enabling young people to access these opportunities.  The announcement of a new Youth Concessionary Fare Scheme will help to ensure affordability is not a barrier for young people.  A new discounted scheme for 16 and 17 year olds will start from September 2015, with £5m in 2015-16 and £9.75m in 2016-17.  

"In line with this, we know that apprenticeships are an excellent pathway to employment for young people in Wales.  The additional £10m being announced today will help to mitigate against planned cuts and will deliver around 5,000 new apprenticeships over the coming two years.

"Linked to ensuring young people have the support they need to continue their education, the agreement includes £0.4m over the two years to implement a pilot childcare scheme promoted by the NUS for further education students.  In the first year, the Welsh Government we will carry out a feasibility study to inform a targeted pilot scheme to be undertaken in 2016-17.

"In addition, as part of the agreement, we are delivering £95m worth of capital investments in the Wales Infrastructure Investment Plan pipeline to enable early delivery of key infrastructure assets.

"This includes allocating £30m additional capital to ensure the £57m Cardiff Eastern Bay Link road starts construction next year. We are also investing £6m to secure the early construction of the new £22m A487 Dyfi Bridge, a vital crossing on Wales’s principal South to North coastal route, linking the West coast communities.

"In further support of North Wales connectivity, as part of this Budget Agreement, we are also allocating £10m for a transport project in North Wales. Exact details of the scheme are being developed and will be announced by the Welsh Government in consultation with the Welsh Liberal Democrats.

"We are committing to continue the sustained investment in the Llandrindod Wells county War Memorial Hospital. An additional £5.3m investment will help deliver integrated services for the local population including a new maternity unit and improved patient facilities.

"Furthermore, we are committing to engage with the UK Government to discuss the A483 Pant and Llanymynech bypass, as well as reviewing the proposals for new Lock Gates as part of the SA1 development in Swansea.

"The Welsh Government has made a decision to use some of its borrowing powers to build an M4 relief road around Newport (borrowing powers will also be used to fund infrastructure investment in North, Mid and West Wales) and a preferred route has been identified. However the Welsh Government recognises the objections and concerns about aspects of the plan.

"Both parties have agreed that no construction of an M4 relief road would start before the next Assembly elections.

"They have also agreed with the Welsh Liberal Democrats to commission a detailed Environmental Impact Study on the Welsh Government preferred route before any detailed design work begins. The Welsh Government maintains that they are open to reviewing their position dependent on the outcome of the study and any public inquiry. Both will be considered in detail before deciding how to proceed.

"The Welsh Government have also given the Welsh Liberal Democrats a firm commitment to progress with detailed planning on the establishment of the South Wales Metro system to enhance public transport across the region, with a focus on the Gaer Curve to enable direct rail services between Newport and Ebbw Vale.

"Today’s agreement means that a fair, sustainable and stable Budget can be set for the people of Wales for the remainder of this Administration."

 

Channel website: http://gov.wales

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