Scrooge budget could be fattened with European money

12.00.00am GMT Tue 11th Dec 2007

Welsh Liberal Democrat leader Michael German urged the First Minister to consider all means to fatten his miserly budget in the Assembly today. Mr German issued a challenge to Rhodri to make better use of European funding.

Mr German said: "I want the First Minister to be more flexible in the way he thinks about the budget. Between 2002 and 2006, the UK received £12bn in loans from the European Investment Bank. Wales has seen just over 2% of that.

"I don't feel the Government has made the most of this money or fought for the best deal. We in Wales could be benefiting from a lot more of this money.  It's meant for poorer regions that could benefit from more economic development. 

"The First Minister has said that Wales' access to the European Investment Bank is strictly controlled by the Treasury. Any money we borrow from Europe would be deducted from money we get from the Treasury. Once again freedom to act in the best interests of Wales is being hampered, and our ability to build more homes, new hospitals and schools is being curbed by London dictat."

"Wales receives Objective One funding which puts it amongst the least prosperous regions in Europe.  It's inexcusable that the Government is not pushing for us to receive more of this money.

"At a time when money for local government and police funding is being squeezed by the Assembly budget, the First Minister needs to be more Bob Cratchit and less Ebenezer Scrooge in his attitude to money for Wales."