{"id":7280,"date":"2022-01-27T07:45:00","date_gmt":"2022-01-27T07:45:00","guid":{"rendered":"https:\/\/www.declassifieduk.org\/?p=7280"},"modified":"2022-02-18T16:19:16","modified_gmt":"2022-02-18T16:19:16","slug":"conservatives-give-100m-aid-to-reduce-poverty-in-china-while-increasing-it-in-uk","status":"publish","type":"post","link":"https:\/\/www.declassifieduk.org\/conservatives-give-100m-aid-to-reduce-poverty-in-china-while-increasing-it-in-uk\/","title":{"rendered":"Conservatives give \u00a3100m aid to \u2018reduce poverty\u2019 in China, while increasing it in UK"},"content":{"rendered":"\n

A large aid programme funded by the British public is helping China, the world\u2019s fastest developing major economy, to grow further and reduce poverty. <\/p>\n\n\n\n

This aid has coincided with the British government enforcing swingeing austerity policies at home which have stunted economic growth<\/a> and increased poverty<\/a>. <\/p>\n\n\n\n

UK documents note that the \u201cprimary purpose\u201d of its China programme is to promote the country\u2019s \u201csustainable economic development and poverty reduction\u201d.<\/p>\n\n\n\n

Run through the Foreign Office\u2019s Prosperity Fund, the UK aid started in 2017 and will run until 2023<\/a>. It has been budgeted at \u00a3103m<\/a> so far, but a further \u201cphase<\/a>\u201d is planned. <\/p>\n\n\n\n

The funds are classified as \u201coverseas development aid\u201d, or ODA, which must promote \u201cthe economic development and welfare of developing countries\u201d, according to the OECD definition<\/a>.<\/p>\n\n\n\n

China is the world\u2019s second largest economy which is valued at \u00a310.9 trillion<\/a>, more than five times larger than the UK\u2019s.<\/p>\n\n\n\n

This UK generosity is likely to be embarrassing for the government. Earlier this month MI5 circulated<\/a> a warning to MPs that a Chinese lawyer was seeking to improperly influence parliament on behalf of the ruling Communist party. <\/p>\n\n\n\n

In December, head of MI6 Richard Moore said<\/a> China was now Britain\u2019s main intelligence threat.<\/p>\n\n\n\n

\u2018Capacity building\u2019<\/strong><\/h2>\n\n\n\n

The British aid programme in China, a one-party dictatorship, focuses on reforming the country\u2019s business environment and financial services. It also seeks to help China\u2019s transition to a low-carbon economy, and provide support for infrastructure projects. <\/p>\n\n\n\n

The UK aid funds are \u201cdesigned<\/a> to address market failures and weaknesses that impede China\u2019s inclusive economic growth and will help China\u2019s ongoing transition to an inclusive, sustainable and productive economy.\u201d <\/p>\n\n\n\n

The programme seeks \u201cincreased<\/a> investment in China and third-markets\u201d for \u201cquality infrastructure projects\u201d, particularly throughout its Belt and Road Initiative, a huge global infrastructure project which Beijing launched in 2013.
 
This month, Syria signed up<\/a> to be part of the initiative, while Iran joined<\/a> last year.<\/p>\n\n\n

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UK aid in China also focuses<\/a> on \u201ccapacity building of government and institutions\u201d and helps to make Beijing\u2019s \u201cfinancial system less exposed to significant shocks\u201d.<\/p>\n\n\n\n

In the past 40 years, China has pulled<\/a> over 800 million people out of poverty and achieved major improvements in access to health and education.<\/p>\n\n\n\n

China\u2019s growth rate<\/a> in the four decades to 2018 averaged 9.5%, which the World Bank describes as \u201cthe fastest sustained expansion by a major economy in history\u201d. Its economy grew by an all time high<\/a> of 18.3% in the first quarter of 2021.<\/p>\n\n\n\n

Meanwhile, Britain\u2019s growth rate averaged 1.8%<\/a> in the three years before the covid-19 pandemic.<\/p>\n\n\n\n

\u2018Austerity experiment\u2019<\/strong><\/h2>\n\n\n\n

Over 14 million people in the UK were living in poverty even before the pandemic, according<\/a> to the Joseph Rowntree Foundation.<\/p>\n\n\n\n

In 2019, Human Rights Watch reported<\/a> that \u201ctens of thousands of families in the UK every year do not have enough food to live on\u201d. This phenomenon had \u201cemerged alongside a wide-ranging and draconian restructuring of the country\u2019s welfare system since 2010\u201d, it said.<\/p>\n\n\n\n

In 2010, the new Conservative-led announced<\/a> the biggest cuts to state spending since the Second World War, with social security programmes particularly targeted. Local governments also saw severe cuts to their budgets, with core funding in London reduced<\/a> by 63% in real terms in the decade to 2020. <\/p>\n\n\n\n

The United Nations accused<\/a> the UK government in 2019 of unnecessarily causing a \u201csocial calamity\u201d with an \u201causterity experiment\u201d which produced record levels of hunger, homelessness, and decreased life expectancy. 

Economic austerity in England was recently linked<\/a> to 57,550 more deaths than would have been expected from 2010-15. It also contributed to pushing<\/a> 600,000 children below the breadline in the decade to 2020.<\/p>\n\n\n\n

\"George
George Osborne, then Chancellor of the Exchequer, speaks at the China-Britain Business Council banquet in London, 8 September 2011. (Photo: UK Foreign Office)<\/figcaption><\/figure>\n\n\n\n

\u2018Historic visit\u2019<\/strong><\/h2>\n\n\n\n

David Cameron\u2019s government, which launched the domestic austerity programme in 2010, tried to cosy up to the regime in Beijing and increase business ties. <\/p>\n\n\n\n

This charm offensive included a visit in September 2015 by Chancellor George Osborne to Xinjiang, the province in north-west China where human rights abuses were being committed against the Uyghurs, a minority Turkic group which is Muslim. <\/p>\n\n\n\n

The UK government said<\/a> Osborne\u2019s \u201chistoric first visit\u201d to the province was part of a \u201cmajor push for new trade and investment ties with emerging regions\u201d across China.<\/p>\n\n\n\n

While there, Osborne \u201cwelcomed a major new investment\u2026by a Xinjiang-based firm and announced a new aim to make China the UK\u2019s second largest trading partner.\u201d<\/p>\n\n\n\n

The previous year, China had launched<\/a> its \u201cStrike Hard Campaign against Violent Terrorism\u201d in Xinjiang. The number of people formally arrested leapt three-fold compared to the previous five years.<\/p>\n\n\n

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Osborne did not mention human rights on his visit. He said instead: \u201cChina\u2019s emerging regions, like Xinjiang, hold enormous potential in the years ahead.\u201d <\/p>\n\n\n\n

He added: \u201cThat\u2019s why I wanted to come here today to see this place for myself, and highlight Britain\u2019s absolute commitment to support the growth of\u2026the whole of the Xinjiang region.\u201d<\/p>\n\n\n\n

In recent years, British overtures to China have stopped and it is now a state-sanctioned enemy. In January 2021, the UK government announced<\/a> new measures to make sure British companies \u201care not complicit in, nor profiting from, the human rights violations in Xinjiang.\u201d <\/p>\n\n\n\n

Three months later, British MPs voted<\/a> to declare that China is committing genocide against the Uyghurs in Xinjiang, where Osborne had been drumming up business just six years before. 

The Foreign Office did not respond to specific questions about its Prosperity Fund programme in China. But a spokesperson told Declassified<\/em>: \u201cWe cut Foreign Office aid programming to China by 95% in 2021, focusing the remaining programme funding on specific programmes that support British values around open societies and human rights.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

The UK government is spending \u00a3103m from its aid budget to promote \u2018economic development\u2019 and \u2018poverty reduction\u2019 in official enemy China while its austerity policies in Britain helped force 600,000 children into poverty.<\/p>\n","protected":false},"author":5,"featured_media":7284,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","om_disable_all_campaigns":false,"footnotes":""},"categories":[234,16],"tags":[129,60],"coauthors":[185],"acf":[],"yoast_head":"\nConservatives give \u00a3100m aid to \u2018reduce poverty\u2019 in China, while increasing it in UK<\/title>\n<meta name=\"description\" content=\"The UK government is spending \u00a3103m from its aid budget to promote \u2018economic development\u2019 and \u2018poverty reduction\u2019 in official enemy China while its austerity policies in Britain helped force 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