The effects of development aid programmes on the domestic economy of donors are relatively infrequently examined. This study reviews the impact of the United Kingdom’s Development Aid Programme on the British economy over the period 1975–79 with particular attention to employment creation and multiplier effects both in aggregate and by industrial sector. Some comparisons are made with German experience. Also examined are the types of companies which benefit from aid-financed orders, the implications for the donor’s own assisted regions and potential benefit to normal commercial trade. It is argued that a greater awareness of these effects should create a more favourable climate for the increase in aid levels.