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Senedd condemns UK budget as ‘failing the people of Wales’

News | Chris Haines - ICNN Senedd Reporter | Published: 10:29, Thursday November 27th, 2025.
Last updated: 10:31, Thursday November 27th, 2025

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Conservative MS Sam Rowlands
Conservative MS Sam Rowlands

The Senedd has voted to condemn the chancellor’s autumn budget, with opposition parties passing a motion that concludes Westminster is “failing to deliver for the people of Wales”.

Sam Rowlands, the Conservatives’ shadow finance secretary in the Senedd, described UK chancellor Rachel Reeves’ autumn budget as an “omnishambles”.

Leading an opposition debate following today’s (November 26) statement, Mr Rowlands said: “People across Wales were looking for certainty, stability and leadership.

“Instead, what they received was a culmination of weeks of confusion, delay, uncertainty and economic instability… it erodes trust and confidence.”

Mr Rowlands accused UK Labour of “breaking promise after promise”, pointing to the party’s pre-election pledge to not increase taxes on working people.

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‘Breaking point’

“Yet, today the chancellor delivered another tax raising budget,” he said. “£26bn in tax rises that will punish hard-working people up and down Wales.”

Mr Rowlands added: “National decisions matter deeply for Wales because we face serious and growing challenges: economic, demographic and social pressures are mounting.

“Our public services are stretched to breaking point, our private sector remains reluctant to invest… households continue to struggle with real cost pressures… businesses are still recovering from multiple economic shocks and local authorities from Wrexham to Pembrokeshire warn of unprecedented budget deficits.”

Plaid Cymru joined the condemnation, with Heledd Fychan – the party’s shadow finance secretary – arguing austerity meant people were facing an impossible choice.

Plaid Cymru MS Heledd Fychan
Plaid Cymru MS Heledd Fychan

She said: “It’s the people of Wales who have had to suffer in recent years. It’s not the cost-of-living crisis, it’s become a way of living for the majority of people – facing that impossible choice… between heating or eating.”

‘Shortchanged’

She described an extra £505m for the Welsh Government over four years “consequential, Barnettised funding that it is usual for Wales to receive”.

“It’s an eighth of what Wales is due from HS2 expenditure alone,” she said.

“And the reality is that real-terms growth in the Welsh budget in the course of this spending review period will be lower than at any point during the devolution era.”

Ms Fychan warned the UK budget was “silent” on reforming “outdated and unfair” funding arrangements, devolving the Crown Estate and correcting historic rail underinvestment.

Welsh Government steps up calls for Crown Estate devolution

She also raised the “fundamental injustice” of Wales being shortchanged on funding to cover the cost of national insurance contribution increases in the public sector.

‘Afterthought’

Conservative MS Gareth Davies
Conservative MS Gareth Davies

The Conservatives’ Gareth Davies accused Labour in Westminster and Cardiff of seeming “intent on tanking our economy”, describing the hopes of growth as akin to a “rain dance”.

He said: “Even the leader of the Liberal Democrats [Ed Davey] stepped off his log flume for an hour this afternoon to tell the chancellor that you cannot tax your way to growth.”

Mr Davies warned the tax burden is set to soar to 38% of GDP, the total value of all goods and services produced in the economy, which is the highest since the Second World War.

Jane Dodds, the Liberal Democrats’ sole Senedd Member and the party’s leader in Wales, warned the nation “once again” felt like an “afterthought” in the UK budget.

Jane Dodds, leader of the Welsh Liberal Democrats
Jane Dodds, leader of the Welsh Liberal Democrats

She said news that the Northern Powerhouse Rail project will go ahead risks Westminster “levelling up England using Wales’ wallet” and leaving the country “without a penny”.

‘Grim Reever’

Elin Jones, the Senedd’s speaker, rebuked Conservative Mark Isherwood for describing the chancellor as “Rachel from accounts” and the “grim Reever” during his contribution.

Responding to the debate, Wales’ finance secretary Mark Drakeford hailed the “very, very welcome” plan in the chancellor’s budget speech to remove the two-child benefit cap, helping to ensure 70,000 children in Wales get the best possible start in life.

Finance secretary Mark Drakeford
Finance secretary Mark Drakeford

He said: “The truth of the matter is that the comprehensive spending review provides Wales with £5bn more than we would have had under the plans left by Jeremy Hunt.”

The former First Minister welcomed further financial flexibility, with an increase in Wales’ borrowing powers and a commitment to uprate the limit yearly in line with inflation.

But the Welsh Government lost the symbolic vote following Wednesday’s debate, with Senedd Members voting 25-24 in favour of the opposition motion. 


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