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First Minister welcomes extra cash for Wales

News | Richard Gurner | Published: 09:00, Thursday December 6th, 2012.

The Welsh Government has welcomed the announcement of an extra £227million in capital funding.

The extra cash was announced by Chancellor George Osborne during yesterday’s Autumn Statement.

While welcoming the money, First Minister Carwyn Jones still warned that tough times were ahead.

He said: “It is good to see the UK Government have listened to our call for extra infrastructure investment – we have been pressing the case for some time and are pleased that they have responded.

“Despite this extra money, it must be remembered that our capital budget in 2014/15 will still be 39% lower in real terms than it was in 2009/10. The fact is we will still be experiencing deep cuts that will only hinder us in our attempts to boost economic growth.

“The additional capital allocations are smaller in comparison to the additional £500 million capital investment we announced yesterday for the A465 and the 21st Century Schools Programme.

“The Chancellor has also announced a 3% cut in real terms to our revenue budgets meaning we will have to make some very difficult funding choices.

“The reality of this Autumn Statement is Wales is still facing a very tough public spending environment for years to come.”

With an annual budget of £15bn, the Welsh Government will also receive an additional £52m revenue funding.

Commenting on the other provisions of the Statement, the First Minister added: “We are delighted the UK Government has listened to our stance on regional pay and that national pay arrangements in the NHS and prison service will continue and there will be no changes to civil service arrangements.

“It is good to see that the UK Government has made clear its commitment to continuing to engage with us to explore options for improving the M4 in South Wales and that it plans to issue an initial response to the Silk Commission in Spring 2013.”

Newport was also named as one of 12 cities to get funding for faster broadband.

Conservative Welsh Secretary David Jones said: “The announcements made today will have a strong impact in Wales.

“From businesses to individuals, the Autumn Statement demonstrates that this government promotes investment and rewards hard work.”

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