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| Europe |
| Britain’s EU rebate under threat |
| 2004-07-14 |
| This was brought up yesterday. Looks like it’s the next big EU issue for Britain... Robert Kilroy-Silk, MEP, has called on the Prime Minister to use his veto to stop the European Commission slashing Britain’s contributions rebate. Mr Kilroy-Silk urged Tony Blair to stop "our money from being spent in eastern Europe". In a letter to the Prime Minister the newly-elected UKIP MEP for the East Midlands echoed Margaret Thatcher’s mantra that "we want our money back" from Brussels. We ’got it back’. Now we want to keep it. But all this is really rather strange terminology seeing as its our money to begin with... The Commission’s financial proposals seek to curb the rebate, which saves the Treasury more than £2 billion a year on the nation’s contributions towards running the EU. Again, strange terminology. It’s not really going ’towards running the EU’, it’s going towards subsidies and expenditure elsewhere in the EU. Actually ’running’ the EU, in terms of administration, even with the best efforts of the continental fat cats, doesn’t have much to do with it. The rebate was hard-won by Mrs Thatcher in 1984, after grudging acceptance of her argument that Britain was the biggest net contributor to the Brussels kitty despite being nowhere near the top of the European wealth league table. Britain is the only nation to qualify for a special adjustment - the rebate - because heavily distorted agriculture payments benefit countries such as France far more than they benefit the Britain. Because French farmers are inefficient, British taxpayers should subsidise them, and help maintain their ’cultural exceptionalism’, or whatever bullshit they call it. Twenty years on, with the share of agriculture spending coming down, pressure is on for the unique rebate to be taken away and redistributed to poorer nations among the 25 member states. Ahh, redistribution. RUN FOR THE HILLS!!! The idea is outlined in EU financing plans for 2007-2013, due to be tabled by Michaele Schreyer, EU budget Commissioner. Mr Kilroy-Silk, the former TV presenter and ex-Labour MP, said he was insisting Mr Blair wields the veto he has in EU decisions on financial arrangements. Keep up the good work, O Man of Orange |
| Posted by:Bulldog |
| #11 Yep, it'll change quite rapidly. With an open market countries with relatively cheap labour like, say Poland, should find a good deal of new inward investment from richer member states. I believe some German companies are not only investing Eastwards, but transferring eastwards. Investment through commercial interest, rather than taxing Peter to pay Paul, and that's the best way, the only way, IMO, for sustained economic progress. |
| Posted by: Bulldog 2004-07-14 4:54:36 PM |
| #10 Do you think East Europe has nothing to export? Comparatively speaking, not much. Seen any Polish kielbasas on your store shelves recently?? :) Though granted, this will change quite rapidly. |
| Posted by: Rafael 2004-07-14 4:42:57 PM |
| #9 LH, parochial in what way? |
| Posted by: jules 187 2004-07-14 4:41:00 PM |
| #8 Probably not from the POV of everyone in Europe either. And that's the problem. Neither France nor Germany is expected to be liberal with the amount of money going east, in the precarious economic conditions of today. Mind you, France & Germany are probably glued much more strongly to the eastern European economy than the UK. It is in their best interests to see a wealthier eastern region (for now, anyways). |
| Posted by: Rafael 2004-07-14 4:33:26 PM |
| #7 Not yet. In about 10 years maybe. Do you think East Europe has nothing to export? If not, how on earth could they afford all the UK's products dumped on them? Bear in mind we're not only debating subsidys to East Europe (and, to be honest, I don't have a problem with investing in the former Communist new members, provided it's done responsibly and according to the principles of free trade - i.e. infrastructues, modernising equipment, NOT subsidys). What's more objectionable is the way much of the UK's net contribution to EU coffers goes to prop up inefficient west european farmers - and that's yet to change. That's what the EU was supposed to be about... As LH says - no it wasn't. It wasn't sold to the man on the street as some sort of proto-communist wealth redistribution scheme there to punish successful, efficient and dynamic economies the the UK's for the benefit of weaker ones. My God, do you really think the British people would have voted for that?! |
| Posted by: Bulldog 2004-07-14 4:27:42 PM |
| #6 To other poorer countries. That's what the EU was supposed to be about, to my meager knowledge of the EU rules. well i guess not from the POV of everyone in the UK :) Though from the parochial Yank point of view, this runs against our hope for a UK-new Europe alliance WITHIN the EU to balance the French and Germans. |
| Posted by: Liberalhawk 2004-07-14 4:09:08 PM |
| #5 And vice versa. Not yet. In about 10 years maybe. So why doesn't East Europe send truckloads of cash to the UK? Because it doesn't have the GDP of the UK. In about 50 years, they will, and you should expect to see boat loads of cash flowing into the UK. some sort of obligation to unilaterally redistribute its wealth to other countries. To other poorer countries. That's what the EU was supposed to be about, to my meager knowledge of the EU rules. |
| Posted by: Rafael 2004-07-14 4:06:30 PM |
| #4 Geez.... guess what the big topic was last Bastille Day? LOL! |
| Posted by: Shipman 2004-07-14 3:43:18 PM |
| #3 ...you can now dump your products onto eastern European territory to your hearts content. And vice versa. So why doesn't East Europe send truckloads of cash to the UK? Sounds absurd, but so's the notion that the UK has some sort of obligation to unilaterally redistribute its wealth to other countries. |
| Posted by: Bulldog 2004-07-14 2:11:12 PM |
| #2 Well, that's not very friendly of you, considering that you can now dump your products onto eastern European territory to your hearts content. That's EXACTLY the argument I used to Bulldog yesterday, when I said "in return poorer nations open their economies". Not that he understood it. :-) remember when I said that the eastern Europeans will be (net) paying into the European coffers??? Hasn't happened yet AFAIK. |
| Posted by: Aris Katsaris 2004-07-14 1:24:11 PM |
| #1 Mr Kilroy-Silk urged Tony Blair to stop "our money from being spent in eastern Europe". Well, that's not very friendly of you, considering that you can now dump your products onto eastern European territory to your hearts content. Aris, remember when I said that the eastern Europeans will be (net) paying into the European coffers??? |
| Posted by: Rafael 2004-07-14 1:06:56 PM |