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| Britain |
| EU Smackdown!: Blair vs Chirac |
| 2005-10-26 |
| From FT, October 25 2005 22:01 Blair secures strong backing from Chirac Tony Blair has on Wednesday secured a strong expression of support from Jacques Chirac ahead of Thursdayâs informal European Union summit, with both leaders agreeing that the meeting must focus on how the EU can add value to its economic infrastructure. As Britain prepares to host its 24 EU partners at a one-day summit at Hampton Court on Thursday, the British prime minister's aides have stressed they want to defer critical discussions over the EUâs future financing arrangements until next month. Instead, Downing Street wants the meeting to achieve an âoverall strategic consensus on Europe's economic directionâ, with a strong focus on how common action can boost areas such as research and development, the university sector, energy and transport. Writing in Wednesdayâs Financial Times, the French president expresses his strong support for Mr Blair's approach, arguing that the summit must look at ways to âboost innovation and research to support tomorrow's jobsâ. In a clear signal that both Britain and France are also determined to avoid turning the meeting into a row over the Union's competing social models, Mr Chirac says EU leaders âmust restore the momentum from which Europe draws its strength.â He argues that the EU heads must âcome to grips with globalisation's social consequencesâ and that they must look, in particular, at effecting a ârevolutionâ in key areas such as energy supplies and transport. Mr Chiracâs article clearly signals that, like Mr Blair, he is prepared to defer debate over the EUâs future financing arrangements â an issue that deeply divided the two men at last June's European Council in Brussels â until later in the year. However, Mr Chirac warns Mr Blair that if he tries to secure a budget deal in December, he cannot reopen EU-wide agreements on the future structure of the Common Agricultural Policy signed in 2002 and 2003. Any deal, Mr Chirac writes in the FT, âmust comply with commitments already madeâ. ...more... --- From Bloomberg, October 26, 2005 02:29 EDT Chirac Challenges Blair on EU Budget Ahead of Summit French President Jacques Chirac today challenged U.K. Prime Minister Tony Blair on the U.K.'s annual European Union budget rebate, raising the prospect that leaders will clash again at the EU summit in Hampton Court. "To restore confidence in the workings of the union, we must agree on the 2007-2013 budget," Chirac said, according to the text of an opinion piece published today in newspapers in each of the EU's 25 nations. "If we can act in a spirit of solidarity and responsibility, we can achieve this in December." Talks on the bloc's seven-year budget plans broke down in acrimony in June, with Chirac calling Blair ``intransigent'' and Blair insisting on a reduction of EU agricultural subsidies, a quarter of which benefit France. Blair, who is leading the 25-nation bloc during the U.K.'s six-month presidency, is trying to leave the budget debate until a December summit, using the Hampton Court discussions to push Britain's pro-business agenda on the slower-growing countries using the euro currency. He will outline his plans to the European Parliament in Strasbourg at 3 p.m. Without a deal before the start of 2007, projects from a Prague airport subway line to a Baltic high-speed rail link are in limbo. EU subsidies, mostly for agriculture and construction projects, are worth 105 billion euros ($127 billion) in 2005. U.K. Rebate The breakdown of the budget talks in June came after EU leaders put ratification of the bloc's first constitution on hold after voters in France and the Netherlands rejected it in referendums. With France leading the charge against Britain's 5.2 billion-euro annual rebate, won by then Prime Minister Margaret Thatcher in 1984, the U.K. counterattacked by challenging France's right to a quarter of the bloc's farm subsidies, twice its share of the EU's population. Chirac said a 2002 deal on farm subsidies until 2013 is non-negotiable. The final budget deal ``must comply with commitments already made,'' the president said in today's opinion piece. Chirac also criticized European Trade Commissioner Peter Mandelson, saying ``Europe must defend its interests'' in World Trade Organization talks. The 2002 farm subsidy deal shows the EU's ``commitment to success'' and ``it is now time for our partners to make equivalent proposals in a spirit of give and take, in agriculture as well as in manufacturing and services.'' ...more... |
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