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10.1  |  Reconstruction: March 2003 to June 2004
185.  Depending on the circumstances, the UK could quite quickly be faced with “a grey
area of possible activities which could move ORHA beyond the UK’s understanding of an
Occupying Power’s rights and obligations”, perhaps including:
initiation of a small business loan programme;
abolition of Iraqi Government restrictions on private business;
significant changes to the exchange or trade regimes;
significant changes to the structure of the state budget; and
SSR.
186.  In addition, the US Department of Defense (DoD) continued to consider that the
absence of a resolution need not prevent “thorough-going political and economic reform,
including in areas the UK would consider to be clearly outside the UK’s understanding of
an Occupying Power’s rights and responsibilities”.
187.  The IPU concluded that, while ORHA was “in many ways a sub-optimal
organisation for delivering the UK’s Phase IV objectives”, it was “the only game in town”.
There was “ample scope” to use UK secondees to exert leverage over US Phase IV
planning and implementation.
188.  The IPU recommended that “the UK should continue to commit resources to
ORHA where we can add real value and exert influence over emerging US perspectives
and plans”. Only by “full, constructive engagement” could the UK “hope to shape the
outcomes in ways that stay within UK red lines”.
189.  The IPU also recommended that the UK should:
continue to make clear to the US the limits within which the UK, including UK
personnel within ORHA, could operate;
seek close consultation on ORHA’s plans, to ensure that they did not cross UK
“red lines”; and
subject to those points, confirm Major General Tim Cross, the senior UK
secondee to ORHA, as Deputy to Lt Gen Garner.
190.  The Inquiry has seen no response to the IPU paper.
191.  Mr Straw considered the question of UK support for ORHA at the first meeting of
the AHMGIR on 10 April.
192.  On 1 April, Mr Straw described the UK’s commitment to reconstruction in a speech
to the Newspaper Society Annual Conference:
“Today our primary focus has to be the military campaign … But we have given –
and we are giving – a huge amount of thought to the post-conflict situation …
“I don’t underestimate the scale of the task. Saddam has led his country to ruin …
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