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Image header Agence Europe
Europe Daily Bulletin No. 9087
Contents Publication in full By article 17 / 37
GENERAL NEWS / (eu) eu/financial perspectives

Member States avoid fresh debate while awaiting new British proposal

Brussels, 12/12/2005 (Agence Europe) - Meeting for the last time before the Summit, the Foreign Affairs Ministers of the EU decided it was pointless on Monday to hold a fresh debate on the financial perspectives 2007-2013 while awaiting the second compromise proposal from the UK Presidency, which will be presented “probably on Wednesday”. The chances of an agreement remain uncertain, and depend on the margin of flexibility which Tony Blair shows on the British rebate. At the General Affairs Council, Jack Straw indicated only that London would present in the next few days the adjustments to its first compromise proposal, which was roundly criticised (EUROPE 9084). The debate lasted less than a minute, enough time for some ministers to stress the need for an agreement at the Summit. Speaking to the press, Mr Straw clearly indicated that the UK, in the front line over the issue of the rebate, did not intend to conclude an agreement “at any old price”. “These are difficult negotiations. The room for manoeuvre is narrow (…), even though we would all like to reach an agreement”, he said. French minister Philippe Douste-Blazy, speaking to the press, repeated that “the key is a sustainable reform of the British rebate”. France is demanding a reduction of around fifteen billion euros over the period of seven years, whereas the first compromise only proposed a reduction of eight billion. “France is not here to say no to an agreement, France is here to say yes, on the condition that there is a fair agreement”, the minister added, repeating that his country is inclined to commit to reflecting on an overall reform of the budget (spending and income), but that the implementation of this reform would only be able to begin from 2014. Tony Blair is demanding as a condition of any agreement an overall review of the whole 2007-2013 budget from 2008, including the Common Agricultural Policy (CAP), for which the spending is nonetheless set up to 2013.

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