Plaid will not join the government, although the pro-independence party has reached a parliamentary agreement with Labour whereby the two parties will coordinate in three liaison: financial, legislative and constitutional. The pact foresees the implementation of a package of social measures, and further envisages the creation of a Welsh development bank.
The two parties also "committed to working positively together in the next six weeks to secure a “Remain” vote in the European referendum" to be held on June 23.
Labour Party emerged once more as Wales's largest party on June 5 election, but fell short of an absolute majority, securing 29 of 60 seats in the National Assembly for Wales. Plaid got 12, the Conservative Party 11, UKIP 7 and the Liberal Democrats 1.