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BBC Wales's Simon Morris
"Labour will come under heavy fire from the opposition"
 real 28k

Secretary of State for Wales Paul Murphy
"We are freeing up 421m of expenditure"
 real 28k

Plaid Cymru AM Ieuan Wyn Jones
"We will have lost out on hundreds of millions of pounds"
 real 28k

Wednesday, 19 July, 2000, 10:24 GMT 11:24 UK
Murphy's pledge on Euro funds
Welsh Secretary Paul Murphy
Paul Murphy has said no project will go unfunded
Welsh Secretary Paul Murphy has insisted that health and education funds in Wales will not be cut to pay for European-backed projects.

At a meeting of the Commons' Welsh Grand Committee to discuss Tuesday's spending announcement by Chancellor Gordon Brown, Mr Murphy said no worthwhile project would be short of money as a result of the spending review.

Dafydd Wigley AM
Dafydd Wigley AM: 'Empty promises'
He said the extra money announced for European Objective One projects was "above and beyond" the Barnett formula - which ensures that Wales gets a certain proportion of spending increases in England.

The message that existing budgets are safe from plunder was reinforced by Tony Blair in an article for the Welsh Mirror newspaper which said he has delivered on his promise not to let Wales down.

But in the assembly debating chamber, Labour will come under heavy fire from the opposition.

We haven't been able to identify a single penny yet of matched funding

Plaid Cymru's Ieuan Wyn Jones
They say Wales is still hundreds of millions of pound short of what it needs.

Ynys Mon AM Ieuan Wyn Jones said Wales had lost out totally on the European funds for its first year and only a proportion will be available for the second, third and fourth years.

"Secondly, we haven't been able to identify a single penny yet of matched funding," he said.

"So what is clear from that settlement announced yesterday is that we're going to have to raid other budgets in order to provide it."

Plaid has claimed the Chancellor's announced 421m - over the next three years to cover the total costs of European projects - is 350m less than required to use European funding to its full potential.

"After months of empty promises and soundbites, the Chancellor has not given the people of Wales the opportunity to grasp a chance in a lifetime," said Plaid president Dafydd Wigley.

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See also:

16 Jul 00 | Wales
Morgan's Euro funds warning
18 Jul 00 | Wales
Wales's windfall worry
26 Jun 00 | Wales
Go ahead for Wales's Euro aid
12 Jun 00 | Wales
Wales chases 1bn aid
18 Jul 00 | Wales
Brown gives Euro boost to Wales
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