This underlines the Government’s commitment that 0.7 per cent of GNI will be spent as ODA (Official Development Assistance) every year from 2013.

On aid spending our commitment is clear – we won’t balance the budget on the back of the world’s poorest people. Confirming our commitment on aid is both morally right and in our national interest.

This will place Britain in a position of clear international leadership, encourage other countries to live up to their commitments and generate momentum ahead of September’s UN summit on the Millennium Development Goals.

Value for money will be central to everything we do: using the power of independent evaluation, transparency and results-focus to drive a step change in the effectiveness of Britain’s aid efforts