This isn't down the Government, it's down to NHS Wales. It was their decision not to fund treatment, the woman got around it by registering with a GP in London claiming she lived with her daughter who had a house there.
NHS England, did have the money, so she got her treatment.
Funding for the NHS is huge, and a great deal of it is wasted, while that happens funding for treatment will never match demand.
For example, I broke my should 12 years ago. The Doctor at the Hospital said, OK, we'll get you in and operate, to which I said, hang on, what happens if I don't have it operated on? (Big brave ex Policeman who is terrified of Hospitals!). Oh said the Quack, it will just heal up on it's own. So guess what, I let it heal up,cost to the NHS? Nothing, apart from the cost of a prescription for volterol, so probably not much more than what I paid.
Cost if I'd had it? God only knows but it was considered major surgery, lasting around 2 hours, plus around a week in Hospital and physio and pain relief drugs, antibiotics etc.