Elin Jones MS, Cabinet Minister for Finance
Today, the Senedd voted against the Welsh Government's First Supplementary Budget for 2026-2027.
This outcome is deeply disappointing. The Budget would have provided an additional £433 million of investment to support key public services and deliver commitments to the people of Wales. It contained no reductions to existing services and was focused on directing additional funding to areas facing significant pressure.
The measures rejected today included £145 million to reduce NHS waiting lists and increase capacity, £55 million to accelerate the rollout of funded childcare, £15 million to support the extension of free school meals, £8 million to continue the £1 bus fare pilot for young people, £20 million for social housing and £40 million to address maintenance pressures across the school estate.
The Welsh Government continues to believe these were affordable, responsible and deliverable proposals.
The work of the government goes on, and we will press ahead with delivering on manifesto commitments and the priorities of the people of Wales. The Annual Budget for 2026-2027, approved by the Senedd in January, remains in force and continues to provide the legal authority for Welsh Government expenditure. Public services will continue to operate and funding will continue to flow under those approved plans.
We will continue to invest extra revenue and capital funding to reduce NHS waiting times, supporting children and families, increasing the supply of social housing, and improving educational outcomes. We remain committed to delivering these priorities.
However, there are real consequences arising from today's decision. We will assess what additional mitigations will need to be considered to ensure prudent financial management. Given the pressures on public finances, we must avoid creating additional spending obligations where the funding position has yet to be agreed.
This means that our affordable and deliverable package on Additional Learning Needs will now not be able to move forward as intended this year.
The Welsh Government remains committed to managing the public finances responsibly and to delivering improvements in the services that matter most to people across Wales. We will now consider the implications of today's vote and the options available to us within the resources and authorities currently approved by the Senedd. We will bring back a supplementary budget later in the financial year, to regularise this funding, and will continue to manage our spending prudently.
The people of Wales rightly expect their elected representatives to work together to support public services and make the best possible use of public money. Our objective remains straightforward: to direct available resources to the priorities that matter most, to manage the public finances responsibly and to deliver tangible improvements in people's lives.