How is ODA from the UK changing over time?

UK ODA fell sharply from US$21.5 billion (0.70% GNI) in 2020 to US$17.0 billion (0.50% GNI) in 2021, following the UK government's decision to temporarily reduce development assistance spending in response to the economic impact of the COVID-19 pandemic. After fluctuating between US$18.0 billion and US$20.2 billion from 2022 to 2023, ODA returned to US$18.0 billion (0.50% GNI) in 2024, remaining significantly below pre-2021 levels.

In February 2025, the UK government announced it would reduce ODA from 0.5% to 0.3% of GNI by 2027 - the lowest level since 1999. The government made the cuts explicitly to fund an increase in defence spending to 2.5% of GDP, reflecting a prioritization of national security in a volatile geopolitical environment. With economic constraints and the cost of living and NHS being priority topics for the public, foreign aid remains a low-salience issue for most voters, making cuts politically easier to pursue.

The spring statement outlined that ODA cuts will take place immediately. In 2025-2026, the ODA budget will be 0.48% of GNI. In 2026-27, the ODA budget will be cut by GBP4.8 billion (US$5.9 billion), totalling a cut of 32%. In 2027-28, this cut will be GBP6.5 billion (US$8 billion), a cut of 41%.

FCDO published a document with further ODA updates and changes that the UK will now set annual development budgets from 2027 onwards in cash terms and based on GNI forecasts at the Spending Review, and these budgets will not be adjusted for GNI fluctuations in future years. Minister for Development Baroness Jenny Chapman confirmed that as a result of this change, the FCDO will no longer hold the ODA ‘spender and saver of last resort’ role.