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Farming: 'New formula will cut funding for Welsh farmers'
Farming: 'New formula will cut funding for Welsh farmers'

BBC News

time13-04-2025

  • Business
  • BBC News

Farming: 'New formula will cut funding for Welsh farmers'

It is "nonsense" to base funding support for farmers on population figures because Wales has more farms than England per capita, a union has funded via the European Union on a needs basis, the move to a new formula will see funding rolled in to the Welsh government's budget - which will be allocated according to population. Guto Bebb, the Farmers' Union of Wales (FUW)'s chief executive, also called the move "concerning".The UK Treasury said Wales would receive an "above population" settlement in 2025-26, while the Welsh government said the budget would provide Welsh agriculture with "significantly more funding" than that provided in 2024-25. Speaking on BBC Radio Wales Sunday Supplement, Mr Bebb said: "This latest decision is very concerning because if there is any future increase in farm funding, Wales will be allocated a population based 5.2% rather than the needs based that we previously had."According to the FUW, this will mean a reduction from 9.2% to 5.2%. The new rule on moving to the Barnett formula was announced in last October's UK Budget. Under Barnett, the Welsh government receives about 5% of spending increases on matters in England, such as health and education, that ministers in Cardiff are responsible for in Bebb said it was imperative that farming unions and farming communities make sure that the Welsh government is aware of the need to carry on supporting a "crucial part of the rural economy" in Wales. In February, First Minister Eluned Morgan said the UK change to future funding support rules for Welsh agriculture was of "huge concern" as the move to a funding formula could see Wales losing out. Addressing the Welsh Affairs Committee at Westminster, she said: "If you just do a Barnett consequential, you're talking about a 5% [increase] whereas, actually, when it comes to agriculture we should be significantly higher than Welsh Government said it welcomed the "full discretion" over the level of agricultural support it can provide, due to an agreement with the UK government. "It has long been our position that funding should be based on need and the Barnett formula only partially recognises the additional spending needs we have in Wales in a number of areas, including agriculture."Our budget provides over £366m for agricultural support this year.""This is significantly more than was provided in 2024-25, the final year in which farm funding was ringfenced by the UK government."An HM Treasury Spokesperson said: "At the Budget, the Chancellor announced the largest real-terms settlements for the devolved governments since devolution."The Welsh government is receiving over 20% more per person than equivalent UK government spending in England, that translates into over £4bn more in 2025-26. "We have baselined the full amount of agricultural funding provided to Wales in 2024-25 into the Welsh government's settlement in 2025-26, which is an above population share."

People 'terrified' by benefit reforms
People 'terrified' by benefit reforms

Yahoo

time30-03-2025

  • Business
  • Yahoo

People 'terrified' by benefit reforms

A Labour politician has said people in his constituency are "terrified" about the chancellor's decision to tighten the criteria for claiming sickness and disability benefits. Alun Davies, Member of the Senedd for Blaenau Gwent, said residents affected by disability and poverty were already struggling "in making ends meet". In Wednesday's Spring Statement, Rachel Reeves announced a number of benefit changes, including tightening qualification rules for Personal Independence Payments (Pips) - the main disability benefit - claimed by more than 250,000 people in Wales. "It scares the most vulnerable people in our society, and that's deeply distressing to see," said Davies. First minister refuses to back welfare cuts Reeves criticised by Labour MP on benefits cuts Spring Statement 2025: Key points at a glance "What we need to do as a Labour Party is to address the fundamentals in the economy," he told BBC Radio Wales' Sunday Supplement. "We're seeing at the moment taxation increasing because the economy is failing. "People want to work and people want to live decent lives and it's the role of government, surely, to help people do that," said Davies whose Blaenau Gwent constituency has the joint highest proportion of disabled people in Wales, according to census data. Labour MP Kanishka Narayan, who represents constituents in the Vale of Glamorgan, told TV programme BBC Politics Wales that "change needs to happen" even though he had received emails from people "feeling uncertainty and anxiety". He said the welfare system is "not getting enough people the support they need to get into work". "A quarter of people in Wales are working age, not in work or not looking for work – surely that is not a context that anyone can accept," he said. Speaking on the same programme, Sam Rowlands, Conservative MS for North Wales, said the Spring Statement had been "rushed through". "We're going to see those people impacted by it not being treated fairly, and we're not going to see the efficiencies that reform in this area would deliver." Ben Lake, Plaid Cymru MP for Ceredigion Preseli, said it was alarming that "the most vulnerable in society" were being asked to "shoulder the burden" of economic difficulties. In her address to MPs on Wednesday, Reeves said "it can't be right" to "write off" an entire generation who are out of work and improperly using Pips. There are two elements to Pips – a daily living and a mobility component – and under the government's proposals, assessments for the daily living part will be tightened, a move the official forecaster – the Office for Budget Responsibility (OBR) – says will affect around 800,000 people. The chancellor also confirmed health-related universal credit for new claimants - which was already due to be halved from April 2026 under a package announced last week - would be frozen at its new lower level of £50 per week until 2030. A Department for Work and Pensions assessment found 3.2 million families across England and Wales would be worse off as a result of the changes, with 250,000 more people pushed into relative poverty. The UK government has said the reforms are aimed at modernising the welfare system, and getting many of those reliant on assistance back into work. On Friday, Wales' First Minister Eluned Morgan refused to back the chancellor's welfare cuts, telling the Senedd she wanted to "reserve my position" until she knew what the impact would be on Wales. Morgan also confirmed she was waiting for a response from Work and Pensions Secretary Liz Kendall to her request for a Wales-specific impact assessment and said she was now seeking a meeting with her.

Wales' brand has become blurred for investors, adviser says
Wales' brand has become blurred for investors, adviser says

Yahoo

time23-03-2025

  • Business
  • Yahoo

Wales' brand has become blurred for investors, adviser says

Wales' image has become "blurred", making it harder to attract foreign investment, according to a Welsh government adviser on the economy. Mark Rhydderch-Roberts, director of the Welsh Industrial Development Advisory Board, said Wales was traditionally "incredibly successful in attracting foreign direct investment" but has seen a reduction in recent years. First Minister Eluned Morgan said growing the economy was her "top priority". The Welsh government is planning to hold an international investment summit in December to attract investors. Hopes for thousands of jobs from investment summit Welsh entrepreneurs abroad 'ready to invest here' Are we selling Wales to the world? "I think currently the image of Wales outside of Wales is quite blurred," said Mr Rhydderch-Roberts. "Is it castles and dragons, is it a centre for investment?" The former investment banker said the nation was currently attracting 3.5% of the UK's Foreign Direct Investment projects, while Scotland was attracting 8.4%. "During the late eighties and nineties we were one of the best in the UK at attracting inward investment," he told BBC Radio Wales' Sunday Supplement. "Since then we've really struggled. I think for all sorts of reasons." Mr Rhydderch-Roberts said some reasons were part of UK wide issues. "Our tax burden is very high, our infrastructure is creaking, our energy costs are the highest in the world," he said. "Those kind of structural factors are pretty much out of the Welsh government's control." Mr Rhydderch-Roberts is also chairman of Glamorgan Cricket which recently sold a 50% stake in Welsh Fire, its Hundred franchise team, in a multimillion pound deal. "One of the things that really resonated with investors... was that Cardiff as a events city is second only to London but, also, the Welsh brand which made us unique among the other seven franchises," he said. Mr Rhydderch-Roberts said Wales as a nation could do more to improve its branding. "What are we selling here in Wales because sometimes our image is rather tarnished by 20 mile an hour speed limits for example," he said, referring to the Welsh government's controversial decision to reduce speed limits across the country. "Those kind of things... the noise in the background... prevents us from looking at the real positives." The Welsh government has confirmed its international investment summit will take place in Newport on 1 December. The first minister told BBC Wales on Friday that she was "looking for billions of pounds of investment to come in and thousands of jobs to be delivered". Welsh Industrial Development Advisory Board

Plans to cut uni jobs and courses lead to 'toxic culture'
Plans to cut uni jobs and courses lead to 'toxic culture'

Yahoo

time09-03-2025

  • Business
  • Yahoo

Plans to cut uni jobs and courses lead to 'toxic culture'

A "toxic" culture has been created by Cardiff University's plan to cut 400 jobs and axe courses, according to a former education minister. Leighton Andrews, a professor at Cardiff Business School, said there was a "climate of fear in the university about speaking out" with staff morale " through the floor" since it announced plans in January to address a £31m budget gap. He has said the university had millions in cash and investments which could be used instead of adopting a "slash and burn programme". The university has been asked to comment, but previously said the proposals are subject to a 90-day consultation. Bangor University to cut 200 jobs amid £15m savings 'Welsh universities are not going bust' 'Land of song silenced if university axes arts' "What they have done is, frankly, destroy trust and good will within the university," Prof Andrews told BBC Radio Wales' Sunday Supplement. "And these are the people you need, academics here to boost the university in the future, to do the ground-breaking research that is needed. "But, at the moment, everybody's focus is on their own jobs." Cardiff University announced plans to make job cuts and axe courses including nursing, music and modern languages on 28 January. The proposals would amount to a 7% reduction in the academic workforce if signed off. Some academic schools would be merged under the plans and staffing levels cut in areas including medicine, the business school and Welsh. "I think it feels very toxic," the former politician added. "I think there is a climate of fear in the university about speaking out." The university has said its proposals are subject to a 90-day consultation, with final plans decided in June. Meanwhile, the University and College Union is balloting members for strike action to fight compulsory redundancies. The professor, who said he has voted for industrial action, has suggested the university use some of its cash and investments - estimated at over £100m - to offset its planned cuts. "That could spread the pain over a longer period, and it could, I think, protect the future of the university," said Prof Andrews, who was in charge of education at the Welsh government from 2009 to 2013. Last month, Bangor University and the University of South Wales confirmed plans to cut 200 and 90 jobs respectively. In February, Vikki Howells, the minister responsible for higher education in Wales, pledged a further £19m for the higher education sector but asked universities to "consider all options", including using its financial reserves, to prevent job losses. Less than a third of 18-year-olds apply for uni

Why are less Welsh 18-year-olds going to university?
Why are less Welsh 18-year-olds going to university?

Yahoo

time16-02-2025

  • Business
  • Yahoo

Why are less Welsh 18-year-olds going to university?

Wales will be at an "economic disadvantage" to other UK nations if it doesn't increase the number of students going to university, according to the sector. Universities Wales - which represents Wales' nine institutions - said action was needed with latest admissions showing 32% of Welsh 18-year-olds applied to university in January, down a percentage point in a year, and compared to 40.6% across the UK. Director Amanda Wilkinson said it "presents the very real possibility that future generations of young people in Wales will be less qualified than those that have gone before them". Welsh government higher education minister Vikki Howells said it wanted to "make it easier for more young people to go to university" if they wanted. Protesters call on Senedd to help save uni jobs 'Welsh universities are not going bust' Cardiff University plans to cut 400 jobs and axe courses On BBC Radio Wales' Sunday Supplement programme, she went on to say it also supported young people in finding the "right route" for themselves, including apprenticeships. Howells said she was confident the Welsh government could find alternative nursing places if Cardiff University goes ahead with proposals to close its course. There had been a warning from union leaders this would threaten the supply of nurses at health boards. But Howells said: "We're confident that if Cardiff does go ahead with these unfortunate plans to cut their nursing school, we can reallocate those places to neighbouring institutions so that there's no threat to the target of nurses that we're looking to recruit." Universities Wales, which represents the nation's higher education organisations, said UCAS figures also showed applications from mature students in Wales "continued to decline" and a widening participation gap between the least and most advantaged students in Wales. "The industries that will drive our economic growth in the decades to come rely heavily on graduates," said Ms Wilkinson. "If Welsh people are not gaining these skills, Wales' economy will find itself at an economic disadvantage compared to the rest of the UK where the proportion of graduates in the workforce will be higher. "It will also result in a lack of opportunities for the people who would benefit from the transformative experience on offer at university." Howells said £1.5m had been invested in improving university participation, as well as increasing school attendance and attainment to "make sure that that we get those people ready for entrance to university". "We do need more graduates for the jobs of the future," she said. "We're investing, for instance, in the Seren programme so that we can make that an equality-based approach so that young people who will have the potential to go to university and might not have considered it previously, can be encouraged to do so." Five things inspectors say about Wales' schools Asking police to search pupils' bags 'impractical' 'I fled Ukraine speaking basic English - now I'm off to Oxford University'

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