Written question WQ97839

Welsh Government provides Local Authorities with funding to deliver infrastructure through a mix of hypothecated and unhypothecated capital allocations.

Local Authorities use unhypothecated allocations to fund a range of capital spending priorities including green infrastructure and to meet net zero commitments. Through the business case process Local Authorities are expected to assess their programmes and projects for environmental impact. This includes net zero requirements, support for green behaviours such as active travel, and provision of habitat for wildlife.

Hypothecated funding is provided to Local Authorities through a number of schemes which support delivery of green infrastructure. For example, Local Transport Grants, the Flood & Coastal Erosion Risk Management Programme, and collaborative regional energy projects. Other hypothecated funding includes the Sustainable Communities for Learning programme, which requires all funded new schools to be net zero carbon in operation, and meet stretching embodied carbon targets.