Wednesday 15th May 2013

(11 years ago)

Lords Chamber
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Lord Collins of Highbury Portrait Lord Collins of Highbury
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My Lords, I want to raise an issue on which there is cross-party consensus: the previous Government’s commitment to meet the UN’s target of spending 0.7% of gross national income on aid and to legislate on that by 2013. This was taken on by the current Government and included in the coalition agreement. The Minister pointed out in her opening contribution that this year the UK reached that target and was the first G8 country to do so. I welcome that achievement: I am very proud of our country for it.

However, the commitment to legislate on that is missing from the gracious Speech. I have heard the argument that having met the target legislation is not necessary. I cannot put it better than the former International Development Secretary, Andrew Mitchell, who said last March:

“I think it takes it beyond doubt. And also we and the Liberal Democrats and the Labour party all made clear at the time of the general election that we would legislate. It takes it out of politics. On the whole, politicians should do what they say they are going to do”.

UK aid works. Every year, it helps raise more than 3 million people out of poverty and gets millions of children into school. In 2012 alone, it stopped 2.7 million mothers and children going hungry and vaccinated 12 million children against life-threatening diseases. Instead of making the case that that is the right thing to do from the perspectives of both global social justice and long-term national interest, the Prime Minister puts internal party interest above giving leadership on an issue that has multiparty consensus.

As my noble friend Lord McConnell said in his contribution, in recent weeks we have seen a series of off-the-record briefings and ad hoc policy announcements that appear designed to appease those in the Conservative Party opposed to increased aid. We have had from the suggestion that in future UK aid will be used to replace cuts to the defence budget and promote British trade interests to ending our aid programme to South Africa. The latter was originally spun as a decision agreed by the South African Government. That patently was not the case. Again, that is putting media headlines three days ahead of local elections before the needs of South Africa’s poor, our foreign policy interests and our relationship with a country that is central to progress in Africa and the wider world.

The critics of legislation also ignore the fact that making permanent the link between 0.7% and gross national income would ensure that the UK aid contribution will always be related to the health of our economy. In an increasingly interconnected world, the fortunes of people in the UK are linked to those of people in developing countries. The untapped potential of developing nations represents lost customers, trade and ultimately growth for the UK and global economy. Investing in effective development means investing in new markets for UK companies abroad. As UK aid is used to lift more people out of poverty and provide developing countries with opportunities to enter international markets, UK companies will have an expanded market as new companies develop and consumers have increased disposable income. The CBI has estimated that the impact of the UK working in new markets in these sectors could lead to a £20 billion boost to the UK economy.

Effective aid, particularly when targeted at fragile and conflict-affected states, can assist in averting security threats and instability. For example, with 43% of the world’s population now under the age of 25 concentrated in some of the world’s poorest nations, well-targeted aid can provide better life chances and opportunities to young people who would otherwise face a future with little or no prospects. This is an important moment. It is time for all of us, Government and Opposition, to come out and be proud of UK aid and what it achieves.