THE ruling bodies of both Welsh Labour and Plaid Cymru have agreed to the terms of a co-operation deal between the parties.

The two parties have agreed to a wide-ranging deal featuring 46 policy areas – including extending free school meals, introducing a localised tourism tax, reforming housing law and creating a National Care Service.

The deal also involves looking into the devolution of broadcasting powers.

They want to “explore the creation of a shadow Broadcasting and Communications Authority for Wales”. This would be to “address our concerns about the current fragility in the media and attacks on its independence”.

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Pro-independence Plaid Cymru, led by Adam Price, are the third largest party in the Senedd with 13 seats.

Welsh Labour have 30 seats, which is one short of a majority in the parliament.

The nation’s first minister Mark Drakeford has said a deal between the parties was required without a majority – hindering his efforts to tackle “challenging and ambitious issues”.

The full deal was published on Monday. It does not provide Plaid Cymru with any ministerial roles and the deal does not amount to an official coalition.

Drakeford welcomed the collaboration. “We can achieve more for people in Wales by working together and the co-operation agreement is both a response to the external challenges we face and a chance to build on the opportunities in our future," he said.

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He added: “These commitments build on our shared values of social solidarity, a sustainable planet and a vibrant democracy.”

A spokesman for the Government said issues falling outside of the agreement “will be handled in the normal course of political engagement”.

Price, leader of Plaid Cymru, said: “The challenges we face require real ambition to deliver radical ideas.

“The fallout from leaving the European Union, the legacy of the pandemic and the UK Government’s determination to erode the Senedd’s powers all increase the need for transformational change.

“Taken together, the bold policy pledges will unite Wales and benefit every generation, from all primary school pupils receiving free school meals to a national care service, free at the point of need.

“I am pleased this pioneering co-operation agreement is founded on common ground on a range of issues that will make a long-lasting difference to people’s lives.”

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Some of the policy proposals include creating a publicly-owned energy company for Wales to encourage community-owned renewable energy projects.

There are also plans for further flood defences and new measures to strengthen the Welsh language and support for young people’s mental health.

A spokesman for the Conservatives in Wales described the agreement as “remarkable for its absence of solutions to fix the NHS … or improve the economy in Wales”.

"Labour's latest deal with the nationalists does not deliver on the priorities of working families across Wales, and will only cause constitutional chaos that risks holding back our economic recovery,” they added.