THE Welsh Government has accused the Tories of “levelling down” their nation after the UK Government confirmed it will receive less than one-seventh of the funding it would have from the EU.

The news comes after Michael Gove, the Minister for Levelling Up, announced a “Community Renewal Fund” would pump around £46 million into the Welsh economy by funding 160 projects across the country.

However, the Welsh Government has said this is just a fraction of the £375m it would have received annually from the EU before Brexit.

It also hit out at the Tories’ “unconstitutional” Internal Market Act - which it said was undermining devolution. Pre-Brexit, the funds would have been allocated in Cardiff, now the decisions are taken in Whitehall.

In a damning statement, the Labour administration in Cardiff dismissed UK Government claims their data was wrong, saying “the figures are indisputable ... Wales now has less say over less money”.

“Anything less than £375m in new funding per year from the UK Government leaves Wales worse off, despite repeated promises made by UK Ministers.”

A Welsh Government spokesperson went on: “Throughout the Brexit debate, the UK Government gave repeated assurances Wales would not lose ‘a single penny’ of EU funding should the UK exit the EU.

“Today’s [Thursday’s] announcement by the UK Government shows they are short-changing Wales by cutting the replacement funding we were promised. Instead of Wales receiving at least £375m annually in new money to invest from January this year, it confirms Wales will receive just £46m. This is not ‘levelling up’, it’s levelling down.

“The UK Government also promised devolved powers would be respected. The unconstitutional Internal Market Act undermines democratic devolution by stopping decisions about Wales being taken in Wales. It is yet another clear demonstration the people of Wales have been misled by the UK Government.”

READ MORE: Scottish and Welsh ministers hit out against Tories 'undermining' devolution

In response, the UK Government said: "This claim is incorrect. The EU structural fund programme will continue until December 2023 and the £200 million UK Community Renewal Fund is in addition to it.

"The UKCRF will help local areas prepare for the UK Shared Prosperity Fund in 2022, the scheme that will see UK-wide funding at least match EU money - reaching around £1.5 billion a year."

A total of 56 projects in Scotland will receive a share of £18.5m allocated from the Community Renewal Fund.

The news comes after the Northern Irish executive claimed more than £100m had been lost by the region since Brexit.

Finance Minister Conor Murphy said that £70m had been lost to the Stormont executive, with a further £34m deducted from agricultural subsidies.