David Mackintosh – 2016 Parliamentary Question to the Department for International Development
The below Parliamentary question was asked by David Mackintosh on 2016-03-18.
To ask the Secretary of State for International Development, what mechanisms are in place to ensure funding from her Department reaches the project for which it is intended.
Mr Nick Hurd
As set out in the UK aid strategy we are determined to ensure that aid is focussed on tackling the global challenges of our time, in order to eliminate poverty and advance the UK’s national interest. The Department for International Development works with many suppliers and partners to deliver hundreds of individual programmes, often in complex and high risk environments. It has rigorous internal systems and processes to ensure that its aid reaches the intended beneficiaries and delivers the intended results. These are reflected in a detailed programme management framework (known as the Smart Rules) which sets out rules and principles designed to ensure all funding is spent as intended and delivers value for money.
Due Diligence Assessments are undertaken on organisations receiving funding from DFID. The Department also uses delivery chain maps to understand the number and complexity of suppliers involved in a programme and how funds flow to the beneficiaries. These tools allow us to identify, understand and manage potential risks as programmes are delivered and to ensure that funds are properly accounted for. Risk levels are regularly reviewed and programmes closed if risk levels rise too high.
All programmes that are being implemented undergo a rigorous formal annual review which assesses and records whether funds have been used for their intended purposes and the results that have been delivered. Risks or issues identified during the review are recorded, addressed and monitored. In areas of high risk, particularly in fragile and conflict affected areas, the Department often uses monitoring agents, independent audits, and other additional safeguards.
All organisations who receive funding from DFID have to provide evidence about the use of funds, including through annual audited statements. DFID’s Internal Audit Department provides further checks that programme funding reaches the intended recipients and reviews the work of all overseas offices every two years. This is supplemented by the National Audit Office and the Independent Commission on Aid Impact who provide independent scrutiny over the use of the aid budget.
