Overseas Development Assistance: Budget

Baroness Jenkin of Kennington Excerpts

Tuesday 27th April 2021 Lords Chamber

[Lord Ahmad of Wimbledon (Con)]

My Lords, we are working very closely with the VSO. We are proud that the FCDO and the VSO were able to work together to pivot over 80% of programme funding to the pandemic response. On managing the current budgets, I assure the noble Baroness that we are working very closely with the VSO to ensure that any impacts of any reduction in funding are managed. I stress that this is a settlement for this year; we are looking at how we can best manage the impact on programmes for the medium and longer term directly with the VSO.

[Baroness Jenkin of Kennington (Con)]

My Lords, given the OBR forecast that the economy will return to pre- pandemic levels in Q2 next year, why will the Government not commit to returning to 0.7% at that point?

[Lord Ahmad of Wimbledon (Con)]

My Lords, my noble friend speaks with great insight and expertise on this subject. I note very carefully what she has said. The underlying base on which we will return to 0.7%—again, the reduction to 0.5% is temporary—is, as my noble friend suggests, the prevailing economic conditions and fiscal conditions at that time. I note what she has said. We and our colleagues in the Treasury will keep a very firm eye on that.