EU fails to deliver €40bn in aid promised to developing countries, report finds

EU countries including Ireland are cutting back on their aid to the developing world and some are even using creative accounting to cover the drop in money donated.

The economic crisis is being blamed for the cuts, but aid groups say funding from the 27 member states is less than half the money put into rescuing Northern Rock and Dexia banks.

The report by Concord, the federation of European development NGOs, says that governments are now contributing €40 billion less than they promised.