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FOREIGN AID BLAST

Government slammed over way £1.3BILLION aid budget is being spent through charities

Failings by the Department for International Development risked wasting taxpayers' money, a report found

AUDITORS have panned government officials over the way £1.3billion of the bloated foreign aid budget is spent through charities.

It found poor management practices and delays by the Department for International Development (Dfid) risked wasting the money given to civil society organisations, which spend 10 per cent of the foreign aid budget.

 Penny Mordaunt is the Secretary of State for International Development
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Penny Mordaunt is the Secretary of State for International DevelopmentCredit: Alamy Live News

The Independent Commission for Aid Impact (ICAI) audit found decisions over funding for the Civil Society Organisations (CSO) were often “hampered by delays and uncertainty” in Dfid.

The dithering approach meant foreign aid projects were “unlikely to achieve lasting change”.

The report stated that “poor management practices by the DfID in the stages before project implementation has led to unreliable and unpredictable funding decisions for Civil Society

Organisations’ work with poor people”.

The report stated that DfID’s grant making and contract award processes for CSOs were “almost always delayed, or even cancelled altogether, which hampered efficiency and effectiveness”.

The ICAI awarded DfID an amber-red score for its partnerships with CSOs, the watchdog’s second lowest rating which denotes “unsatisfactory achievement in most areas with some positive elements”.

It is important that DfID now improves how it funds these organisations, and steps up its efforts to promote civic space worldwide.

Tina Fahm, ICAI Commissioner

The body called on the Government to improve its funding arrangements for CSOs and strengthen its decision processes.

ICAI commissioner Tina Fahm, who led the review, said: “Civil Society Organisations can play a vital role in reaching the world’s poorest and most marginalised people and speaking up for human rights, so DfID’s relationship with them is crucial to tackle global poverty.

“In many cases our review found DfID-funded CSO programmes were making a difference to people’s lives, however too frequently avoidable delays in funding decisions made by DfID negatively impacted the crucial work.

“It is important that DfID now improves how it funds these organisations, and steps up its efforts to promote civic space worldwide.”

The review called for a number of changes to be made in the way DfID deals with CSOs.

The report said that throughout DfID’s portfolios, the process towards funding agreements “should be more efficient, predictable, reliable and transparent”, giving CSOs sufficient time to develop proposals.

DfID should also have a stronger focus on the long-term results of its CSO-implemented programmes, the report said.

ICAI said the best UK aid results were achieved in areas where CSOs had long standing experience, such as in education and sexual health.

Claire Godfrey, Head of Policy and Campaigns for Bond, the UK network for Civil Society Organisations working in aid and development, said: "By doing more to help civil society work effectively and by preventing unnecessary funding delays that impact on local organisations and the very people we are trying to help, DFID could help promote the role of civil society globally so we can meet the sustainable development goals."

A Dfid spokesman said: “We welcome ICAI’s view that DFID works well with civil society organisations (CSOs) on everything from education to healthcare as well as having the UK’s world-leading humanitarian response team to deal with crises like Cyclone Idai.  

“It is essential that we ensure value for money for the British taxpayer in our funding decisions. We appreciate this can sometimes result in delays. We are always working to improve the process as is evident in the Small Charities Challenge Fund where we have halved the funding timeframe since the original funding round.”

 The UK Government spent around £13billion on foreign aid in 2017
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The UK Government spent around £13billion on foreign aid in 2017Credit: PA:Press Association


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