Oral Answers to Questions

Julie Marson Excerpts

Tuesday 20th April 2021 Commons Chamber

[Nigel Adams]

I thank my hon. Friend for all the work he does in this area. Nowadays—and when he was an excellent Minister—we provide preferential tariffs for 70 developing countries through the generalised scheme of preferences. This includes a framework covering implementation and international environment conventions. We are supporting international research partnerships and the roll-out of agritech across the poorest and most climate-vulnerable countries. This is delivering crop varieties that are more productive, nutritious and resistant to drought and pests. Our clean tech investments are enabling UK battery pioneers to develop new technologies and business models to deliver clean energy in Africa.

[Julie Marson (Hertford and Stortford) (Con)]

What steps he is taking to ensure that tackling poverty and inequality remains a focus of his Department.

[Kate Osamor (Edmonton) (Lab/Co-op)]

What recent assessment he has made of the potential effect of reductions in the UK aid budget on poverty in developing countries.

[The Parliamentary Under-Secretary of State for Foreign, Commonwealth and Development Affairs (Wendy Morton)]

The UK remains a global leader in international development and is committed to supporting the world’s poorest people. Based on current GNI forecasts, we will spend over £10 billion of ODA in 2021. The Foreign Secretary has set out seven priorities for the UK’s aid budget this year, all of which are in the overarching pursuit of poverty reduction. This new strategic approach will allow us to achieve greater impact from our aid budget, notwithstanding the difficult financial position that we face, and UK ODA continues to serve the primary aim of reducing poverty in developing countries.

[Julie Marson [V]]

I thank the Minister for her response. I am pleased that I am due to meet the Under-Secretary of State for Foreign, Commonwealth and Development Affairs, my hon. Friend the Member for Rochford and Southend East (James Duddridge), shortly to discuss development bonds and a specific opportunity that has arisen. What steps is the FCDO taking to embed innovative finance solutions within the Department’s work to ensure that the UK’s development approach is the most effective at combating poverty globally?

[Wendy Morton]

My hon. Friend makes an important point. I know that this is something she takes an interest in. Aid alone cannot deliver the sustainable development goals. The $2.5 trillion annual financing gap for the SDGs means that we need creative solutions that engage the private sector to end global poverty, and the FCDO is testing innovative financing tools that will pull private finance towards sustainable development. We are currently running a pilot on development impact bonds that will draw in impact investment to achieve the SDG outcomes, such as helping 13,000 households living in extreme poverty in rural Kenya and Uganda to set up income-generating businesses.