Select committee: International Development Committee
Conclusion 1
Fourth Report - Effectiveness of UK aid: potential impact of FCO/DFID merger
Published 16 Jul 2020
Paragraph 28
Addressed to Foreign, Commonwealth & Development Office
International Development Committee Effectiveness of UK AID All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
Reorganising departments is not easy. In our view, the decision to merge the FCO and DFID into a new international department, the Foreign, Commonwealth and Development Office (FCDO), is flawed on a number of grounds: • The decision was taken whilst the Integrated Review was paused, in its early stages, and far from ready to reach any decisions about future systems and structures. • Linked to the status of the Integrated Review, there appears to have been no structured consultation of the aid sector, either in the UK or internationally, nor other obvious stakeholders to inform the decision to merge DFID into the FCO. • It is also perplexing that the decision to merge DFID into the FCO was taken in the midst of the COVID-19 pandemic. The decision puts the international response to COVID-19 in jeopardy at a time when global cooperation is needed. It is the world’s poorest and most vulnerable who are likely to pay the greatest price. • Little, if any, detail has been provided about the rationale for the decision or its timing, the options considered, likely costs and specific benefits, implementation plans for the reorganisation and how its success will be measured, the new department’s aims and objectives, and how it will tackle global challenges beyond aid.
From: International Development Committee, Fourth Report - Effectiveness of UK aid: potential impact of FCO/DFID merger (HC 596), paragraph 28, 16 July 2020
Government response
The government responded to the whole report on 2 October 2020 (deadline 16 September 2020).
Summary written by Accountability Index from the government's response. It is not the government's own words.The Government defends the merger of DFID and the FCO as the right decision, saying it will "maximise the impact of our aid budget", and responds to the Committee's other recommendations with commitments, some qualified.
- On the merger, it says it "was right to take the decision to create the FCDO when we did", and says it is "monitoring the costs" but "at this stage it is too early to assess what these will be".
- On the proposal for a Minister for Development attending Cabinet, it states only that "The Foreign Secretary is responsible for development and aid spend."
- On a target for programmes to achieve a minimum ICAI grading of 'green/amber' within a year, it says it strives for this "where applicable" and does not set the target. It expects the FCDO to be assessed in the next Aid Transparency Index, "next occurring in 2022".
- On scrutiny, it says the structure and remit of Select Committees "is a matter for Parliament". ICAI will continue, with a broadened mandate and a commissioned review of its remit, and the form of scrutiny after the merger "will be set out in due course".