The UK government has formally announced a 40% cut to its foreign aid budget, reducing spending from 0.5% to 0.3% of the country’s gross national income (GNI). The decision—part of a broader plan to increase defence spending to 2.5% of GNI—has drawn sharp criticism from humanitarian groups and development experts.

A newly released report and impact assessment from the Foreign, Commonwealth and Development Office (FCDO) shows that Africa will be the hardest hit. Funding for maternal healthcare, clean water access, and education—particularly for women and children—is set to be drastically reduced, raising fears of worsening public health outcomes and growing inequality.

“This deprioritisation will hurt women and children in the world’s most marginalised communities,” said Bond, a UK-based network of international aid organisations. The group highlighted looming cuts in conflict-affected areas such as South Sudan, Somalia, Ethiopia, and the Occupied Palestinian Territories.

While direct bilateral aid is shrinking, the government plans to maintain funding for multilateral institutions. The World Bank’s International Development Association (IDA) will receive £1.98 billion over the next three years, which officials say will benefit nearly 1.9 billion people. Contributions to other global partners, including the Gavi vaccine alliance, will also be preserved.

Baroness Chapman, the UK’s Minister for Development, defended the reallocation. “Every pound must work harder—for UK taxpayers and the people we help around the world,” she said. The revised aid strategy, she added, follows a comprehensive “line-by-line” review to prioritise high-impact humanitarian needs and phase out lower-priority programmes responsibly.

However, critics argue the cuts directly contradict the UK’s past leadership on international development. “At a time when the US has gutted all gender programming, the UK should be stepping up—not stepping back,” said Gideon Rabinowitz, Bond’s policy director.

The Occupied Palestinian Territories are set to see a 21% decrease in UK aid, despite prior assurances of continued support. Aid to Sudan and other crisis-hit regions could also decline, though the FCDO has not yet released a full breakdown.

Foreign aid spending has long been a divisive issue in British politics. The 0.7% target, introduced under Labour governments led by Tony Blair and Gordon Brown, was legally enshrined in 2015. The Conservative government lowered it to 0.5% in 2021, citing pandemic-related fiscal pressures. The latest reduction to 0.3% marks a further departure from the UK’s historic commitment to global development.

Humanitarian groups warn the move will have lasting consequences for vulnerable populations worldwide and undermine the UK’s international reputation as a leader in aid and development.