Recommendation 9

HM Government · verbatim extract Acknowledged

The Government values scrutiny, which is a crucial aspect of holding Government to account for taxpayers’ money and improving the impact of Government spend and actions. ICAI operates independently of government, and the new department will seek to continue, and advance, the UK’s reputation for delivering world leading international development. DFID and FCO both worked in high risk, fragile states because poverty is increasingly focused there (estimates are 80% by 2030). We strive to ensure that all programming is effective and meets ICAI standards of green/amber where applicable. These combined skills and expertise of staff now in the new FCDO will enable the Government to further improve the effectiveness of all UK aid. “In the face of pandemic-related budget cuts, difficult decisions will need to be made as to how savings can be made whilst protecting the overall effectiveness of aid spending. Given the grave challenges faced by developing countries in tackling COVID-19, disproportionately cutting long-term and locally led development programmes would hamper both present efforts to tackle the pandemic and long-term development goals. The Government should maintain a commitment to multi-year programming and grants to locally led projects in order to safeguard hard-won development gains. In its current review of ODA spending, it should prioritise life-saving projects across the global south”. (Paragraph 77) The Government has committed that the remaining ODA spend for 2020 will be prioritised to focus on key strategic objectives that include: poverty reduction for the poorest and most vulnerable; responding to humanitarian crises and protecting those in the most vulnerable countries in the world; tackling climate change and reversing biodiversity loss; championing girls’ education; UK leadership in the global response to Covid-19; and protecting the UK’s science and research development base. This approach to prioritisation will help the Government to deliver our manifesto commitments and ensure that the UK is a global force for good. FCDO will continue to invest in multi-annual programmes and local leadership of programmes, as part of The Government’s commitment to delivering the Sustainable Development Goals. “To safeguard the effectiveness of UK aid interventions, the Government should set out how it intends to capture and retain DFID expertise in doing development well, and what plans are in place to rapidly train FCO staff in the skills necessary to manage effective and poverty reduction focused development programmes”. (Paragraph 83) The FCDO will build on the strengths of both the FCO and DFID, developing the skills of its staff in development and diplomacy while also leading efforts to improve international capability across government. Consequently, as we continue to develop the new FCDO, we are prioritising learning and development opportunities which will enable staff to develop the relevant skills and knowledge for their roles in the new Department. We will embed the best practice from the Infrastructure and Projects Authority on project delivery, developing capability and expertise to deliver the FCDO’s programme portfolio. Operating frameworks (DFID’s Smart Rules and the FCO’s Policy Portfolio Framework) will be integrated into a single product for the FCDO, setting the standards for delivery and drive capability and professionalism. High quality programme management and technical skills, analysis and use of evidence, will remain important. Senior Responsible Owners (SROs) will lead complex programmes and portfolios to deliver FCDO policy priorities. Development programmes will continue to be led or advised by Technical Advisers working to professional standards set out in technical competency frameworks—supported and delivered by Programme Managers. We will build on the strengths of our collective learning offers for SROs and Programme Managers which includes Local Staff and Staff Appointed in Country, drawing on the best of our existing offers, including DFID’s Aid Learning Platform. “Aid spending through the FCO continues to raise concerns relating to transparency and quality of programming. With the new FCDO set to become the largest Effectiveness of UK aid: potential impact of FCO/DFID merger implementing department of UK aid spending, this trend is very concerning. The Government should set out how it intends to ensure that ODA administered through the new FCDO meets high standards for transparency in its programming. Consequently, it should commit to all UK ODA funding meeting the transparency standard of ‘good’ within the next year”. (Paragraph 86) The UK is globally recognised for its expertise and transparency in aid spending. The new Foreign, Commonwealth and Development Office will continue to benefit from that expert knowledge as it delivers aid programmes to some of the world’s poorest people. We are committed to improving transparency of aid globally and maintaining our high s