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.”
