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Mismanagement of public accounts ‘has cost the people of Wales millions’

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SIGNIFICANT funds for essential public services have been lost due to shortcomings in the Welsh Government’s accounting, according to a Senedd Committee.

A report published today by the Senedd’s Public Accounts and Public Administration Committee (PAPAC) has raised a number of issues with the accounts for 2020/2021.

  • £155.5 million was lost to Wales due to poor account management
  • Serious concerns about record keeping relating to £80,000 payment made to the former Permanent Secretary
  • The current Permanent Secretary’s salary exceeds the advertised amount
  • Concerns about the level of fraud and error in the COVID-19 business grants scheme

Welsh Government £155.5 million underspend

Today’s report notes the Committee’s disappointment that significant funding was lost to Wales as a result of the Welsh Government’s underspend in 2020-21.

A total of £155.5 million could have been utilised to fund essential public services in Wales – at a time when there are serious pressures on public funding.

This figure is the result of the difference between the balance of the Wales Reserve on 1 April 2021 – £505.5 million – and the Wales Reserve’s limit of £350 million. The Welsh Government said the Chief Secretary to the Treasury had rejected its request to carry forward funds in excess of the Wales Reserve limit.

It is equivalent to around two-thirds of the revenue raised from putting 1p on each of the Welsh rates of income tax.

The Committee found it difficult to understand why the Welsh Government waited so long to be told it could not do as it wished with the underspend, and why such a request was made retrospectively. The Welsh Government appears to have assumed, based on previous HM Treasury decisions, that it would be granted flexibility to use the funding.

It raises questions as to whether making a request sooner may have enabled the funds to be used. The Committee said lessons must be learnt to ensure such vital funding is not lost from Wales again.

Chair of the PAPAC, Mark Isherwood MS, said: “Our report highlights a number of serious issues within the Welsh Government’s Consolidated Accounts 2020-21, which was not only significantly delayed and signed nine months later than the timetable originally agreed, but qualified by the Auditor General on three separate issues.

“We are very concerned that significant funding was lost to Wales as a result of the underspend in 2020-21. This money could have been used to fund essential services and it is especially frustrating now when there are such pressures on public funding.

“It is one of many examples where poor record keeping and mismanagement of public accounts has cost the people of Wales.”

Arrangements surrounding current and former Permanent Secretaries

A payment made to the former Permanent Secretary, and arrangements around the current Permanent Secretary’s salary, raise a number of issues regarding the documentation of decision making and record keeping by the Welsh Government.

A payment of £80,519 was made to the former Permanent Secretary on her departure.  This included £31,843 as payment in lieu of notice, £9,553 in unused annual leave and an extra-contractual payment of £39,123.

The Committee is concerned that deficient record-keeping about how important decisions were taken resulted in a lack of clarity and insufficient opportunity for this Committee to scrutinise this payment, and that Welsh Government did not provide the Auditor General with sufficient contemporaneous evidence to establish the change in the former Permanent Secretary’s working arrangements and to justify the payment made on her departure.

The report also details concerns about the process of appointing the current Permanent Secretary. In September 2021, the Welsh Government announced the appointment of Dr Andrew Goodall, who had since 2014 been seconded to the Welsh Government from the Aneurin Bevan University Health Board (ABUHB).

The post had been advertised with a salary between £162,500 and £180,000, but Dr Goodall confirmed after his appointment that he remained on the NHS chief executive pay framework – meaning his current salary exceeds the advertised salary.

This raises the question of whether the Welsh Government may have attracted different candidates had the post been advertised at a higher pay scale.

The report recommends that the Welsh Government review its reporting and record-keeping practices to ensure that internal decisions around the Permanent Secretary role, along with any other roles at Director General level or above, are clearly documented.

The 17 recommendations made in the report aims to tackle the poor recording keeping which came to light during the Committee’s inquiry.

Charity

Shalom House adapts to community needs amid financial struggles

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A HOSPICE in St Davids is finding new ways to support the community after financial challenges forced changes to its operations. Shalom House, a well-loved facility on Nun Street, has shifted its focus in recent years, balancing healthcare provision with its founding mission.

Established in 2007, Shalom House was originally designed as a five-bed hospice offering respite and palliative care. Its creation was made possible by the donation of the property from Elizabeth de Guise, a novelist with a deep connection to Pembrokeshire. However, rising costs and funding shortfalls have led to significant changes in how the hospice operates.

In late October, the closure of St Davids Surgery prompted Shalom House to repurpose two of its rooms for use by a branch surgery. The facility is now home to a service staffed by practice nurses under Hywel Dda Health Board, ensuring local residents continue to have access to healthcare.

Balancing priorities

While the move has been welcomed by many in the area, it has come at a cost. Shalom House now operates with three respite beds instead of five, a change that has sparked concern among some supporters.

“We had to make a difficult decision,” a spokesperson for the hospice said. “Our primary goal is to serve the community, and this arrangement allows us to do so in multiple ways. The branch surgery provides vital medical care while helping us generate income to keep Shalom House open.”

The hospice continues to offer day-care services to several patients each week, with additional respite care provided as resources allow. Trustees are optimistic that full capacity can be restored in the future, depending on funding.

Community campaign brings hope

Despite the challenges, Shalom House has received overwhelming support from the Pembrokeshire community. A recent campaign, “Save Shalom,” has seen donations increase dramatically, offering a glimmer of hope for the hospice’s long-term future.

Local resident and campaign volunteer, Jenny Williams, said: “Shalom House means so much to so many people. It’s more than a building—it’s a lifeline for families across the county. We’re determined to do everything we can to keep it running.”

Looking ahead

The trustees are exploring new ways to raise funds and expand services, with plans to launch a series of community events next year. They have also expressed gratitude for the continued generosity of local residents, whose donations remain crucial.

“Shalom House has always been about Pembrokeshire’s people,” said the spokesperson. “Every penny donated helps us provide care and support to those who need it most. We’re confident that, with the community behind us, we can overcome these challenges.”

For more information about Shalom House or to make a donation, visit www.shalomstdavids.org.

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Entertainment

A Christmas spectacular at St Davids Cathedral delights audience

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A CHRISTMAS celebration of music and song enthralled audiences at St Davids Cathedral on Saturday (Dec 14), as the St Davids Cathedral Choir and Vox Angelica presented A Christmas Spectacular. The event, which began at 7:00pm, offered a festive evening of performances set against the awe-inspiring backdrop of one of Wales’ most iconic landmarks.

The concert featured the talented harpist Bethan Semmens, who captivated listeners with her intricate and emotive playing. A Cardiff native, Semmens studied at the Royal College of Music and has performed at prestigious events across the UK and internationally. Her contributions to the evening brought an enchanting touch to the programme.

The night was packed with beloved seasonal pieces, showcasing both choral and soloist performances. Highlights included the timeless Good King Wenceslas, Winter Wonderland, and festive classics such as The Twelve Days of Christmas. The Cathedral Choir delivered stirring renditions under the vaulted ceilings, with carols and arrangements that beautifully resonated throughout the space.

Special moments featured solos by Harriet Pearce and Sophie Cooke, who lent their voices to favourites like There Is No Rose and Balulalow. The audience was further treated to a moving arrangement of A Ceremony of Carols by Benjamin Britten, performed in harmony with Bethan Semmens’ harp accompaniment.

A medley of carols encouraged audience participation, culminating in a joyful and spirited atmosphere. Families, friends, and visitors joined their voices for classics that brought warmth and festivity to the wintry evening.

The performance concluded with an uplifting recessional, leaving attendees with a sense of seasonal cheer. The Cathedral, adorned with Christmas trees and lights, provided the perfect setting for what many described as an unforgettable musical experience.

The Herald understands that A Christmas Spectacular was a resounding success, with plans already underway for next year’s event.

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News

Greyhound racing in Wales: Future hangs in balance as decision delayed until 2025

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THE WELSH GOVERNMENT’S decision to postpone a ruling on the future of greyhound racing until 2025 has sparked mixed reactions, with animal welfare groups voicing disappointment and industry representatives welcoming the extended timeline for discussion.

Welfare groups demand urgent action

Animal welfare organisations, including Dogs Trust, RSPCA Cymru, Blue Cross, Greyhound Rescue Wales, and Hope Rescue, have expressed dismay at the delay. The coalition, known as Cut the Chase, has long advocated for an end to greyhound racing in Wales, calling the postponement a missed opportunity to prevent further harm.

Their concerns mirror recent developments in New Zealand, where greyhound racing will be banned by August 2026 due to concerns over injuries and fatalities. Owen Sharp, Chief Executive of Dogs Trust, stated:
“The call to end greyhound racing in Wales has received overwhelming support from the animal welfare community, Members of the Senedd, and the public, with over 35,000 people signing a petition demanding change.

“It is unacceptable that so many dogs die or are seriously injured every year, all in the name of entertainment. Wales now stands alongside only a handful of countries, including England and Scotland, where this outdated and inhumane practice persists. The Welsh Government must take the only meaningful action to stop this cruelty: end greyhound racing once and for all.”

Public supports a phased ban

A consultation conducted by the Welsh Government revealed that 64.69% of respondents supported a phased ban on greyhound racing. Despite this, officials have opted to extend deliberations, with a final decision now expected in 2025.

Animal welfare groups highlighted troubling figures from the Greyhound Board of Great Britain (GBGB), which reported 359 racing greyhound deaths and 4,238 injuries in 2023 – a 47% increase in fatalities compared to the previous year. Concerns extend to off-track welfare, including reports of poor living conditions, inadequate nutrition, and lack of enrichment for retired greyhounds.

Industry defends its welfare standards

The GBGB has countered criticism by emphasizing welfare improvements at licensed tracks such as Valley Stadium in Wales. Mark Bird, GBGB Chief Executive, said:
“Valley Stadium’s licensing has brought significant welfare improvements, overseen by expert veterinarians and our national network of professionals. Racing greyhounds receive more oversight and protection than many pet dogs across Wales.

“We remain committed to working with the Welsh Government to promote and protect greyhound welfare through effective and proportionate regulation.”

Broader calls for change

The debate in Wales reflects a growing movement to end greyhound racing across the UK and beyond. In Scotland, a Proposed Prohibition of Greyhound Racing Bill aims to outlaw the sport, while New Zealand has committed to a ban, citing ethical concerns.

Decision delayed but debate intensifies

The Welsh Government has emphasized the need for thorough consideration before making a final decision. However, the delay has intensified divisions, with animal welfare groups urging an outright ban and the industry advocating for improved regulation as a viable alternative.

A final verdict is not expected until 2025, leaving the future of the sport – and the welfare of thousands of greyhounds – uncertain.

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