Daily Mail, 8th June 2007

Britain's EU payments 'to double'
8th June 2007, Page 2, Daily Mail

By Sam Fleming, Economics Correspondent

BRITAIN's contributions to the European Union budget will double by the beginning of the next decade, it was claimed yesterday.

Research shows that our net payments to Brussels will reach almost £6.5billion by 2011.

The surge comes after the Government surrendered billions of pounds of rebate payments in 2005. Britain is also getting less back from Brussels following the enlargement of the EU.

Euro-sceptic group Global Vision said abandoning Britain's payments to Brussels could raise more than enough cash to scrap inheritance tax or knock 1.5p off the basic rate of income tax.

Director Ruth Lea said: 'The overall budget of the EU is rising, not least because of all the new member states. It's a fact of life. We're set to pay £6.5billion for the privilege of being members of the EU and a lot of people question whether this is value for money.

'We could let people keep more of their own money, cutting income tax or scrapping IHT, or we could see some better roads. The defence budget is creaking, and £6.5billion would transform the situation.'

Shadow Chancellor George Osborne said: 'These shocking figures show just how much people in this country are going to be paying for the Blair-Brown sellout on the EU rebate, not just one year, but year after year after year. That's the Blair-Brown legacy to Britain.'

The UK's Brussels rebate was first clinched by Margaret Thatcher in 1984, as recompense for our relatively paltry share of EU funds and agricultural subsidies.

Mr Blair gave way in the face of intense EU pressure in December 2005 by agreeing to steep reductions in the rebate. Earlier this year Mr Brown attempted to unpick the agreement, but his efforts failed.

Last night a Treasury spokesman Britain's contributions to the EU are similar to those of other large member states. 'This analysis is simply selectively quoting from certain periods of time to make headlines,' he said.