HC Deb 20 October 1969 vol 788 cc734-5
9. Mr. Braine

asked the Minister of Overseas Development in which of the years 1965 to 1968, inclusive, there was a drop in disbursements of official aid net of interest payments and amortization, in official aid expressed as a percentage of the gross national product, and in the real value of official aid expressed in terms of 1965 prices.

Mrs. Hart

The figures for 1967 and 1968 declined in all these respects from those for 1966.

Mr. Braine

Is not this a most savage indictment of the Government's policy? Who was responsible for advising the Prime Minister to make his boastful speech at Polesden Lacey on 14th September in which he said that aid had never ben cut when in fact it has?

Mrs. Hart

I am sorry to have to engage the hon. Gentleman in rather fierce argument across the Floor of the House at such an early stage, but it was never cut. What happened in 1966 was that there was a lowering of the rate of growth in the planned programme. Hon. Members know perfectly well the difference between a cut in a programme and a lessening of the rate of growth in a growing programme. I strongly urge the hon. Gentleman to consider how good the record has been in terms of the balance of payments problem which we have had to deal with and which we are now on the way to solving.

10. Mr. Braine

asked the Minister of Overseas Development by how much she estimates the percentge of British gross National product devoted to official aid will decline in the calendar years 1969 and 1970, respecively.

Mrs. Hart

Percentage figures are not available but gross disbursements of economic aid are expected to amount to £214.4 million in 1969 and £224.3 million in 1970. This compares with £202.8 million outturn in 1968.

Mr. Braine

Is the right hon. Lady aware—let us get this clear from the start—that net aid as a percentage of the gross national product has declined steadily since 1964 and that the figures which she has given, even if fully achieved, would at best keep aid as a percentage of the gross national product at the same level at last year? Is she further aware that if, as usual, disbursements fall short of the published ceilings, official aid will probably fall short of 0.4 per cent. of the gross national product for the first time since 1958? Is that why the right hon. Lady predecessor resigned?

Mrs. Hart

If the hon. Gentleman is saying that he hopes that we can do better on aid in the 1970s than we have done in the last five years, I will wholly agree with him and I shall look forward to his assistance in reaching a better target. But if he is saying that we should have done better in the last five years, despite the balance of payments problem which we have had to deal with, then I shall have to take him to task.

Mr. William Hamilton

Would my right hon. Friend agree that the hypocritical noises of the Opposition are coming from a party which is constantly advocating decreases in public expenditure?

Mrs. Hart

Indeed—and at the same time making taxation proposals which run completely counter to all their other proposals.