Meetings

4.5.1 The paper was noted by the Committee.

NDM5986 Jane Hutt (Vale of Glamorgan)

To propose that the National Assembly for Wales, in accordance with Standing Order 20.25:

Approves the Annual Budget for the financial year 2016-2017 laid in the Table Office by the Minister for Finance and Government Business on 1 March 2016.

Footnote:

In accordance with the relevant provisions contained in the Government of Wales Act 2006 and Standing Order 20.28, the Annual Budget comprises the following information:

1. the written statement required under section 125(3) of the Government of Wales Act 2006;

2. the resources agreed by the Treasury for the Welsh block budget for the financial year covered by the motion;

3. a reconciliation between the resources allocated to the Welsh block budget by the Treasury and the resources to be authorised for use in the motion;

4. a reconciliation between the estimated amounts to be paid into the Welsh Consolidated Fund by the Secretary of State and the amounts to be authorised for payment out of the Fund in the motion; and

5. a reconciliation between the resources to be authorised under section 125(1)(a) and (b) of the Act and the amounts to be authorised for payment out of the Welsh Consolidated Fund under section 125(1)(c).

The following additional information has been made available to Members:

• an Explanatory Note on changes between Draft Budget proposals and the Annual Budget.

The Annual Budget Proposals 2016-17 are available at the following link:

http://www.assembly.wales/laid%20documents/gen-ld10600/gen-ld10600-e.pdf

Supporting Document
The Annual Budget for the financial year 2016-2017

The item started at 15.25

Voting on the motion under this item was deferred until Voting Time.

NDM5986 Jane Hutt (Vale of Glamorgan)

To propose that the National Assembly for Wales, in accordance with Standing Order 20.25:

Approves the Annual Budget for the financial year 2016-2017 laid in the Table Office by the Minister for Finance and Government Business on 1 March 2016.

Footnote:

In accordance with the relevant provisions contained in the Government of Wales Act 2006 and Standing Order 20.28, the Annual Budget comprises the following information:

1. the written statement required under section 125(3) of the Government of Wales Act 2006;

2. the resources agreed by the Treasury for the Welsh block budget for the financial year covered by the motion;

3. a reconciliation between the resources allocated to the Welsh block budget by the Treasury and the resources to be authorised for use in the motion;

4. a reconciliation between the estimated amounts to be paid into the Welsh Consolidated Fund by the Secretary of State and the amounts to be authorised for payment out of the Fund in the motion; and

5. a reconciliation between the resources to be authorised under section 125(1)(a) and (b) of the Act and the amounts to be authorised for payment out of the Welsh Consolidated Fund under section 125(1)(c).

The result was as follows:

The motion was agreed.

David Blaney, Chief Executive, Higher Education Funding Council for Wales

Celia Hunt, Director of Strategic Development, Higher Education Funding Council for Wales

Bethan Owen, Director of Institutional Engagement, Higher Education Funding Council for Wales

9.1 Witnesses answered questions from Committee Members.

5.4.1 The paper was noted by the Committee.

5.1.1 The paper was noted by the Committee.

5.2a The Committee noted the correspondence.

NDM5947 Jane Hutt (Vale of Glamorgan)

To propose that the National Assembly for Wales, in accordance with Standing Order 20.12:

Notes the Draft Budget for the financial year 2016-2017 laid in the Table Office by the Minister for Finance and Government Business on 8 December 2015.

'Draft Budget Proposals 2016-17'

Supporting Documents
Draft Budget for the financial year 2016-2017
Report of the Finance Committee

The following amendments have been tabled:

Amendment 1 - Paul Davies (Preseli Pembrokeshire)

Delete all and replace with:

To propose that the National Assembly for Wales:

Does not believe the Welsh Government's Draft Budget 2016-17 meets the needs of the Welsh people.

Amendment 2 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft bdget fails to take an all-Wales approach to future capital investment.

Amendment 3 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft budget proposes a damaging and severe cut to funding support for Welsh higher education institutions.

Amendment 4 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft budget's proposal for continued funding pressure on local government has not been matched with a proposal for a rural stabilisation grant.

The item started at 15.22

Voting on the motion and amendments under this item was deferred until Voting Time.

NDM5947 Jane Hutt (Vale of Glamorgan)

To propose that the National Assembly for Wales, in accordance with Standing Order 20.12:

Notes the Draft Budget for the financial year 2016-2017 laid in the Table Office by the Minister for Finance and Government Business on 8 December 2015.

The following amendments were tabled:

Amendment 1 - Paul Davies (Preseli Pembrokeshire)

Delete all and replace with:

To propose that the National Assembly for Wales:

Does not believe the Welsh Government's Draft Budget 2016-17 meets the needs of the Welsh people.

A vote was taken on Amendment 1:

Amendment 1 was not agreed.

Amendment 2 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft budget fails to take an all-Wales approach to future capital investment.

A vote was taken on Amendment 2:

Amendment 2 was not agreed.

Amendment 3 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft budget proposes a damaging and severe cut to funding support for Welsh higher education institutions.

A vote was taken on Amendment 3:

Amendment 3 was not agreed.

Amendment 4 - Elin Jones (Ceredigion)

Add as a new point at end of motion:

Regrets that the draft budget's proposal for continued funding pressure on local government has not been matched with a proposal for a rural stabilisation grant.

A vote was taken on Amendment 4:

Amendment 4 was not agreed.

A vote was taken on the motion:

NDM5947 Jane Hutt (Vale of Glamorgan)

To propose that the National Assembly for Wales, in accordance with Standing Order 20.12:

Notes the Draft Budget for the financial year 2016-2017 laid in the Table Office by the Minister for Finance and Government Business on 8 December 2015.

The motion was agreed.

8.1 The committee noted the letter from the Welsh Language Commissioner to the First Minister.  

Supporting documents:

The Welsh Health circular referred to in the Minister’s draft budget letter can be viewed here: http://gov.wales/topics/health/nhswales/circulars/finance/?lang=en

3.3a The Committee noted the additional information.

Paper 1 – Draft report

Paper 2 – Letter from Chair, Enterprise and Business Committee to Chair of Finance Committee (in relation to education) – 18 January 2016

Paper 3 – Letter from Chair, Enterprise and Business Committee to Chair of Finance Committee (in relation to transport) – 18 January 2016

Paper 4 – Letter from Chair, Children and Young Persons Committee to Minister for Education and Skills – 19 January 2016

Paper 5 – Letter from Chair, Health and Social Care Committee to Minister for Health and Social Services and Deputy Minister for Health – 19 January 2016

Paper 6 – Letter from Chair, Communities, Equality and Local Government Committee to Minister for Public Services – 22 January 2016

Paper 7 – Letter from Chair, Communities, Equality and Local Government Committee to First Minister – 22 January 2016

1.1 The Committee agreed the draft report with minor changes.

3.1.1 The paper was noted by the Committee.

8.1 Members discussed and agreed the letters to the Minister for Finance and Government Business, the Minister for Communities and Tackling Poverty and the Deputy Minister for Culture, Sport and Tourism.

Carl Sargeant AM, Minister for Natural Resources

Andrew Slade, Director, Agriculture, Food and Marine

Matthew Quinn, Director, Environment and Sustainable Development

Neil Hemington, Chief Planner; Deputy Director

Tony Clark, Head of Finance, Economy, Skills and Natural Resources

2.1.1 The Minister for Natural Resources agreed to provide a note on:

·         the amount of European investment that has been used in the Welsh Government’s flood defence schemes;

·         the number of bids for funding from the green growth fund that have been received to date;

·         the Welsh Government’s residual waste treatment programme; and

·         the responsible authority for dealing with flooding issues at Caedelyn park in Cardiff.

Carl Sargeant AC, Minister for Natural Resources

Rebecca Evans AC, Deputy Minister for Farming and Food

Andrew Slade, Director, Agriculture, Food and Marine

Dr Christianne Glossop, Director, Office of the Chief Veterinary Officer

Tony Clark, Head of Finance, Economy, Skills and Natural Resources Group

2.2.1 Declaration of interest: William Powell declared that the business of which he is a partner has a commercial relationship with a microabattoir in Powys, owned by W.J. George.

2.2.2 The Deputy Minister for Farming and Food agreed to provide a note on:

•             the take–up numbers for each of the current Rural Development Programme schemes; and

•             the funding opportunities for urban areas that exist under the Rural Development Programme.

8.1 The Committee agreed the Draft Budget Letters.

Members considered the evidence received and agreed the key issues to be included in a letter to the Minister for Communities and Tackling Poverty and the Finance Committee.

Welsh Government

Lesley Griffiths AM, Minister for Communities and Tackling Poverty

Alyson Francis, Deputy Director Families Division

Owain Lloyd, Deputy Director Childcare and Play Division

The Committee scrutinised the Minister on draft budget proposals.

·         The Minister agreed to provide a note on the Local Government formula used for agreeing reductions in the funding of programmes such as Families First.

6.1 The Committee discussed the evidence heard under items 2 and 3.

.

Ken Skates AM, Deputy Minister for Culture, Sport and Tourism

Manon Antoniazzi, Director, Tourism, Culture & Sport
Huw Davies, Head of Finance, Tourism, Culture & Sport

3.1 The Committee received evidence from:

·         Ken Skates AM, Deputy Minister for Culture, Sport and Tourism

3.2 The Deputy Minister for Culture, Sport and Tourism agreed to provide the Committee with the following information;

·         Detailed update on the Fusion Programme.

Lesley Griffiths AM, Minister for Communities and Tackling Poverty

Jane Hutt AM, Minister for Finance and Government Business
Jo Salway, Deputy Director of Strategic Budgeting

Amelia John, Deputy Director, Fairer Futures

Eleanor Marks, Communities Division, Deputy Director

John Howells, Director of Housing and Regeneration

2.1 The Committee received evidence from:

·         Lesley Griffiths AM, Minister for Communities and Tackling Poverty

·         Jane Hutt AM, Minister for Finance and Government Business

2.2 Peter Black declared a relevant interest under Standing Order 17.24A.

2.3 The Minister for Communities and Tackling Poverty agreed to provide the Committee with information regarding employment rates in Communities First areas.

4.1 The Committee considered the evidence received.

Jane Hutt AM – Minister for Finance and Government Business

Jo Salway – Deputy Director, Strategic Budgeting, Welsh Government

Jeff Andrews – Specialist Policy Advisor, Welsh Government

Research brief

2.1 The Committee took evidence from: Jane Hutt AM – Minister for Finance and Government Business; Jo Salway – Deputy Director, Strategic Budgeting, Welsh Government; and Jeff Andrews – Specialist Policy Advisor, Welsh Government on the Welsh Government Draft Budget for 2016-17.

2.2 Peter Black AM declared relevant interests under Standing Order 17.24A.

6.1 The Committee considered the evidence received from the Minister and Deputy Minister and agreed to write to them seeking clarification on a number of issues raised during the session.

6.2 The Committee agreed that this letter would be shared with the Finance Committee, and the Children, Young People and Education Committee to inform scrutiny of the draft budget 2016-17.

Mark Drakeford AM, Minister for Health and Social Services

Vaughan Gething AM, Deputy Minister for Health

Andrew Goodall, Director General for Health and Social Services and NHS Wales Chief Executive

Albert Heaney, Director of Social Services & Integration

Martin Sollis, Director of Finance

Supporting information:

Correspondence between the Children, Young People and Education Committee and the Minister for Health and Social Services relating to health and social services aspects of the Welsh Government Draft Budget 2016-17

3.1 The Committee scrutinised the Minister for Health and Social Services and the Deputy Minsiter for Health on the Welsh Government’s draft budget for 2016-17.

3.2 The Minister and Deputy Minister agreed to provide:

·         an outline of how the £200 million additional to support core NHS delivery has been distributed;

·         a response to the figures outlined in the WAO report Supporting the Independence of Older People: Are Councils Doing Enough?’ (Oct 2015) which shows that – on the basis of the WAO’s analysis:

o   preventative services have experienced a 16.8 per cent cut with budgets falling from £147.3 million in 2013-14 to £122.5 million in 2014-15, with seven of the areas they have reviewed seeing their budgets reduce.

·         a breakdown of the planned capital spending for 2016-17 including:

o   details of discretionary capital allocations to local health boards;

o   details of costs of 2016-17 schemes which are already being funded;

o   details of new capital allocations for 2016-17.

3.3 David Rees declared the following relevant interest under Standing Order 17.24A:

·         His wife is employed as a superintendent radiographer by the National Health Service.

1.1 The Committee discussed its approach to the scrutiny of the Draft Budget 2016-17.

Julie James AM, Deputy Minister for Skills and Technology

Huw Morris, Director, Skills, Higher Education and Lifelong Learning, Welsh Government

Neil Surman, Deputy Director, Higher Education Division, Welsh Government

Andrew Clark, Deputy Director, Further Education and Apprenticeships Division, Welsh Government

4.1.1 Julie James AM, Deputy Minister for Skills and Technology, Huw Morris, Neil Surman and Andrew Clark answered questions from Members of the Committee

4.1.2 Julie James AM, Deputy Minister for Skills and Technology offered to provide the following:

·         an analysis of the actual number of English and International students that entered the Welsh Higher Education System measured against the forecasted number for the last four academic years.

·         report back to the Committee on the outcomes set for the new all-age employability programme Skills for Employment Wales when the approval process has been completed.

·         report back to the Committee on the lessons that have been learnt which will ensure that the latest traineeships programme will be effective and deliver good value for money and ensure an increase in uptake of traineeships and decrease in dropout rates, when she has completed her process of reviewing traineeships.

Edwina Hart AM, Minister for Economy, Science and Transport

Simon Jones, Director, Transport & ICT Infrastructure

4.2.1 Edwina Hart AM, the Minister for Economy, Science and Transport and Simon Jones answered questions from the Members of the Committee.

4.2.2 Edwina Hart AM, the Minister for Economy, Science and Transport offered to provide the following information:

·         a year on year comparison of the 2015-16 Supplementary Budget and the Draft Budget for 2016-17.

·         a written clarification of the funding allocation to the Road and Rail Scheme Action.

·         a written clarification of the reduction in the Economy and Science revenue allocation between the 2015-16 Supplementary Budget and the draft Budget for 2016/17, with specific consideration of the services or programmes that will be most affected by these reductions in 2016-17.

·         examples of companies in certain sectors that have achieved good results/impact in terms of growth and jobs; an analysis of how their success has been quantified; and information on specific areas in the budget where the Minister has increased allocations for 2016-17 based on previous good performance. The Minister also agreed that this note would outline the activities that were found to be unsuccessful or not providing value for money and as a result are not to be funded in 2016-17.

·         update the Committee as soon as possible on her decision on the business rate schemes to be introduced in 2016 – 2017.

·         provide a note on revenue and capital funding for multiannual transport projects and programmes.

·         a consideration of whether the funding allocation for Active Travel infrastructure could be more transparent and provide an analysis of funding allocations in previous years.

Eleri Butler – Chief Executive, Welsh Women’s Aid

Paper 5 – Welsh Women’s Aid consultation response

Research brief

6.1 The Committee took evidence from Eleri Butler – Chief Executive, Welsh Women’s Aid on the Welsh Government Draft Budget for 2016-17.

Paper 6 – Letter from Minister for Finance and Government Business – 7 January 2016

8.1 The Committee considered the evidence received.

Dr Victoria Winckler – Director, Bevan Foundation

Michael Trickey – Wales Adviser, Joseph Rowntree Foundation

Paper 3 – Bevan Foundation consultation response

Paper 4 – Joseph Rowntree Foundation consultation response

Research brief

5.1 The Committee took evidence from: Dr Victoria Winckler – Director, Bevan Foundation; and Michael Trickey – Wales Adviser, Joseph Rowntree Foundation on the Welsh Government Draft Budget for 2016-17.

5.2 Mike Hedges AM and Christine Chapman AM declared relevant interests under Standing Order 17.24A.

Adam Cairns – Chief Executive, Cardiff and Vale University Health Board

Steve Moore – Chief Executive, Hywel Dda University Health Board

Paper 2 – The Welsh NHS Confederation consultation response

Research brief

4.1 The Committee took evidence from: Adam Cairns – Chief Executive, Cardiff and Vale University Health Board; and Steve Moore – Chief Executive, Hywel Dda University Health Board on the Welsh Government Draft Budget for 2016-17.

Jon Rae – Director of Resources, Welsh Local Government Association

Councillor Anthony Hunt – Deputy Leader of Torfaen County Borough Council / Deputy Finance and Resources Spokesperson, Welsh Local Government Association

Councillor Huw David – Deputy Leader of Bridgend County Borough Council / Health and Social Care Spokesperson, Welsh Local Government Association

Paper 1 – WLGA consultation response

Research brief

3.1 The Committee took evidence from: Jon Rae – Director of Resources, Welsh Local Government Association; Councillor Anthony Hunt – Deputy Leader of Torfaen County Borough Council / Deputy Finance and Resources Spokesperson, Welsh Local Government Association; and Councillor Huw David – Deputy Leader of Bridgend County Borough Council / Health and Social Care Spokesperson, Welsh Local Government Association on the Welsh Government Draft Budget for 2016-17.

3.2 Peter Black AM declared a relevant interest under Standing Order 17.24A.

Members considered the evidence received and a letter would be sent to the Finance Committee.

Welsh Government

Huw Lewis AM – Minister for Education and Skills

Jo-Anne Daniels - Interim Director, Infrastructure, Curriculum, Qualifications and Learner Support

Steve Davies – Group Director, School Standards & Workforce Group

Huw Morris – Group Director, SHELL

The Chair welcomed the Minister and his Officials and thanked them for their detailed paper.

Aled Roberts AM declared a relevant interest under Standing Order 17.24; as his wife is employed in the FE sector and has responsibility for the Welsh Language and Welsh for Adults at Coleg Cambria and his son is a full time student receiving a scholarship from the Coleg Cenedlaethol Cymru.

The Committee scrutinised the Minister on draft budget proposals. The Committee agreed to write to the Minister on the issues raised during the session.

8.1 The Committee discussed the evidence.

4.1 The Committee discussed the evidence.

Rt Hon Carwyn Jones AM, First Minister of Wales

Bethan Webb,  Deputy Director, Welsh Language

Iwan Evans, Senior Policy Officer - Strategic Planning

5.1 The Committee received evidence from:

·         Rt Hon Carwyn Jones AM, First Minister of Wales

·         Bethan Webb,  Deputy Director, Welsh Language

·         Iwan Evans, Senior Policy Officer - Strategic Planning

Leighton Andrews AM, Minister for Public Services

Reg Kilpatrick  Director for Local Government

Debra Carter Deputy Director, Local Government Finance Policy Division

2.1.The Committee received evidence from:

·         Leighton Andrews AM, Minister for Public Services

·         Reg Kilpatrick  Director for Local Government

·         Debra Carter Deputy Director, Local Government Finance Policy Division

2.2. The Minister for Public Services agreed to provide the Committee with the following information;

·         Clarification on the resilience in funding for the Fire and Rescue Services.

·         The work of the Fire and Rescue Services in respect of flood prevention and management.

Paper 1 – Draft consultation letter

5.1 The Committee considered the evidence received.

5.2 The Committee agreed the consultation letter.

Jane Hutt AM - Minister for Finance and Government Business

Jo Salway – Deputy Director of Strategic Budgeting, Welsh Government

Margaret Davies – Head of Budget Delivery, Welsh Government

Jeff Andrews – Specialist Policy Adviser, Welsh Government

Research briefing - Pre-Draft Budget 2016-17 overview

3.1 The Committee took evidence from Jane Hutt AM, Minister for Finance and Government Business; Jo Salway, Deputy Director of Strategic Budgeting, Welsh Government; Margaret Davies, Head of Budget Delivery, Welsh Government; and Jeff Andrews, Specialist Policy Adviser, Welsh Government.

Research briefing - Pre-Draft Budget 2016-17 overview

5.1 The Committee considered the evidence received.

Simon Brindle, Director, Y Lab

Steve Martin, Director, Public Policy Institute Wales

Research briefing

3.1 The Committee took evidence from Simon Brindle, Director, Y Lab, and Steve Martin, Director, Public Policy Institute Wales.

Paper 2 – Letter to Chair of Finance Committee from Chair of Petitions Committee

6.1 The Committee noted the correspondence.

5.1.1 The paper was noted by the Committee.

5.2.1 The paper was noted by the Committee.

6.1.1 The paper was noted by the Committee.

4.4a The Committee noted the correspondence.

CYPE(4)-25-15 – Private paper 2

CYPE(4)-25-15 – Private paper 3

CYPE(4)-25-15 – Private paper 4

The Committee agreed the draft budget letters.

5.1 The Committee considered and agreed its approach to scrutiny of the Welsh Government’s Draft Budget for 2016-17.

5.2 The Committee agreed to write to the Minister for Health and Social Services and Deputy Minister for Health seeking information to inform its scrutiny.

Paper 5 – Approach to scrutiny

8.1 The Committee agreed the approach to scrutiny.

Paper 7 - Letter to Chair of Finance Committee from Minister for Finance and Government Business

13.1 The Committee noted the correspondence and agreed to write to the Minister for Finance and Government Business.

CYPE(3)-22-14 – Paper to note 4

CYPE(4)-21-15 – Private paper 15

The Committee did not have time to consider the draft letters. It was agreed that they would be considered at a future meeting.

Paper 4 - Approach to Budget Scrutiny: Welsh Government Draft Budget 2016-17

8.1 The Committee agreed the approach to budget scrutiny.