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BARNETT 'FLOOR' CAN'T ERASE FORMULA'S FLAWS - WILLIAMS
November 26, 2009 2:17 PM
Commenting on today's written statement on the Barnett Formula and future funding in Wales, Liberal Democrat Shadow Secretary of State for Wales Roger Williams MP said:
"I welcome this announcement, and I am pleased that the Government has finally recognised that what we have been saying about Barnett for many years has been right, but this solution completely ignores the problem of what has gone before.
"Holtham showed conclusively that Wales is losing out, and has consistently lost out, as a result of the Barnett Formula, and there is an urgent need to replace it with a funding settlement based on need - how can Peter Hain not see that?
"A funding floor is welcome, but simply doesn't address the thirty years of underfunding we have already experienced because of Barnett - Labour have argued that Barnett is too complicated to replace, but arguably this solution is more complicated than starting from scratch with a new needs-based formula.
"Despite the statement's limitations this is still a significant change, and it should have been announced in an oral statement, not a written one, so that MPs could have the opportunity to question the Secretary of State on the finer points of the proposal."
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