It’s time for fairer funding for all the nations of the UK (Carmarthen West and South Pembrokeshire)

Cymraeg
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Carmarthen West and South Pembrokeshire <post@cwsplibdems.org.uk>

It’s time for fairer funding for all the nations of the UK

December 12, 2008 12:00 AM
Originally published by Welsh Liberal Democrats

Kirsty Williams has called for urgent reform of the financial system which "doesn't give Wales enough money, doesn't let Wales hold its Ministers to account and doesn't give us the tools we need to do the job".

Ms Williams, new leader of the Welsh Liberal Democrats, was speaking as her party submitted their submission to the Holtham Commission looking at the funding of devolved government in Wales. The Commission has been established by the Assembly Government following a Welsh Liberal Democrat debate in June 2007 which secured cross-party support. Kirsty Williams said: "It is very clear that the Barnett formula isn't working, and Wales deserves better. Wales deserves a system that is fair, transparent and delivers the change that Wales needs. Instead we are stuck with a system doesn't give Wales enough money, that doesn't let Wales hold its Ministers to account and that doesn't give us the tools we need to do the job. "For too long, the debate about Wales' future has been about how we acquire law-making powers. This is an important debate to have, but it should be over by now. Welsh Liberal Democrats want more powers, but we also need to move the debate on. We need to look at devolution phase 2 - where the money comes from. "This is why the Welsh Liberal Democrats tabled a motion to the National Assembly on 20th June 2007 calling for the Assembly Government to establish an independent commission to investigate these matters. We are pleased that they have done so and are happy to play our part in the national discussion about how we move devolution forward. The detailed submission comes in four parts: Part I looks at the problems with the Barnett formula and concludes that it is not suitable for a modern, devolved nation. Part II looks at how we can reform the Barnett formula to make it fairer, which is a short-term solution. Part III looks at a more sustainable long-term settlement, where the National Assembly has revenue-raising powers. Part IV argues that the National Assembly should be given borrowing powers. Kirsty added: "Welsh Liberal Democrats believe that the people of Wales deserve a much stronger Parliament - and that to be effective, that Parliament will need to be responsible for the way it raises its money. I hope our submission will give the Holtham Commission a clear understanding of why the current system is unsustainable, and provide a workable solution for a fairer future not just for Wales, but for all the nations of the UK."