Oxfam Scotland warns against £860m aid cuts in Budget

17 April 2009

Gordon Brown 'big' head highlights potential aid cuts in budget. Credit Oxfam/Ian MacNicolOxfam Scotland warned Chancellor Alistair Darling that huge cuts in overseas aid, planned as part of next week's Budget, would be a gross betrayal of millions of poor people already suffering as a result of the global recession and a betrayal of the hundreds of thousands of campaigners who marched in Edinburgh to Make Poverty History in 2005, including many of his own constituents.


The Budget could include cuts of up to £860 million a year in planned aid spending with ministers citing the economic downturn as an excuse to renege on aid commitments. The Government pledged, in its 2007 spending review, to give £7.5bn in overseas aid during 2009-10. But Oxfam understands this could be cut to £6.6bn next year, only a negligible increase over the current £6.4bn.


Judith Robertson, Head of Oxfam Scotland, said "In 2005 the G8, including the UK, made historic commitments, here in Scotland, to increase aid spending to reduce poverty. They did that because of the campaigning efforts of millions of ordinary people from Scotland and around the world, including quarter of a million marching around Alistair Darling's home city of Edinburgh.


"Now the Chancellor is considering breaking those commitments and that cannot be allowed to happen. To do so would be a betrayal of millions of poor people around the world, and a betrayal of the hundreds of thousands of campaigners who demanded that the UK joined other countries to Make Poverty History."


Max Lawson, Oxfam senior policy advisor, said "The Government should not use the economic recession and statistical sleight of hand as excuses to cut aid to poor countries at the very time when they need it most.


" This money was promised, at the Gleneagles G8, to help poor countries Make Poverty History, a promise reaffirmed in the latest spending review and supported by David Cameron.


" If all rich countries break their promises in this way, the $50 billion promised for developing countries at Gleneagles will be reduced by almost a fifth to just $41bn. That would deprive millions of men and women of basic healthcare, millions of children of the chance to go to school and millions of people of access to clean water, one of life's most basic necessities.


" Reducing future UK aid would send out exactly the wrong message just weeks after the Prime Minister successfully lobbied his fellow leaders to provide a bailout for poor people hit hard by the global downturn.


" It could fatally undermine the 'new world order' based on fairness that Gordon Brown announced at the G20 summit in London. He cannot expect other countries to follow his lead if the UK reneges on its own aid promises."


£860 million could pay for 1.3 million teachers, enough to teach 50 million children, or for more than 300,000 trained nurses.


The threat of cuts comes at a time when a weaker pound is already reducing the amount UK aid money will buy abroad. Combined with the projected aid cut, it could reduce the value of UK aid by more than a third in 2010.


The Treasury is arguing privately that a shrinking domestic economy allows the UK to reduce the aid budget, while remaining on-track to meet its commitment to increase the proportion of national income spent on aid to 0.7 per cent by 2013.


But this takes no account of the need in poor countries which has increased further as poor people are hit by declining trade, falling foreign investment and drops in remittances.


Ends.

aid    budget    Gordon Brown    Make Poverty History   

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