The UK and other countries have lobbied to use some donations to support the security forces in fragile states

The definition of foreign aid has been changed to include some military spending, in a move that charities fear will lead to less cash being spent on directly alleviating poverty.

The change in wording was agreed by the Organisation for Economic Co-operation and Development (OECD) after the UK and other countries lobbied to be allowed to use overseas aid budgets to support the military and security forces in fragile countries, as long as this still promotes development goals.

The move paves the way for Britain to spend more of its £12bn aid budget in countries that have suffered conflict, while still hitting its target of spending 0.7% of its national income on helping poorer countries.

Justine Greening, the international development secretary, said: “It is firmly in Britain’s national interest to fight disease and conflict and promote global stability, which is why the UK government has been at the forefront of work to modernise the international rules which govern how overseas aid is spent.

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“We welcome the fact that these remain focused on the primary principle of tackling extreme poverty and supporting the economic aspirations of developing countries, while ensuring the new global goals are delivered in the most effective possible way.”

However, charities and NGOs were dismayed by the news, after a coalition including Oxfam and ONE warned last week that it could lead to governments disguising some defence spending as foreign aid.

Tamira Gunzberg, Brussels director of ONE, the international anti-poverty campaign founded by Bono, said: “These developments risk leading to an erosion of the already limited overseas aid funds. Aid should be focused [on] tackling poverty in the poorest countries. Recent OECD data shows that while global aid flows are increasing, support to the poorest countries is falling perilously.”

Under the new rules, official aid can be used to support the military in fragile countries on issues that promote development, such as human rights and the prevention of sexual violence.

The OECD also said tackling violent extremism is now formally recognised as a development activity, with more than 90% of terrorist attacks occurring in states with weak governance and poor human rights records. It said the core principle of the overseas aid system remains unchanged, as an activity that must “support the economic development and welfare of a developing country as its main objective”.

