Plaid Cymru Leader Rhun ap Iowerth says Wales should be able to set it's own tax bands and rates

Mr ap Iorwerth made the proposals in a speech hosted by the Wales Governance Centre in Cardiff. Credit: ITV Cymru Wales

Plaid Cymru leader Rhun ap Iorwerth says Wales "should have the power to set its own tax bands and rates".

It's part of a five-point plan that he says will "improve Wales' economy and social prosperity".

Mr ap Iorwerth made the proposals in a speech hosted by the Wales Governance Centre in Cardiff.

He said that the more seats Plaid Cymru has in the UK Government, the easier it will be for them to implement this.

"It's a case that resonates with the people of Wales.

"Why should we, because of governments of whatever colour at Westminster, not be able to have the funding that we need to build better health service, a better education service, and an economy that can build that fairness that we need for the future?"

His five proposals are:

  • Targets to meet ambitious outlook

  • Establishing a development agency fit for the 21st century

  • Scrap the Barnett formula and enshrine into law an Economic Fairness (Wales) Bill to rebalance the wealth of the UK

  • Bring forward legislation that ensures an equal share of public spending across Wales

  • Give Wales the ability to set its own tax bands and rates

Mr ap Iorwerth was critical of Wales' economic legacy, calling it "one of short-term thinking and sticking plaster solutions - consequently, the life chances of too many are being held back.

“If we are to turn the tide on Wales’ economic performance, we must put new thinking at the heart of the Welsh government’s approach but any party serious about fair funding for Wales will be pressing for fair funding from Westminster."

But Andrew RT Davies MS, Leader of the Welsh Conservatives, said calls for greater powers over tax bands would mean "higher taxes for the poorest in Wales."

He argues that if tax rates are not competitive with the rest of the UK, people on higher wages will leave Wales for other parts of the UK, "and the outcome will be a higher tax burden on the lowest earners."

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