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UK counter-terror 'ambitions' cut UK counter-terror 'ambitions' cut
(40 minutes later)
The government has admitted it will be spending "less than we had ambition to spend" on counter-terrorism projects in Pakistan due to the falling pound.The government has admitted it will be spending "less than we had ambition to spend" on counter-terrorism projects in Pakistan due to the falling pound.
But Foreign Officer Minister Chris Bryant told MPs the budget would still go up next year. But Foreign Office minister Chris Bryant told MPs the budget would still go up next year.
He was making an urgent statement after fellow minister Lady Kinnock appeared to contradict a statement by PM Gordon Brown on counter-terrorism.He was making an urgent statement after fellow minister Lady Kinnock appeared to contradict a statement by PM Gordon Brown on counter-terrorism.
The Lib Dems said government policy in this key area was "shambolic".The Lib Dems said government policy in this key area was "shambolic".
Mr Bryant acknowledged that the Foreign Office's budget had been hit by the falling value of the pound. Mr Bryant acknowledged that the Foreign Office budget had been hit by the falling value of the pound.
But he said counter-terrorism spending in Pakistan had risen from £6.2m in 2008/09 to £8.3m in 2009/10 and would be between £9 and £9.5m in 2010/11. But he said counter-terrorism spending in Pakistan had risen from £6.2m in 2008/09 to £8.3m in 2009/10 and would be between £9m and £9.5m in 2010/11.
Cutting FCO expenditure on counter-terrorism programmes in Pakistan because of the movement of exchange rates is clearly not the way to run an effective foreign policy William Hague, shadow foreign secretary Send us your comments Further cuts could and should not be achieved by salami slicing: it would require us to stop activity, close posts and reduce staff numbers Leaked Foreign Office memo Send us your comments
Lady Kinnock, who was speaking at the same time as Mr Bryant in the House of Lords, gave slightly different figures, saying the budget would go from £8.2m in 2009/10 to £9.5m in 2010/11.Lady Kinnock, who was speaking at the same time as Mr Bryant in the House of Lords, gave slightly different figures, saying the budget would go from £8.2m in 2009/10 to £9.5m in 2010/11.
She said: "This is a smaller rise than we would have hoped, we are still spending more than on Pakistan CT (counter-terrorism) than we have ever done. Pakistan remains a critical partner in our nation's security. A small number of particular projects that were not delivering as effectively as other projects at meeting CT objectives have been cut or scaled back."She said: "This is a smaller rise than we would have hoped, we are still spending more than on Pakistan CT (counter-terrorism) than we have ever done. Pakistan remains a critical partner in our nation's security. A small number of particular projects that were not delivering as effectively as other projects at meeting CT objectives have been cut or scaled back."
She said the government's counter-terrorism strategy was "but a small part" of its overall efforts in Pakistan.She said the government's counter-terrorism strategy was "but a small part" of its overall efforts in Pakistan.
Mr Brown, speaking on a visit to Stevenage, said: "It is important to recognise our counter-terrorism effort is also linking up the efforts of our police forces here and our border control system, which is keeping the country as safe as possible.
"We are extending the range of work we are doing on de-radicalisation... but we also want to support the moderates."
Counter radicalisation
The BBC understands the programmes cut or scaled back include education projects and efforts to tackle radicalisation in madrasas - Islamic schools or colleges.
BBC political correspondent Carole Walker said: "I understand the Foreign Office failed to clear the specific cutbacks through the government committee which oversees security and counter-terrorism.
"A senior source said the cutbacks would have no effect on national security in the short or medium term but were part of the efforts to counter radicalisation.
"However, the source said the decisions had been taken without being considered as part of the overall government strategy."
'Crucible of terrorism'
The row blew up after Lady Kinnock revealed on Wednesday that the Foreign Office was facing a budget shortfall across the board this year, which was due to get slightly worse in 2010/11.The row blew up after Lady Kinnock revealed on Wednesday that the Foreign Office was facing a budget shortfall across the board this year, which was due to get slightly worse in 2010/11.
She told peers: "We have had staff redundancies in Argentina, Japan and across the United States.She told peers: "We have had staff redundancies in Argentina, Japan and across the United States.
"Programmes in Afghanistan in counter-narcotics have been cut, capacity building to prevent conflicts in Africa, counter-terrorism and radicalisation in Pakistan, the list goes on.""Programmes in Afghanistan in counter-narcotics have been cut, capacity building to prevent conflicts in Africa, counter-terrorism and radicalisation in Pakistan, the list goes on."
Lord Wallace of Saltaire, for the Liberal Democrats, said he estimated that there had been a "20% cut" in the effective budget of the Foreign and Commonwealth Office since the Treasury removed the Overseas Price Mechanism in 2007, which made up shortfalls caused by exchange rate changes. Her comments came two hours after Gordon Brown outlined a range of new counter-terrorism measures to MPs in a Commons statement.
Lady Kinnock's comments came two hours after Gordon Brown outlined a range of new counter-terrorism measures to MPs in a Commons statement. It is absolutely vital that we maintain our presence in the world Foreign Officer Minister Chris Bryant
During that statement he said that the "crucible of terrorism" on the Afghan-Pakistan border remained the "number one security threat to the West".During that statement he said that the "crucible of terrorism" on the Afghan-Pakistan border remained the "number one security threat to the West".
Surprised It comes as the Conservatives accused the government of drawing up a secret hit list of embassies to be closed as a result of the sharp fall in the value of sterling.
Shadow foreign secretary William Hague said the cuts were the "direct consequence of Labour's decision to remove the FCO's protection against exchange rate movements". Shadow foreign minister David Lidington said an internal Foreign Office memo revealed officials had been ordered to draw up plans for "substantial" cuts to be implemented "soon after the election".
He said: "Pakistan has been identified as one of the major sources of the terrorist threat to this country. The memo says: "Even with cuts to programme to subsidise admin[istration], next year's admin budgets will still be substantially less than this year.
"Cutting FCO expenditure on counter-terrorism programmes in Pakistan because of the movement of exchange rates is clearly not the way to run an effective foreign policy. Significant challenges
FROM THE TODAY PROGRAMME class="" href="http://news.bbc.co.uk/today/hi/default.stm">More from Today programme "We were clear that further cuts could and should not be achieved by salami slicing: it would require us to stop activity, close posts and reduce staff numbers.
"It is time that the truth is known and the full extent of the damage done to British diplomacy overseas laid bare." "That is not where any of us, including the foreign secretary and his ministerial team with whom we discussed this on 21 December, want to end up."
The Foreign Office said it was constantly reviewing the precise allocation of its counter-terrorism spending. Mr Bryant acknowledged the Foreign Office was facing "very significant challenges" but denied there was a list of overseas posts facing closure.
A spokeswoman said its spending had increased year-on-year throughout the current comprehensive spending review period and was expected to increase again next year. "It is absolutely vital that we maintain our presence in the world," he told MPs.
"Pakistan has remained our top priority for counter-terrorism and has rightly been the largest single recipient of our counter-terrorism support throughout this period," she said.
'Not coherent'
Labour peer Baroness Royall, leader of the House of Lords, said she was surprised by Lady Kinnock's comments, saying the government's counter-terrorism work in Pakistan was of the "utmost importance".
Labour's Baroness Symons, a former defence procurement minister, urged the government to increase the counter-terrorism budget and said Lady Kinnock remarks, coming so soon after Mr Brown's statement, did not "add up to a very coherent point of view".
I don't think that this immediately is affecting the hard end of our counter-terrorism activities Kim Howells, chairman of the intelligence and security committee
Labour MP Kim Howells, chairman of the intelligence and security committee and a former Foreign Office minister, said he was surprised at the timing of Lady Kinnock's remarks but not at their content.
"It's well known that if the currency devalues against other currencies, then you buy less for your money," he told BBC Radio 4's Today programme.
"I don't think that this immediately is affecting the hard end of our counter-terrorism activities.
"But undoubtedly what it will affect are those kind of softer, diplomatic efforts and, for example, trying to convince the Pakistani government and the regional governments in Pakistan that they should try to improve the material lives of people, and that will make them less susceptible to the overtures of al-Qaeda and the Taliban, and so on."
In December, Mr Brown pledged an extra £50m to help Pakistan fight terrorism in the Pakistan-Afghan border region, telling Pakistan's Prime Minister Yousuf Raza Gilani: "This is your fight but it is also Britain's fight."
There is no suggestion that this money is at risk, although the Foreign Office said it could not go into detail at this stage about which programmes were facing cuts.