Britain is cutting funding to some international aid organisations and will put some others on notice that they risk losing funding if they do not improve their performance.
In a big shake-up of its NZ$14 billion aid budget, Britain will also stop giving aid to more than a dozen countries.
Officials say Whitehall wants to focus its help on the poorest countries and what it calls fragile or war-torn states.
Overseas development aid is one of the few areas so far spared sharp public spending cuts aimed at curbing Britain's record peacetime budget deficit.
