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Written question asked by Ben Lake (Plaid Cymru) on Monday, 10 July 2023, in the House of Commons. It was due for an answer on Thursday, 13 July 2023 (named day). It was answered by John Glen (Conservative) on Thursday, 13 July 2023 on behalf of the Treasury.


Public Expenditure: Wales

Question

To ask the Chancellor of the Exchequer, whether he plans to uprate the Welsh government’s overall capital borrowing cap in line with inflation.

Answer

The Welsh Government is well-funded to deliver its devolved responsibilities via the Block Grant, receiving a funding premium of around 20% more per person than equivalent UK Government spending in England.

In addition to its Block Grant funding, the Welsh Government already has access to generous borrowing powers to enhance their capital investment and there remains significant headroom within their overall capital borrowing limit of £1 billion.

These capital borrowing powers sit within a wider Fiscal Framework agreed with the Welsh Government. A review of this framework is triggered if the Welsh Government’s funding premium falls to 15%.


Secondary information

Type
Written question
Reference
193213
Session
2022-23
Subjects
Inflation Public expenditure Wales
Link
View this Written question on www.parliament.uk