EU budget deadlock

The EU appears to be heading for another showdown over its budget. The french are calling for the UK to find a compromise. Similar to the one they proposed earlier this year. This seems like typical french double talk to me. The French claim to be seeking a compromise while completely refusing to give up anything.

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Its not only the french that demand this. The UKs rebate was a political concession in a time of decline, and this time of decline is over. They have to face that it is time to fully contribute again as most other nations do. That the UK consistently tries to couple the debate over their rebate with the EU subsidies, which are a completely different subject, is a clear sign that they plan to gridlock the whole debate - a compromise is not even wished.

I find it funny that always the French are blamed for double talking while the matter´s subject is the UK which has special privilieges they want to keep. I dont want to blame any guilt on the UK here, but we have to be very precise about the cause/effect relationship in this discussion.

Okay so the UK should give up its rebate. But don't you think that the EU needs reform all the way around and that includes the Common Agricultural Policy. And maybe the Brits are stonewalling but it is the French who are refusing to compromise. Tony Blair offered a compromise on the rebate in return for compromise on the CAP but Chirac blatently refused.

Exunctly.

We are willing to give up the rebate, but what we have a problem with is 40% of the EU budget going to lazy French farmers who are in no way efficient or even modern.

that money could go to advancing R&D, building infrastructure etc instead of the French.

No compromise on CAP, Mr Chirac? Then you can stick a rebate compromise up your bum.

They'll get agreement in the end, it's too important not to.

How long that takes is another matter.

While I agree that a agreement is inevitable it seems to me that the longer it takes the more damaging it will be to internal EU relations.

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From the looks of it things are pretty grim. Blair is willing to compromise but I see that holding to his reform minded agenda hasn't won him many friends

It appears the UK side are prepared to indicate they will be willing to be the first to move (a little).
I suppose someone had to and it will give the UK a little moral high-ground, support and leverage if we are the first (especially amongst the new accession countries for whom this is such a huge deal).

The UK may be prepared to give up between 12% and 15% of its annual £3.8bn EU rebate, Downing Street has signalled.
The prime minister is expected to offer a reduction in return for cuts to spending on agriculture, in an effort to end the EU's budget crisis.

news.bbc.co.uk...

- As you will see the article shows the UK opposition already predictably whining that this is a "surrender".
But who the small band of their own faithfull and the anti-EU zealots take the slightest bit of notice of their idea of how to "negotiate" ( ) with Europe and the EU anyway?

Although the UK 'rebate' currently hovers around the £3 - 4billions mark it is set to rise significantly in the coming years; this is what has caused such opposition to it, given the clear and obvious greater needs of the new accession countries (who would, in part be funding this increase).

The rebate is on course to rise significantly after 2007, because net contributors to the EU budget will soon have to start paying more, to cover the growing cost of EU enlargement.


But the European Commission says the UK "will be largely shielded from the extra cost" because of the rebate.

It says that under its proposals for the 2007-13 budget - now the subject of heated debate - the rebate would average about 8bn euros per year.

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