Global Britain must continue to value international aid

Amid the drama of the Chancellor’s resignation in last week’s reshuffle, it was easy to overlook another significant detail. Both Foreign Office Ministers – Zac Goldsmith and James Cleverly – are now joint ministers with the Department for International Development. This is a clear signal that the government is aiming for more joined up thinking on UK aid funding and it could be a precursor to a departmental merger.

It is essential to foster better cooperation between DFID, the Foreign Office and the Department for International Trade. This has only become possible now that we’re taking back control of trade policy. If done well, the policy coordination this will allow is a tangible benefit of Brexit. Although I understand the temptation of a departmental merger, it would be a mistake to mothball a department that has done so much over recent years to boost the UK’s global reputation.

The Department for International Development has established itself as a trusted brand name with world renowned expertise. It would be a folly to put this at risk through a merger based on ideological rather than evidence-based reasoning. The department will be key to challenging the isolationist narrative around Brexit and demonstrating that post-Brexit Britain will be positively engaged with the world.

Certain elements of the Conservative party – often Brexiteers – have previously pushed for the commitment to spending 0.7% of Gross National Income on development to be dropped. It’s often dismissed as being mere “virtual signalling”, which essentially it is, and the target is clearly arbitrary.

However, what’s done is done now. There is something to be said for virtue signalling when we are leaving a major international organisation, the EU, in what is perceived by many around the world to be an act of insularity. At times like these political gestures count, dropping the target would damage our reputation even further right now.

Instead, we should see the department as a major asset and essential to “global Britain”. DFID has a budget far more generous than many other countries and is a far more effective agency than is acknowledged by its domestic critics. The focus should move away from the merits of the target itself and onto how the money is spent.

The department should retain its focus on tackling poverty and funding programmes and research that help to reduce suffering from deadly diseases. British expertise will still be in demand post-Brexit and we can continue to support countries in improving their tax collection regimes which, in turn, improves the funding of their healthcare and education systems.

The integration of trade and international development policy will allow the government to pursue progressive trade policies and mutual beneficial partnerships with developing countries. With these departments working together Britain can be a real force for good in the world. We can support developing countries to integrate with the international trading system by developing key infrastructure, improving standards and complying with WTO trade facilitation agreements.

In doing so, the UK can help to expand the export base of developing countries while expanding our own trading relationships and introducing cheaper goods to our marketplace, thereby benefiting British consumers. In addition to expanding the trading opportunities between the UK and developing countries, we can build on the DFID success story by using our technical expertise to facilitate the conditions for economic growth.

The UK has a world leading services and consultancy sector which can help developing countries to implement governmental reform, improve infrastructure and develop finance and insurance markets. Helping to overcome obstacles to growth, trade and development is a far more effective long-term strategy than funneling funding through third party multilateral organisations or providing budget support. It also provides mutual benefits by being part of an overarching strategy to supporting the UK services industry.

Brexit heralds exciting times for British development policy as there are genuine opportunities offered by leaving the EU customs union, shared development programmes and common agricultural policy. DFID can help post-Brexit Britain provide global leadership in international development and free trade while promoting its values and facilitating mutually beneficial trade relationships. If Brexit Britain is going to be truly global and forward thinking, international development policy is going to be key.