§ 38. Mr. Jim CunninghamTo ask the Secretary of State for Foreign and Commonwealth Affairs what percentage of gross domestic product will be devoted to the Government's overseas aid budget in 1996–97. [15275]
§ Mr. HanleyThe aid budget in 1996–97 will be more than £2.1 billion. The proportion of gross national product that it will represent will depend on the rate of United Kingdom economic growth and inflation.
§ Mr. CunninghamIs the Minister not ashamed of the Government's record? Over the past 10 or 15 years, the Government have systematically cut overseas aid. Is that not a disgrace when many under-developed countries are still struggling to modernise their water facilities, for example?
§ Mr. HanleyI am certainly not ashamed of our aid contribution. Our aid budget of £2.23 billion covers aid to developing countries and assistance to countries in transition. We readily admit that last year's public 584 expenditure survey was particularly rigorous, but the Government have had to take some tough decisions. The cuts in the bilateral aid programme are effectively offset by lower forecasts of multilateral aid spending and, despite the small reduction in the budget, Britain will continue to be the fifth largest donor with an aid budget of £2.1 billion next year.