Barnett bombshell makes case for review

12.00.00am BST (GMT +0100) Mon 23rd Jun 2008

Speaking after the release of Government papers which suggest that Wales has been underfunded by hundreds of millions of pounds over the last 30 years, Liberal Democrat Shadow Secretary of State for Wales Roger Williams MP has renewed his call for a review into the controversial Barnett formula.

The papers, released by the Scottish Office in response to a Freedom of Information request, show that according to a Treasury calculation, Wales in 1976-77 was allocated 6% less than it would have been if funding was based on need.

In the released papers Treasury officials state, "The results imply that, relative to England, 'actual' expenditure in 1976/77 exceeded 'need' by about 3% in Scotland, by about 6% in Northern Ireland, and fell short of 'need' by about 6% in Wales."

Commenting Roger Williams said:

"These newly released papers show what many of us have believed for a long time - Wales is getting a raw deal when it comes to Westminster funding, and has been for many years.

"If the baseline is wrong, it means that Wales is falling further behind every year, as it only receives additional funding as a ratio in line with population.

"Now that we have additional evidence that Wales isn't getting the level of support it needs from Government funds, I hope we can get a consensus that a review of Barnett is long overdue.

"We need a formula based on need that takes into account deprivation in Wales and the extra cost of providing services, not out of date calculations by Treasury mandarins.

"I hope the Government will now acknowledge that in light of these revelations a review is necessary, and that we can finally achieve a fair funding deal for Wales."