Foreign Affairs and International Development

Mary Macleod Excerpts

Tuesday 15th May 2012 Commons Chamber

[Mr Hague]

No, I think that we have dealt with that point.

[Mary Macleod (Brentford and Isleworth) (Con)]

The Foreign Secretary has talked about opening embassies around the world. I congratulate him on that, because it is vital for the future growth, trade and investment of this country. Will he enlighten the House on how the Foreign Office is working with UK Trade & Investment to make sure that we bring more trade and investment back to Britain?

[Mr Hague]

Yes. Not only do the Foreign Office and UKTI work very closely together, but we provide UKTI with funding for specific projects, allowing it to expand its presence overseas in the same places where the FCO is expanding its work, with the additional personnel and posts that I am describing, to try to open markets and change policies in other countries so that British companies can gain access to their markets and UKTI can then help them to use that access. In the past year, the FCO and UKTI, working together, helped about 20,000 small and medium-sized enterprises to gain access, for the first time, to emerging markets around the world. That is a very important part of the economic revival of this country, and that effort must be further redoubled over the coming years.

The approach that I have described on India will help to expand our trade and investment relationship by helping British companies, and it will help to deepen our political links with state leaders across India. We are funding this expansion in relation to the emerging powers through the reallocation of FCO resources, the withdrawal of some subordinate posts in Europe, and the reduction over time of our diplomatic footprint in Iraq and Afghanistan, where security costs are considerable. We are doing that while making the £100 million per year of administrative savings by the end of the Parliament required by our spending review settlement, showing that it is what we choose to do with our resources that counts the most. I can also tell the House that next month we will publish the Government’s new White Paper on relations with the UK’s overseas territories.

Our focus on stronger political and economic ties with the growing economies of Asia, Africa and Latin America in no way comes at the expense of our role in the European Union or our alliance with the United States. We will never have a stronger ally than the United States of America. We make a vital contribution to each other’s security, and our co-operation in foreign affairs will always be one of the absolute pillars of our foreign policy. Nowhere has this been more visible in recent years than in Afghanistan. I pay tribute to all the British personnel who have lost their lives, including, sadly, in recent days, or have been injured serving our country there. We are in Afghanistan to protect our own national security by helping Afghans to take control of theirs.

The process of transitioning security control to Afghan forces agreed at the Lisbon summit in 2010 is on track; it is realistic and it is achievable. Transition has begun in areas that cover about 50% of the Afghan population and in 20 of Afghanistan’s 34 provinces. With the latest announcement this weekend, that will rise to 75% of the population and involve areas of all 34 provinces. In mid-2013, when the final stage of transition begins, the Afghan national security forces will lead security responsibility across the whole country and the international security assistance force will begin to move to a supporting role, focusing primarily on training, advising and assisting the Afghan national security forces. ISAF will be in a combat role until the end of 2014, when the transition process will be completed.

The main focus of the Chicago summit this weekend will be to agree a plan for the size, shape and funding of the Afghan national security forces beyond 2014. My right hon. Friend the Defence Secretary has announced that Britain will contribute £70 million a year from 2015 to fund the Afghan forces after ISAF’s combat operations end. That will be in addition to our leading the Afghan national army officer academy, which was announced by the Prime Minister last year. We will continue to support the Afghan Government’s efforts to achieve an inclusive, representative and sustainable political settlement through their reconciliation process, and to urge Afghanistan’s neighbours to support that objective.

The Prime Minister and I welcomed the Prime Minister of Pakistan to London last week for extensive discussions that illustrated the strength and breadth of our enduring partnership.

The European Union remains central to our prosperity, both internally through the single market and externally through its programme of free trade agreements. The European debate about growth and austerity has intensified in recent days. We should not artificially frame this as a choice. The Government have long pressed for a more growth-oriented EU policy to go alongside the necessary fiscal measures that are being taken at the national level, including in the UK. That work has been developed with our many allies in the EU, following the publication of the Prime Minister’s pamphlet “Let’s choose growth” more than a year ago. That policy has won the support of countries comprising a majority of the EU’s population.

The most recent European Council agreed a comprehensive growth agenda for the EU based on those arguments. The agenda is not about spending money that we do not have, which is the unsustainable folly that put this country in such difficulty; it is about expanding trade within the EU and beyond, lifting regulatory burdens and making structural reforms to European economies. Our future prosperity cannot be driven by Government spending or consumer spending, but will be created by earning our way in the world through trade and competitiveness.