The international body which polices bribery and corruption said today that it has 'serious concerns' that Britain may have broken an international agreement when it decided to abandon an investigation into a huge arms deal between BAE Systems and Saudi Arabia. Every single member country of the Organisation for Economic Cooperation and Development - bar Britain - endorsed the statement which warned that 'approriate action' could be taken. The Attorney General, Lord Goldsmith, insists that the investigation had been halted for reasons of 'national security'. But he said the Serious Fraud Office would step up its efforts to investigate BAE's activities in other countries. BAE insists that it has done nothing wrong.