Tackling poverty is to be a key component of the Welsh assembly's policies, Rhodri Morgan has pledged.

Speaking on Friday, the first minister highlighted existing initiatives such as the Communities First programme, the Inequalities in Health Fund and the promotion of credit unions as those impacting on areas badly hit by economic decline.

"Poverty and deprivation are linked to many other problems such as poor health, low education achievement, substance misuse, crime, dependency on benefits and lack of employment prospects," Morgan said.

"This is why it is essential that we have a united front to deal with them. Devolved government gives us the opportunity to develop the right kind of joined-up action in ways which suit the different needs of different areas of Wales.

"The whole assembly government cabinet is working as a team to tackle deprivation - through action in health, education and training, the economy and transport, but the importance we place on this issue is also reflected in the fact that we have a dedicated minister for social justice and regeneration."

Edwina Hart, the regeneration minister, argued that Wales was performing better economically than a number of Scottish and English regions.

"The legacy of industrial change goes deep and we are only too aware of the scale of the challenges that we face, for instance the levels of economic inactivity, the relatively high proportion of children being brought up in households where there are no adults in work and on levels of poor health," she said.

"The assembly government has a clear vision of what needs to be achieved and as we provide this leadership we see there’s an enormous commitment among our partners to use their energy and resources for this shared purpose."