Image caption, NHS funding is one of the biggest challenges facing Plaid Cymru ministers ByMark PalmerAssistant editor, Wales politics Published 24 minutes ago Senior Welsh NHS bosses are calling on the Welsh government to provide multi-year funding settlements for health rather than relying on annual budgets.
Next week, ministers will unveil draft spending plans for all public services for the 2027-28 financial year.
The NHS accounts for almost half of the Welsh government's £27.5bn annual budget, but health leaders say one-year funding settlements can constrain long-term planning and transformation.
A Welsh government said it was "working to improve services now while making the longer-term changes needed".
The call comes from the Welsh NHS Alliance, external, formerly the Welsh NHS Confederation, ahead of evidence sessions at the Senedd's health committee on Thursday examining spending plans for 2027-28.
Tuesday's draft budget will need support from at least one opposition party to secure Senedd approval.
Talks between the Welsh government and opposition parties are ongoing.
Last week, the minority Welsh government relied on Labour support to pass adjustments to its spending plans for the next five months, including an extra £100m to help cut NHS waiting times.
In written evidence, the alliance warned that annual budgeting can make it harder to deliver long-term changes to the health service.
"There is a risk that annual planning cycles can constrain longer-term transformation, where benefits often require multi-year investment before being realised," it said.
The organisation argued ministers should prioritise spending that helps "shift Wales from a system focused on treating illness to one that creates health and wellbeing".
It added: "This requires multi-year funding certainty and transparent criteria for investment and disinvestment." Deal agreed to end health visitor strike affecting baby appointments Published 1 day ago Rural health board shake-up opposed as locals fight cuts to hospital beds Published 3 November The alliance also cautioned against making cuts to broad service areas in isolation.
"The health and care system is highly interconnected, and reducing expenditure in one area can simply displace costs elsewhere, often into more expensive urgent and emergency care," it said.
It argued spending decisions should instead be based on "value, outcomes and whole-system impact".
The alliance added: "The NHS cannot sustainably meet future demand if resources remain concentrated predominantly at the point of crisis." It called for more investment in primary and community care, rehabilitation, public health services and support for people with long-term conditions.
Council leaders responsible for social services, who will also give evidence to the committee, warned the sector is under "considerable pressure".
In written evidence, they said councils remain broadly confident of meeting their legal duties, but warned of growing concerns about the long-term sustainability of services if current trends continue.
Like NHS leaders, they also called for multi-year funding settlements.
A Welsh government spokesperson said: "We are working to improve services now while making the longer-term changes needed.
