David Cameron would consider more power for Wales

David Cameron says he's 'happy' to look at the prospect of transferring further powers to Wales but that he's 'not in favour' of creating a federal United Kingdom.

The Prime Minister made his comments at the Conservative Party conference in Birmingham where delegates have warmly welcomed election pledges including a freeze on benefits and a tax cut on pensions.

The Welsh Secretary has announced that a future Welsh Government will now be offered more flexible power to vary income tax - as long as voters agree in a referendum. Mr Cameron told our Political Editor Adrian Masters why his government's changed its mind.