£25 Million to ease tuition fees pressures

Welsh Labour’s Education Minister Leighton Andrews today welcomed extra funding to ease the pressures on student finances.

The Welsh Assembly Government has allocated a further £25million from in-year reserves for 2010/11. 

Extra pressure in the current year has been caused by a rise in the number of students in 2009/10 and 2010/11. At the same time there was an increase in the number of students eligible for means-tested grants.

This funding is evidence of how the Labour-led Welsh Assembly Government is helping students to get the best possible start in life. Despite a difficult overall funding settlement the Assembly Government continues to have a strong commitment to Higher Education, and will be investing nearly £400 million next year.

As the Assembly Government tries to protect education spending following the worst financial settlement since the Assembly was established in 1999, this latest funding increase recognises the increase in student numbers this year.

Welsh students will not pay extra tuition fees

Welsh Labour’s Education Minister Leighton Andrews today announced that Welsh domiciled students will not have to pay extra tuition fees as the cost will be met by the Labour-led Welsh Assembly Government.

In England, basic tuition fees will rise to £6,000 per annum and Higher Education institutions will be able to charge fees up to £9,000, providing they can demonstrate a commitment to widening access and other strategic objectives. The threshold at which students have to start repaying their student loans will also increase from £15,000 to £21,000.

However, the Labour-led Welsh Assembly Government is determined to support Welsh students and has announced that Welsh domiciled students will not have to find either £6,000 or £9,000 to study. The increase in fees for Welsh domiciled students, whether they study in England or Wales or Scotland or Northern Ireland, will be paid by the Welsh Assembly Government.

So, Welsh students who go to university in 2012-13 will be paying the same in real terms as students who go to university in this academic year. In addition, Welsh domiciled students will continue to be eligible for subsidised loans to meet the costs up to the current level of tuition fee.

The announcement comes as the UK ConDem Government - including the Lib Dems who promised to oppose tuition fee increases at the General Election six months ago - plans to force students in England to pay up to £9,000 in tuition fees themselves. While the Conservatives are determined to shift the burden to students, the Labour-led Welsh Assembly Government is giving Welsh students the opportunities they deserve.

Don’t get bitten by loan sharks this Christmas

With only one month to go until Christmas day, Welsh Labour’s Social Justice Minister Carl Sargeant is warning people of the dangers of borrowing money from loan sharks

Loan sharks often prey on the most vulnerable people in society, including the unemployed and single parent families. However in today’s difficult financial climate more and more people are turning to loan sharks when money is tight, and it is estimated that around 150,000 people in Wales currently owe money to an illegal moneylender. 

Illegal moneylenders can range from small time loan sharks to violent and organised criminals operating throughout Welsh communities. Launched in February 2008, and supported by the Labour-led Welsh Assembly Government, the Wales Illegal Money Lending Unit (WIMLU) raises awareness of the dangers of loan sharks and provides advice and support to victims. Since its launch, the unit has helped 1,412 victims of illegal money lending.

The Unit also works to stop illegal moneylenders operating in Wales. Since 2008 their investigations have led to the arrest of 43 loan sharks

The Labour-led Welsh Assembly Government has provided over £62,000 of funding to help the Wales Illegal Money Lending Unit, Credit Unions and partners to tackle the loan shark problem in Wales.

The Wales Illegal Money Lending Unit on the 24 hour Hotline can be contacted on 0300 123 3311, by e-mail on imlu@cardiff.gov.uk or Text 'loan shark' to 60003.

Frontline health service a budget priority, says First Minister

First Minister Carwyn Jones today reiterated that the Labour-led Assembly Government will do all it can to protect NHS frontline services in its Draft Budget, which is published next week.

The First Minister was addressing healthcare professionals at a major international conference in Cardiff today on chronic conditions, public health and the challenges that face the NHS.

Carwyn Jones said:  “Next week, the Welsh Assembly Government will publish its draft budget for the next four years.  I can’t reveal the detail of that yet, of course, but let me make this commitment to you;  the NHS is, and always will be a priority for the Assembly Government, and we are doing all we can to protect this cherished service.

The First Minister said that the NHS is already performing more efficiently than it did some years ago.  He said that the average length of stay in hospital for orthopaedic care and treatment had fallen by a whole day since 2005 and nearly 6,000 fewer operations are cancelled each year.  He said that streamlining the NHS to 10 organisations was making savings and management costs are falling.

Concluding his speech, the First Minister said:  “The NHS was born in Wales, and is the pride of Wales.  I’m proud that the NHS in Wales has remained true to the principles of its founder, Aneurin Bevan, with services provided free at the point of need.  That’s why I’ve promised that universal benefits such as free prescriptions are here to stay.

“Past experience has shown what happens when financial pressures are translated into all-round cuts in services – with those in greatest need often taking the biggest hit.  It’s that overarching principle of chwarae teg, fair play to all our people, on which the NHS was founded and which my Government is basing its priorities.  And I know that you as NHS staff who care for any patient, regardless of their background, will appreciate that principle more than most.”

Welfare Spending: Some Facts

The chart below is taken from the excellent UK Public Spending website.

It shows welfare spending as a percentage of GDP since 1950. The welfare spending that George Osborne is about to slash, that Labour ran up in order to build a “client state” and which “we can no longer afford”.

In 1997 welfare spending as percentage of GDP was 7.76% , in 2010 (despite a recession and higher unemployment) it is 7.26% – lower than in any year 1979 to 1997.

This is being cut, as Douglas Alexander argues, for political reasons. As Don Paskini notes, it will hit the low paid hard.

Stop the sale of the Royal Mail

The UK government is to begin the process of privatising Royal Mail, raising the prospect that the "one price goes anywhere" universal postal service could be scaled back.

The business secretary, Vince Cable, has revealed plans for a bill to enable the sell-off of Royal Mail, which will include offering shares to employees. He appeared to confirm that there could be a total privatisation – going further previous Liberal Democrat and coalition promises.

A YouGov poll last month found a majority of voters of every party oppose privatising Royal Mail with support at only 15 per cent.

Deliveries could be cut back to five times per week. Under existing legislation, Royal Mail is required to provide six deliveries per week of letters at an "affordable and uniform" price to anywhere in the UK.

The ConDem coalition belives that Royal Mail will not be able to afford to carry out this service even though overall its letters business doubled operating profits last year and there is already a fully funded modernisation programme agreed by both management and unions is in place bringing stability to the company.

The Communication Workers’ Union (CWU), who reprsent thoudands of postmen and women, voiced fears that the Government was plotting to "seize" pension assets it said were worth £26 billion.

CWU general secretary Billy Hayes said: "Privatisation is old politics. It's the failed politics of history which brought disruption to Britain's utilities and railways and astronomical prices for consumers. Dangerously in this case, we fear the Government may also be plotting to seize the pension assets.

"Privatisation would be devastating for Royal Mail and the whole country's postal services. The universal service has been a key part of the UK post for 170 years but because it isn't the profitable element of mail, the privatisation will put it at risk.

"This could damage the service for all customers, including millions of small business and potentially harm the UK economy. Privatisation will also mean separation of Royal Mail and the post office network, putting the very existence of many more post offices that play such a key role in Britain's communities at risk.

"Royal Mail has always been a privatisation too far and there is a public majority out there who will vote this Government out for flogging off our national assets and breaking our public services."

Dave Ward, CWU deputy general secretary, said: “Everyone’s a loser if you privatise the Royal Mail. Jobs and services will suffer and customers will see prices soar.

“We’ve put in place a detailed and fully funded modernisation programme which is dramatically transforming Royal Mail. Why does the government want to threaten the stability and capital of this programme when it’s proving a major success?." 

Hundreds march through Cardiff in protest at spending cuts

Around 300 protesters from across Wales marched through the city centre this weekend in opposition to the cuts proposed by the UK government.

The public sector employs around a quarter of the workforce in Wales and the Welsh Assembly Government has said the Spending Review meant it would lose £1.8bn from its budget over the next four years.

The march, which started at City Hall and ended with a rally at Sophia Gardens, was held by trade unions who believe that the proposed cuts to public services will cause widespread jobs losses in Wales.

The march started at 1pm and the procession was led with a banner supporting the Newport passport office, which faces closure and the loss of 300 jobs following an announcement from the Home Office last week.

The event was organised by members of a number of unions. Speakers included representatives from the Rail, Maritime and Transport (RMT) union, the Nasuwt teachers’ union and the branch secretary at the Swansea Remploy section of the GMB union.

A number of local Labour members joined the march along with the Plasnewedd Branch Labour Party banner.  

Welsh Assembly Government response to ConDem spending review

Today’s announcement is a hammer blow for the people of Wales, the worst since devolution and the lowest settlement of all the Devolved Nations.

Our Budget next year will be almost £900m less than this year and comes on top of the savage Budget in June, representing the deepest public spending cuts since World War 2.

The Welsh Cabinet is meeting early tomorrow morning to discuss the impact of the settlement. The Assembly Government has always said that it will play its role in reducing the UK budget deficit.  But the cuts announced today are too fast and too deep.  They will endanger the fragile economic recovery and threaten devastating and long-term consequences for the most vulnerable people in our society. They will undoubtedly hit Wales harder than other parts of the UK because we are already underfunded, as recently demonstrated by the independent Holtham Commission.

The reductions for the Assembly Government’s Budget fully vindicate the prudent approach to planning assumptions we have adopted since the Spring. Although the cuts are towards the lower end of the possible outcomes for revenue expenditure, the capital cuts are as grim as predicted. Cabinet now has the opportunity to consider the implications for our Budget, which will be laid on 17 November.

These cuts come with no clarity over the decision to proceed with the electrification of the Swansea to London railway, the proposed closure of the passport office in Newport and the unprecedented £18bn cuts in welfare payments that will affect the most vulnerable people in our society.

Against this background, the Labour-led Welsh Assembly Government will continue to take a distinctive Welsh approach to safeguard essential services in Wales. We have a duty to promote fairness and equality in the way we allocate resources which will be best for the economy, as well as the social fabric of Wales. That is why we are committed to protecting investment in schools, skills and healthcare, and committed to maintaining universal entitlements – including the successful concessionary fares scheme, free prescriptions, free swimming and free breakfasts and milk for primary school children.

ConDem coalition urged to scale back savage spending cuts

The Labour-led Welsh Assembly Government has joined with the other two devolved governments to urge the ConDem UK Government to scale back its plans for savage spending cuts in the Comprehensive Spending Review on 20 October.

The joint declaration has been signed by First Ministers for Wales, Scotland and Northern Ireland as well as Deputy First Ministers and was sent to the Chancellor earlier today.

Welsh Labour’s First Minister, Carwyn Jones said: “We have taken this unprecedented step because we believe the scale and speed of cuts we have been led to expect will have devastating consequences for the most vulnerable people in our devolved nations and the impact will be felt for generations to come.  Our Joint Declaration shows the strength of feeling within the devolved Governments which represent nearly 10 million people or one sixth of the UK’s population.”

Smart card launched in Cardiff

 A new travel card was launched today which is set to transform public transport in Wales’ capital. 

The Iff Card - launched by Cardiff Bus – utilises new technology and aims to encourage bus use around the city centre by making travel easier. 

The card is linked to the Sustainable Travel City scheme, which is funded by the Labour-led Welsh Assembly Government, and aims to help the Welsh capital to become a Sustainable Travel City by encouraging bus use around the city centre.

Iff – which is a smart card similar to those in use by travel companies nationwide – will be unique to each user.  It can be pre-loaded with credit, signalling an end to paying by change for each journey and can also be used as a season ticket.  It also allows customers to stop their card and retrieve their current balance if they lose it

In launching the new card, Cardiff Bus will be the first UK bus company to allow users of its Iff Card to go up to £3 into debit – the equivalent of two single journeys in the capital.  Cardiff Bus is also planning to extend its communication with customers – as championed through its use of Twitter and Facebook – by sending service updates to passengers via text or email during spells of traffic congestion or bad weather.

Cardiff protesters call on Nick Clegg to rethink public sector cuts

The Deputy Prime Minister and leader of the Liberal Democrats, Nick Clegg, visited Cardiff yesterday, meeting First Minster Carwyn Jones and later attending a question and answerer session with students held at City Hall.

He was greeted by protesters angry at the coalitions governments savage and disastrous spending cuts. 

 Many local activists joined the demonstration. Jenny Rathbone, a spokesperson for Cardiff Central Labour Party, said:

"We want to make it clear people are unhappy about the cuts. What people don't realise what's about to happen – they think the cuts won't affect them. It could be more than 25% cut to the local government and those are the services which will seriously impact on the vulnerable – who had nothing to do with the bankers' bonanza."

"It's really important that Nick Clegg living in his bubble in Downing Street has some idea of what concerns that are out there.

            "We have never seen cuts on this scale to the welfare state."

Ed Miliband is elected new leader of the Labour Party



The new Labour leader, Ed Miliband addresses party members after his victory in Manchester.



Good news for Welsh Post Offices

A total of 41 Post Offices in Wales received a welcome funding boost today as the Labour-led Welsh Assembly Government announced the latest round of grants from its Post Office Diversification Fund.

The Post Offices will share over £725,000 to expand the range of services they offer or upgrade their premises. Grants can be used to provide modern services which customers might not expect to see at the local post office, such as an automated cash machine or a cyber café, as well as more typical services such as a passport photo booth. The funding can also be used for upgrades to the premises and staff training to offer a greater range of business products.

Around 140 Post Offices throughout Wales have already benefited from the fund, creating 112 jobs. This latest funding round will help a further 41 Post Offices and create 18 full time jobs at Post Offices across the country.

Cardiff Bus short journey fares have risen by 186%

Some bus fares in Cardiff have almost trebled in just seven years. Since 2003, fares for short journeys have risen by up to 186%, according to Cardiff council’s evidence to a Competition Commission inquiry. Job Centre Plus told the council’s researchers that “the cost and the availability of transport affected the range of employment options open to young people."

Youngsters aged 16 to 19 mostly have lower incomes than older people, but have to pay the same adult fares.

A ‘Day to Go’ ticket, for a day’s unlimited travel on Cardiff Bus within the city, had cost £3 for several years.

Some multi-journey tickets were cheaper than in 2003 and many fares have increased significantly more than inflation. Shorter single-trip fares have been particularly affected, with one-zone and two-zone trips increasing by 58% and 186%, compared to 18% inflation over the period.

Council workers bring in their own heaters

An astronomical £500,000 electricity bill for Cardiff’s County Hall may be down to heating so poor that staff are forced to bring in their own heaters.

A council report, describing the building as “extremely inefficient”, said witnesses had suggested some staff are using portable electric heaters to keep warm, using a considerable amount of electricity.

The findings showed County Hall’s electricity bills had risen by around £150,000 in recent years to hit £500,000.

The criticism came in a report looking at how prepared the council is to begin taking part in the Carbon Reduction Commitment energy efficiency scheme, which could see the council facing financial penalties if it fails to cut energy use.

A spokeswoman for Cardiff Council claimed the sole reason for the increase in electricity cost was a rise in prices, as consumption had stayed stable.

Witnesses involved in putting together the report suggest the Lib Dem controlled Council has focused too much on large-scale projects rather than examining micro-level aspects such as the efficiency of buildings.

Raoul Bhambral, co-ordinator for Friends of the Earth Cardiff, has told the South Wales Echo that he was shocked the council was spending so much on electricity for just one building.

He said: “The council will definitely have to do everything it can to reduce emissions not only in its own buildings but across Cardiff as a whole.”

Green jobs forecast welcomed

Welsh Labour’s Environment Minister Jane Davidson has welcomed the publication of a report that links high recycling rates to the creation of new jobs.

The More Jobs, Less Waste report published yesterday by Friends of the Earth shows that over 50,000 jobs would be created UK-wide if the UK as a whole reached the 70 per cent recycling and composting target being adopted in Wales by 2025.

Wales’ ambitious targets are set out in the Labour-led Welsh Assembly Government’s Towards Zero Waste strategy, which was launched in June this year. Wales has seen the largest increase in recycling rates in the past decade of any country in the UK, and is the first to publish detailed delivery documents outlining how the 70 per cent recycling rate will be achieved.

Figures have already shown that recycling 100,000 tonnes of waste can create up to 250 jobs as opposed to 20 to 40 in the case of incineration and approximately 10 land-filling. This is why earlier this month the Labour-led Welsh Assembly Government announced £1 million funding towards a mixed plastics recycling facility run as a social enterprise, which will create new jobs as well as diverting waste from landfill and developing the market for recyclate in Wales.