PRIME Minister David Cameron insists Wales was given favourable treatment by his government in its deficit-reduction programme – but warned its economy is too reliant on the state.

Mr Cameron was at the Senedd in Cardiff Bay yesterday to address Assembly Members ahead of their regular plenary session.

It came after he chaired his Cabinet’s first meeting in Wales earlier in the day.

He told AMs an inquiry into the way Wales is funded by the UK government will be carried out and urged all political parties in the Assembly to work together on a consensus.