The UK has announced a 56% reduction in bilateral aid to some of the world’s poorest countries by 2028-29, a move that will cut funding for schools, clinics and other critical programs in nations like Mozambique, Somalia, and Yemen. The reduction. Part of over £6 billion in budget cuts, is aimed at increasing defense spending in response to global instability, according to the government.

Aid cuts and the G7’s reputation

The cuts. Which amount to nearly £900 million in reduced funding for African countries alone, have drawn sharp criticism from aid agencies and politicians — they argue that the reductions will damage the UK’s international reputation and worsen global inequality. The cuts are expected to be the largest among G7 nations, according to reports.

Labour MPs have raised concerns about the effectiveness of the cuts in bolstering military spending, noting delays in defense investment plans and additional demands from military leaders following the Iran-US conflict. The 40% reduction in aid spending. Approved by MPs last year. Will eliminate direct aid to all G20 countries except Turkey, with a focus on conflict zones such as Palestine, Sudan, and Ukraine.

Focus on conflict zones and multilateral aid

While some aid spending will be protected this year for Lebanon due to the current Israeli offensive, the majority of UK aid will be directed toward the most fragile and conflict-affected states by 2029. This includes a shift in funding from bilateral programs to multilateral contributions through institutions like the World Bank and the African Development Bank.

According to the Foreign. Commonwealth and Development Office (FCDO), bilateral overseas development aid is expected to fall from £818 million in 2026 to £677 million by 2029. The FCDO has stated that this shift is part of a broader strategy to prioritize geopolitical security and conflict response, as well as funding for large international agencies like Gavi, the vaccine program.

The FCDO will phase out all bilateral funding for G20 countries, except for a small allocation to refugee-hosting efforts in Turkey — Direct aid will no longer go to countries such as Brazil, India, Indonesia, and South Africa. The development minister. Jenny Chapman, said that some of the poorest African nations, such as Malawi, Mozambique, and Sierra Leone, prefer partnerships with the UK in building financial systems and clean energy over traditional aid programs.

Impact on vulnerable populations

According to the UK network for NGOs, Bond, the cuts will leave vulnerable groups, including children, people with disabilities, and older people, more at risk in countries such as Ethiopia, Mozambique, Rwanda, Tanzania, and Zambia. Fewer girls and children with disabilities will be able to attend school in South Sudan, and health services for women and children in Somalia are likely to be severely affected.

“Africa and the Middle East, both home to some of the world’s least-developed countries, will be forced to pay the highest price because of the reduced budget,” said Romilly Greenhill, CEO of Bond. The government’s own data shows the cuts will impact access to education and healthcare, increasing vulnerability in some of the most unstable regions of the world.

Adrian Lovett, UK executive director of the ONE Campaign, warned that the cuts will leave millions without access to basic healthcare, education, and humanitarian support. He added that the move risks a resurgence of deadly diseases that have been fought for decades.

The crisis reserve for humanitarian emergencies has also been reduced, from £85 million to £75 million. Foreign Secretary Yvette Cooper said the cuts are not an ideological decision but a difficult choice made in the face of international threats. “This for us is not an ideological step – it is a difficult choice in the face of international threats,” she said.

Despite the cuts, the UK will still be the fifth-largest funder of global development programs. The FCDO has ringfenced £240 million annually until 2029, alongside billions in loan guarantees for Ukraine and current levels of aid for Palestine and Lebanon. These allocations are explicitly aimed at reducing the drivers of irregular migration.

The cost of housing asylum seekers in UK hotels, estimated at £2 billion per year, is being taken from the aid budget. This means that by 2027-28, aid spending on overseas programs will reach its lowest since records began in 1970, at just 0.24% of gross national income.

Chapman said the changes represent a wholesale overhaul of aid spending, even though the government has not yet met the legally enshrined 0.7% target for international aid. Cooper said the government intends to gradually return to the target when possible, but no specific timeline has been provided.

Critics argue that the cuts undermine global stability and security by reducing investment in development. Fleur Anderson, a Labour MP, said that the government is increasing defense spending in response to a more dangerous world, but is cutting the investment that helps prevent crises before they emerge.

“A serious approach must place development spending at the heart of global resilience and security. Without this, we are not preventing crises; we are simply waiting for them,” Anderson said.