Recommendation 2

HM Government · verbatim extract Accepted in Part

Partially agree 5. The FCDO has designed the “four essential shifts” to respond to a changing global context, characterised by a volatile global economy and a more fragmented and politically contested development landscape. They respond to what partners are saying they want: genuine partnership, not the paternalism of the past. The shifts draw on a well-established body of international development evidence, including by the Organisation for Economic Cooperation and Development (OECD) Development Assistance Committee, UN, ICAI and a wide range of academics and think tanks, such as ODI and Professor Stefan Dercon (Oxford) as well UK operational experience. The evidence emphasises that development results are strongest where programmes are aligned with country priorities, strengthen national systems, and support the development of effective, accountable institutions over time. 6. Measurement of the four shifts is an important part of ongoing discussions about how FCDO measures its delivery of international policy, including development outcomes. Not only will we measure the development outcomes we are achieving, but we will also focus on how we have achieved them to inform and improve internal decision making through these four shifts. This will include our modern approach to partnerships and application of partnership principles of mutual respect, accountability, interest and learning. 7. The FCDO’s improved Country Business Planning (CBP) process operates over a three-year time period (FY 2026/27 to FY 2028/29) and will support our understanding of how the four shifts are embedded into delivery planning across the wider organisation, including through regular reporting by Posts and HQ units throughout this three-year period. The FCDO is changing its approach to programme design and approval to take a more holistic portfolio approach. This is enabling us to use all our levers— programmes, diplomacy, and partnerships—together to deliver Ministers’ and partners’ priorities. These approaches will be reviewed regularly to ensure consistent delivery. 8. The FCDO is working to improve measurement of outcomes and impact as part of the FCDO2030 transformation. As part of this we will measure how the four shifts are embedded into development work across the FCDO. The Government recognises that measuring impact of the modern development approach and the four shifts which underpin it will be complex and will require robust qualitative assessments along with quantitative metrics. Monitoring and evaluation approaches will align with our partnership principles and, where possible, will work with partners’ existing systems. 9. Our modern approach to partnership gives Posts the flexibility to choose key partners in country from across the whole of society and choose the most appropriate partnership model or typology with the partner. Under this approach, partnership models will vary between partnerships and contexts. Our Departmental Strategic Plan will set out further details of what we will measure regarding our partnerships. 10. To support progress on shared global challenges we need long-term, resilient partnerships with a wider range of countries. This requires a reset in how we work with the Global South. We have produced guidance for FCDO Posts overseas that outlines principles for a modern partnership approach. 11. Taken together, the four shifts central to our modern approach to development represent extensive and wide-ranging changes to the FCDO’s delivery and culture. These will take time to embed and will require iterations and continued learning if we are to achieve the ambition we set out. We are continuing to develop this approach, learning from partners around the world, and from the feedback from stakeholders – including ICAI’s review of the UK’s approach to partnerships. b. Provide a description of its approach to engaging with multilaterals with an evidence base for the choices of which organisations and mechanisms it will invest in, prioritising institutions with a proven track record of delivery. This should be accompanied by a measurable and time-bound plan for reform and a detailed approach for how alignment with UK priorities will be achieved. Government response: Partially agree 12. The FCDO’s approach to multilateral allocation choices was grounded in a proportionate assessment of the portfolio. Ministers were provided with detailed advice on options and trade-offs across the portfolio, enabling informed decisions on the balance of spend. The FCDO considered a range of factors, including evidence of delivery, impact and value for money, the strategic importance of institutions within the global architecture, and alignment with the UK’s reform priorities. Decisions drew on evidence including but not limited to FCDO monitoring of its multilateral programmes, Imputed Multilateral Share statistics, external independent evaluations of organisations such as assessments by the Multilateral Organisation Pe