Mark Drakeford AM welcomes Wales’ new borrowing and tax raising powers

Mark has welcomed the UK Government’s announcement that it will devolve borrowing powers and some smaller taxes to Wales, in response to the first report by the Silk Commission. A referendum is also anticipated which will allow the people in Wales to decide whether some of their income tax should be devolved, in the same way as it is due to be in Scotland from 2016.

Welsh Ministers will in future be able to borrow money to invest in Wales. In order to ensure that the Welsh Government has an independent funding stream to pay back the money it borrows, the Welsh Government will have control over Stamp Duty revenues, and certain other taxes such as Landfill Tax, as the Silk Commission recommended.

The UK Government has committed to legislate for the new powers within the lifetime of the current UK Parliament.