Announcement

Written Ministerial Statement on Iraq Network Strategic Review

This news article was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

The Foreign and Commonwealth Office today set out details of its Iraq Network Strategic Shift in a Written Ministerial Statement to Parliament.

Foreign Office Office Minister for the Middle East Alistair Burt explained the background to the decision to close the consulate in Basra. The text of the written statement follows his remarks.

Mr Burt said:

“Iraq is a huge country and what we’re doing by making these changes is to make sure we can cover all parts of it even more effectively than we’ve done up to now.

“We can make sure we’re covering Basra by deploying more people in Baghdad…. It’s not a zero sum game. Many British companies have told us that they would rather we had a presence in Baghdad and that we beef that up. So we’re doing that as well as increasing our support for Erbil. Businesses value our influence in Baghdad, they know key decisions are made there more than in Basra and being able to cover both more effectively we will actually be doing better for British companies, better for Britain and helping the long term development of Iraq all at the same time.

“What’s very important is that we maintain an influence and work with the people who are on the ground. It used to take 48 hours to get from Baghdad to Basra because we had to fly people through a different route in order to keep them safe. Now you can do it in an hour. And you can stay there and people will be safe. Our team in Baghdad will do the job in Basra that needs to be done. It’s a very important area for us with the oil fields, with the potential for infrastructure development. We’re already doing well with contracts there.

“It is right that we look at the resources we’ve got and we’re able to deploy them effectively. If we weren’t able to change resources we wouldn’t be able to respond to the differing needs and demands. What we will see is British companies and our own diplomats continuing to build the relationships they need”.

Written Ministerial Statement
16 October 2012
Iraq Network Strategic Review

The Secretary of State for Foreign and Commonwealth Affairs (William Hague):

Today the Government is publishing a new Iraq Strategy, a copy of which I will place in the library of the House.

Iraq is changing. After years of conflict and uncertainty, it has a democratically elected Government and is becoming gradually more stable, although a serious threat from terrorism remains.

Our Government is committed to a broad and enduring relationship with Iraq. We want to support a stable, prosperous and democratic Iraq that is a positive and influential regional actor in a region that is vital to UK security and prosperity. We wish to strengthen our commercial ties with a regional economy of growing importance.

To that end we have taken several steps to strengthen the UK’s partnership with Iraq.

Over the past 18 months, there have been 15 Ministerial visits between the UK and Iraq, covering our foreign policy, security and commercial interests, including a visit I made in September.

The Foreign and Commonwealth Office has supported visits to the United Kingdom by the Iraqi Parliament’s Committees for Security and Defence, Human Rights, Finance, and Foreign Affairs. This has helped to develop links between the United Kingdom and Iraqi Parliaments and to support Iraqi democracy.

We have taken steps to increase our economic relationship with Iraq. Our Embassy in Baghdad has supported numerous delegations of British businesses seeking to re-enter the Iraqi market. We will shortly open a new visa application centre in Baghdad, meaning that Iraqis will no longer need to travel outside of the country to obtain a UK visa, which will make it easier for British businesses to do business with Iraq. During my recent visit to Baghdad, I also agreed to establish a Ministerial Trade Council of British and Iraqi Ministers and business leaders to increase trade and investment links between our two countries.

Following my visit to Iraq in September I have reviewed our diplomatic presence across the country. I have decided to focus staff and resources where they will support the United Kingdom’s partnership with Iraq as efficiently and cost effectively as possible, and with the greatest impact in the areas of our relationship of the most importance. We will do this by strengthening our Embassy in Baghdad, increasing our diplomatic presence in Erbil and moving our representation in Basra onto a different footing.

First, we need to increase the amount of diplomatic resources we are able to concentrate in Iraq’s capital Bagdad. We are therefore expanding our Political Section to increase its reach across all of Iraq’s eighteen Governorates and help address some of the main issues preventing British businesses from entering into the Iraqi markets. We are recruiting additional staff in Baghdad to strengthen our UKTI office and help British businesses access markets throughout Iraq.

Second, the review of our resources in Iraq has confirmed that the Kurdistan Region continues to attract significant interest from British businesses. I am therefore increasing our staffing levels in Erbil. Today, for example, over 40 British companies are attending the Erbil International Trade Fair, with support from UK Trade and Investment (UKTI). We will recruit a new UKTI Commercial Attache to expand the Consulate General’s already successful commercial Section. I have also made clear my firm intention that the Government should maintain the British Consulate-General Erbil on a permanent footing.

Third, we will maintain a British Embassy Office in Basra to support our work with all of Iraq’s Central and Southern Governorates. However, this will not be staffed permanently.

Because of the improving security situation, it is now easier and safer for staff to travel from Baghdad to Basra and around the country more generally. In particular, Embassy staff can now fly direct to Basra Airport in one hour, rather than having to undertake a 48 hour trip as was the case previously. This means that we can support UK interests in Basra effectively without the need for staff to be permanently based there. In turn, this allows us to reduce the cost of our presence in Basra, currently £6.5 million per annum. This is significantly more than the cost of, for example, our much larger Embassy in Kuwait City.

Her Majesty’s Ambassador, his Deputy and other diplomatic staff will continue to make frequent visits across Iraq, including to Basra, to ensure that we continue to maintain the strength and depth of our relationship with Iraq.

I am confident that these are the right decisions. They will enable the Foreign and Commonwealth Office’s Iraq Network to achieve the Government’s ambitious strategy for improving commercial ties with Iraq and supporting a stable, secure, democratic Iraq that is a positive and influential regional actor.

The savings we make from a more efficient Iraq Network will also allow us to strengthen the United Kingdom’s presence in key emerging powers. This involves opening 11 new British Embassies and eight new Consulates by 2015 and deploying 300 extra staff to 22 countries, including Burma, Thailand, South Korea, North Korea, Mongolia, Malaysia, Nigeria, Angola, Botswana, Chile, Argentina, Colombia, Panama, Peru, Pakistan, Vietnam and the Philippines with the biggest increases in China and India. This is in line with the Statement I made to Parliament on “The Future Diplomatic Network” in May 2011.