Gareth Davies MS warns budget will “hit Wales hardest” and calls for urgent focus on waste before taxes rise

Member of the Senedd for Vale of Clwyd, Gareth Davies, has warned that UK Government budget represents a setback for working families and local communities in Wales, arguing that it places a growing burden on taxpayers while failing to tackle spiralling welfare budgets, and harming attempts to grow the economy.

Speaking in the Senedd during a Welsh Conservative debate, he criticised the chaotic build-up to the Budget and said the Government’s approach had undermined market confidence, contributing to economic instability and driving down growth forecasts. He highlighted that key indicators, such as unemployment, economic inactivity and public spending pressure, already show Wales is in the worst possible condition to weather the economic storm.

Mr Davies said the budget places a disproportionate strain on households through a ‘stealth tax’ by freezing tax thresholds, and increased taxes on pensions and property. He warned that millions more people across the UK will be pushed into higher tax brackets through a ‘stealth tax’ at a time when essential services, frontline investment and local economic growth continue to suffer.

He raised concerns with borrowing costs at their highest in a generation, arguing that the budget does little to rebuild confidence and sabotages any attempts to growth the economy.

Setting out the Welsh Conservatives’ alternative approach, he reiterated the need for a pro-growth economic plan that prioritises reducing wasteful spending, cutting taxes and supporting businesses to thrive. He warned that every other political party continues to back higher taxes and higher spending, leaving hardworking families to pick up the bill.

Commenting after the debate, Gareth Davies MS said:

“This Budget leaves Welsh families, especially here in Denbighshire, paying more while getting less, dragging thousands into higher tax bands at a time when people are already struggling with rising costs.

“By taxing earnings and pension savings the Chancellor is hitting workers, undermining local businesses, sabotaging attempts at growth, and making it harder for young people to find good jobs, all while failing to tackle the waste that is draining public finances.

“Before asking taxpayers for a single penny more, the UK Government must get a grip on waste, support local employers and put growth at the heart of economic policy, with actions matching their words.”

https://record.assembly.wales/Plenary/15439#C727749