Jane Hutt's restructuring plans were voted in

Members voted to adopt Health Minister Jane Hutt's plans to scrap the five regional health authorities in favour of 22 health boards along local government lines.

Ms Hutt said she would stick to the plan, despite fierce criticism from Tory and Plaid members.

But Ms Hutt said the aim was to do away with the internal market, empower local decision-making and reduce beauracracy, helping money to get to patients.

And, in an angry response to her critics, she said opposition parties were refusing to back the assembly on what they knew were right, accusing Plaid Cymru and the Conservatives of undermining the institution's work.

Restructuring response

"These plans are cost-neutral, there will be a management cap and we are removing beauracracy out of the health service," she said in the chamber.

"You know that the plans have changed since the consultation in the summer.

"The NHS Confederation welcomed my proposals."

She called on her colleagues to "back us all the way" in bidding for extra money from the UK Government.

The new money will be joined with the new structure

They had voted 31 to 24 in favour of the structural shake-up, now due to take effect in 2003.

Chancellor Brown, too, called for cross-party support to help modernise the NHS, creating a "world-class" service.

But, delivering an upbeat economic forecast in the House of Commons, he rejected assembly calls for tax breaks to aide the Welsh economy.

Instead, he pledged tax breaks for companies which invest in the country.

And he said there would be extra help for workers affected by large-scale redundancies, who could now number staff at Trefn near Wrexham and Meridian Foods on Deeside.

Wales in the budget

�49m extra for NHS 500,000 pensioners benefit Help for redundant workers Stamp duty exemption in 330 communities

Also promised was an increase in the basic state pension, affecting 500,000 pensioners across Wales.

Stamp duty on property sales is also being abolished in over 300 political wards across the country.

Welsh Liberal Democrat leader Lembit Opik claimed the chancellor had pinched his party's policies, while Conservative MP Nigel Evans questioned whether the money would get through to the public.

Plaid Cymru parliamentary leader Elfyn Llwyd said the news would not help those about to lose jobs, but Welsh Secretary Paul Murphy said the UK economy was now more resilient than others in the west.