The Minister of State, Foreign, Commonwealth and Development Office (Mr Andrew Mitchell)
The FCDO annual report and accounts 2021 to 2022 explained that the department’s official development assistance (ODA) spending plans needed to be revisited to ensure all ODA-eligible spending was managed within 0.5% of gross national income (GNI). This was in the context of the significant and unexpected costs incurred to support the people of Ukraine and Afghanistan escape oppression and conflict and find refuge in the UK, and others seeking asylum. The Government provided additional resources of £1 billion in 2022-23 and £1.5 billion in 2023-24 to help meet these unanticipated costs, and we remain committed to returning ODA spending to 0.7% of GNI when the fiscal situation allows, in line with the approach confirmed by MPs in July 2021 which provides a clear measure assessed against independent forecasts. FCDO 22-23 ODA Allocation Multilateral organisations £3,311m Bilateral programmes £2,511m FCDO operating costs £606m Financial transactions £411m Arm’s length bodies, scholarships and international subscriptions £367m Research and development £300m Vaccines £66m Total FCDO ODA 22-23 £7,572m Bilateral ODA 22-23 Allocations DG Africa, Latin America and the Caribbean Africa (East and Central) £418.4m Africa (West and Southern) £344.6m Latin America, Caribbean and Small Island Developing States £35.2m North Africa £2.9m DG Humanitarian and Development Development and Parliament £16.3m Education, Gender and Equality £93.2m Global Health and COVID-19 £58.4m Humanitarian and Migration £55.3m International Finance £130.1m Office for Conflict Stabilisation and Mediation £18.3m DG Economics, Science & Technology Economic Security £5.4m Economics and Evaluation £0.8m Research and Evidence £15.8m Technology and Analysis £3.2m DG Europe Europe Group £6.8m DG Geopolitics & Security Open Societies and Human Rights £57.9m DG Indo-Pacific British Investment Partnerships £53.3m Indian Ocean £105.3m Southeast Asia and Pacific £77.7m DG Americas, Afghanistan, Pakistan, Middle East & Overseas Territories Energy, Climate and Environment £154.2m Overseas Territories £80.6m Afghanistan and Pakistan £304.4m Middle East £247.0m DG Defence & Intelligence Eastern Europe and Central Asia £226.1m FCDO 23-24 ODA Allocations Multilateral organisations £3,974m Bilateral programmes £2,191m FCDO operating costs £691m Financial transactions £554m Arm’s length bodies, scholarships and international subscriptions £385m Research and development £300m Total FCDO ODA 23-24 £8,095m Bilateral ODA 23-24 Allocations DG Africa, Latin America & the Caribbean Africa (East and Central) £389.8m Africa (West and Southern) £256.1m Latin America, Caribbean and Small Island Developing States £25.8m North Africa £2.2m DG Humanitarian and Development Development & Parliament £9.6m Education, Gender and Equality £79.9m Global Health and Covid-19 £41.8m Humanitarian and Migration £43.7m International Finance £130.9m Office for Conflict Stabilisation and Mediation £13.3m DG Economics, Science & Technology Economic Security £2.6m Economics and Evaluation £0.8m Research and Evidence £6.8m Technology and Analysis £3.9m DG Europe Europe Group £5.9m DG Geopolitics and Security Open Societies and Human Rights £64.2m DG Indio-Pacific British Investment Partnerships £108.9m Indian Ocean £105.4m Southeast Asia and Pacific £56.5m DG Americas, Afghanistan, Pakistan, Middle East & Overseas Territories Energy, Climate and Environment £155.8m Overseas Territories £85.7m Afghanistan and Pakistan £141.9m Middle East £229.6m DG Defence & Intelligence Eastern Europe and Central Asia £230.0m
I would now like to update the House on our spending in 2022-23 and plans for 2023-24 allocations. The tables below set out the top-level allocations for those years. These numbers are indicative and subject to revision. In deciding these allocations, we have applied the principles described in the Foreign Secretary’s 22 November 2022 statement, “Official Development Assistance”. These are: to focus spend on the international development strategy priorities; to meet our financial commitments to multilateral partners; and to empower FCDO officials to decide how to adjust bilateral programmes in line with our approach to prioritisation.
The Government remain committed to delivering the priorities set out in the international development strategy, and the strategy’s spending targets where funding allows. UK development spending has funded work to build the sustainable foundations for prosperity and security around the world. Achievements include supporting women and girls’ education and rights, as set out in the new international women and girls strategy, supporting jobs and infrastructure through British investment partnerships, and the launch of new just energy transition partnerships. Our development spending has also provided life-saving food, water, healthcare and sanitation around the world, as well as a rapid package of support for both Turkey and Syria in response to the devastating earthquake.
In 2024-25 we plan to spend £1 billion on urgent humanitarian needs and expect to mobilise up to £8 billion of UK-backed financing a year under British investment partnerships by 2025. We remain committed to the cross-Government international climate finance target of spending at least £11.6bn by 2026. We continue to work towards the IDS target on restoring funding for vital work on women and girls, and the new target set out in the international climate finance 2023 to 2030 for at least 80% of the FCDO’s bilateral aid programmes to have a focus on gender equality by 2030.
I want to acknowledge to the House that the revisions to FCDO’s ODA budget in 2022-23 and 2023-24 have necessitated difficult choices as our spending plans have changed. Throughout the revision process we have worked closely with our partners to understand the best way to allocate our revised budgets to deliver the most positive development outcomes possible for those who need our help. I am confident that our allocations will achieve this aim.
The integrated review 2023 reaffirms our commitment to the IDS and sets out our ambition to reinvigorate our global leadership on international development, by stepping up our contribution to the UN sustainable development goals, delivering our patient approach and strengthening how development is delivered across Government. The ODA Board, which I jointly chair with the Chief Secretary to the Treasury, will more effectively scrutinise ODA spending, ensuring it delivers for UK objectives overseas and represents good value for money.
The FCDO annual report and accounts 2022 to 2023, due to be published later this year, will include full breakdowns of the 2023-24 allocations, including by country. The UK’s statistics on international development will be published next week and will give a provisional overview of all UK ODA spend in 2022.
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