Skip to main content

Chancellor unable to answer Committee Chair on aid spending

3 January 2025

The Chair of the International Development Committee says the Chancellor has raised more questions than she answers in a letter to the Committee, published today.

The Chair had written to Chancellor Rachel Reeves, asking for information on how the Government decided to set aid spending at 0.5%.

However, the Chancellor does not answer this question in her letter. She reiterates that the Government is still committed to spending 0.7% of GNI on ODA, but that the ‘fiscal tests’ for this have not been met. She adds that the Government has no plans to update these tests, as they have the endorsement of Parliament.

The Chair also did not receive a direct answer to this question when she raised it in a written question to the Treasury.

Chair comment

Chair of the International Development Committee, Sarah Champion MP, said:

“I am grateful for the Chancellor’s response, but unfortunately this letter raises more questions than it answers.

“If spending 0.7% of GNI is out of reach, why settle on 0.5%? Is this an arbitrary number, or one that is critical to the Government’s strategy for overseas aid?

“I look forward to finding out more concrete information on this issue when we hear from Government Ministers in the New Year.”

Further information

Image credit: Parliamentary Authority