Category Archives: Britain

Aid, Britain, Government, Politics, Society

Foreign aid spending hits public trust

FOREIGN AID

MINISTERS are undermining trust in foreign aid by failing to ensure it is spent on the world’s poorest, a committee of MP’s have warned.

Projects funded through the £14billion budget include schemes to boost China’s film industry and to improve its museums.

Britain is legally committed to spending 0.7 per cent of gross national income on foreign aid, but the Commons international development committee called for that money to be focused on poverty reduction.

MPs specifically singled out the £600million Prosperity Fund, a cross-Whitehall pot that is still used to pay for foreign aid schemes in countries like India and China.

They raised questions about how it was funding projects in China to reduce tobacco consumption by migrant workers and to lower the salt intake of children.

The MPs said many of the dubious ventures were being run by Boris Johnson’s Foreign Office (FCO).

“Among the FCO-administered Prosperity Fund projects, we found many weaker examples including projects to develop the Chinese film industry, improve the Chinese museum infrastructure and improve the credit bond rating system in China,” they said.

The committee said it was unclear “how these types of interventions will benefit the very poorest people”. It called for a review of existing programmes.

“We are concerned to have uncovered Prosperity Fund projects within middle-income countries which show inadequate, or negligible, targeting at improving the lives of the very poorest and most vulnerable communities in these countries,” the report said.

Whitehall departments were also condemned for not being open about how they are doling out the £14billion budget.

Although most of the foreign aid budget is used by the Department for International Development (Dfid), other Government departments are increasingly having to help to get the money out the door.

More than a quarter (27.5 per cent) of the £14billion aid budget was spent by departments other than Dfid last year.

The report said while Dfid was “respected worldwide as an accountable deliverer of aid”, there was a lack of transparency elsewhere in Whitehall.

The committee warned that other Government departments were being given aid money to spend without having to explain how they would make sure it was used properly.

The MPs said: “Given the level of spending involved, we are concerned that departments are not publishing fuller details of their… spending as this lack of clarity clouds the public’s ability to see good and bad spending.”

They highlighted the Conflict, Stability and Security Fund (CSSF), which redacts information and refuses to publish how it uses much of its money. The MPs added: “This lack of clarity undermines trust in the fund.”

A spokesperson for the Government said: “We have been clear, we must ensure that the aid budget is not just spent well but could not be spent better and standards are raised across Government to achieve value for taxpayers’ money.”

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Britain, Government, National Security, Society, United States

Spy chief speaks for the first time over unrepentant Snowden

NATIONAL SECURITY

BRITAIN’S ability to keep its citizens safe was compromised as a result of the intelligence leaks by US traitor Edward Snowden, a spy chief has revealed in an excoriating attack.

Jeremy Fleming, head of Britain’s eavesdropping agency GCHQ, said the unrepentant former spy had caused “real and unnecessary damage” to the security of the UK and its allies.

In his first remarks on the devastating impact of the security breach five years ago, he said the American fugitive, who is now living in exile in Russia, needed to be held to account for his “illegal” actions. His comments came as Snowden said he had “no regrets” about revealing sensitive information via the pages of The Guardian newspaper.

In a rare statement given on the anniversary of the biggest leak of secret documents in its history, Mr Fleming said: “GCHQ’s mission is to help keep the UK safe. What Edward Snowden did five years ago was illegal and compromised our ability to do that, causing real and unnecessary damage to the security of the UK and our allies. He should be accountable for that.”

Mr Fleming, who was deputy director general of MI5 until last year, also made clear that the agency was striving for greater transparency long before the leaks. In a pointed remark, he told The Guardian: “It’s important that we continue to be as open as we can be, and I am committed to the journey we began over a decade ago to greater transparency.”

His comments came as Snowden, 34, showed no remorse over leaking classified data from the US National Security Agency (NSA). Speaking to The Guardian, he said: “People say nothing has changed: that there is still mass surveillance. That is not how you measure change. Look back before 2013 and look at what has happened since. Everything changed.

“The Government and corporate sector preyed on our ignorance. But now we know. People are aware now. People are still powerless to stop it, but we are trying. The revelations made the fight more even.” Asked if he had any regrets he said “no”, before adding: “If I had wanted to be safe, I would not have left Hawaii.”

Snowden was living in Hawaii while he worked as a security contractor for the NSA. It was there that he acquired the data he later leaked, including details of the precise methods used by the intelligence agencies to track terrorist plots. A year after the leaks – by which time Snowden had fled to Hong Kong before subsequently settling and given immunity in Russia – it was estimated that a quarter of the serious criminals being tracked by GCHQ had fallen off the radar because they had been alerted to the covert methods being used to track them.

Theresa May, then as Home Secretary, revealed how Britain’s ability to track terrorists and crime gangs was severely damaged because of the leaks. She said police and security services were finding it harder to monitor the electronic communications used by fanatics and master criminals.

The former head of GCHQ, Sir Iain Lobban, said in 2013 that terrorists were known to be “discussing how to avoid vulnerable communications methods.” And just last month, Bill Evanina, director of the US National Counter-intelligence and Security Centre, said Snowden’s leaks would continue to cause problems for years to come. He told a conference that only about 1 per cent of the documents taken by him had been released.

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Britain, Economic, European Union, Government, Politics, United States

Britain dismayed at US trade war

US TRADE TARIFFS

THE Prime Minister Theresa May has attacked Donald Trump’s “unjustified” trade tariffs amid fears that Britain’s automotive industry could be hit next.

Mrs May said she was “deeply disappointed” with the US President’s decision to impose higher import taxes on steel and aluminium from Britain and the EU.

The EU has signalled that it is prepared to hit back, making a complaint to the World Trade Organisation (WTO) and finalising a list of American products it will target with tariffs of its own.

There are fears, however, that this could spark a spiralling trade war, with Mr Trump responding to any retaliation by imposing additional import levies on cars from the UK and EU.

That possibility will concern the more than 169,000 employees in the UK motor vehicle industry, on top of existing fears for Britain’s 31,000 steel workers.

International Trade Secretary Dr Liam Fox suggested that the UK may not fully support the EU’s retaliatory measures, instead saying Britain only backs the complaint to the WTO.

He said it would “take some time” for EU member states to agree their collective response, and urged the bloc to pursue compromise with the White House in the interim – even though British diplomats have previously offered their support to measures drawn up in Brussels.

Dr Fox said it would be “very, very unfortunate if we get into this tit-for-tat position, especially with one of our closest allies.”

He added: “Nobody wins in a trade war, there are only casualties. We very much regret that these tariffs were put in place.

“We think it’s of dubious legality and we will be with the EU 100 per cent in taking this to a dispute at the WTO.”

The deepening row comes just before a G7 meeting of world leaders in Quebec this week, where European leaders will air their grievances to the US President. French president Emmanuel Macron has already told Mr Trump his new tariffs on EU goods was a “mistake” and “illegal”.

Mrs May’s language was more measured, but she said: “I am deeply disappointed at the unjustified decision by the United States to apply tariffs to EU steel and aluminium imports.

“The US, EU and UK are close allies and have always promoted values of open and fair trade across the world. Our steel and aluminium industries are highly important to the UK, but they also contribute to US industry, including defence projects which bolster US national security.

“The EU and UK should be permanently exempted from tariffs and we will continue to work together to protect and safeguard our workers and industries.”

Although it is said that the Prime Minister has additional concerns over US trade tariffs, it is believed she has not expressed these in public as she hopes to tie up a comprehensive post-Brexit trade deal with the White House and does not want to inflame the situation.

The EU, which handles trade matters on behalf of the UK, has been finalising its response to the US, with measures affecting thousands of US imports to the EU worth £2.5billion, including Levi’s jeans and Jack Daniel’s bourbon, hit with tariffs of up to 25 per cent.

Cecilia Malmstrom, the EU’s trade chief, admitted the bloc was “anxious” that Mr Trump would follow through on earlier threats to impose tariffs on European cars.

She said: “This would create enormous damage, not only to the European economy but also to the US.” The US levies of 25 per cent on steel and 10 per cent on aluminium imports follow promises made by Mr Trump under his America First programme.

Earlier this year, he said: “If the EU wants to increase their already massive tariffs and barriers on US companies doing business there, we will apply a tax on their cars, which freely pour into the US.”

EU cars sold in the US face a levy of 2.5 per cent, compared to a 10 per cent tax on US vehicles brought into Europe.

How the US raised the stakes:

. Donald Trump announced in March that the EU and countries including Mexico, Canada and Brazil would be hit by increased steel and aluminium tariffs to protect US firms against imports from China, which has flooded the market with cut-price steel.

. The EU, which negotiates trade on behalf of Britain, was granted a temporary exemption while Theresa May and other leaders lobbied for a permanent reprieve.

. The UK is concerned about the effect of the measures on its resurgent £1.6billion steel industry, which employs some 31,000.

. Britain exported 350,000 tonnes of steel worth £376million to the US last year – 7 per cent of its output.

. If the EU hits back, as it has threatened to do, Britain fears that Mr Trump will retaliate by raising tariffs on cars, in a blow to the UK car industry, which employs around 169,000.

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