Overview

This bill amends the Commonwealth Development Corporation Act 1999, increasing the government's maximum financial assistance to the Commonwealth Development Corporation (CDC). The increase significantly raises the permitted level of government support for CDC's investment activities in developing countries.

Description

The bill modifies Section 15 of the 1999 Act, which sets a limit on government financial assistance to the CDC. Specifically, it raises the current limit from £1.5 billion to £6 billion. Furthermore, it grants the Secretary of State the power to increase this limit even further, up to £12 billion, via regulations that require approval from the House of Commons. This additional power allows for greater flexibility in responding to changing circumstances and opportunities for investment.

Government Spending

The bill potentially increases the maximum government financial commitment to the CDC from £1.5 billion to £12 billion. The actual amount spent will depend on the future decisions made by the Secretary of State and approved by the House of Commons. Increased spending will support CDC investments in developing Commonwealth nations.

Groups Affected

The primary group affected is the Commonwealth Development Corporation (CDC), which will have access to significantly more government funding for its development projects. Developing countries within the Commonwealth stand to benefit from increased investment in infrastructure, business development, and other projects funded by the CDC. The UK government will be responsible for increased potential financial commitments to the CDC. Taxpayers could see a rise in government spending on this initiative.

Powered by nyModel