Proposed Shift in Foreign Policy
A group of influential Labour MPs is urging a potential Andy Burnham-led government to re-establish the United Kingdom’s commitment to international development, specifically by outlining a path to return to the 0.7% of national income target for overseas aid. The proposal is detailed in a forthcoming collection of essays published by the New Economics Foundation (NEF) thinktank.
The 0.7% aid target, originally legislated during the Gordon Brown administration, was suspended in 2020 by then-Chancellor Rishi Sunak, citing the economic pressures of the Covid-19 pandemic. Under the current government, aid spending has seen further reductions as resources were redirected toward defense, a move that previously drew significant criticism from within the party.
The Case for Long-Term Planning
Fleur Anderson, a former minister with a background in international development, argues that the focus should shift from annual fluctuations to a credible, long-term trajectory. Her proposal suggests a 10-year roadmap that would allow multilateral institutions, NGOs, and partner governments to plan effectively, while maintaining a degree of flexibility for future administrations during periods of acute national or global crisis.
The argument for restoring this spending level is framed as a strategic necessity rather than merely a philanthropic one. Proponents argue that disengaging from the root causes of instability—such as poverty and lack of development—is a “false economy” that ultimately undermines long-term national security.
Leveraging G20 Leadership
Beyond aid spending, the NEF essays suggest that the UK could utilize its upcoming presidency of the G20 in 2027 to advance broader economic and development objectives. Liam Byrne, chair of the Commons business and trade committee, has specifically called for the UK to spearhead discussions on an international wealth tax.
Byrne suggests that the UK’s reputation for institutional design and coordination could be instrumental in helping to develop a framework for global taxation that addresses domestic resource mobilization in both developed and emerging economies. This proposal follows recent efforts by other nations, including South Africa and Brazil, to bring the topic of international wealth taxation to the forefront of global economic discourse.
Strategic Objectives and Future Goals
Other contributors to the NEF project, including former minister Gareth Thomas, have pointed to the UK’s roles as chair of the G20 and subsequently the G7 as prime opportunities to shape the post-2030 international agenda. Thomas highlighted the potential for the UK to lead concrete, tangible initiatives, such as funding large-scale vaccine rollouts in fragile states.
“Defending institutions will not, on its own, inspire citizens to believe in multilateralism,” Thomas noted, emphasizing that the UK’s leadership should focus on demonstrating the practical outcomes of international cooperation.
As the UK prepares for its international leadership roles, the NEF’s chief executive, Danny Sriskandarajah, noted that the current environment presents a critical opportunity to transition from reactive foreign policy to a more proactive, progressive agenda focused on development, taxation, and the reform of multilateral institutions.
