Welsh Secretary David Jones has hinted that the Chancellor will announce a deal to pay for an upgraded M4 around Newport during his spending review on Wednesday. Mr Jones used it as an example of how devolution works during a speech in Cardiff Bay this evening.
Discussions are continuing between the UK Government and the Welsh Government on upgrading the M4 around Newport. I’m sure we’re all hopeful of a positive announcement by the Chancellor when he publishes the outcome of the 2015-16 Spending Review on Wednesday.
The Chancellor is expected to place heavy emphasis on the need to prioritise infrastructure projects in order to get the economy moving. But finding up to £1 billion for the motorway improvement is linked to negotiations about granting the Welsh Government borrowing powers .
Those talks have taken longer than expected. There is also the issue of whether the Welsh Government would be granted the toll revenue from the Severn Bridges. The tolls could then repay a loan raised to pay for relieving the bottleneck where the M4 passes through the Brynglas Tunnels in Newport.
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