A senior Welsh Conservative source says it's 'regrettable' that negotiations between the UK and Welsh Governments on borrowing powers for the Welsh Government weren't concluded before the Chancellor's spending review
In his speech, George Osborne said he would make an announcement on 'impressive' plans for an M4 relief road shortly. It's thought those plans are linked to Welsh Government borrowing powers as recommended by the first report of the Silk Commission.
The UK Government's response to the Silk Commission report was due in the spring but has been delayed while talks continue between the Treasury and the Welsh Government. The source said:
Funding mechanisms are always complex, but it is regrettable that Silk 1 couldn’t be sorted prior to the CSR. We remain firm in the view that Silk 1 must be implemented in full and will continue to campaign for it and an M4 relief road.
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