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The Report of the Iraq Inquiry
At the meeting, it was agreed that Mr Cahn and Mr Wareing should discuss the
issue further.
784.  The following week, Mr Frank Baker, Head of the FCO’s Iraq Group, wrote to
Mr McInnes:
“The [11 September ISG] meeting concluded that we needed an official in Baghdad
to identify investment opportunities in Basra, as well as help UK businesses work
with the Government of Iraq, otherwise we risk falling behind our international
competitors.”473
785.  Mr Baker stated that, given the “exceptional circumstances” and the high priority
that the UK Government attached to having a trade representative in Baghdad, that post
could be funded from the SAF until the end of the UK financial year (31 March 2009).
786.  Mr Cahn met Mr Wareing on 1 October.474 Mr Wareing said that the UK needed to
exploit its excellent high-level relationships in Iraq. The UK had invested heavily in Iraq,
and it would be a major disappointment if other countries went on to enjoy the fruits of
stabilisation and economic development. UKTI needed to be “at the table”. Mr Cahn
proposed that UKTI should recruit an international business specialist for a period of
six months, to scope the market and produce recommendations for UKTI on the way
forward.
787.  Mr Alexander wrote to Mr Brown on 20 November to provide an update on
progress in Basra.475 He reported that DFID had already facilitated 18 investor visits by
14 companies, with proposals worth over US$9bn submitted to the Iraqi Government.
788.  Mr Brown met Prime Minister Maliki in Iraq on 17 December.476 Prime Minister
Maliki called for a wider long-term relationship, including investment and economic
co-operation and stronger cultural and educational links.
789.  Mr Brown’s Assistant Private Secretary wrote to the Principal Private Secretary
to Lord Mandelson, the Business, Enterprise and Regulatory Reform Secretary,
the following day to advise that Mr Brown believed there were opportunities in Iraq
and interest from British companies that were not being exploited.477 Mr Brown was
convinced that there was an urgent need for a significant UKTI presence in both
Baghdad and Basra, both to consolidate security gains and to ensure that UK investors
had every chance to benefit from commercial opportunities in Iraq. Mr Brown asked
UKTI to start planning immediately for a long-term presence in Iraq, consulting
Mr Wareing and DFID.
473 Letter Baker to McInnes, 19 September 2008, ‘Iraq: UKTI position’.
474 Minute, 2 October 2008, ‘Meeting with Michael Wareing, co-Chair of the Basra Development
Commission: Wednesday 1 October 2008’.
475 Letter Alexander to Brown, 20 November 2008, [untitled].
476 Letter Catsaras to Gould, 18 December 2008, ‘Prime Minister’s Meeting with Iraqi Prime Minister,
17 December’.
477 Letter APS/Prime Minister to Abel, 18 December 2008, ‘UKTI Presence in Iraq’.
490
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