Lord Bates debates involving the Department for International Development during the 2015-2017 Parliament

Thu 9th Feb 2017
Commonwealth Development Corporation Bill
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2nd reading (Hansard): House of Lords & 3rd reading (Hansard): House of Lords & Committee: 1st sitting (Hansard): House of Lords & Report stage (Hansard): House of Lords
Wed 8th Feb 2017
Tue 10th Jan 2017
Wed 14th Dec 2016
Fri 2nd Dec 2016
Mon 28th Nov 2016

Nutrition: Women and Girls

Lord Bates Excerpts
Wednesday 22nd February 2017

(7 years, 7 months ago)

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Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, I join other noble Lords in paying tribute to my noble friend Lady Manzoor for securing this debate. The subject is dear to heart. She has devoted her professional life to it and brings that experience into your Lordships’ House. Her convening of the round table before Christmas enabled an exchange of views with the DfID officials who attended and was helpful in shaping our policy in relation to this issue. I also thank the noble Baroness, Lady Thornton, and the noble Lord, Lord Collins, for their thoughtful contributions from the Labour Benches on these matters. They rightly pointed out that nutrition is the basis, the building block, for all other development. It is crucial, not only in the sustainable development goals but as a woman’s issue in the lead-up to International Women’s Day.

As an aside—I hope the House will bear with me—I am particularly disappointed that we have not heard from the Liberal Democrats; in fact there is no one on their Benches. Normally I would not make reference to that but, because I have had some extra information as to why that may be the case, I want to put on record that this is an important issue that is central to development and we should focus on it and make sure our voices are heard.

Malnutrition still affects one in three people globally. It is holding back the growth and development of both people and countries. Women affected by undernutrition are more likely to give birth to small babies, and those babies will be disadvantaged throughout their lives. Undernourished children are more likely to die young, contributing to 45% of all under-five deaths. Children who survive do less well at school, have 10% lower lifetime earnings and are more likely to have undernourished children themselves.

The economic consequences of undernutrition in affected countries represents a loss to GDP of 10% year on year, whereas every pound spent on reducing stunting has an estimated £50 to £60 return in increased incomes and economic growth. Therefore, tackling malnutrition is critical to reaching at least 11 or 12 of the global goals. Eradicating disease, ending extreme poverty and empowering women will happen only if they are free from malnutrition. A healthy, prosperous and stable world is much less likely while malnutrition persists.

Nutrition is a long-term development challenge and an immediate humanitarian challenge. In 2017 the world is facing unprecedented humanitarian needs. A famine in South Sudan was declared today, along with Her Majesty’s Government’s response to it. It is a call to arms for the international community to respond much more effectively and urgently to the challenge already in South Sudan and just around the corner in Somalia, north-east Nigeria and Yemen. The international community must get much more to the forefront of these issues. However, as the noble Lord, Lord Collins, said, we can rightly be proud of the fact that the UK is leading in this area. We support the comments and remarks of the Secretary of State, Priti Patel, made today to the international community.

UK aid on the ground is saving lives. Now we are calling on the international community to step up its support. The longer we wait, the higher the price humanity will have to pay. For all these reasons, improving the nutrition of women, girls and children in general is a top priority for our work in developing countries. It is for these reasons that at the Nutrition for Growth summit in 2013, to which my noble friend Lady Manzoor and the noble Lord, Lord Collins, referred, we pledged to invest more in programmes that address both the immediate and underlying causes of malnutrition. It is for these reasons that in 2015 the Government committed to the nutrition of 50 million people—women, girls and children—globally by 2020.

Delivering this result will be a priority for DfID, with a focus on quality and value for money. I am pleased to say that we are on track to do that, thanks to the work we are doing to scale up on nutrition across the 20 priority countries that we have identified. More broadly, we are far from complacent. In the coming months my right honourable friend the Secretary of State will launch a new UK position paper on nutrition. This will set out further accelerated and intensified action. The noble Lord, Lord Collins, invited me to say a little more about what the financial resource behind that might be. Like me, he will have to be patient to see that coming forward, but I hope that it will be something where, as on so many things, there is cross-party support.

Our new approach will be built on the latest evidence. This shows clearly that there is a basic package of things that need to be done to most effectively tackle malnutrition. This includes vitamin A and zinc supplements for children, maternal micronutrient and calcium supplementation, breast-feeding promotion—which the noble Baroness, Lady Manzoor, referred to—education around complementary feeding, and specific management of severe acute malnutrition, the most life-threatening form of malnutrition.

The evidence also points towards focusing on both girls and boys under five years, as this is when malnutrition is most likely, has the biggest impact on children’s future potential, and can be most easily prevented. It is also increasingly clear that, for maximum impact, we need to focus more on adolescent girls—a point made by the noble Lord, Lord Collins, and my noble friend Lady Manzoor—both for their own benefit and to prevent malnutrition in future generations.

As my noble friend Lady Manzoor articulated so clearly, we need to ensure that the wider DfID portfolio—be it health, water, agriculture, or economic development programmes—is addressing malnutrition at the same time as hitting other objectives. Our recently published Economic Development Strategy commits us to do this very thing, and we are now specifically looking at how we can go further in integrating nutrition into health. This multisectoral approach not only delivers better results; it also represents better value for money. Delivering multiple outcomes through our programmes maximises the impact of every pound spent.

While tackling undernutrition will remain DfID’s primary nutrition focus, failing to consider overweight and obesity will leave many countries with a costly public health problem in the future. DfID will therefore also identify ways to avert overweight and obesity through our work on undernutrition in low-income countries, making the most of UK expertise in this area. Preventing undernutrition itself will play a role, as undernourished children are at increased risk of being overweight, of obesity and of related non-communicable diseases in adulthood.

As I have outlined, nutrition is a top priority for DfID’s work. However, the UK acting alone cannot of course rid the world of malnutrition. The noble Baroness, Lady Thornton, rightly pointed this out and stressed the importance of working with our European partners. At present, we continue to do that through the European Development Fund. In future, we will continue to work with them through the many multilateral institutions in which we have a shared position, involvement and concern.

Inequalities in malnutrition are also increasing. Girls, excluded ethnic groups, children with disabilities and displaced people—some examples of whom the noble Baroness, Lady Manzoor, referred to in respect of her visit to India—and those living in fragile and conflict-affected states are particularly affected. The new UK position paper will therefore also set out our determination to galvanise the international and business communities to follow our own leadership on nutrition. We will specifically ask countries which are home to large numbers of undernourished people to set out quality, multisectoral plans and financial commitments to tackle undernutrition. We will continue to support the Scaling Up Nutrition movement, by contributing to the costs of the secretariat and by providing assistance to Governments within the movement to improve their nutrition programming.

We will seek new commitments from businesses, which have a crucial role in improving both supply of and demand for nutritious food. The noble Baroness, Lady Thornton, raised a good point about potential conflicts of interest within the food industry. We are supporting the development of guidelines to ensure responsible behaviour by businesses on nutrition, working with Access to Nutrition Index to promote improvement in business practice.

We will lobby other potential global funders of work against malnutrition to step forward and step up, including through the Power of Nutrition financing facility. And we will call on our multilateral partners to up their game, focusing more sharply on supporting Governments to develop and implement their own national nutrition plans.

To advance this agenda, the UK will play a leading role in a series of global nutrition events throughout 2017. Starting with a global call to action at the World Bank spring meetings in April, there will be moments for each group of stakeholders to make new commitments at that point.

Lastly, we will invest to ensure there are better data—a point raised in the debate, and the point about disaggregation of data was particularly well-made—to measure the impact of our own and others’ efforts, and to ensure that we and others can be held to account for delivery.

I am grateful to my noble friend Lady Manzoor for raising this timely debate, and for the expertise she brings. I am grateful also for the contributions of the noble Lord, Lord Collins, and the noble Baroness, Lady Thornton, on this crucial issue. We will continue to work with civil society and the private sector, to get the world back on track and make sure we achieve Global Goal 2 by 2030, and leave no one behind.

House adjourned at 7.36 pm.

US Overseas Aid: Global Gag Rule

Lord Bates Excerpts
Tuesday 21st February 2017

(7 years, 7 months ago)

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Baroness Barker Portrait Baroness Barker
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To ask Her Majesty’s Government what is their response to the reinstatement by the government of the United States of the global gag rule, which requires that overseas organisations in receipt of US aid cannot provide abortion services or information about family planning.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, the UK will continue to demonstrate leadership for comprehensive evidence-based sexual and reproductive health and rights, including safe abortion. We will continue to extend access to contraception for millions of women who cannot choose whether and when they have children.

Baroness Barker Portrait Baroness Barker (LD)
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I thank the Minister for that Answer. When similar policies have been enacted by previous US Presidents, they have had a devastating effect on maternal health programmes across the world. Has DfID made an assessment of whether this global gag policy will have a direct effect on any programmes it runs? What steps will DfID take, along with other Governments such as the Dutch Government, and the Gates Foundation, to try to offset the disaster that will befall millions of women as a result of this policy?

Lord Bates Portrait Lord Bates
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The noble Baroness is absolutely right to say that we have been here before. This has been the policy of successive Republican Administrations since the Reagan presidency. Therefore, in a sense, people knew what was coming down the track. Clearly, a very important part of what we in the international community do is family planning, and the Government are committed to ensuring that that continues. Specifically on the Dutch initiative and the She Decides conference, which is being held next week, DfID will be represented there. Also, later in the year, we will host a family planning conference, similar to that which we held in 2012. We hope it will be an opportunity for the international community to come together and decide how we move forward and work through these issues.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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My Lords, was the Minister right to benchmark this decision against what happened under Ronald Reagan’s presidency in the aftermath of international funding flowing into China, which led to the one-child policy, forced abortions and the sterilisation of hundreds of thousands, if not millions, of women, and which has now distorted the population balance in China so that there are 33 million more men than there are women—115 boys born to every 100 girls? Is this coercion of women not something that we should be very concerned about?

Lord Bates Portrait Lord Bates
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That was part of the rationale, not under the Mexico City proposal but under the Kemp-Kasten amendment. Our understanding of the executive order signed by the President last month is that it references the Kemp-Kasten amendment. That is another reason why we need to work through and understand what it actually means for what we are doing in this area.

Lord Morris of Handsworth Portrait Lord Morris of Handsworth (Lab)
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My Lords, when President Clinton was putting his Administration together in his first term, he said, “I want my Government to look and behave like America”. If that doctrine was correct then, does the Minister think it holds good under the current Administration?

Lord Bates Portrait Lord Bates
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The noble Lord leads me down a path. Our opposition on this is quite clear. When you look at the numbers and work in the international community, you recognise that the United States is the most generous country in the world, through its people and its private foundations, in what it gives to family planning around the world—it accounts for something like 47.5% of the total amount. Therefore, if we really care about people rather than political positions and statements, it behoves us to say that we want to work with our friend and ally to resolve these matters for the benefit of those whom we seek to help.

Baroness Tonge Portrait Baroness Tonge (Non-Afl)
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My Lords, will the Minister assure us that women who have become pregnant as a result of rape in conflict situations will still have access to safe abortion?

Lord Bates Portrait Lord Bates
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That is something on which this Government and the previous coalition Government did a great deal of work—my noble friend Lord Hague led on that—to raise the profile of the prevention of sexual violence in war. We will continue to work on that but, of course, in all cases when we are dealing with safe abortion we have to pay cognisance to the legal framework of the country in which we operating, and that requires a degree of sensitivity.

Baroness Jenkin of Kennington Portrait Baroness Jenkin of Kennington (Con)
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My Lords, as other noble Lords have said, this measure will have a devastating impact on millions of women around the world. Will DfID issue guidance to country offices on how to mitigate the impact of this new policy?

Lord Bates Portrait Lord Bates
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We have to remain calm in this area. We know what the policy is and we have worked within this context before. The Secretary of State in her letter of 8 February to Stephen Twigg, the chairman of the International Development Committee, made it abundantly clear that our position is absolutely resolute in support of sexual and reproductive rights. We need to work with international partners. That is part of the constructive engagement which will take place at the London conference later this year.

Baroness Hayman Portrait Baroness Hayman (CB)
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My Lords, is it correct that this executive order is not exactly the context in which we have worked before? There is a danger that it goes far beyond sexual health services and will affect services for those with Zika, TB and AIDS and maternal and child health services? Can I press the Minister a little further? As he said, his department has been very strong in the area of women’s health. Will DfID be supportive of the Dutch Government when they try to fill the gap and save women from some of the disastrous effects of this policy?

Lord Bates Portrait Lord Bates
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We are certainly leading by example. We continue to be the biggest funder of organisations such as Marie Stopes. The noble Baroness is absolutely right to say that this measure is different, that it contains some different elements and that we do not quite understand how they work. That is why it is important to keep a good relationship with the United States Administration, particularly USAID, so that we can work through these issues and find out how we go forward in a way that does not put more lives at risk.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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My Lords, the Dutch Government have announced that there is a possible £600 million shortfall in funding. They have had a response from 20 countries. Can the Minister confirm whether this Government have responded to the direct call of the Dutch Government? Will he reassure the House that at the London conference they will make sure that this shortfall is a priority discussion among our partners there?

Lord Bates Portrait Lord Bates
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A couple of weeks ago I was with the Dutch Development Minister here in London at the Nordic Plus Group meeting and this issue came up. It is fair to say that we believe in a constructive engagement approach with USAID to find out all the details of what the measure actually means before we move forward. But certainly, as I mentioned to the noble Baroness, Lady Barker, we will attend the She Decides meeting in Belgium next week. Of course, we are open to taking work forward on this important issue.

Baroness Northover Portrait Baroness Northover (LD)
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My Lords, following on from the question of the noble Baroness, Lady Tonge, can the Minister confirm that this Government recognise—as we did in coalition—that international law trumps national law in conflict situations when dealing with the cases that she talked about? If he is not sure about that, can he please write to me?

Lord Bates Portrait Lord Bates
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There is a very specific form of words which the noble Baroness will be aware of that we are required to use in this situation, which was internationally agreed. I will put that in writing to her.

Commonwealth Development Corporation Bill

Lord Bates Excerpts
2nd reading (Hansard): House of Lords & 3rd reading (Hansard): House of Lords & Committee: 1st sitting (Hansard): House of Lords & Report stage (Hansard): House of Lords
Thursday 9th February 2017

(7 years, 7 months ago)

Lords Chamber
Read Full debate Commonwealth Development Corporation Act 2017 View all Commonwealth Development Corporation Act 2017 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Consideration of Bill Amendments as at 10 January 2017 - (10 Jan 2017)
Moved by
Lord Bates Portrait Lord Bates
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That the Bill be now read a second time.

(Money Bill) Relevant documents: 14th and 15th Reports from the Delegated Powers Committee

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, this is a short, two-clause Bill. It is a necessary piece of enabling legislation to ensure that the CDC is able to continue investing in the world’s poorest countries to create jobs, support local businesses and stimulate economic development. No country can defeat poverty and end aid dependency without sustained economic growth and a thriving private sector. Strong profitable businesses are needed to create better jobs and generate the tax revenues required to deliver improved public services.

There is, however, a huge unmet demand for capital in developing countries. In the poorest and most fragile countries, there is a long way to go to create the right conditions for investors to have the confidence to meet and fill this gap.

In 2015, the UN agreed the sustainable development goals, which are the focus of the Department for International Development through its UK aid strategy. The financing required to achieve these goals is estimated to be $2.5 trillion dollars a year through to 2030. This far outstrips what can be funded through traditional aid-funded programmes and public finance. This is where the CDC comes in.

The CDC was founded back in 1948 and has enjoyed support from successive Governments. It is wholly owned by the UK Government and is a development finance institution, deploying patient public capital to achieve an objective of doing good while not losing money.

The CDC has a portfolio of £4 billion invested in more than 1,200 businesses in more than 70 countries. In 2015, businesses backed by the CDC helped to create 1,030,000 new jobs in Africa and southern Asia. Over three years, these businesses have generated more than $7 billion in tax revenues to the countries in which CDC has invested.

The CDC invests long term to achieve development impact. It has a higher risk appetite and can take a more patient view of financial returns than private investors, but by demonstrating that responsible investing in difficult markets can be commercially viable, it helps to crowd in the private finance that the poorest countries desperately need.

In 2015, the CDC helped to mobilise an additional $832 million of capital from private investors. Over the years, it has made ground-breaking investments in unproven markets, planting the first seeds for industries that have since become mainstream, such as tea exports in Kenya and mobile telecoms in Africa. As an investor, the CDC sees the potential of the people of a country rather than its problems.

The NAO completed a value-for-money study of the CDC last year. Its report highlights the transformation that the CDC has undergone over the past five years, following the agreement of a new strategy and investment policy with DfID in 2012. The CDC now invests only in Africa and south Asia—two regions that account for 80% of the world’s poor. It is the only development financial institution to have this narrow a geographical focus. It now targets the sectors that create the most jobs in an economy. CDC investments in the energy sector are providing the investment needed to improve access and power economic growth in Africa. In the financial sector, the CDC has enabled microfinance institutions and retail banks to advance loans to support small businesses in agriculture and manufacturing in south Asia.

While the CDC continues to invest through funds, it has now built up its capacity to make direct investments and do debt deals alongside equity. It has also tightened controls on costs and cut average salaries by over 25% over five years. It has become a leader among its peers in transparency: it was the first development financial institution to sign up to the International Aid Transparency Initiative and provide full information on the name and location of all its investments.

The Bill is focused on one issue only: raising the limit on the level of financial support that we can provide to the CDC under the CDC Act. The Bill is needed because the current limit, set 17 years ago, has been reached. The Bill will raise the cumulative financial limit by £4.5 billion to £6 billion. It also introduces a delegated power to raise the limit further via statutory instrument, to an upper limit of £12 billion.

To be clear, the Bill is not a commitment to provide this level of financial support to the CDC, nor is it a target to be achieved in a set timeframe. No new capital will be provided to the CDC without a new strategy and business case setting out the market demand, value for money and how development impacts are to be achieved. Both will be published and Ministers held to account in the usual way. Furthermore, after ministerial approval the CDC would be able to draw down the capital only when needed in response to market demand.

The Bill passed its stages in the other place unopposed, reflecting the cross-party nature of its objectives, but not without careful scrutiny. In Committee in the other place, expert witnesses gave oral evidence and several noble Lords—including the noble Lords, Lord Boateng and Lord Stern—provided helpful written submissions which have been taken into account.

There was a healthy debate in the other place, responded to by my honourable friend Rory Stewart, but I would argue that that genuine interest and concern is best addressed through the CDC’s strategy rather than via primary legislation. Work is under way to finalise the CDC’s new five-year strategy. It is critically important to get this right and address the issues raised during the Bill’s passage by NGOs, Members of both Houses and the National Audit Office.

We need to capture better the full development impact of the CDC’s investments. We need to ensure that the CDC’s policy on the use of offshore financial centres is reviewed regularly and meets the OECD’s high standards in this area, and that it pilots new approaches to deepen development impact still further.

The passage of the Bill is an important step to enable the CDC to continue playing a central role in the delivery of the UK’s international development objectives: to boost economic growth and eradicate extreme poverty by 2030. It complements other approaches through which the UK is playing a leading role in the international development market, including in our responses to humanitarian disasters, global epidemics and pandemics.

The CDC is a great British organisation with a proven track record and a clear development focus. The Bill will help the CDC to continue its pioneering work, creating opportunities and bringing hope and opportunity to the poorest people in the world. It is an institution of which British taxpayers can be rightly proud. I beg to move.

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Lord Bates Portrait Lord Bates
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My Lords, I begin by thanking all noble Lords for their contributions in what has been a thoughtful and fascinating debate that has ranged quite widely over a number of different headings. Broadly, I have categorised those—although there is a significant overlap—into: the CDC’s role in the private sector, which the noble Lord, Lord Boateng, referred to with practical examples, as did my noble friend Lord Flight with other examples, and it was also referred to by the noble Lord, Lord St John of Bletso, and my noble friend Lord Eccles; the CDC development strategy and where this Bill fits into that, which was focused on by the noble Lord, Lord Collins, along with the noble Lords, Lord Shutt and Lord Judd, the noble Baroness, Lady Northover, and the noble Lord, Lord Bruce; and, finally, the question of parliamentary scrutiny that should rightly be afforded to such an important area of public expenditure and investment, which was the focus of the noble Earl, Lord Sandwich, and the noble Baronesses, Lady Flather and Lady Sheehan. I shall take that as my rough template to draw some strands out of the initial remarks.

The first point to make, however, is that, obviously, I echo the comments made by a number of Members during the debate recognising the significant level of expertise resident in this House that can be brought to bear in scrutinising and helping to shape strategies in future.

On the strategy, the noble Lord, Lord Collins, was absolutely right to take us back to the sustainable development goals and Agenda 2030. When we look at a Bill, we look at a particular strategy in isolation, and I want to try to place this Bill in the wider context, which is that of the sustainable development goals. Goal 8 has been mentioned, but essentially it is goal 1 that we are after, the eradication of poverty, which is the mission of DfID. The noble Baroness, Lady Northover, and the noble Lord, Lord Bruce, referred to that. We have made good progress on that goal. In 1990, those living in extreme poverty numbered some 2 billion; as of 2015, that number had reduced down to 705 million—almost to one-third, at a time when global population had gone up. In many ways, that heartened and strengthened the view—because a significant proportion was drawn from the commitment to the millennium goals—that global concerted action and focus could deliver significant change, if it was co-ordinated. That was why the UN Secretary-General set up the high-level panel of which the former Prime Minister David Cameron was a co-chair, which then led to the sustainable development goals.

The sustainable development goals, which have as their target eradicating extreme poverty by 2030, with a number of successor goals to that, are very much at the heart of what we do. Because we now view development activity through the lens of the UN sustainable development goals and have our commitment—which continues to be reiterated, as perhaps it needs to be—to the 0.7%, which has been secured through legislation and our manifesto commitment, we seek to match the 0.7% with the goals. Our strategy across government for implementing the goals will be set out in a new Agenda 2030 strategy document, which will be published in the next couple of months.

I am providing a protracted introduction because my opening remarks perhaps did not quite cover the context that this Bill fits into. We have the sustainable development goals as a focus, we have a plan which is coming and we have a UK aid strategy, which sets out the importance of economic development and of jobs, which are sustainable goal 8, as well as the eradication of poverty, which, rightly, was number one. It talks about partnerships and working together. The UK aid strategy then fits into and drives the single departmental plan of the Department for International Development as the prime lever for doing this.

The noble Baroness, Lady Flather raised a point on data, and one of the most important elements in the sustainable development goals is, to the delight of mathematicians and statisticians, the incredibly complex data that will be required to track progress towards those goals. That is set by the United Nations Statistical Commission, and the Office for National Statistics will have responsibility for collating data from across government—including the Government Statistical Service and many other sources—and uploading those so that we can better track our progress. That rests in the single departmental plan, which is published.

Off the back of that, last week we published our economic development plan, which recognises the importance of private sector investment in infrastructure. Gradually, this has all been built together. All of that is then scrutinised and overseen by the Independent Commission for Aid Impact, ICAI, by the Select Committee on International Development, by the NAO, whose report has been referred to, and by the Public Accounts Committee—the noble Earl, Lord Sandwich, referred to attending the PAC meeting yesterday, where the Permanent Secretary gave evidence.

So that is the context in which this Bill needs to be set. We are arguing that it is not all about economic development; economic development is part of what DfID does—in the current year, economic development sits in an envelope of roughly £1.8 billion out of a £12 billion spend. So we are talking about funding within that envelope on economic development.

Then we come to the question of the CDC Bill itself. The argument was that, because several years had elapsed since the Act had been passed and the cap had not been moved during that time, it was right that, given that economic development was going to play a more significant role in addressing the sustainable development goals, we look at raising that cap.

Of course, the UK Government are the shareholder, so when we talk about hiving off funds, as my noble friend Lord Flight said, we are hiving off funds to ourselves. It is taxpayers—it is ourselves—who are the owner and shareholder, and we have the ultimate power as the shareholder, without wishing to worry current holders of posts, to appoint the board and appoint the chief executive. We can have a quite significant impact. I want to reassure noble Lords on that, because there was some concern in that regard.

On the CDC and its strategy, I took on board the point that was made. We are now drilling down: we have gone through the sustainable development goals and the cross-government approach to delivering on aid; we are now into economic development and we have the economic development strategy; and now we are saying that it is right that there should be an investment strategy for CDC, which should be published and discussed initially with the shareholder—namely, Her Majesty's Government.

When that was being discussed, we felt there were two alternatives: to publish the strategy alongside the Bill, or to allow the Bill to make its progress through the House and do the House the courtesy of listening to its scrutiny of the Bill. Some comments, such as the ones mentioned by the noble Lord, Lord St John of Bletso, have made a profound difference, and others, such as those brought to our attention by the noble Baroness, Lady Flather, perhaps less so. We chose to let it go through the House and for the wisdom and expertise that exists in this House to be incorporated into the final strategy that is published.

At the same time, when agreeing our process on this, we had a couple of choices regarding parliamentary scrutiny, and I want to address this quite directly. There was a debate about whether we put in £12 billion, which was what we assessed looking forward. The noble Lord, Lord Collins, referred to the estimated $2.5 trillion funding gap, so this is significant but, in terms of the need, it is not vast. It is also fair to say that the amount we allocate, as a percentage of overseas development assistance, to capital in financial institutions is significantly less than countries such as the Netherlands, Germany, France and the USA. We asked whether we should go straight to £12 billion or have an interim stage. I suppose the conclusion was that we could take this in cycles, so the initial plan will be for the next four years and then there will be a successor plan for the following five years, which will be published and discussed. Off the back of that, there will then have to be an affirmative resolution, before your Lordships’ House and the other place, to give permission for that investment to occur. We considered that point very carefully and came to the conclusion to do it in two steps. That was the rationale behind that.

The noble Baroness, Lady Sheehan, and the noble Earl, Lord Sandwich, asked about the CDC Bill being certified as a money Bill. I would like to say it was part of a strategy, but of course we have no control over that. The certification of a money Bill is the preserve of Mr Speaker in the other place, and I do not think he would take any advice from Her Majesty’s Government on this or probably any other matter. He certifies it and it is what it is, and we must work within that.

I was struck by the points made and the quality of the debate. Noble Lords suggested it would be useful to have a debate on the strategy when it is published. There will be a number of other strategies around at a similar time on a sustainable development goals—sorry, let me just clarify that there will be an affirmative resolution before the House of Commons only, which will have the opportunity to comment on this second step. On whether there should there be an opportunity for your Lordships’ House to discuss this, that would be for the usual channels to agree, but I will be very sympathetic to it on the basis of the discussion we have had this morning.

I have set out the broad headings, so let me turn in the time that remains to some brief responses to specific questions that I have not covered in my general remarks. The noble Lord, Lord Collins, asked whether there would be full disclosure of the CDC’s investments on its website. I can reassure him that a full list of investments, including the legacy investments, can be viewed on the website.

The noble Baroness, Lady Flather, and the noble Earl, Lord Sandwich, raised the point about measuring the CDC’s contribution to poverty reduction. The contribution is clear, as it is made through jobs, local taxes and infrastructure.

However, this economic development and investment have to be seen alongside the work we are doing with our multilateral partners in the development banks. The World Bank operates in a lot of these countries and international finance institutions in some regions have been mentioned, such as the Caribbean Development Bank. We also have a UK Caribbean Infrastructure Fund partnership. We use many different vehicles and direct investment is just one.

We also have a huge commitment, rightly so, in education—which the noble Baroness, Lady Northover, oversaw as well during her time as Minister. It is true that no one has ever got out of poverty by aid alone and therefore trade is required, but it is equally true that, as well as economic development, you need education. Without the skills and the workforce, then I am afraid it is not going to happen. We have a major programme in education, which then feeds into economic development and our work with our international partners in respect of that.

In terms of independent evaluations, there was an evaluation commissioned in 2015 by a team from Harvard. It reviewed the CDC’s investment for the period 2008 to 2012 and concluded that the CDC’s investments had been transformational—a point made by my noble friends Lord Flight and Lord Eccles and the noble Lords, Lord St John of Bletso and Lord Boateng—such as in the work of the Africa Enterprise Challenge Fund particularly with small and medium-size enterprises.

My noble Friend, Lord Eccles, asked about the proportion of the CDC portfolio that is now direct. The noble Lord, Lord Bruce, referred to the report on this from when he chaired the Select Committee. The CDC has built up its capacity and moved significantly from operating as a fund of funds to operating more directly where it could exert greater control and measure the results. In 2015, 67% of new commitments by value were direct investments, and we expect this ratio of about two-thirds direct to one-third through funds to continue.

The CDC was set a great challenge, and many noble Lords rightly paid tribute to the work of the current chair and current—and outgoing—chief executive, Diana Noble. I certainly echo that. The CDC’s staff are immensely high-quality and combine private sector expertise with a compassion for the world and a determination to ensure that we improve our performance in relation to the poor.

There was a criticism that the CDC has gone for easy wins. Perhaps that applies to a bygone era, as the noble Lord, Lord Boateng, referred to, when it was perhaps being “fattened up” for privatisation. When we decided during the coalition Government, when Andrew Mitchell was Secretary of State, that we wanted this to be a long-term public vehicle as part of our economic development strategy, we narrowed the focus. We said, “Where are the poor people?”. The answer is that 80% of that 700 million-plus that I mentioned still living in extreme poverty are in Africa and south Asia. Therefore, that should be the focus of our attention.

What is the greatest need in those areas? Is it for financial sector instruments? That may be part of it, but I agree with the noble Lord, Lord Collins, that the greatest need is for jobs and better jobs in those areas. So we said that the focus should be on the areas of greatest poverty and on job creation as being the objective. That is a fair area to head for.

Baroness Flather Portrait Baroness Flather
- Hansard - - - Excerpts

I was trying to say, with some of the examples that I gave, that they do not need money: they are already very wealthy and they have jobs that they are giving to people. There has to be something focused on the areas where there is not enough money.

Lord Bates Portrait Lord Bates
- Hansard - -

That is right. The noble Baroness refers specifically to India, which is of course itself a signatory to the sustainable development goals and the eradication of poverty by 2030. That will have to be its focus.

A number of other questions and particular points were raised. I will review the record, particularly with reference to the points made by the noble Lord, Lord Judd, at the beginning, and where there are gaps or I can add anything, if it will be convenient for the House, I will write to noble Lords. I reiterate my commitment to continue to engage with the House as the CDC progresses with its strategy and we finalise the new business case.

Lord Judd Portrait Lord Judd
- Hansard - - - Excerpts

I am grateful to the Minister for what he has said and the fact that he will write to me, although it is a pity that, because this is a money Bill, we do not have the opportunity to go into these things in Committee. However, will he agree with what has been said by quite a number of noble Lords in this debate, that the CDC, which of course has a lot of admiration, must remember that job creation and the eradication of poverty are not synonymous? Job creation can play an important part, but the eradication of poverty is a greater issue. We must not let one become a substitute for the other.

Lord Bates Portrait Lord Bates
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I defer to the noble Lord’s great experience in this area. He is right. He is also right to say that it must not be perceived as an imposition. This must be something that comes from the ground up. It must be about strengthening capacity within the countries. That is why education, healthcare and all the other things that we are doing in terms of infrastructure are so critical to the overall success. I accept that.

The CDC is the oldest development finance institution in the world. It is a great British institution that reflects the values of the British public, who consistently demonstrate their concern for and generosity towards the poorest. We will make sure that we can all continue to be proud of the life-changing, pioneering work that this institution does. With that, I ask the House to give the Bill a Second Reading.

Bill read a second time. Committee negatived. Standing Order 46 having been dispensed with, the Bill was read a third time and passed.

Refugee Camps

Lord Bates Excerpts
Wednesday 8th February 2017

(7 years, 8 months ago)

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Lord Roberts of Llandudno Portrait Lord Roberts of Llandudno
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To ask Her Majesty’s Government whether they will make arrangements through refugee organisations for the Prime Minister and the Home Secretary to visit refugee camps.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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While it is not appropriate to discuss future ministerial plans, we welcome the opportunity to demonstrate the UK’s commitment to refugees. Responding to unprecedented need, in 2015-16 the UK spent more than £1.4 billion on humanitarian assistance, including support for refugees. The UK’s pioneering new approach to protracted crises, leading to a shift from short-term assistance to longer-term change, is providing real help to those in need.

Lord Roberts of Llandudno Portrait Lord Roberts of Llandudno (LD)
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My Lords, I am sorry but the Minister has not answered my Question. The Prime Minister should be asked to visit the refugee camps to see the situation for herself. Will the Minister affirm very clearly that there is no diminution at all in our pledge to welcome 20,000 refugees and up to 3,000 youngsters in the course of this Parliament?

Lord Bates Portrait Lord Bates
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I accept that, but also in this context, the Foreign Secretary has been to a refugee camp, and the Secretary of State for International Development was in one of the camps just last week. Perhaps even more importantly, the Prime Minister was at the Valletta summit last week, where she announced an additional £30 million package for the very people the noble Lord and I care so much about.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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My Lords, I would be much happier if the Prime Minister spent time writing a full-page article for the Daily Mail explaining why international development is so important and why aid is so important to host nations in the Middle East whose own countries are suffering as a consequence of the influx of refugees. Will he urge the Prime Minister to do that?

Lord Bates Portrait Lord Bates
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It behoves all of us who are strong advocates and supporters of the 0.7%, as I know that the noble Lord and his party are as well, to do everything we can to highlight the benefits that the UK is bringing around the world to those areas most in need. We have been able to help something approaching 20 million people in the region as a result of the generosity of British taxpayers, and our money is genuinely saving lives. That is the point that we need to make loudly and clearly to the British public and the media.

Lord Hylton Portrait Lord Hylton (CB)
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My Lords, how many officials do we have in France to identify adults and children who qualify to seek refuge in Britain? Those people are both in reception centres and outside them. Are our people receiving good co-operation from the French authorities?

Lord Bates Portrait Lord Bates
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Some people from the Home Office have been relocated to France, in particular to their Interior Ministry. More importantly, in a lot of the projects in which we are involved—programmes such as the Syrian vulnerable persons resettlement scheme and the vulnerable children’s resettlement scheme—we work very closely with the UNHCR. That body has established criteria for working out who are the people most in need and who therefore ought to be prioritised to come to this country.

Baroness Butler-Sloss Portrait Baroness Butler-Sloss (CB)
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My Lords, how many children have actually come here under that arrangement?

Lord Bates Portrait Lord Bates
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The commitment was for 20,000 in the lifetime of this Parliament. As of December, 4,400 people have arrived, of whom 50% were children, so 2,200. In 2015, some 8,000 children were granted asylum through schemes in this country. Under the other schemes that we have, particularly the vulnerable children’s resettlement scheme, the number is something like 700, and there was a further number under the scheme of the noble Lord, Lord Dubs, which I think we will come to in a minute.

Lord Dubs Portrait Lord Dubs (Lab)
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My Lords, the Minister anticipated my question because there are refugee camps in Greece as well, where the condition is dire. Would the Minister care to confirm the news that we have heard about the Government intending to bring to an end the scheme under Section 67 of the Immigration Act, which would have brought unaccompanied child refugees to this country from Greece?

Lord Bates Portrait Lord Bates
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A Written Ministerial Statement will underscore that, far from doing that, Section 67 of the Act—and I pay tribute to the noble Lord’s work on that—stands. Under that scheme, some 200 children have been brought to this country already. I know that the noble Lord also visited the Greek reception area and saw the conditions for himself, but there is also the work that DfID personnel are doing on the ground there, trying to provide help.

Baroness Sheehan Portrait Baroness Sheehan (LD)
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My Lords, do the Government recognise that there are many informal refugee camps in Greece and Italy? Will Ministers visit those and familiarise themselves with the huge suffering and plight of those children there? Secondly, will the Minister confirm that of the more than 25,000 unaccompanied refugee children in Italy, only three have been transferred to the UK?

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Lord Bates Portrait Lord Bates
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We have schemes for identifying that. Certainly, the noble Baroness is right to identify a major problem, which is that half of those categorised as refugees are not in registered camps. That is often one of the greatest difficulties we have in reaching those people who are in need. The important thing is that the schemes we have committed to in this House are working and delivering benefits. Thousands of people have come to this country, which compares favourably with the EU internal resettlement scheme, which has so far helped only 170.

Baroness Farrington of Ribbleton Portrait Baroness Farrington of Ribbleton (Lab)
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My Lords, repeated Questions to Ministers here have failed to answer this question. I know that local authorities are given additional funding initially, when communities welcome refugees, but the British people who are prepared to accept refugees into their communities need to know that funding will continue for as long as the refugees need extra funds for all the services they use. Will the Minister assure the House that extra funding will continue as long as the need exists?

Lord Bates Portrait Lord Bates
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I can do more than that. One reason it has taken a little time to respond to the amendment to the Immigration Act of the noble Lord, Lord Dubs, is our requirement to consult local authorities about was needed. So far, 175 local authorities have offered to host refugees and they have people travelling to their regions. They deserve tribute. In recognition of that, we have also announced that the amount they will get per year has increased by an average of 20% over the period to help them to deal with the very needs that the noble Baroness has identified.

Women and Girls: Employment Skills in the Developing World

Lord Bates Excerpts
Thursday 26th January 2017

(7 years, 8 months ago)

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Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, I join other noble Lords in paying tribute to the noble Lord, Lord Loomba, for securing this debate and for his consistency in raising these issues over many years in this House and giving us an opportunity to talk about them. However, there is much more than talking going on, as the noble Lord, Lord Tunnicliffe, said, as in the case of Lady Tunnicliffe’s work in Bangladesh. Many other noble Lords who spoke in this debate did so not from a theoretical perspective but from practical experience which they have had in their charitable work around the world, which we recognise and to which we pay tribute.

Inequality is not just the subject of two of the sustainable development goals, as the noble Lord, Lord Tunnicliffe, referred to, but is at the heart of everything DfID does through its mission to eradicate extreme poverty. Taxpayers in this country expect that aid should go to those most in need of it in another country, and this is why the Secretary of State has made it her objective to challenge and change the global aid system so that it properly serves the poorest people in the world.

The Oxfam report makes a good contribution to the debate on inequality and has generated substantial media interest in inequality, but we need to move away from and beyond simple headlines and dig deeper to find international solutions. This debate is helpful in doing that. We agree that effective taxation is critical for inclusive growth. As the right reverend Prelate the Bishop of Derby rightly pointed out, people need to be good citizens in paying their taxes and corporations need to be good corporate citizens in paying their taxes, but taxation cannot be the answer on its own because without wealth creation it is axiomatic that there is nothing to tax. Nowhere has defeated poverty without sustained economic growth. Reference has been made to China, which has lifted more people out of poverty than any country in human history, not necessarily through a tax policy but through sustained economic growth and investment in social and physical infrastructure. We need to empower and equip the poorest to work and trade their way out of poverty, a point which my noble friend Lady Hodgson raised. Countries need trade, investment, infrastructure, energy and strong institutions to reduce poverty and inequality and to be self-sufficient in the long term. That also means a healthy civil society, and the importance of church and faith groups as part of that society is recognised and noted. They are integral to our approach to economic development, which supports inclusive growth and tackles inequality by creating jobs and opportunities across society.

For this, our focus on women and girls is critical. No country can achieve sustained economic development by denying economic opportunities to half its population. The noble Lord, Lord Tunnicliffe, described the contribution of women as integral. It is a fact that no country can lift itself out of poverty while leaving half its population behind. As Oxfam’s report highlights, the global economy does not treat women and men equally. The noble Baroness, Lady Flather, referred to this. It is a fact we all know, particularly in the labour market, where women are 25% less likely to be in employment. As my noble friends Lady Hodgson and Lady Manzoor said, women do significant additional work in caring for others and looking after the home, yet they find that their wages are significantly less.

Education, particularly beyond the primary level, is a key part of improving women’s lives and their livelihoods. Educating girls brings incredible returns. Reference has been made to the financial and economic returns not only for girls and women themselves, but for their families, communities and economies. Educated women marry later and have fewer children. Their children tend to live longer, partly because education brings the importance of nutrition into the family home, as my noble friend Lady Manzoor pointed out, and they are more likely to attend school. If they are more likely to attend school they are more likely to be employed, and if they are more likely to be employed they are more likely to work their way out of poverty, so we know the system works.

Significant progress has been made since 2000 on getting girls into school, but gender inequality in education persists. My noble friend Lady Manzoor and the noble Baroness, Lady Miller, referred to this. There are entrenched cultural barriers to girls’ education. For example, boys are still 1.5 times more likely than girls to complete secondary education in Africa and south Asia, areas in which the Loomba Foundation works. I am grateful to the noble Baroness, Lady Miller, for mentioning the girls’ education challenge, and I will come back to that in a minute with a specific answer to her question. DfID has prioritised getting more girls access to education, staying in education and making the critical transition from primary to secondary school, where the benefits are greatest and where they can learn and develop the skills to access employment and allow their families and communities to prosper.

My noble friend Lady Manzoor, the noble Baroness, Lady Miller, and the noble Lord, Lord Loomba, welcomed and highlighted the success so far of the girls’ education challenge programme which is supporting up to 1 million marginalised girls across 18 countries. It is a ground-breaking programme. With all ground-breaking programmes—this is a point raised by the noble Baroness, Lady Sheehan, when she referred to other programmes we have had—there is an element of risk when you are trying to reach the most marginalised girls and get them into education. We are therefore mindful that the girls’ education challenge needs to improve further. A recent Independent Commission for Aid Impact report on the girls’ education challenge found that we still need to do better, but the reality is that we are doing a lot better than we were, and the girls’ education challenge is providing an important part of that. That is why we announced an extension to that fund.

Education is one aspect of equipping women and girls with the right employment skills. It is also imperative that we look towards technical and vocational education, including working with the private sector, to ensure that they have the right skills that are valued in the labour market. DfID’s skills for oil and gas Africa programme is an example of working in partnership with industry to promote skills development for local people so they can access jobs and business opportunities linked to oil and gas investments in east Africa. It is traditionally a male-dominated sector, and DfID’s intervention aims to create 84,000 jobs for women and girls—40% of which will be for young people aged between 15 and 24. There are of course many other examples, and the noble Lord, Lord Loomba, gave some of his own in partnership with the chamber of commerce in India.

We are also helping to remove women’s financial constraints to self-employment. An example of this is the joint DfID and Coca-Cola enterprise scheme in Nigeria that is helping 18,000 young women with financial and leadership training. My noble friend Lady Hodgson mentioned the importance of microfinance in this regard, which we are also supporting, there and elsewhere.

Success in a fast-changing world requires a mix of skills throughout a child’s learning cycle. The underprivileged children’s educational programme in Bangladesh gives four and a half years of education and business-related training to some of the neediest families in urban slums. Graduates are placed into employment or provided with loans to set up in small business, creating better lifetime opportunities and combating child labour. We work on modern slavery, and there is the important work that the right reverend Prelate the Bishop of Derby has done in that area. Combating modern slavery and trafficking is not only at the heart of our mission at DfID but also the Prime Minister’s passion, which she is following through across all government departments.

Investment in skills is important, but it does not create jobs and does not overcome the barriers women face in accessing jobs and moving into better positions. Our work across economic development and gender equality recognises this and aims to address the fundamental barriers that prevent women from having a voice, choice and control over economic decisions and resources. We work to increase women’s access to productive assets, including land and financial services, and to tackle discriminatory regulations that prevent women from doing business.

We are having a real impact. For instance, we have reached more than 35 million women with the access to financial services that help them work their way out of poverty. Investments by the CDC—a Bill on which was supposed to be before your Lordships’ House yesterday, but because of the interest in it, it is now being brought forward on 9 February—have created more than 300,000 jobs for women in 2015 alone. We have enabled 3 million women to secure land rights in Rwanda, Ethiopia, Tanzania and other countries.

The noble Lord, Lord Tunnicliffe, and the noble Baroness, Lady Sheehan, also mentioned the important work of the High-level Panel on Women’s Economic Empowerment. It has issued a call to action to global leaders across business, government and civil society to tackle behaviours and laws that keep girls and women back, to make the changes in the workplace and supply chains that will give women more opportunities, and to ensure women have access to resources and time to make the most of their talent.

The noble Baronesses, Lady Hodgson and Lady Sheehan, were concerned about some aspects of sexual and reproductive health. This is something DfID is a world leader in, and we have a specific commitment to ensure that people get access to sexual and reproductive health advice. I can also say that this is why we plan to host a global summit on family planning in 2017, aimed at reaching the most marginalised and those affected by it, including conflict survivors and victims of modern slavery. That will be a very good and timely forum to discuss the global response to these issues.

DfID’s work on girls and women does not limit itself to economic opportunities but works to support girls and women at all stages of their life, to enable them to take control and determine their own future and contribute to a more prosperous, equal and peaceful society. I think that is fairly close to the definition which the noble Lord, Lord Loomba, had of empowerment of women. It means that they take control of their own lives and are able to make their own choices, for them and for their families, and benefit the whole of wider society in the process. I pay tribute to the noble Lord and all noble Lords who contributed to the debate.

Syria: Refugees

Lord Bates Excerpts
Tuesday 10th January 2017

(7 years, 8 months ago)

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Lord Roberts of Llandudno Portrait Lord Roberts of Llandudno
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To ask Her Majesty’s Government what actions they are taking to help resolve the refugee crisis in Syria.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, the UK has pledged more than £2.3 billion to help millions of people affected by the Syria crisis. This includes more than £1.1 billion to support refugees in the region by addressing their humanitarian needs. The only way to resolve the refugee crisis is a political settlement that ends the conflict and enables refugees to return voluntarily.

Lord Roberts of Llandudno Portrait Lord Roberts of Llandudno (LD)
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My Lords, does the Minister agree with me that Britain has a responsibility to lead in the resolution of this crisis in Syria? If so, why has Britain, with GDP per capita of more than $40,000, only received fewer than 4,000 refugees since March 2014 while it is content for Lebanon, with less than half our GDP, to accept 1.6 million refugees? With civilian bombing still continuing, does the Minister think we could send more humanitarian aid at this time to Syria?

Lord Bates Portrait Lord Bates
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Let me say first that I absolutely agree that the United Kingdom should lead by example, and that is exactly what it is doing. It is the second largest donor in cash terms to the region, with £1.83 billion having been given there, helping more than 2 million people. We have given a pledge that we want to bring 20,000 people from Syria to the UK over the lifetime of this Parliament, and we are doing that. At the same time we hosted the London Syria conference in February last year, which was the biggest fundraiser that has happened for Syria and the needs there, raising more than $12 billion. So I believe that on all those counts, including our activity at the UN Security Council, we are taking the leadership that the people of this country expect us to take.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
- Hansard - - - Excerpts

My Lords, will the Minister reassess the arbitrary distinction that is made between those fleeing ISIS in northern Syria and those fleeing the same genocide in northern Iraq, who are excluded from the vulnerable persons scheme? Can he explain why, in a Written Answer given yesterday, the Government said that the affiliation of those resettled under the scheme is,

“monitored but not routinely reported”?

Would it not help the House, and help us all, to understand whether proper priority is being given to victims of genocide if such reporting were to take place?

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Lord Bates Portrait Lord Bates
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We certainly agree that there ought to be wider access from the region. That was of course exactly the outcome which came from the Immigration Act which we passed, and we have set up a scheme to broaden it to the Middle East and north Africa and to bring more children from there. People fleeing genocide are in fear and in need of protection: that is the definition by which they qualify for protection under international humanitarian law and, with the UNHCR, that is what we are working to deliver.

Baroness Lister of Burtersett Portrait Baroness Lister of Burtersett (Lab)
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My Lords, given the ongoing Syrian crisis, will the Government reconsider their decision not to grant refugee status to resettled Syrian refugees so that they can enjoy the full rights and security of refugee status?

Lord Bates Portrait Lord Bates
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We give them humanitarian protection, which is broadly the same thing. I know what the noble Baroness will say, but what we have is people in acute need and we want to get them here as quickly as possible. Humanitarian protection is the vehicle by which we can do so. If we first have to go all the way through the route of establishing refugee status for a lot of people who have no identification papers, it means they are at risk for longer. That is why we have chosen to take that particular route, to ensure that we can get people here and give them the help they need as quickly as possible.

Lord Marlesford Portrait Lord Marlesford (Con)
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My Lords, do the Government recognise the regrettable fact that there is no way in which the EU, with or without the UK, can absorb permanently the total number of people who have already arrived as refugees and would-be immigrants, and that the answer must be what two senior members of Mrs Merkel’s cabinet are now exploring? That is to have somewhere else outside Europe—they suggested north Africa—where people can go to be assessed, processed, helped and cherished as far as possible, to resolve the problem. The costs which would be imposed would otherwise be politically wholly unacceptable to the electorates of the countries inside Europe.

Lord Bates Portrait Lord Bates
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As my noble friend will be aware, this was looked at and examined, but it would require a level of international agreement in this sphere which has simply eluded us in the core area of trying to reach a solution in Syria. We remain absolutely of the opinion that the best way to deal with movement and migration is to get a political settlement. That is why we are hopeful and supportive of the UN Security Council resolution which brought about the current ceasefire, but we believe it needs to work beyond that to provide a lasting peace under the Geneva communiqué.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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My Lords, the most important thing which the Minister has referred to is the host countries in the region and their sustainability under the weight of such numbers of refugees. Can he reassure the House that the Government will commit further support and aid to those economies, as well as to the refugees, which are under such pressure through the violence that has been occurring in Syria? Unfortunately, international development has a bad press at the moment, but this is such a strong case and we should support it.

Lord Bates Portrait Lord Bates
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The noble Lord is absolutely right, and £1.1 billion of the money which I mentioned has gone to areas in the region—most notably, Turkey, Lebanon and Jordan. That money is being focused on economic development, by helping people to find work, and on schools, by helping children who are currently out of school to get into it so that their learning does not suffer. The noble Lord is absolutely right that we should focus on that.

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Baroness Sheehan Portrait Baroness Sheehan
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My Lords, may I ask the Minister for an assurance that, should the Kazakh peace negotiations take place, the Government will do their utmost to make sure that Syrian refugees and internally displaced persons are fully considered? While I am on my feet, can I ask him whether he could outline what role the Government hope to be able to play in the peace negotiations?

Lord Bates Portrait Lord Bates
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We hope to play an active role through the International Syria Support Group, which has the two strands of humanitarian aid and conflict resolution. That meets weekly in Geneva and we are still playing a part in it. We wish the negotiations all success and will of course support them in every way we can.

Lord Tebbit Portrait Lord Tebbit
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My Lords, would it not make more sense if we and the other western European nations offered to take as many as could come here of the Christian refugees from these troubled areas, leaving it to the Muslim countries such as Saudi Arabia, which are immensely wealthy and have immense amounts of space, to take their fellow Muslims?

Lord Bates Portrait Lord Bates
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My Lords, we have said that we recognised that Christians and other minorities face a level of persecution in the region. In fact, my noble friend will be pleased to note that there was a commitment to protect Christians, particularly in the Middle East, in the 2015 Conservative manifesto. We are very mindful of that commitment; of course, anyone who is persecuted, as I said to the noble Lord, Lord Alton, is eligible for international protection—the type of protection that this Government have been offering.

Aleppo

Lord Bates Excerpts
Wednesday 14th December 2016

(7 years, 9 months ago)

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Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean (Lab)
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My Lords, I beg leave to ask a Private Notice Question. In doing so, perhaps I may remind the House that I am the chairman of the Arab-British Chamber of Commerce.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, Aleppo is a humanitarian catastrophe. We are providing food, shelter, blankets and healthcare to fleeing civilians through our UN and NGO partners, but the regime is preventing aid reaching those who are still trapped. Pro-regime militia appear to be blocking the recent evacuation deal. It is paramount that the aid agencies get access to save lives and protect civilians.

Baroness Symons of Vernham Dean Portrait Baroness Symons of Vernham Dean
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My Lords, despite all that, it is almost four weeks since food or medical aid got into eastern Aleppo. Yesterday, the United Nations said that the Assad regime and its allies had executed 82 civilians, including 13 children. The ceasefire negotiated at the UN yesterday evening broke down this morning and the buses which were to evacuate people to places of safety have been withdrawn. We have heard what the Government have done. My question is: what is the Government’s next step at the UN or with allies to do everything possible to get food and medical aid to the civilians and to evacuate the people of eastern Aleppo, particularly the children, to places of safety? As the US ambassador to the UN asked yesterday, is there no way in which this regime and its supporters can be shamed into facilitating this vitally needed humanitarian aid?

Lord Bates Portrait Lord Bates
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I agree absolutely with the analysis which the noble Baroness, with her great experience, has brought in asking this Question today. We are of course working with partners at the UN Security Council, but she as a distinguished former Minister in the Foreign Office will know of the complexities and difficulties there, particularly with the Russian veto stopping us from taking action. We are trying to raise the issue at the European level—this was done last week. There is also the international Friends of Syria group, which continues to meet and do its work—task forces are involved in that. Our greatest influence at the present time is probably in meeting the humanitarian needs of people on the ground. That is something of note and of which we can be proud: that in the face of this “meltdown of humanity”, as the high commissioner described it, the British people are there as the second-largest donor in cash terms and stand ready to help more when that is possible. But this is a human conflict between human actors, and it is within human hands for it to be resolved and stopped. That is what we are urging.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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The Minister is absolutely right, but Assad said earlier today that the ceasefire request would simply “save the terrorists”—and, of course, this is one of the problems we have. Children and families are suffering. We need evidence from this Government that they will seek international co-operation, especially through the UN, for protection, evacuation, aid and, not least, evidence, because there is clear evidence of war crimes being committed. This Government must commit to those four things.

Lord Bates Portrait Lord Bates
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That is absolutely right. We are collecting evidence with other agencies on the ground. One problem that we face in this situation is that there is a difficulty in obtaining real, credible information, because so many international actors, ourselves included, are not able to operate in and get access to east Aleppo, as we want to in order to verify what is happening there. We are collecting evidence. There is no question on the basis of the evidence at the moment that what we are witnessing here is a prima facie case of a breach of international humanitarian law and the Geneva Convention—and the people who are responsible will in time be brought to justice.

Baroness Northover Portrait Baroness Northover (LD)
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My Lords, as we see the terrible events in Aleppo, what are we doing to make sure that men, women and children in the 16 other besieged areas in Syria are not also subjected to surrender and slaughter? Is Aleppo going to be a precedent?

Lord Bates Portrait Lord Bates
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That is a great concern. We have not yet seen the besieging tactics adopted by the Assad regime in eastern Aleppo being used to the same degree in other cities, but he has gone on record with a menacing pledge that, as east Aleppo appears to fall, he will move the fight on to other cities. That urges all those who have influence over the people involved in this conflict to use all their powers to bring it to an end before we see it continuing on the same scale, and actually increasing in its brutality, in years to come.

Lord Alton of Liverpool Portrait Lord Alton of Liverpool (CB)
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My Lords, did the Minister see the statement from a United Nations spokesman yesterday, in which he described this as the darkest day in the history of the United Nations? With more than 5,000 dead in Aleppo in the last month —and returning to the Question asked by the noble Baroness, Lady Symons—did he see the report about the 100 unaccompanied children who have taken refuge in one derelict building? Do we know anything more about their fate or about the eight who were shot in their home for refusing to leave? In February, this House debated a Motion from all parts of your Lordships’ House that those responsible for genocide and crimes against humanity should be brought to justice. It is not just a question of collecting evidence; it is about setting up the mechanisms necessary to do that. When will the Government do what the noble Lord said a few moments ago and bring those responsible to justice?

Lord Bates Portrait Lord Bates
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That is right. The situation on the ground is horrific and we are now getting credible reports of summary executions. We have heard the reports about the children caught in that building, but unless people are given access to that area—it is in the control of the Assad regime and the Russian President to bring that about—we cannot get access. It will not be us directly, of course; we cannot be the actors involved in that situation. However, the agencies of the UN, the NGOs and those courageous, heroic people who are putting their lives at risk to protect other humanity in that situation should be allowed in. It is within people’s hands to do it and they should do it.

Baroness Kinnock of Holyhead Portrait Baroness Kinnock of Holyhead (Lab)
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My Lords, thousands of children—we are talking about that many—are suffering so much in Aleppo. The regional director of UNICEF has said:

“It is time for the world to stand up for the children of Aleppo and bring their living nightmare to an end”.

When will it be safe for those children to be taken to safety? What is being done to deal with the plight of unaccompanied children, who I do not think have been mentioned, and separated children, who must surely have the right to be united with their families?

Lord Bates Portrait Lord Bates
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Reception centres have now been set up in western Aleppo. The Red Crescent is operating these, with some UN supervision so that we can verify who is there. Sadly, a lot of those who are fleeing are not choosing to register, so we cannot track their situation. They are too fearful of the situation on the ground. We know of situations where convoys and exits have been planned for people to move out through certain corridors. Buses have been laid on but these have been turned back by Shia militia who did not feel that they were part of the deal. It is, as I say, a catastrophic and tragic situation of human making. I often stand at this Dispatch Box and respond for DfID to crises such as disease, a hurricane blowing through the Caribbean or an earthquake in Nepal. This crisis is entirely of human making and that is what causes outrage among the whole world and all of us. It needs to stop.

Lord Campbell of Pittenweem Portrait Lord Campbell of Pittenweem (LD)
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My Lords, there is a strong argument that the inaction of the United Kingdom and the United States in 2013 created a vacuum, but the existence of a vacuum, exploited by Russia, can never justify the indiscriminate bombing by Russian aircraft, flown by Russian or Syrian pilots, of children, hospitals and refugees. This is wholly contrary to the Geneva Conventions. Will the Minister repeat, once again, with the same authority as previously, that everything will be done to seek out those responsible and ensure that they are brought to justice?

Lord Bates Portrait Lord Bates
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I can certainly give that reassurance. The noble Lord is absolutely right that we should engage in some soul searching over our responsibility. A very powerful debate took place in the other place yesterday: I commend it to all Members of this House so that we can bear it in mind when we face similar situations in the future.

Aid Reviews

Lord Bates Excerpts
Friday 2nd December 2016

(7 years, 10 months ago)

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Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, with the leave of the House, I will repeat in the form of a Statement the Answer to an Urgent Question given earlier today in the other place by my honourable friend the Parliamentary Under-Secretary of State for International Development, James Wharton. The Statement is as follows:

“The House will be aware that the Government published yesterday, Raising the Standard: the Multilateral Development Review 2016, and Rising to the Challenge of Ending Poverty: the Bilateral Development Review 2016. These reviews set out how the UK will address the global response to problems that threaten us here at home, such as the migration crisis, cross-border conflict, climate change and disease pandemics. In the reviews, the International Development Secretary makes it clear that Britain’s aid contribution is an investment in our future security and national interest. As the reviews describe, the UK will champion an open, modern and innovative approach to development that will effectively tackle the global challenges of the 21st century, while delivering the best results for the world’s poorest. This is clearly in our national interest.

The reviews are an extensive and detailed look at the UK bilateral and multilateral development systems. They confirm the geographic regions of focus for the UK, which multilateral organisations the Department for International Development will work with, and the tools that will be used to maximise our impact as we tackle poverty across the globe. The reviews highlight best practice in the global development system, as well as examples of poor performance that will face urgent action.

The Government are clear that the global approach to development needs to adapt and reform to keep pace with our rapidly changing world. As a world leader, the UK will be at the forefront of these changes, promoting pioneering investment in the most challenging and fragile of countries, making greater use of cutting-edge technology and sharing skills from the best British institutions—from our NHS to our great universities. Improving the way the UK delivers aid along with our multilateral partners is vital to delivering the best results in fighting poverty and getting value for taxpayers’ money. Global Britain is outward looking and we will use our aid budget to build a more stable, secure and prosperous world for us all. This is not only the right thing to do, it is firmly in our interest”.

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Lord Bates Portrait Lord Bates
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I thank the noble Lord for his welcome for the Statement and for the commitment the Secretary of State and the department have to continuing the fight against extreme poverty around the world. He asked a number of questions and I will try to address them.

The funding for bilateral country programmes is set out in the annual report, but for only two years. Obviously, the situations in question are fast moving and dynamic, such as what is currently happening in Syria and the Middle East. Therefore, resources have to be targeted where they are needed most. We will make clear our funding for future programmes when the annual report is published next year.

As to whether programmes will change or close, again, that will be driven by the priorities we face and the targets we have. We are rightly constrained by delivering on certain targets, not only by our manifesto commitments on education but by the sustainable development goals to be achieved by 2030, which will be a focus for us.

The noble Lord mentioned getting time for a debate. I personally support that but I am aware that I have by my side the distinguished figure of the Deputy Chief Whip. I am sure that, through the usual channels, time for these matters can be arranged.

On the point about exiting the European Union, we have, of course, a department for that. It is good to put on record and show up—it is a benefit of this process of bilateral and multilateral development reviews—who are the high performers and who are not. The noble Lord is absolutely right that among the high performers is the European Development Fund. Given that we have a global commitment to target disease, look at the humanitarian effort and reduce conflict, we will continue to work with our European colleagues in pursuit of that. The question whether that happens through that fund or through supranational institutional funds such as the UN’s, which also got a number of high ratings, will be dealt with in the course of that review process.

Lord Newby Portrait Lord Newby (LD)
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My Lords, the challenges facing the world are no respecters of national boundaries. Will the Minister commit the Government to standing up against the retreat from multilateralism that can be seen both in our country and across the world and to defending global institutions such as the UN against the rise of isolationism?

Lord Bates Portrait Lord Bates
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I do not recognise the retreat from multilateralism. We are gearing up on that—we are talking about the Global Fund and GAVI. In many of the areas we need to reach, we cannot work nationally or regionally, so it is essential that we work globally. We are absolutely committed to that effort.

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Baroness Flather Portrait Baroness Flather
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Will the Minister please tell me what the role of family planning is in these reviews? I have no idea what is in the reviews, but family planning was quite a high priority in DfID before the new Secretary of State arrived. I would be grateful if I had some assurance that it still is.

Lord Bates Portrait Lord Bates
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I can certainly give that assurance and will write to the noble Baroness with the details. I already have a letter for her in my in-tray on the CDC, so I will add a paragraph to that, if I may.

Lord Boateng Portrait Lord Boateng
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My Lords, I declare an interest as chairman of the Africa Enterprise Challenge Fund. Does the Minister agree with me that the surest route out of poverty is jobs, that the surest defence of peace is jobs and that the surest guard against forced migration is jobs? Will he therefore give the House the reassurance that bilateral programmes, like the one that used to exist in Burundi and others in fragile areas such as the Great Lakes, Somalia, Somaliland and South Sudan, will continue to be supported under this review, because they are making a huge difference?

Lord Bates Portrait Lord Bates
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I pay tribute to the work the noble Lord has done for the organisations he is involved with in promoting that. Economic development is at the heart of eradicating extreme poverty. We cannot do it through aid flows alone: there has to be the wider context.

The lifting of people out of poverty, including the 50% reduction in the number in extreme poverty, has come largely through major economies such as those of India, China, and Brazil increasing trade and economic development. The same applies to sub-Saharan Africa.

Baroness Featherstone Portrait Baroness Featherstone
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My Lords, Andrew Mitchell changed DfID for the better with the original multilateral and bilateral aid reviews. DfID follows the money. It is very good value for money. My concerns are less about the outcome of the current aid reviews and more about the use of the ODA by departments other than DfID across government. Will there be a review of the use of ODA by other departments?

Lord Bates Portrait Lord Bates
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That is a very good point. Of course, the noble Baroness was a distinguished Minister in the department working in that area. As we move to more cross-government funding through the Conflict, Security and Stability Fund and the prosperity fund, it is important that the same rigour be applied. I am sure the International Development Committee will look closely at that. If not, the Public Accounts Committee awaits.

Lord Hylton Portrait Lord Hylton (CB)
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Can the Minister give us any assurance about flexibility in spending the target of 0.7% of GDP to spread it over a period of years?

Lord Bates Portrait Lord Bates
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I understand that that is the subject of the Bill before the House in the name of the noble Lord, Lord Lipsey. We have great reservations about that because we fought very hard to get where we are with 0.7% and we will not give it up, not least because it was a government manifesto commitment.

Lord Crisp Portrait Lord Crisp (CB)
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My Lords, I welcome this review and the general direction it takes, including that it is in Britain’s interest to have an effective development programme. I note that the Statement mentions,

“sharing skills from the best of British institutions”,

including the NHS, as part of this development programme. What is meant by that? More generally, we should recognise that in this process of development and indeed codevelopment, it is in our mutual interest to see that there is a lot we can gain from our partners in developing countries, as well as a lot we can give.

Lord Bates Portrait Lord Bates
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That is why the review process has been so widely welcomed by so many agencies, not least Gavi and Oxfam, which have put on record their support. This needs to be seen in the context of the multilateral and bilateral development reviews. Reviews of our civil society relationships and of the research are currently under way. We have added a commitment to spend 3% of our budget on research. Much of that will be spent in British universities to help us get better at tackling the issues around the world that are the cause of extreme poverty.

HIV Global Epidemic: Young People

Lord Bates Excerpts
Thursday 1st December 2016

(7 years, 10 months ago)

Lords Chamber
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Lord Collins of Highbury Portrait Lord Collins of Highbury
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To ask Her Majesty’s Government how they plan to tackle the global HIV epidemic among adolescents and young people from key populations.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, our youth framework puts young people at the centre of international development efforts. Tackling youth HIV, including among key populations, is critical to ending AIDS as a public health threat. Our investments support young people to make safe, healthy and informed choices to protect themselves, and their peers, from HIV and other life-threatening illnesses.

Lord Collins of Highbury Portrait Lord Collins of Highbury (Lab)
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I thank the Minister for his response. I am also pleased to see so many red ribbons being worn today on World AIDS Day. We know that HIV and AIDS have a disproportionate effect on the most marginalised groups in society, particularly men who have sex with men, drug users, transgender people and sex workers. Such people might not be able to access services which are integrated into our broader health systems for the obvious reason that in some cases they may be in jail. Is the Minister prepared to review DfID’s approach to HIV in both its HIV-specific programmes and in its programmes which address HIV within broader health and development interventions?

Lord Bates Portrait Lord Bates
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The noble Lord and I had a very interesting afternoon yesterday when we attended the Stop AIDS conference. Some incredible presentations were given, with a lot of information. Given that HIV is such a huge health threat globally as well as in this country, it is essential that we do everything and remain open to new information when it comes. We are the second-largest contributor to the Global Fund, which is doing tremendous work in this area—£1.1 billion was announced in July. But there is more to be done. An international development committee report on this issue is currently with the Secretary of State and I will certainly feed in those views and see what more can be done.

Lord Lexden Portrait Lord Lexden (Con)
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My Lords, is it not absolutely essential that this country should use all the means at its disposal to get our Commonwealth partners, in the overwhelming majority of whose countries homosexuality is sadly still a criminal offence, to repeal their cruel and inhumane laws in accordance with the provisions of the Commonwealth charter, to which they have all signed up? Is it not impossible to organise effective health campaigns in countries where being gay is criminalised?

Lord Bates Portrait Lord Bates
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My noble friend is absolutely right in this respect. You need open societies. Good health promotion initiatives can happen only in open societies where people can talk freely. You would have thought that that message would have got through. Sadly, it has not reached everyone. We need to be sensitive because, at the same time as addressing the issues with our Commonwealth partners, we also need to continue to have access and to work with them to help the people who need that help. My noble friend Lady Verma held a very useful round-table meeting at the Commonwealth Heads of Government meeting in Valletta, Malta, last year. When the Commonwealth Heads of Government come to the UK in 2018, I very much hope that we will follow up on that work.

Baroness Tonge Portrait Baroness Tonge (Non-Afl)
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My Lords, does the Minister agree that prevention is always better than cure? Does he also agree that the advent of an effective treatment for AIDS has spread the news that it is no longer necessary to practise safe sex? Will he therefore ensure that prevention in the form of barrier methods of contraception that have a double purpose, such as condoms and the diaphragm, are promoted alongside the treatment for AIDS?

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Lord Bates Portrait Lord Bates
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We will certainly do that. In fact, the areas of the world where we are seeing levels of infection increase are often in eastern and central Europe, where the issue is with injecting drugs. Good health promotion initiatives with that key population group are also important and are all part of the effort to eradicate AIDS.

Baroness Hayman Portrait Baroness Hayman (CB)
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My Lords, the high rates of HIV infection among young women in Africa, in particular, reflect, at least in part, their powerlessness in terms of sexual relationships. Does the Minister agree that this accentuates the need for DfID programmes that focus on the education and empowerment of young women to be continued?

Lord Bates Portrait Lord Bates
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That is absolutely right and it is what we are focusing on. I think I am right in saying that HIV is still the largest killer of adolescent girls in sub-Saharan Africa. We need to move much further in that area. That is why it is encouraging that the Global Fund is spending a large proportion of its money in low-income countries. At the same time, we need to provide better civil society networks and social networks that can help young people when those tragedies happen so that they can access treatment and antiretrovirals. As my noble friend Lord Prior will be saying, people can have a better quality of life here living with AIDS, and that should be more widely available in southern Africa as well.

Baroness Barker Portrait Baroness Barker (LD)
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My Lords, PEPFAR and the Global Fund are of crucial importance across the world. Will the British Government encourage the incoming Administration in the United States to maintain the levels of funding and not diminish them?

Lord Bates Portrait Lord Bates
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We must give credit to PEPFAR, and to George W Bush, who set it up, for the work it has done around the world in tackling this disease. Certainly, that would be our expectation. We have a very close working relationship with USAID in this area and we fully expect that it will continue, into the future, to tackle and achieve the global goal of eradicating HIV as a public health threat by 2030.

Baroness Manzoor Portrait Baroness Manzoor (Con)
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My Lords, good nutrition is important for all of us, but it is particularly important for those living with HIV or AIDS. Can my noble friend say what is being done to ensure that there are proper trigger points when DfID is providing aid so that nutrition is taken as a key point, particularly when treatments cause wastage, lipid malabsorption and other issues to do with dietary needs?

Lord Bates Portrait Lord Bates
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My noble friend is right to point to this. When we look at HIV strategies and DfID’s work around the world and with our partners in the World Health Organization, it is very dangerous to see them siloed. Strategies must be cross-cutting, across all the interventions and all the humanitarian responses which we have to this disease, to bring hope and prevention in the attempt to eradicate AIDS by 2030.

Aid and Trade

Lord Bates Excerpts
Monday 28th November 2016

(7 years, 10 months ago)

Lords Chamber
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Lord Hannay of Chiswick Portrait Lord Hannay of Chiswick
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To ask Her Majesty’s Government whether the recent statement in Kenya by the Secretary of State for International Development that she envisaged using the aid budget to promote the United Kingdom’s bilateral trade agreements following its departure from the European Union is consistent with the International Development Act 2002.

Lord Bates Portrait The Minister of State, Department for International Development (Lord Bates) (Con)
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My Lords, the Department for International Development will continue to ensure that the assistance we provide complies with the requirements of the International Development Act 2002. An important focus of our work is developing countries’ economic development and prosperity, and their trade capacity. That is the clearest route out of poverty and it is in our national interest so to do. There is no doubt that the UK’s generosity strengthens our global standing as we wish to establish new trading relationships.

Lord Hannay of Chiswick Portrait Lord Hannay of Chiswick (CB)
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My Lords, I thank the noble Lord for that reply, which I interpret as meaning that it is not inconsistent with the 2002 Act to speak about the things that the Secretary of State spoke about in Kenya, but it would be to do them. Will the Minister say whether he and his ministerial colleagues understand the dismay that that statement in Kenya caused to those of us who have been supporting the Government through thick and thin on their commitment to 0.7%? Does he recognise that, if it became our policy to provide aid for countries that gave us good trade agreements, we would be laying ourselves open to blackmail straightaway?

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Lord Bates Portrait Lord Bates
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Let me say to the noble Lord that that last thing was not, in fact, what the Secretary of State said. The noble Lord will know, as a distinguished former ambassador to the UN and to the EU, how important this 0.7% is for the UK on the world stage. It is also true to say that the UK’s ambition is not to keep countries in a position of aid dependency for ever. We want them to grow their economies and strengthen economic development. That is what the Secretary of State was saying and it is the general thrust of what the Department for International Development does, through the 0.7% commitment.

Lord Popat Portrait Lord Popat (Con)
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My Lords, as the Prime Minister’s trade envoy to Uganda and Rwanda, I recently had the privilege of meeting the leaders of those two countries, President Kagame of Rwanda and President Museveni of Uganda. During my discussions with them, what transpired is that they are keener on trade than aid; it is trade and investment that can create jobs and wealth and get people out of poverty. Does my noble friend agree that many east African countries are very eager for Britain to shift from aid to trade and that the Secretary of State’s remarks reflect this?

Lord Bates Portrait Lord Bates
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I can confirm that, and I pay tribute to my noble friend for his work as the Prime Minister’s trade envoy to Rwanda and Uganda, as I do to all our trade envoys who carry out that important task around the world. If you compare 1990 to 2010, the number of people in extreme poverty has reduced by 50%. That has not been achieved through aid flows; it has been achieved through aid flows directed at improving economic development, which then lifts people out of poverty. That remains our aim, and trade is an important element of that.

Lord Kinnock Portrait Lord Kinnock (Lab)
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My Lords, can the Minister confirm reports that the Government are to quadruple, to £6 billion, funding for CDC, formerly the Commonwealth Development Corporation? If so, will this not completely contradict existing stated government policies on combating poverty, increasing accountability and fighting tax evasion and tax avoidance, given CDC’s proven record of investing through tax havens?

Lord Bates Portrait Lord Bates
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I can certainly say to the noble Lord that that is not the case in terms of tax havens. CDC is very clear that it does not use tax havens for investment, or to hide investments, but is a transparent international finance organisation that does tremendous work around the world. It invests in 1,200 companies, and safeguards and creates about 1 million new jobs. The CDC Bill, which has its Second Reading in the other place tomorrow, is simply to give the facility for that increased investment to take place, from £1.5 billion to £6 billion, because the former figure was put in place 17 years ago and we think it is time to look at it again. However, in order for that money to be drawn down, CDC will have to comply with the same rigorous business case requirements, on transparency of investments, that any other organisations would. I hope that that helps to reassure the noble Lord on that point.

Baroness Sheehan Portrait Baroness Sheehan (LD)
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My Lords, it beggars belief that, at the same that the Government were in Marrakech signing the COP 21 agreement, they were also announcing a huge oil and gas project in east Africa, using £25 million of the UK aid budget. Will the Minister point out to his colleagues that east Africa is facing famine due to desertification brought on by fossil fuel-induced climate change and that some policy coherence on the part of the Government would be welcome?

Lord Bates Portrait Lord Bates
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It is certainly true to say that we were a leading force in securing that agreement in Paris and building on it at the recent G20 summit in Hangzhou. We are very committed to that. We are addressing all the humanitarian issues that were talked about. The UK is one of the largest economies—in fact, it is the only major economy—to achieve its 0.7% commitment. We do that in humanitarian aid but, under the rules of the OECD and the DAC, we also allow certain amounts to be introduced and used to build capacity and to build business and economic development within those countries, and that is an example of one of those.

Baroness Hayman Portrait Baroness Hayman (CB)
- Hansard - - - Excerpts

The Minister talked about economic development as the route out of poverty for people in the developing world, which is absolutely right, but will he accept that it is not only through trade that economic development happens? The investment that DfID has made over the years in health and education is absolutely a prerequisite to that economic development.

Lord Bates Portrait Lord Bates
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The noble Baroness, with her great experience, has put her finger on the point here—that it is placed in context. That is why it is very important that, in order for economic development to happen, we need to stop the conflict, we need to start getting people into school, we need to eliminate discrimination and we need to improve economic development. It is across the range, and that is what DfID’s policy tries to address.

Lord Lexden Portrait Lord Lexden (Con)
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Do the Government believe that more needs to be done to ensure that our aid actually reaches the people for whom it is intended?

Lord Bates Portrait Lord Bates
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Yes, and that is why we have initiated the multilateral and bilateral reviews and announced the review of engagement with civil society organisations. Notwithstanding the fact that we have reached 0.7%, it is important to ensure that every penny that is spent on that actually goes towards the aim for which it was given by the British taxpayer—namely, to eradicate extreme poverty in this world.