Government's £445m for railways in Wales branded ‘peanuts' by Tories
The investment in Welsh rail announced by Chancellor Rachel Reeves in her spending review on Wednesday will be spent on new stations and upgraded railway lines, and delivered through both direct funding and additional money for the Welsh Government.
However, Ms Davies branded the sum 'paltry' and said the Government was 'short-changing' Wales.
The Conservative frontbencher asked Wales Secretary Jo Stevens: 'Does the minister prefer peanuts, cashew nuts, or simply scraps for Wales?
'The fabled two Labour governments in lockstep is simply a myth for voters.
'Changing rail classifications and short-changing Welsh communities is a true reality.
'Is the minister concerned by today's reported peanuts, because when did she become aware of just over £400 million, the paltry settlement to come to Wales?
'How will it be split to Welsh Government? How does she think it compares to our Government's £740 million on rail alone?'
Responding, Ms Stevens said: 'Her party was in government for 14 years when Wales got 1% of the rail enhancement budget, when it has 11% of the whole UK network.
'Her party are responsible for the historic underfunding of the Welsh rail and we'll hear from the Chancellor this afternoon about what this Government is going to do about it.'
Liz Saville-Roberts, Plaid Cymru's leader in Westminster, also accused the Government of reclassifying the Oxford-Cambridge line as an England and Wales project, rather than England only.
She said: 'The Secretary of State for Wales joined Plaid Cymru in condemning the Conservatives for denying Wales £4.6 billion in rail funding.
'Now she's in government, she's waxing lyrical about 10% of that, and content with moving the goalpost to deny Wales a further £300 million by recently classifying the Oxford-Cambridge line as benefiting Wales. I don't know how they make this up.
'Does she oppose this new injustice? Or was she ignored? Or is it her mission to see Wales short-changed?'
Ms Stevens reiterated her previous response to this accusation that the Government had only been correcting a publishing error and that the Oxford-Cambridge line was always considered an England and Wales development.
She said: 'I listened very carefully to the question, and I'm sure she would not wish to unintentionally mislead the House.
'This was an error on the Oxford-Cambridge line. This was an error by the Conservative government in the 2021 spending review.
'And as she knows, heavy rail infrastructure is reserved, not devolved. Like every heavy rail project in England, Barnet consequentials do not apply.
'The UK Government fund from which East West Rail is being funded is also directing funding projects in Wales, like the redevelopment of Wales's busiest station, Cardiff central, improvements to level crossings in north Wales and upgrading the South Wales Relief Link.'
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
40 minutes ago
- Yahoo
More than 200 MPs call for Britain to recognise Palestine as a state amid starvation in Gaza
Some 221 MPs from across different political parties have joined forces to call on the Government to recognise a Palestinian state. The MPs urge the Government to take the step ahead of a United Nations conference in New York next week. This follows France's announcement on Thursday evening it will formally recognise Palestine at a UN summit in September. The MPs' letter, co-ordinated by Sarah Champion – Labour chairwoman of the International Development Select Committee, said: 'We are expectant that the outcome of the conference will be the UK Government outlining when and how it will act on its long-standing commitment on a two-state solution; as well as how it will work with international partners to make this a reality.' Parliamentarians from Labour, the Conservatives, Lib Dems, SNP, Greens, Plaid Cymru, SDLP and independents are among those who signed the letter. Senior signatories include Labour select committee chairs Liam Byrne, Dame Emily Thornberry and Ruth Cadbury, the Lib Dem leader Sir Ed Davey, as well as Tory former minister Kit Malthouse, and Sir Edward Leigh, Parliament's longest-serving MP. The majority of those who have signed, 131, are Labour MPs. Rotherham MP Ms Champion acknowledged 'recognition alone will not end the suffering in Gaza or the rapid expansion of settlements and settler violence in the West Bank'. But she said it would be an important step on the path towards a two-state solution to end the war. The Labour MP added: 'Recognition would send a powerful symbolic message that we support the rights of the Palestinian people, that they are not alone and they need to maintain hope that there is a route that leads to lasting peace and security for both the Israeli and the Palestinian people.' Ministers have faced growing calls to recognise a Palestinian state immediately amid mounting global anger over the starving population in Gaza. Sir Keir Starmer said on Friday evening that such a move needed to be part of the 'pathway' to peace in the Middle East, which he and allies are working towards. 'That pathway will set out the concrete steps needed to turn the ceasefire so desperately needed, into a lasting peace,' the Prime Minister said. He added: 'Recognition of a Palestinian state has to be one of those steps. I am unequivocal about that. But it must be part of a wider plan which ultimately results in a two-state solution and lasting security for Palestinians and Israelis. The PM also said: 'The appalling scenes in Gaza are unrelenting. 'The continued captivity of hostages, the starvation and denial of humanitarian aid to the Palestinian people, the increasing violence from extremist settler groups, and Israel's disproportionate military escalation in Gaza are all indefensible. In a statement released on Friday alongside the leaders of France and Germany, the Prime Minister urged 'all parties to bring an end to the conflict by reaching an immediate ceasefire'. Sir Keir, French President Emmanuel Macron and German Chancellor Friedrich Merz also called for Israel to stop restricting the flow of aid into Gaza. Charities operating in Gaza have said Israel's blockade and ongoing military offensive are pushing people there towards starvation, warning that they are seeing their own workers and Palestinians 'waste away'. Israel says it allows enough aid into the territory and faults delivery efforts by UN agencies, which say they are hindered by Israeli restrictions and the breakdown of security. As he left for Scotland on Friday, US President Donald Trump suggested that Mr Macron's announcement that France would recognise Palestinian statehood was unimportant. 'What he says doesn't matter', Mr Trump told reporters at the White House. Sir Keir will meet the US president during his five-day private trip to Scotland, due to kick off on Friday. US-led peace talks in Qatar were cut short on Thursday, with Washington's special envoy Steve Witkoff accusing Hamas of a 'lack of desire to reach a ceasefire'. The deal under discussion is expected to include a 60-day ceasefire in which Hamas would release 10 living hostages and the remains of 18 others in phases in exchange for Palestinians imprisoned by Israel. Aid supplies would be ramped up and the two sides would hold negotiations on a lasting truce. Hamas-led militants based in Gaza abducted 251 people in the October 7 attack in 2023 that triggered the war and killed about 1,200 people. Fewer than half of the 50 hostages still in Gaza are believed to be alive. Israel's war in Gaza has killed more than 59,000 Palestinians, according to Gaza's Health Ministry. It does not distinguish between militants and civilians.
Yahoo
an hour ago
- Yahoo
China's $733 Billion Warning: Why Investors Can't Ignore This Red Flag
China just posted a record-breaking 5.25 trillion yuan ($733 billion) budget deficit for the first half of the yeara 45% jump from the same period in 2024. Behind that number? A government pulling every fiscal lever it can to keep growth on track as exports to the US take a hit. While American tariffs remain elevatedroughly 30 percentage points higher than a year agoBeijing has doubled down on infrastructure and domestic spending to compensate for weakening external demand and a bruised property sector. Warning! GuruFocus has detected 9 Warning Signs with MSTR. So far, that strategy has bought time. GDP grew 5.3% in the first six months, running ahead of the government's full-year target. But under the surface, cracks are showing. Fiscal revenue fell 0.6% year-on-year, tax collections dropped 1.2%, and land salesa key source of fundingslipped another 6.5%. Meanwhile, total government spending rose 9% to nearly 19 trillion yuan, driven by capital-heavy projects and social support. For investors, that paints a mixed picture: growth is holding up, but the cost is rising fast. All eyes now turn to two events on the horizon: a high-level economic policy meeting in Beijing and fresh trade negotiations between Chinese and US officials. What happens next could shape the outlook not just for China's fiscal stance, but for any company exposed to cross-border flowsparticularly those like Tesla (NASDAQ:TSLA), which depend on both Chinese consumers and manufacturing capacity. If tariffs rise or growth slows, earnings leverage across sectors could swing hard in either direction. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
China's $733 Billion Warning: Why Investors Can't Ignore This Red Flag
China just posted a record-breaking 5.25 trillion yuan ($733 billion) budget deficit for the first half of the yeara 45% jump from the same period in 2024. Behind that number? A government pulling every fiscal lever it can to keep growth on track as exports to the US take a hit. While American tariffs remain elevatedroughly 30 percentage points higher than a year agoBeijing has doubled down on infrastructure and domestic spending to compensate for weakening external demand and a bruised property sector. Warning! GuruFocus has detected 9 Warning Signs with MSTR. So far, that strategy has bought time. GDP grew 5.3% in the first six months, running ahead of the government's full-year target. But under the surface, cracks are showing. Fiscal revenue fell 0.6% year-on-year, tax collections dropped 1.2%, and land salesa key source of fundingslipped another 6.5%. Meanwhile, total government spending rose 9% to nearly 19 trillion yuan, driven by capital-heavy projects and social support. For investors, that paints a mixed picture: growth is holding up, but the cost is rising fast. All eyes now turn to two events on the horizon: a high-level economic policy meeting in Beijing and fresh trade negotiations between Chinese and US officials. What happens next could shape the outlook not just for China's fiscal stance, but for any company exposed to cross-border flowsparticularly those like Tesla (NASDAQ:TSLA), which depend on both Chinese consumers and manufacturing capacity. If tariffs rise or growth slows, earnings leverage across sectors could swing hard in either direction. This article first appeared on GuruFocus.