'Politics Before Poverty': Charities Condemn Government's 'Aid For Trade' Plan

Foreign secretary Liz Truss has been urged to bring back the government's commitment to spend 0.7 per of national income on international development.
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The UK will use international aid to "challenge malign actors" and create new trading partners, the Foreign Office has announced.
Stefan Wermuth via PA Wire/PA Images

Ministers have been accused of putting “politics before poverty” after they unveiled plans to link the UK’s aid budget to trade deals around the world.

Foreign secretary Liz Truss said the new ‘International Development Strategy’ would ensure the government can challenge “malign actors” who use “patronage, investment and debt as a form of economic coercion and political power”.

That is thought to be a reference to China’s Belt and Road Initiative, which has been criticised for loading large amounts of debt onto poor countries and coming with political strings attached.

Truss said: “We won’t mirror their malign tactics, but we will match them in our resolve to provide an alternative.

“The new strategy, launched today, will ensure that our international development work brings benefit across the globe and here at home. Our strategy will deepen economic, security and development ties globally, while delivering jobs and growth in both the UK and partner countries.”

As well as delivering “honest, reliable investment” and creating new trade partners for Britain, the strategy focuses on support for tackling climate change and global health, providing humanitarian aid and empowering women and girls.

But charities criticised the new strategy, and called for the urgent restoration of the government’s commitment to spend 0.7 per cent of national income on international aid.

Sam Nadel, head of government relations at Oxfam, said: “While there are some welcome words on the importance of addressing the climate emergency and supporting women and girls, when push comes to shove, this strategy prioritises aid for trade and the financialisation of development.

“It is clearly motivated more by tackling China than tackling poverty.”

Stephanie Draper, chief executive of UK aid network Bond, said: “Though this strategy contains some positive elements, it seems largely driven by short-term political and economic interests rather than the attempt to tackle the root causes of global crises such as inequality, conflict and climate change, which impact us all.”

Opposition parties also condemned the Foreign Office plan.

Preet Kaur Gill MP, Labour’s shadow minister for international development, said: “Aid for trade simply doesn’t work. British people want the aid budget to help those most in need around the world, not horse-traded for favours to big British corporations.

“It’s not just bad for those facing famine and conflict - it’s short-sighted and wrong.

“If this government was serious about helping the world’s poorest, it would start by returning to 0.7 per cent immediately, not in the distant future. Without money behind it, this strategy is barely worth the paper it is written on.”

Liberal Democrat foreign affairs spokesperson Layla Moran said: “The Conservative government is trying to run and hide from the devastating impact of their aid cuts. The callous decision to slash aid spending is so scarcely mentioned in the strategy it’s like they’re pretending it doesn’t exist. 

“The Conservatives’ true strategy on international development is demonstrated by their actions, not their words. Development has been relegated from the cabinet table, the aid budget has been slashed and the UK’s proud reputation as a development superpower has been comprehensively trashed.”

A Foreign Office spokesperson said: “The International Development Strategy is about helping partner countries, in particular low income countries, to build their economies sustainably, including through honest, reliable investment in infrastructure and trade. This strategy is not about providing ‘tied aid’ or aid in return for trade.

“The UK wants to offer a clear alternative to malign actors, so low- and middle-income countries are not burdened with unsustainable debt with strings attached.”