Blair faces strong opposition to EU budget deal

Prime Minister Tony Blair has predicted that he will face widespread criticism over EU budget plans.

Mr Blair is meeting with the leaders of seven Eastern European countries – Estonia, Latvia, Lithuania, Hungary, Poland, Slovakia and the Czech Republic – during a two-day trip, as he attempts to break the deadlock over the budget before the end of Britain’s six-month EU presidency.

Britain’s proposal on the EU budget for 2007-13 would reduce aid to new EU member states by around 10%, so that Britain could retain more of its £3 billion annual rebate.

An attempt to break the deadlock on the budget agreement failed during the summer, when Britain clashed with France over the common agricultural policy. Britain refused to give up its rebate, unless there was a review of farm spending - something which French President Jacques Chirac refused to accept.

Speaking in Kiev this morning, ahead of talks with the leaders of Estonia, Latvia and Lithuania, Mr Blair said: “If we cannot get a large deal, which alters fundamentally the way the budget is spent… we will have to have a smaller EU budget.”

However, the Prime Minister admitted that he faced a difficult task in trying to convince the new member states to accept the proposal. He said: “I will get attacked, probably from all sides, but that is part of political leadership.”

The President of the European Commission, Jose Manuel Barroso, accused the Prime Minister of acting like a modern-day Sheriff of Nottingham and robbing from the poor to give to the rich.

However, British officials have reportedly argued that the countries could not find enough projects to spend all the funds allocated to them on, citing past examples in countries such as Portugal and Ireland.

Britain’s budget proposal will be discussed at a summit in Brussels on December 15–16.

(KMcA/SP)