Welsh government mini-budget passes after Plaid-Labour deal

Published3 November 2026

The Senedd has passed the Welsh government's mini-budget, nearly four months after the original version was defeated, following a deal between Plaid Cymru ministers and Labour.

Under the agreement, announced in October, an extra £60m will be spent on supporting children with additional learning needs (ALN).

Labour, now in opposition after heavy election losses, had rejected a £40m package spread over three years in July, with leader Ken Skates demanding £100m this financial year instead.

By voting for the extra spending plans on Tuesday evening Labour gave the minority Plaid government the numbers it needed.

Plaid Cymru's original mini-budget also included £100m for the NHS to bring down waiting times, £55m for childcare and £40m for school repairs, spending that can now go ahead.

Former Welsh Labour leader Mark Drakeford previously said his party had made mistakes in its summer negotiations with Plaid, and suggested there was a case for accepting the money previously offered by the government.

First Minister Rhun ap Iorwerth agreed his government had learned lessons from its failure to reach a deal in July.

Finance Minister Elin Jones began the debate "by recognising the constructive discussions that have taken place in recent weeks with the Labour group".

On ALN, she said: "While there have been differing views on how best to respond there has been a broad recognition that these pressures are real and require action. That shared understanding has enabled agreement to be reached."

Reform's finance spokesperson, Cai Parry Jones, criticised Labour for "somehow backing this budget" despite the NAHT teaching union being in dispute with the government.

"Ken, who is really pulling the strings in Welsh Labour?" he said, suggesting Mark Drakeford's views on the budget may have been influential behind the scenes.

He called for foreign spending to be cut back.

Huw Thomas, Labour's finance spokesperson, said the process of agreeing a supplementary budget had been more difficult than it should have been.

But he said Plaid had seemed to have learned "lessons", and Labour had secured 50% more on ALN than Plaid Cymru had put on the table in the summer.

Calling for the money to be made available as soon as possible, he said: "Schools cannot afford lengthy delays and bureaucratic obstacles."

Welsh Conservative Peter Fox said: "We were told a Plaid Cymru government would be different,", confirming his party would vote against the budget.

"The budget just seems to be business as usual wrapped in different colours."

The budget motion was passed in the Senedd with 54 votes in support and 39 against.

Related topics

Plaid Cymru

Welsh Labour

Wales

Welsh government

Welsh Parliament

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