Britain's £800m international project to help the poorest countries in the world adapt to climate change was under fire last night after it emerged that almost all the money offered by Gordon Brown will have to be repaid with interest. The UK environmental transformation fund was announced by the prime minister to international acclaim in November 2007, and was widely expected to be made in direct grants to countries experiencing extreme droughts, storms and sea level rise associated with climate change. But the Guardian has learned that the money is not additional British aid and will be administered by the World Bank mainly in the form of concessionary loans which poor countries will have to pay back to Britain with interest. A letter signed by two government ministers and seen by the Guardian shows that Britain has been pressing other G8 countries to also give money to the new fund, which will be launched in July in Japan at the G8's annual meeting.
Britain's £800m international project to help the poorest countries in the world adapt to climate change was under fire last night after it emerged that almost all the money offered by Gordon Brown will have to be repaid with interest.
The UK environmental transformation fund was announced by the prime minister to international acclaim in November 2007, and was widely expected to be made in direct grants to countries experiencing extreme droughts, storms and sea level rise associated with climate change.
But the Guardian has learned that the money is not additional British aid and will be administered by the World Bank mainly in the form of concessionary loans which poor countries will have to pay back to Britain with interest.
A letter signed by two government ministers and seen by the Guardian shows that Britain has been pressing other G8 countries to also give money to the new fund, which will be launched in July in Japan at the G8's annual meeting.
After all, the repayment cashflow is far more lucrative, money that doesn't move goes stagnant, it must constantly churn to be refreshed. Of course a few black people will starve to death, but Bono and Geldof can deal with that. Trebles all round
The most charmless aspect is the pettiness, Brown talks about poverty and compassion, but everything he does is stripped down to a Scrooge-like meanness. keep to the Fen Causeway
