[holding answer 18 January 2006]: The UK Government absolutely condemns all acts of terrorism and takes concern over the use of UK aid very seriously. The UK Government are committed to ensuring that all UK development assistance is properly accounted for, used for the intended purposes and represents value for money.Since 2004, all DFID financial support to the Palestinian Authority (PA) budget has been provided through a Reform Trust Fund managed by the World Bank. Funding is conditional on the achievement of benchmarks for reform, progress against which is carefully monitored. The benchmarks cover the PA's audit and accounting processes as well as issues such as pension reform, the wage bill and the PA's budget process. The benchmarks require that the PA submit its annual financial statements to the Palestinian Legislative Council and be independently audited. This is intended to ensure legitimate usage of PA funds and that taxpayers' funds achieve value for money.DFID, along with the World Bank, International Monetary Fund (IMF) and other donors that provide budget support, undertake twice-yearly reviews of the PA's progress against its reform benchmarks and maintain close contact with the PA at all times. DFID and other Trust Fund donors have made it clear to the PA that it would be unacceptable if PA budgetary resources were used in any way that supported or condoned terrorism and that budget support would be suspended in such an event.Other forms of DFID assistance to the Palestinian people are channelled through organisations whose accounts are independently audited.