Question to the Department for International Development:

To ask Her Majesty’s Government what assessment they have made of the impact on charities operating in Gaza of the freezing of financial transfers to them owing to the orders of the Palestinian Authority to Palestinian banks.

The UK remains supportive of the Palestinian Authority’s (PA) efforts to strengthen its revenue generation. A transparent and effective tax system is an important part of this. It is also important that the tax system is implemented in a way that does not negatively impact the vital role which NGO’s play in responding to the needs of Palestinians in the Occupied Palestinian Territories is an importtant part of this.

DFID officials have raised concerns with the Ministry of Finance (MOF) about this, particularly the need for clarity on the implications of the tax system for NGOs, and how this could affect issues such as operations in Gaza and banking signatory authorities. The UK, along with other donors, UN OCHA and the NGO community, will continue to be in close contact with PA to clarify their approach.