Wales’ Finance Secretary Mark Drakeford has unveiled the Draft Budget 2026-27, providing more than £27bn to support public services across the country.
The budget offers stability for public services in the run-up to the Senedd election, with all government departments receiving at least the same funding in real terms as this year.
Finance Secretary Mark Drakeford said: “The Draft Budget is the beginning of the budget process – not the end. It provides a firm foundation to help public services plan for the year ahead.”
He added: “My door is firmly open to working with other political parties in the Senedd who share my belief that a more ambitious budget can be reached and that we have a collective responsibility to pass the Welsh Budget.”
Key highlights:
- More than £27.1bn allocated (98.6% of available funding)
- Health, social care and early years receive the largest allocation at £12.4bn
- Over £800m in additional funding to Welsh Government departments
- Last year’s budget rolled over with 2% uplift for inflation
- No increase in Welsh Rates of Income Tax or Land Transaction Tax thresholds
The budget includes a 2% increase reflecting the Office for Budget Responsibility’s inflation forecast, and more detailed departmental spending plans will be published on 3 November.
Mark Drakeford said: “We want to provide certainty and stability for our public services and to the people who rely on them. Our spending plans will continue to prioritise a healthier Wales, green jobs and growth, connecting communities, and opportunities for every family.”
The Draft Budget must be passed by the Senedd in January 2026.
