Party of Wales Gwynedd Councillors' Group

Gwynedd residents are likely to lose around £1 million* due to Labour National Insurance rises, as a councillor called on Labour to amend the Barnett formula at the council chamber in Gwynedd recently (1 May).

"We need a fairer way of funding Gwynedd and Wales," said the Councillor for Harlech and Llanbedr, Gwynfor Owen (pictured), "especially as our residents face the cost of living crisis such as child care, higher energy and water bills and even the rising costs of food.

“Welsh public services are facing a loss of up to £65m due to the increase in national insurance announced by the Labour Government in Westminster. And of course, it is the taxpayers of Gwynedd who are suffering because the financial gap has to be addressed.

“Welsh public services are facing a loss of up to £65m due to the increase in national insurance announced by the Labour Government in Westminster. And of course, it is the taxpayers of Gwynedd who are suffering because the financial gap has to be addressed.

“Welsh county councils will experience a financial loss as the Government uses the Barnett Formula to decide how much money is allocated to devolved countries. The formula is based on population size rather than on a country’s needs.

“It is completely unfair that public services will not receive the full funding needed for the increase in national insurance. A number of companies and organisations have already raised this issue, and the purse strings are tightening further on many organisations and businesses. This is a Labour policy. It is another example of how Wales is at a total disadvantage under Labour at the Senedd and at Westminster.”

Wales has a higher percentage of public sector workers, compared to England and the rest of the UK.

Plaid Cymru Gwynedd Leader, Nia Jeffreys (pictured) said: “England is being fully reimbursed for the increase in National Insurance, but Wales is not.

“This is a damning indictment of this so called ‘partnership in power’ within Cardiff and Westminster. Labour in Wales clearly have zero influence on the whims of their London bosses.

“I fully support this call for a fairer way of funding Wales and our residents at the council chamber and I’m pleased that the motion was passed.”