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Economy 'top priority' for £15bn Welsh government budget Economy 'top priority' for £15bn Welsh government budget
(35 minutes later)
The Welsh government said it would use its £15bn budget to help the economy when it published spending plans for next year.The Welsh government said it would use its £15bn budget to help the economy when it published spending plans for next year.
Finance Minister Jane Hutt set out what she said was a draft budget to stimulate growth and which protected funding for health.Finance Minister Jane Hutt set out what she said was a draft budget to stimulate growth and which protected funding for health.
It includes an extra £175m for capital investment on infrastructure projects. She announced details of £175m of capital for infrastructure projects.
But the Welsh Conservatives said it left the NHS in Wales with the worst settlement in the UK.But the Welsh Conservatives said it left the NHS in Wales with the worst settlement in the UK.
Ms Hutt said: "Our number one priority is to deliver a budget for growth and jobs which will create a more prosperous Wales, by encouraging economic growth and creating and sustaining jobs."Ms Hutt said: "Our number one priority is to deliver a budget for growth and jobs which will create a more prosperous Wales, by encouraging economic growth and creating and sustaining jobs."
More follows... Health, social services and children remains the biggest department with a budget of more than £6.4bn.
But its biggest item of expenditure - revenue funding for NHS delivery - is being cut by £12.1m next year.
Ms Hutt told AMs in the Senedd that 43% of the Welsh government's budget was being spent on health and social care.
The capital funding she announced includes £65m for transport and £30m for hospitals.
She attacked the UK government for cutting funding to Wales. The Welsh government's budget will be £2.1bn lower in real terms by 2014/15 than it was at its peak in 2009/10.
The Welsh government does not have the power to borrow money or raise taxes, so must rely on an annual grant from the Treasury.
"We stand by the decisions we have taken that underpin our budget - our investments in schools and skills, in health and in social services to ensure we can deliver our programme for government," she said.
But Welsh Conservative finance spokesman Paul Davies said: "The NHS in Wales still faces the toughest settlement in the United Kingdom."
Ms Hutt added that Welsh Labour was standing by a commitment to universal benefits, such as free prescriptions.
With 30 of the assembly's 60 seats, Labour will need help from opposition benches to get its budget through the assembly.