HC Deb 20 January 1997 vol 288 cc453-4W
Mr. Worthington

To ask the Secretary of State for Foreign and Commonwealth Affairs which of the European Commission directorates concerned with the dispersal of aid have underspent in each of the past five years; for what reasons such underspend occurred; and what measures have been taken in response. [10971]

Dr. Liam Fox

All European Community external assistance directorates—Directorates-General VIII, DG, IA, DG, IB, and the EC Humanitarian Office, ECHO—have underspent against their initial annual budget in each of the five years 1991 to 1995 inclusive, except ECHO in 1991, 1992 and 1994 and DGIA in 1993 and 1994.

There are a number of reasons for the persistent underspending: over-ambitious increases in the external assistance budgets; weaknesses in forecasting systems; and insufficient staffing.

The UK Government consistently argue for both realism and restraint during EC budgetary negotiations. We are working with the Commission to improve its forecasting systems. We continue to press the Commission to address staffing issues. We also second ODA staff to Brussels and EC delegations to help improve aid delivery systems.

Mr. Worthington

To ask the Secretary of State for Foreign and Commonwealth Affairs what measures he is taking to increase the amount and percentage of European Union aid funds that are channelled through British non-governmental organisations. [10970]

Dr. Fox

The Government press for fair competition for all European Community development co-operation spending, in order to ensure both value for money and effectiveness. British non-governmental organisations are extremely effective and well placed to benefit from this approach.