:00:05. > :00:10.Welcome to Wales Today live from Cardiff Bay. The Welsh Government
:00:10. > :00:13.has published its draft budget of more than �14 billion. Virtually
:00:13. > :00:23.all public services face financial cuts after inflation is taken into
:00:23. > :00:25.
:00:25. > :00:29.account. And the Welsh Government will need help to get it passed.
:00:29. > :00:33.these difficult economic times, this is a budget for growth and
:00:33. > :00:37.jobs. Health and education see slight increases in their budgets,
:00:37. > :00:40.but business and enterprise see a cut. I'll be speaking to the
:00:40. > :00:46.Finance minister live and finding out whether the other parties will
:00:46. > :00:49.support Labour on the final budget on 6th December. Also tonight:
:00:49. > :00:59.Uncertainty for students around the world and dismay at home as the
:00:59. > :01:05.University of Wales plans to stop validating degree courses. I think
:01:06. > :01:10.it has been a poor example of governors in Wales. This is no way
:01:10. > :01:13.to run a higher education system. The New Zealand earthquake claimed
:01:13. > :01:23.the lives of 180 people. Seven months on, we meet a Cardiff man
:01:23. > :01:35.
:01:35. > :01:42.helping with the re-building Good evening. How would you spend
:01:42. > :01:45.�14 billion? That's what the Welsh Government has been announcing here.
:01:45. > :01:50.If it sounds like deep economics, it's about our schools, our
:01:50. > :01:54.hospitals and creating jobs wherever you live. The government
:01:54. > :02:01.says this is a budget for growth and jobs.
:02:01. > :02:07.Let's take a closer look at the figures: There will be an extra �51
:02:07. > :02:12.million for health in Wales, that's up by just less than 1%.
:02:12. > :02:20.Education gets an extra �9 million, that's up by 0.5%.
:02:20. > :02:23.The budget for housing falls by �28 million, that's down by 4.9%.
:02:23. > :02:26.More money will be spent on health and education next year, inflation
:02:26. > :02:34.will soon eat away those increases and other departments face
:02:34. > :02:38.significant cuts. If that sounds straightforward, the
:02:38. > :02:41.Welsh Government has got two big problems. One, they have less cash
:02:42. > :02:51.to play with than last year, and two, Labour only have 30 of the 60
:02:51. > :02:55.seats. No majority, so they need to talk nicely to the other parties
:02:55. > :03:05.and do deals. Here's our political reporter Mark Hannaby on how the
:03:05. > :03:09.budget battle ahead might be hard to swallow.
:03:09. > :03:16.The Welsh government is hailing a budget for growth and jobs,
:03:16. > :03:20.offering a brighter future for our young. Emphasising this, Jane Hutt
:03:20. > :03:29.visited a �40 million development. However tasty the future may be,
:03:29. > :03:33.this year, few were goodies public sector parts. The government can
:03:33. > :03:38.spend over �14 billion, and the slightly less than last year, but
:03:38. > :03:44.the difference is greater in real terms. Which services will receive
:03:44. > :03:49.plenty? Who will be left shaking the jar? We have a clear vision for
:03:49. > :03:53.Wales. We want a more prosperous economy. We want better, more
:03:53. > :03:58.efficient public services that equip people to fulfil their
:03:58. > :04:05.potential and maximise their contribution to society and the
:04:06. > :04:09.economy. Health sees a cash prize of �51 million next year. The
:04:09. > :04:12.Conservatives have long argued that health should be given enough money
:04:12. > :04:18.to meet rises in inflation, whatever the cost to the rest of
:04:18. > :04:21.the budget. They are far from sold on the government's plans. It is
:04:21. > :04:26.clear from today's draft budget that health spending will be cut in
:04:26. > :04:30.real terms. Therefore, does the minister regret that Wales will be
:04:30. > :04:34.the any part of the United Kingdom in which health spending is being
:04:34. > :04:42.kept in Actual real terms? education budget will rise by just
:04:42. > :04:45.�9 million, compared to this year's budget of �1.8 billion. For the
:04:45. > :04:50.Liberal Democrats who have made education a top pay she, the
:04:50. > :04:54.government's proposal is hard to swallow. The first impression of
:04:54. > :05:01.this budget is that effectively, you have given us nothing much
:05:01. > :05:05.different to last year's budget. The question therefore is that as
:05:05. > :05:10.last year's budget did not have other jobs or growth, while this
:05:10. > :05:16.budget be any different? Funding economic development is difficult
:05:16. > :05:21.against a background of Whitehall cats of around 40% to budget for a
:05:21. > :05:27.large business projects. The but -- the business and enterprise but it
:05:27. > :05:34.sees a cut of almost �9 million. Lack of money to build new schools,
:05:34. > :05:37.prepare -- repair roads, is becoming a big issue. When it comes
:05:38. > :05:44.to backing the budget, applied country survey will not buy it
:05:44. > :05:48.without improved funding. -- Plaid Cymru. There is a real issue about
:05:48. > :05:53.people losing their jobs. I see no signs that this budget recognises
:05:53. > :06:01.the scale of that problem. biggest cut in the budget is to
:06:01. > :06:06.housing, which will fall by �28 million. Lacking in overall
:06:06. > :06:11.majority, the government will need to build compromises to get the
:06:11. > :06:21.budget through. Expect deals and possibly some changes to keep
:06:21. > :06:22.
:06:22. > :06:26.opponents suite before the budget is finalised.
:06:26. > :06:30.Let's talk to the finance minister Jane Hutt. You have described this
:06:30. > :06:38.as a draft budget for growth and jobs. I do not understand. You have
:06:38. > :06:46.cut the budget for the business department. How can it be a budget
:06:46. > :06:51.for growth and jobs? You know this is a tough budget. Particularly a
:06:51. > :06:55.21% cut in capital. We also know that it is a budget where we have
:06:55. > :06:59.to look to our young people to make sure they do not have the scourge
:06:59. > :07:03.of youth unemployment. When you talk to employers, the want us to
:07:03. > :07:07.see investing in skills, the infrastructure in times of capital,
:07:07. > :07:11.they want to make sure we can get good procurement, they want to make
:07:12. > :07:16.sure that planning is not getting in the way. It is not just about
:07:16. > :07:24.what goes into economic development, but �90 million is going into
:07:24. > :07:28.support for businesses, which helps projects. It helps our college.
:07:28. > :07:32.There will be �40 million coming from the UK Treasury. The
:07:32. > :07:36.Chancellor and the Prime Minister have suggested that goes towards
:07:36. > :07:41.reducing community charge. Where will that go? That money, for �2
:07:41. > :07:46.million, could go on growth and jobs. One-off money this year. Yes,
:07:46. > :07:49.a strong feeling came across from the Chamber that we should be
:07:50. > :07:56.looking to education, training, the economy in terms of that funding.
:07:56. > :07:59.Local government has had a fair settlement. Just to be clear, that
:07:59. > :08:03.�40 million and that is coming from the UK Treasury, he was saying is
:08:03. > :08:07.going to go towards growth and jobs rather than anywhere else? I am
:08:07. > :08:11.saying this is a strong view that came over in the Chamber. Really
:08:11. > :08:14.got the news yesterday that we have got this money and we are now
:08:14. > :08:19.making a decision on where it should go. It is very clear is that
:08:19. > :08:24.the priority is to ensure we can have that recovery in the economy
:08:24. > :08:28.and we can also invest in as public services like health and education.
:08:28. > :08:33.We have used so much about cuts. The impression I get is that next
:08:33. > :08:38.year perhaps will be even worse. Is that what you are trying to tell
:08:38. > :08:41.us? We are in for the long haul. We're all looking at economic
:08:41. > :08:46.renewal and social justice. Obviously, we have got to work with
:08:46. > :08:49.our partners to make sure we listen and learn and get this budget
:08:49. > :08:53.through. So the health budget in Wales got
:08:53. > :08:57.more money. An extra �51 million next year. But in a health budget
:08:57. > :09:02.of over �6 billion every year, it's not a huge increase once you take
:09:02. > :09:11.inflation into account. So plenty of challenges for our health
:09:11. > :09:16.service, as our correspondent, Arwyn Jones reports. Today, the
:09:16. > :09:22.Welsh government pledged an extra �239 billion for the NHS over the
:09:22. > :09:27.next three years. More cash, but if we consider inflation, it is still
:09:27. > :09:32.a cat. It means that for hospitals and GPs, the next few years will be
:09:33. > :09:35.financially difficult. It is not just an issue discussed here. Today,
:09:35. > :09:41.at the Conservative conference, the Health Secretary for England had
:09:41. > :09:45.this to say about the NHS here. not listen to the absurd inventions
:09:45. > :09:51.by the Labour Party on the NHS when you can actually look and see what
:09:51. > :09:58.a Labour in power means to the NHS in Wales. In Wales, NHS budgets
:09:58. > :10:03.have been cut by more than 8% over the next three years. In England,
:10:03. > :10:08.we are increase in the NHS budget each year. In England, the NHS
:10:08. > :10:11.treats over nine out of 10 patients within 18 weeks. It was, it is
:10:11. > :10:17.barely seven out of 10. The Welsh government has said there are fewer
:10:17. > :10:20.people in Wales waiting over a year for an operation than in England.
:10:20. > :10:25.They accuse the government in England of trying to privatise the
:10:25. > :10:29.NHS. Today, the Welsh government said there will be millions of
:10:29. > :10:33.pounds in addition for areas like orthopaedic surgery. The money will
:10:33. > :10:39.go up to help people like this lady. Until recently, she still enjoyed
:10:39. > :10:45.going out dancing several times a week. Now she is awaiting a new hip.
:10:45. > :10:54.Like thousands of others, she is on a waiting list. I am in constant
:10:54. > :11:00.pain all the time. To be honest, I would say the week that I left the
:11:00. > :11:04.hospital, I was better then than I am now. It is all down to funding.
:11:04. > :11:10.There is no doubt there are some tough choices to be made within the
:11:10. > :11:14.health service. Our largest health board gives an indication of the
:11:14. > :11:20.challenges faced. In an internal message to staff, it says there are
:11:20. > :11:26.facing unprecedented financial and performance pressures. The saving
:11:26. > :11:32.requirement for this year amounts to over �87 million. The average
:11:32. > :11:36.couple in Wales will need to find about an extra �1 million per week
:11:36. > :11:41.to balance its books at the end of the next few years. That is a
:11:41. > :11:44.massive sum of money. We have never seen this scale of challenge in the
:11:44. > :11:48.health service before. The jury is out as to whether the savings can
:11:48. > :11:52.be achieved without the service suffering. More money is always
:11:52. > :11:57.welcome. For thousands of patients, it could mean getting operations
:11:57. > :12:04.more quickly in the future. Today's extra cash will not solve all the
:12:04. > :12:08.problems facing our health service. The leaders of the other political
:12:09. > :12:15.parties were watching avidly today and have been crunching the numbers.
:12:15. > :12:19.They all joined me now. Let me start with the Conservatives. It is
:12:19. > :12:24.a difficult day for you because essentially, what has gone on here
:12:24. > :12:30.is the result of your party in London imposing these cuts on Wales.
:12:30. > :12:34.Not at all. We want to be constructive. People facing a
:12:34. > :12:41.challenge do not want to see politicians are Quinn. I regret
:12:41. > :12:46.that the government will be cutting NHS funding. We propose providing
:12:46. > :12:50.Biggs -- business rate relief. would you cat? If you had been in
:12:50. > :12:55.charge, what would you cut question that we provided a detailed budget
:12:55. > :13:01.last year which it and fed if you spend more in schools, you would
:13:01. > :13:07.save �102 million. There are opportunities within the budget,
:13:07. > :13:12.but it is challenging. We have got to be constructive. Let us speak to
:13:12. > :13:16.Ieuan Wyn Jones from Plaid Cymru. Labour need you or the Liberal
:13:16. > :13:21.Democrats on side. They do not have a majority. What are they have due
:13:21. > :13:26.to get your support? We made it clear that we saw the economy as
:13:26. > :13:30.the major challenge. We are facing another recession. People will lose
:13:30. > :13:40.their jobs. The private sector is not growing at a rate that will
:13:40. > :13:41.
:13:41. > :13:44.take up the slack from the public sector. Occult of 6% in cash terms
:13:44. > :13:51.over the next three years in the business budget is simply
:13:51. > :13:57.unacceptable. Let us speak to Kirsty Williams. �40 million is
:13:57. > :14:01.coming to Wales from the UK Treasury. George Osborne has
:14:01. > :14:06.suggested this should be spent on a freezing council tax bills. Usually
:14:06. > :14:10.agree with them, don't you? No, I do not. By have been very clear
:14:10. > :14:14.that the priorities for us a new budget are creating jobs will be
:14:14. > :14:18.people suffering the scourge of unemployment and insuring a best
:14:18. > :14:21.possible future for our children are by investing in medication.
:14:21. > :14:27.Otherwise, we will see a generation after generation of Welsh people
:14:27. > :14:32.not making the most of their skills and their potential. For me, the
:14:32. > :14:36.priority will be spending in schools. Also, more spending that
:14:36. > :14:45.the private sector to get people back to work. That is what the
:14:45. > :14:49.priorities are for the Welsh Let's pick get some of these points
:14:50. > :14:55.with our business correspondent. The context of today's Welsh
:14:55. > :15:01.Assembly draft budget is how do you reduce unemployment in Wales. Is it
:15:02. > :15:08.going to work? As look at youth unemployment. A fifth of unemployed
:15:08. > :15:12.people in Wales are between 16 and 24. We don't know the exact details
:15:12. > :15:17.of a project but we expected to be along the lines of the future jobs
:15:17. > :15:25.fund which was introduced by Gordon Brown when he was Prime Minister.
:15:25. > :15:28.It was promptly scrapped by the coalition government. It was in
:15:28. > :15:32.effect will offer temporary placements to young people and try
:15:33. > :15:36.to do with this issue of the threat of a lost generation of young
:15:36. > :15:40.people in the workplace. It was scrapped because the Conservatives
:15:40. > :15:44.thought it was not dealing with the underlying problems in the private
:15:44. > :15:49.sector. It will be interesting to see if the private sector in Wales
:15:49. > :15:53.take part in this scheme. It is a bit cheeky to call it a draft
:15:53. > :15:59.budget for jobs and growth as ghastly business department.
:15:59. > :16:06.they have been talking for a while about using the best use of the
:16:06. > :16:09.money and try not to please everyone. They are picking sectors.
:16:09. > :16:15.The economic development was introduced when Ieuan Wyn Jones
:16:15. > :16:19.looked after the economy. It will put more pressure on the economic
:16:19. > :16:23.Development officials working throughout Wales to get it right.
:16:23. > :16:28.There are fewer resources and they have to pick those companies and
:16:28. > :16:32.those sectors that are right for growth. The tax payer in Wales get
:16:32. > :16:38.the best use of the many. Those companies that are supported other
:16:38. > :16:44.ones that are genuinely creating jobs. Thank you very much. That is
:16:44. > :16:47.the business context. We will have political analysis from our
:16:47. > :16:51.political editor late in the programme. Back to the studio. Good
:16:51. > :16:53.evening. 70,000 students around the world face an uncertain future
:16:53. > :16:56.after the University of Wales said it would scrap validating degree
:16:56. > :17:01.courses. One institution here says it's astonished and has been
:17:01. > :17:05.treated badly by the University of Wales. Here's Kate Scott-Williams.
:17:05. > :17:07.It's the end of the University of Wales as we know it. Without notice,
:17:07. > :17:10.the historic institution, founded in 1983 has pulled the plug on
:17:10. > :17:16.partner institutions all around the world, including some in Wales
:17:17. > :17:23.which still bear its name. The move means the University goes from
:17:23. > :17:25.being the second biggest in the UK to one of the smallest in Wales.
:17:25. > :17:30.Instead of five Welsh member institutions it will now consist of
:17:30. > :17:39.just Trinity Saint David and Swansea Metropolitan Universities.
:17:39. > :17:45.The announcement came as a shock to some universities here.
:17:45. > :17:50.It has been a poor or example of governance in Wales. This is
:17:50. > :17:55.certainly no way to run a high education system. But for those
:17:55. > :18:00.remaining in the University of Wales they say it was inevitable.
:18:00. > :18:09.It is only in the last decade that it has increased in Wales to the
:18:09. > :18:14.size that it is. It may be getting smaller but there will be more
:18:14. > :18:18.than... Around 20,000 students in Wales with University of Wales
:18:18. > :18:21.degrees. There's been pressure on the way the University of Wales
:18:21. > :18:24.does business globally since BBC Wales exposed a pop star with bogus
:18:24. > :18:26.degrees running a college offering its courses in Malaysia and another
:18:26. > :18:31.in Thailand operating illegally. Today some students in Wales
:18:31. > :18:36.weren't too worried about the changes.
:18:36. > :18:42.As long it is a good degree I don't care where it comes from. You have
:18:42. > :18:49.to do well and what you do. As long as it is recognised by potential
:18:49. > :18:53.employers, that is what matters. have put in three years' hard work
:18:53. > :18:55.and they have got my qualification, I do think it matters that much.
:18:55. > :19:00.The vice chancellor of the University of Wales says the move
:19:00. > :19:06.is in response to high education policy changes. They remain
:19:06. > :19:13.committed to students as well as institute's that are affected such
:19:13. > :19:18.as the University of Wales Institute in Cardiff.
:19:18. > :19:24.Tomorrow night we will bring you news of a BBC Wales investigation
:19:24. > :19:27.that lists of the lead on a scam that helps students abroad to get a
:19:27. > :19:30.University of Wales degree. Seven months after an earthquake hit New
:19:30. > :19:33.Zealand's second largest city, a father from Cardiff who emigrated
:19:33. > :19:37.to Christchurch has been speaking about their efforts to rebuild part
:19:37. > :19:47.of the city. Gareth Morgan moved there 11 years ago and helped
:19:47. > :19:51.
:19:51. > :19:59.On 22nd February this year an earthquake struck Christchurch. One
:19:59. > :20:04.of a series of powerful earthquakes. This one hates office hours. 181
:20:04. > :20:08.people lost their lives. Slowly and with determination the city is
:20:08. > :20:12.picking itself back up Bettws is quite a task. When you get into the
:20:12. > :20:17.sense of Christchurch this is the scene that means you. This was
:20:17. > :20:21.Christchurch Cathedral. Buildings have been boarded up, they are not
:20:21. > :20:24.a fit for purpose and will have to be poured down. The local
:20:24. > :20:31.authorities and hope for the city centre will be up and running the
:20:31. > :20:36.business again in April. It is hard to convey the scale of destruction,
:20:36. > :20:42.an area the size of 90 football pitches is a no-go zone. Broken
:20:42. > :20:47.buildings, abandoned shops, report. It allows the timber to jump around.
:20:47. > :20:57.Our guide was Gareth Morgan, a property manager for the New
:20:57. > :21:04.
:21:04. > :21:09.Zealand are deaf -- newsy and army. We provide the civil defence
:21:09. > :21:13.response. That involves being able to house at short notice thousands
:21:13. > :21:19.of soldiers to go into Christchurch to help with the rescue. We had to
:21:19. > :21:22.build a temporary mortuary. We coped with a refrigeration
:21:22. > :21:29.containers and various other materials and we were able to do it
:21:29. > :21:33.in two hours. I was there when the first bodies arrived. That was the
:21:33. > :21:40.first sobering moment when you realised this was bake, very big.
:21:40. > :21:44.The police van pulled up and said they had the first 11 bodies.
:21:44. > :21:51.February when so many people lost their lives the children realised
:21:51. > :21:58.how dangerous it could be. I think after that they were a bit nervous,
:21:58. > :22:07.more nervous in going to sleep at night. No earthquakes in Cardiff.
:22:07. > :22:12.Ever tempted to go back? Absolutely. It is probably time to think about
:22:12. > :22:17.going home but this is a great opportunity now, Christchurch has
:22:17. > :22:23.got a magnificent opportunity to rebuild. Last February's earthquake
:22:23. > :22:27.is still part of the city's presents. You do pick up on an
:22:27. > :22:34.enormous sense of optimism. Rather than being a city half destroyed it
:22:34. > :22:38.is a city half-built. Some breaking football news.
:22:38. > :22:48.Newport County have appointed Justin Edinburgh as their new
:22:48. > :22:59.
:22:59. > :23:03.manager. A drop of nine degrees from
:23:03. > :23:07.yesterday. There is snow on the wait but there is not. It is going
:23:07. > :23:13.to turn cold on Thursday with a little snow expected on the
:23:13. > :23:19.mountain tops in Scotland. Tonight in Wales, cloudy and damp at times
:23:19. > :23:24.with spots of rain. A windy night. Lowest temperatures 13 degrees
:23:24. > :23:28.Celsius. Tomorrow will bring the odd glimpse of sunshine. She
:23:28. > :23:35.generally cloudy with some drizzle well be in the afternoon, rain will
:23:35. > :23:40.spread across the country. Temperatures higher than today. 16
:23:40. > :23:50.degrees in Pembrokeshire. The south-westerly winds strong with
:23:50. > :23:55.
:23:55. > :23:59.It will be windy tomorrow with the rain and drizzle at times. Tomorrow
:23:59. > :24:04.evening will start of wet and windy but the rain will clear away
:24:04. > :24:09.leaving Thursday brighter but windy and noticeably colder. There is a
:24:09. > :24:14.mixture of sunshine a blustery showers. It will feel chilly with
:24:14. > :24:19.strong to gale-force winds. Be on that, Friday less windy and dry if
:24:19. > :24:25.we fewer showers. The weekend will start of dried but it looks as if
:24:25. > :24:30.there will be more wind and rain on the way. Call on Friday. Tennis is
:24:30. > :24:40.recovering over the weekend. Last month, rainfall and sunshine was
:24:40. > :24:40.
:24:40. > :24:43.average. But it was the warmest September since 2006. Before I go,
:24:43. > :24:53.we have the 70th wedding anniversary today. Many
:24:53. > :24:55.
:24:55. > :24:58.That is it from me. Back-to- Cardiff Bay.
:24:58. > :25:04.Welcome back to Cardiff Bay on an important day. The last government
:25:04. > :25:08.has unveiled his draft budget of �14 billion of spending. It has to
:25:08. > :25:13.be divided up between schools, hospitals and the services we all
:25:13. > :25:17.use. There is extra money for health and education but in
:25:17. > :25:23.increase set by inflation. The government in Cardiff Bay has two
:25:23. > :25:27.obstacles. It has less cash to play with and has no majority. It has to
:25:28. > :25:31.do deals with other political parties. Let's talk to our
:25:31. > :25:37.political editor. She has been watching the events unfold. What
:25:37. > :25:42.you make of it? It is a tough Budget. It was going to be because
:25:42. > :25:47.this is a Labour government that has a shrinking pot of cash. He
:25:47. > :25:53.does not have a majority in the chamber and does not have tax-
:25:53. > :25:58.raising powers. It is between a rock and a hard place. They can top
:25:58. > :26:04.turf about budgets to create growth. But when you look at the figures
:26:04. > :26:09.for all to see you can see how much of the talent it is going to be.
:26:09. > :26:12.You have to do you Mystic Meg bed. We know Labour does not have a
:26:12. > :26:19.majority and they have to do a deal with one of the other political
:26:19. > :26:24.parties. What is going to happen? The Chancellor gave England a
:26:24. > :26:33.council tax freeze and so where's get an extra �40 million. -- so
:26:33. > :26:39.Wales. Cheryl Gillan told Carwyn Jones to spend money on a council
:26:39. > :26:45.tax freeze in Wales. What will he do with it? Education, training and
:26:45. > :26:53.the economy is what people want them to spend on. What do Plaid
:26:53. > :27:00.Cymru want before they do a deal? They want money spent on training,
:27:00. > :27:08.education and the economy. It will allow them to sort things out bid
:27:08. > :27:12.for bat deadline. -- before that deadline in December. This is a
:27:12. > :27:17.draft budget, when will that be rubber-stamped? Up they need
:27:17. > :27:22.agreement by December. They will lead a group to come over to them.
:27:22. > :27:27.Jane Moore -- Jane Hutt will be meeting party leaders very soon.
:27:27. > :27:34.Many thanks. We will have an update for you at 8pm and there will be