Politics.co.uk

Blair dogmatic on EU rebate

Blair dogmatic on EU rebate

Tony Blair rejected a compromise deal on the European Union’s annual budget on Friday, prompting an angry response from French President Jacques Chirac.

The Prime Minister has consistently said that Britain will only countenance a rethink on its annual £3 billion budget rebate if EU leaders review the Common Agricultural Policy, of which France is one of the main beneficiaries.

Mr Chirac had offered to back a freeze on the rebate as a last ditch bid to win agreement for the 2007-2013 EU budget, but Mr Blair rejected the deal, accusing his critics of using “tactics and manoeuvres” to try to isolate him around the conference table.

At a press conference following the EU council summit last night, the Prime Minister maintained that funds being used to support EU farm subsidies would be better spent on science, technology and education.

Attacking the CAP, Mr Blair said: “That is not a sensible prioritisation of Europe’s spending in the early 21st century.”

“That does not correspond to the reform that Europe needs if it is to be fit for purpose in the early 21st century.”

But cuts to French farm subsidies were an “unacceptable” proposition, Mr Chirac told colleagues at the Brussels summit, arguing that the existing arrangements are binding until 2013.

“The future of the British cheque after 2013 should under no circumstances be linked to a reform of farm expenditure,” said the French President, who described Britain’s stance as “pathetic and tragic.”

Mr Chirac was joined in his condemnation of Mr Blair by German Chancellor Gerhard Schroeder, who said a “substantial effort” had been made to overcome “national egoism” during the 14-hour negotiations.

Current EU President and Luxembourg Prime Minister Jean-Claude Juncker said the failure of the talks had left the union in “a deep crisis”.

But despite criticism from some quarters, British officials said their opposition to the compromise deal had the support of Finland, Spain, Sweden and the Netherlands.

The Blair government has threatened to wield the veto should EU leaders vote to scrap the rebate.