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9.5  |  June 2006 to 27 June 2007
849.  A note from Mr Blair’s Private Secretary suggesting “deliverables” for the
trip proposed that for Iraq the public outcome should be an enhanced focus on
reconciliation.461 In private, a positive outcome would be agreement that the senior US
and UK military and diplomatic representatives in Iraq would hold the Leadership Council
to its commitment to reconciliation.
850.  On 17 May, Mr Blair and President Bush held a video conference with senior UK
and US military and civilian personnel in Baghdad.462
851.  Mr Blair underlined the importance of the Sunni and Shia coming together as
part of a political process to focus on the true causes of the violence in Iraq, Al Qaida
and Iran.
852.  Mr Blair concluded that, by September, it would be important for the coalition
to have given the Iraqis a strong sense that everything possible was being done on
security and on reconciliation. It was imperative that people understood that the drivers
of violence in Iraq were the same as for the fight against terrorism and that: “If we could
deal them a blow in Iraq, it would have a wider impact on the fight.”
853.  Mr Blair’s Private Secretary reported to Mrs Beckett’s Private Secretary that:
“Based on the VTC, the Prime Minister is strengthened in his view that the UK needs
to make a concerted push on reconciliation working with the US. He would like a
senior British official to be in charge of this who would work closely with the US, and
who could be available to undertake dialogue in Iraq and the region.”
854.  The FCO was tasked to produce some thoughts on that by 25 May.
US funding for Iraq
At the start of May President Bush vetoed a Congressional Bill which released funding for
Iraq on the condition that US troops began to withdraw that year.463
On 11 May, the House of Representatives passed a further Bill which would release
US$43bn immediately and a further US$53bn after July, subject to a demonstration that
progress had been made.464
A compromise Bill was approved by Congress on 24 May.465 This guaranteed US$120bn
funding and did not include a timetable for withdrawal of US troops from Iraq but set
out a series of conditions or benchmarks to be met for the release of funding for civilian
reconstruction efforts.
461  Minute Gould to Prime Minister, 11 May 2007, ‘Your Trip to Washington: Deliverables’.
462  Letter Gould to Hayes, 17 May 2007, ‘Iraq: VTC with the Prime Minister, President Bush and Baghdad:
17 May 2007’.
463  BBC News, 2 May 2007, Bush vetoes Iraq withdrawal Bill.
464  BBC News, 11 May 2007, US House passes Iraq funding Bill.
465  Minute Banner to Prime Minister, 25 May 2007, ‘Iraq Update, 25 May’.
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