Question to the Foreign, Commonwealth & Development Office:

To ask the Secretary of State for Foreign, Commonwealth and Development Affairs, whether his Department has made an assessment of the potential merits of taking steps to reduce international remittance costs to support developing countries; and if he will set out a roadmap for reducing those costs in line with the UK's ambitions to reach UN Sustainable Development Goal 10C by 2030.

Remittances present a major opportunity for the UK to build strong, effective partnerships with developing countries, help poor people avoid falling further into poverty, and enable migrant incomes to be used productively. International Fund for Agricultural Development estimates that 75 percent of remittances go towards subsistence and of the remaining 25 percent (or £72 billion per year), 10 percent is spent on human capital investments like education and health, and 15 percent on savings and investments in housing, small assets, and other income-generating activities.

FCDO recognises the importance of international remittances and is committed to reducing the associated costs and barriers to ensure that transfers are cheaper, more accessible, and more secure, in line with G20 and SDG targets. The UK's Action Plan, which we agreed to through the G20's Global Partnership for Financial Inclusion (GPFI), focusses on improving the environment for remittances in the following areas:

• Increase remittance market competitiveness, including through improvements to the regulatory environment;
• Improve financial system infrastructure and pursue policies conducive to harnessing emerging technologies; and
• Improve transparency and consumer protection of remittance transfer services.