Britain pressed to rethink aid after India snubs [View all]

[ellisonz]

By Danny Kemp | AFP – 4 hrs ago

British Prime Minister David Cameron is facing growing calls to cut huge aid handouts to India after a series of perceived snubs.

Britain was stunned this month when New Delhi announced a big contract to buy French warplanes instead of the UK-backed Eurofighter Typhoon, despite intense efforts by the British government to boost trade.

Angry lawmakers then stepped up pressure on Cameron to axe the more than £1-billion ($1.6-billion, 1.2-billion euro) aid budget for India after reports that the Indian finance minister described the handouts as "a peanut".

Cameron -- who led a huge business delegation to India soon after taking office in 2010 -- has pledged to press New Delhi to reverse its decision on the warplanes.

More: http://news.yahoo.com/britain-rethinks-aid-india-snubs-041107269.html