Oral Answers to Questions

Debate between Kerry McCarthy and Edward Leigh

Thursday 2nd March 2017 Commons Chamber

[Sir Edward Leigh]

I can assure my hon. Friend that the NAO will indeed look robustly at all aspects of DFID’s expenditure. For instance, its reports on the CDC and on St Helena both identified challenges for DFID in overseeing expenditure outside its core area of expertise. The Public Accounts Committee’s report on St Helena concluded:

“Thus far, the Department has unquestionably failed the residents of St Helena and the British taxpayer.”

[Kerry McCarthy (Bristol East) (Lab)]

Under the Government’s new aid strategy, an increasing proportion of the 0.7% is being spent by Departments other than DFID—it is estimated that the proportion will be 30% by 2019. Will the NAO also look at how that money is spent and address concerns that it is being siphoned off, undermining DFID’s core objectives?

[Sir Edward Leigh]

The hon. Lady is absolutely right that an increasing proportion of the aid budget will be spent by other Departments. That is clearly a challenge for audit, but one that the NAO is capable of undertaking, because DFID remains responsible for reporting to the OECD on official development assistance spending and for reporting to Parliament on the Government’s performance against the 0.7% target. I can reassure her that the NAO is scrutinising that expenditure extremely carefully.