Brussels, 03/07/2008 (Agence Europe) - On Wednesday 2 July 2008, the European Commission suggested to the Council of the EU that a recommendation be sent to the United Kingdom asking it to correct its excess budget deficit by the end of the 2009-2010 tax year (April 2010). In June 2008, the Commission adopted a report noting that the UK's budget deficit would rise above 3% in the current tax year (see EUROPE 9680). In the Commission's spring economic forecasts, it expected the UK's deficit to reach 3.3% this year, justifying the launch of excess budget proceedings, but the situation might be worse than expected because the UK authorities have announced an income tax cut for some taxpayers this year and the same level is forecast for 2009-2010. In its opinion document, the Commission suggests that the EU's finance ministers recommend under Article 104 para.7 of the Treaty, that the United Kingdom bring its budget deficit back below the upper limit set out in the Stability and Growth Pact by the end of the next financial year at the latest (April 2009 - April 2010). The ECOFIN Council will decide on 8 July 2008. (A.B.)