War, conflicts and climate change lead to increased needs for aid around the world, mainly in the global south. Despite this, the previous UK government ruled out an increase in aid in the budget, which has been criticized by several aid organisations. The British Labor Party, which recently secured its own majority in parliament, is on the other hand positive about returning to a higher 0,7 percent of GNP - but the change is expected to be delayed.
In the spring, the former British government, led by Chancellor of the Exchequer Jeremy Hunt, presented the new spring budget to the public. The budget showed that the government has still not returned to the international commitment for aid - which means that 0,7 percent of the country's gross national income (GNI) must be set aside for aid.
Great Britain bilateral aid - that is, financial support from the UK to a country or region - instead fell further in 2024 - despite the previous government's promise that the cuts announced in 2021 were only temporary.
On 4 July 2024, the Labor Party won a majority in the British general election. Keir Starmer, the Labor leader and the UK's new prime minister, has stated that aid will return to 0,7 percent of GNI, but that is expected to take time until this becomes a reality.
Does not reach international guidelines for aid
Historically, the UK has been a pioneer in the aid world. Nowadays, Britain is third country in the world which allocates the most aid to development cooperation. The UK, along with the rest of the world's 30 richest countries, has an international commitment to allocate 0,7 percent of its GNI to aid, a target set by Fn xnumx.
OECD DAC, that is, the Organization for Economic Co-operation and Development Assistance Committee, has a set of rules for what counts as aid and which ensures the quality of the aid. The OECD-DAC recommendation for aid is 0,7 percent of the country's GNI. But this is more of a guideline than a requirement for member states, and so the former British government decided to reduce aid from 0,7 percent of the country's GNI to 0,5 percent at the end of 2020. According to the previous government, this was due to the corona pandemic, which among other things led to high inflation, rising interest rates and an escalated housing crisis.
The reduction in the aid budget landed at four billion pounds per year. With that, UK aid has fallen from its peak of £15,1bn in 2019 to £14,5bn in 2020 and £11,4bn in 2021. Aid rose to £12,8bn in 2022 – but then 29 per cent of the budget was spent in the UK to cover the costs of hosting refugees.
Criticism of aid cuts
Another change that has occurred in UK aid in recent years is that the government has increased aid to Ukraine since Russia's invasion, while reducing its support to other countries and regions.
In the government's budget for 2022, Ukraine was allocated £342 million, and it is now the country that receives the second most aid from Britain, after Afghanistan. Africa is the continent that receives the most aid from the UK, but aid to the continent has fallen in recent years.
With the UK being one of the world's largest aid donors, cuts in the aid budget affect international development work in the global south. This has been criticized by aid organisations.
- Britain must live up to its values, claims British Red Cross in response to the country's aid cuts.
An investigation commissioned by the British government shows that aid cuts could lead to thousands of women in Africa dying during pregnancy and childbirth. The investigation also shows that half a million women and children in Yemen will not have access to healthcare.
Although The OECD directs criticism against the previous government's decision to lower aid from 0,7 percent of the country's GNI to 0,5 percent, as it goes against the OECD-DAC guidelines. The OECD also criticizes the UK's use of funds set aside for aid to offset domestic relocation costs. Organizations also question the redistribution of more aid to Ukraine, as it means a reduction in aid to other areas.
- Countries and regions in Africa end up in the shadow of the war in Ukraine, despite the enormous needs on the continent, which risks having long-term consequences, writes the OECD.
Several other governments in the Global North decided on significant cuts in their aid budgets from 2020 to 2022, including Sweden, Norway and Italy. The cuts resulted in a £144m reduction in aid to Yemen, £118m to Syria, £132m to Somalia and £80m to South Sudan, according to figures from the British House of Commons.
- Denying aid programs essential funding damages vulnerable communities and the UK's reputation, and it further destabilizes the world, says Sarah Champion, Labor MP and Chair of the International Development Select Committee in the British Parliament.
Is there something in the text that is not correct? Contact us at opinion@fuf.se