Senedd to vote on £354m Welsh budget carrying £20m for social housing and £40m for schools

The Welsh Government will ask the Senedd on Tuesday 3 November to approve a £354m Supplementary Budget that includes £20m for social housing, £40m for the school estate and £5m for community facilities.

The package restates allocations that Senedd members voted down on 14 July, when the First Supplementary Budget for 2026-27 was defeated. The Welsh Government said the revived budget follows an agreement with Welsh Labour reached in October.

Elin Jones, Cabinet Minister for Finance, said: "The people of Wales have told us what matters most, and this Supplementary Budget delivers on those priorities."

The largest single line is £145m for the NHS, which the Welsh Government said is intended to help patients be seen more quickly. According to the June announcement of the original package, that NHS figure includes £20m for maintenance in hospitals and surgeries and £25m for new surgical and diagnostic hubs.

The allocations

The Welsh Government's breakdown of the construction-relevant and larger lines is set out below.

Allocation	£m
NHS	145
Additional Learning Needs	60
Schools	40
Social housing	20
Community Facilities Programme	5
North-South coach travel	2

The Welsh Government said the £40m for schools is to address maintenance pressures across the school estate.

The £20m for social housing is being directed to the Transitional Accommodation Capital Programme (TACP), according to a Welsh Government release in June. TACP had an original indicative allocation of £50m for 2026-27, and the government said the extra money contributes to its commitment to deliver 20,000 new social homes.

That June release referred to the Cae Bryn Hyfryd development in Llanrwst, Conwy, which comprises 14 new social homes delivered by Adra. Adra said it had committed to building up to 800 new homes across North Wales by 2030.

The Community Facilities Programme is a Welsh Government fund open to community and voluntary organisations for improving community facilities. It offers grants in two bands, £5,000 to £25,000 and £25,001 to £300,000.

How the budget was revived

The First Supplementary Budget was published on 23 June 2026, when the Welsh Government said it allocated £294m across its priorities, including £20m for social housing, £40m to improve school buildings and £5m for community facilities. At the time the government said the £20m for social housing was subject to Senedd approval in July.

That approval did not come. On 14 July the Senedd voted against the budget, an outcome the Cabinet Minister for Finance described as "deeply disappointing". The Welsh Government said the Annual Budget for 2026-27, approved in January, remained in force and committed to bringing back a supplementary budget later in the financial year.

On 13 October the Welsh Government announced an agreement with Welsh Labour that it said enabled the Supplementary Budget to proceed. The deal added £60m for Additional Learning Needs to the package first set out in June, taking the total from the £294m quoted in June to the £354m given in the 2 November release.

First Minister Rhun ap Iorwerth said: "This agreement reflects what can be achieved when parties across the Senedd work together."

The Second Supplementary Budget was laid before the Senedd on 13 October. According to the written statement issued that day, it also restates the 2026-27 Final Budget in line with the new Ministerial portfolios.

What happens next

The budget will be debated in Plenary and voted on tomorrow, Tuesday 3 November. The Welsh Government said it provides the foundations for its Draft Budget, setting out spending plans for the coming years, which will be published on Tuesday 17 November.