LONDON, (Reuters) – Britain reduced its foreign aid spending commitment yesterday to 0.5% of gross domestic product from 0.7%, causing one minister to resign and an immediate outcry from development organisations and the spiritual head of the Church of England.
The move, announced by finance minister Rishi Sunak as part of an annual review of government spending, will be popular among some voters and media who argue that COVID and the resulting economic crisis mean Britain should spend less on aid.
“During a domestic fiscal emergency, when we need to prioritise our limited resources on jobs and public services, sticking rigidly to spending 0.7% of our national income on overseas aid is difficult to justify,” Sunak said in a speech to parliament, pointing to record high peacetime borrowing levels.
He said aid spending would rise to 0.7% again when fiscal conditions allowed, but did not set a target date.