USAID Funding Pause

Mike Martin Excerpts

Tuesday 10th June 2025 Westminster Hall

[David Taylor (Hemel Hempstead) (Lab)]

It is a pleasure to serve under your chairmanship, Mrs Hobhouse. I thank the hon. Member for Melksham and Devizes (Brian Mathew) for securing the debate. The International Development Committee is due in a couple of weeks—if our visas are approved—to go to the US and have some of these discussions. It will be interesting to see what is said. I do not know whether I need to declare this as an interest, but I am the Labour party representative on the Progressive Alliance; our sister party is the Democratic party, and I campaigned for it in the 2012 election. I think it is obvious that my view is that we should not have the current US Administration, and their decision to slash the US aid budget was profound and devastating.

Turning to the UK context, as someone who has spent their entire career in the charity sector, I was heartbroken by the decision to cut aid to 0.3%, but it is important for the record to lay out some of the context for that decision. We inherited a horrific economy, the majority of the aid budget—a huge amount of that money—was going on asylum spend in hotels, and we faced a world in which Ukraine had been invaded by Putin and his forces. While I regret the decision to cut aid, it was taken in that terrible context, and because of the vital need to increase defence spending to 2.5%.

Why was the economy in such a state? It was because of the devastating Truss mini-Budget. Aid had already been reduced to 0.5% because of the decision that Sunak had taken, and Boris Johnson had abolished a world-leading Government Department. In addition, why did Russia invade? It was because—I should say that I do not mean this as a criticism of the last Government—the west collectively failed to stand up to Putin. We allowed him and Assad to do what they wanted in Syria; we took no action when Assad unleashed chemical weapons on his own people. Putin invaded Crimea with near impunity in 2014, and of course we had attacks on UK soil, including the chemical weapons attack in Salisbury.

[Mike Martin (Tunbridge Wells) (LD)]

Will the hon. Gentleman give way?

[David Taylor]

I will not, because I want to make a point; I find the moralising tone of my hon. Friend the Member for Alloa and Grangemouth (Brian Leishman) a bit much. The reason the last Government were able to do what they did—slashing the aid budget, abolishing the Department for International Development and wrecking the economy—was that we have never had a weaker Opposition than we did when the hard left was sadly in charge of my party. Putin was emboldened, in part, by the hard left’s constant appeasement and apologism for the things he was doing, their downplaying of the use of chemical weapons in Syria and their suggestion that we send the sample from Salisbury back to Putin to test whether or not he was responsible.

--- Later in debate ---

[David Taylor]

No, I will not, because I find the moralising tone completely infuriating. Having put that on record, I turn to the matter at hand: the horrible situation that we are in. I note with respect that other hon. Members have mentioned causes that they deeply care about, and I care about those causes—

[Mike Martin]

On geopolitics, will the hon. Gentleman give way?

[David Taylor]

I will.

[Mike Martin]

If we put aside the internecine warfare of the Labour party, the hon. Gentleman is making an interesting point about a retreat from the world. Retreating from the world as the west, the UK or the US, opens the door to creating more problems, and then we retreat further. Would he argue that that is what we are doing—vacating the field to our opponents?

[David Taylor]

I do not believe that is the case, because I believe the Minister is going to set out the ways in which we are still taking our place on the world stage, but I hear the hon. Member’s concern.

Hon. Members in this Chamber have passionately advocated for causes that they care deeply about. I respect that, especially the hon. Member for Melksham and Devizes and his passionate plea for WASH. I could talk about a number of causes important to me, but what is most important is that we increase the size of the pie. For that reason, I have been working constructively with other Members of the House to put suggestions to the Government for how, given the decision to cut aid to 0.3%, we could look at other forms of development finance.

In the interests of time, I will not go over the points that my hon. Friend the Member for Norwich North (Alice Macdonald) made about asylum seekers, remittances, special drawing rights, the exchange equalisation account and debt relief, but I will add to that list the need to release the Chelsea money as soon as possible. The Government announced recently that they are looking to take further action against Roman Abramovich. If that money is released into Ukraine, given that we have essentially said that we will protect aid spending in Ukraine, I hope that additional money can replace official development assistance going in, so that that ODA money can then support programmes in other countries.

We also have an issue with British International Investment. To be clear, BII does good things, but there is no need for additional capitalisation out of the 0.3% that we have, given that investments in assets can be realised. Finally, I highlight the international finance facility for immunisation, which is a way to leverage extra funding. We are urging the Government to look at other ways to do that in other contexts. There is already an international finance facility for education, and by using such facilities we can leverage funds times 10. Given the various summits that are coming up, including the financing for development conference that my hon. Friend mentioned, I urge the Government to look at those options, and to think innovatively about the additional finance that we can leverage to help to support the poorest people in the world.