HC Deb 23 May 1994 vol 244 cc18-20
42. Mr. Wareing

To ask the Secretary of State for Foreign and Commonwealth Affairs what recent discussions he has had in the European Union Council of Ministers about the levels of overseas aid provided by member countries.

Mr. Lennox-Boyd

Discussions in the European Union Council of Development Ministers, including the meeting held on 6 May, regularly cover the issues of aid volume and aid policy.

Mr. Wareing

Has the Minister been able to explain to his European counterparts how Britain, alone among European Union countries to have the benefit of revenues from North sea oil over the past decade, spends only 0.30 per cent. of gross national product on overseas aid, which is well below the 0.45 per cent. average of European Community countries? Can he perhaps take advice from some of his counterparts in the EC about how that position might be improved?

Mr. Lennox-Boyd

The important thing for the hon. Gentleman to bear in mind is that in the past eight years our aid volumes have increased by 10 per cent. in real terms, that 80 per cent. of the aid is targeted to the poorest countries and that there is a substantial amount of private investment from Britain in the poor world—half of the European Community total of overseas investment, about £1.7 billion worth in 1992, came from Britain.

Mr. Lester

Will my hon. Friend confirm that the British Government play a major part in influencing the spending of the European development fund so that it fulfils the policy that we pursue with our fund, and therefore achieves the most good?

Mr. Lennox-Boyd

Yes, my hon. Friend is quite right. We play a leading role in aid co-ordination in the European Community and are great supporters of the Horizon 2000 initiative, which promotes co-ordination at all levels between member states. Several of our leading officials are seconded to the European Community to help the community to determine its aid budget priorities.