Public Expenditure: Wales
The question
To ask the Chancellor of the Exchequer, what estimate her Department has made of the total amount of Barnett consequential funding which will be made available to Wales following the City Region Local Transport funding announced on 4 June 2025.
Answered by Darren Jones
The 2025 Spending Review set the Department for Transport’s budget for 2026-27 to 2028-29. In line with the Statement of Funding Policy, the Barnett formula is applied to changes in overall department settlements, not to individual programmes. As a result, it is not possible to identify specific Barnett consequentials arising from individual programmes, such as the Transport for City Regions funding announced on 4 June 2025. This is the normal operation of the Barnett formula at Spending Reviews.
The Welsh Government’s settlement at the 2025 Spending Review is the largest in real terms since devolution in 1998. It ensures that the Welsh Government continues to receive more than 20% more funding per person than equivalent UK Government spending in England, which is above their 15% higher relative need agreed in the Welsh Government Fiscal Framework.
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