[PDF]Coipjnunity Budget The Prime Minister said that the...
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Coipjnunity
Budget
The P r i m e M i n i s t e r s a i d t h a t t h e U n i t e d entered
t h e Community
i n the expectation
penny t h a t i t c o n t r i b u t e d . , But i t was e s s e n t i a l reasonable
deal.
Belgium. our
Partnership
that every
Kingdom had not
o f g e t t i n g back d i d n o t work l i k e
member was 'given
every
that.
a f a i r and
B r i t a i n ' s p e r c a p i t a GNP was l o w e r t h a n t h a t o f
B u t , a s t h e Commission's R e f e r e n c e P a p e r had made
clear,
n e t c o n t r i b u t i o n would be t h e h i g h e s t made by anyone t h i s
year.
The s i t u a t i o n would d e t e r i o r a t e p r o g r e s s i v e l y i n s u b s e q u e n t y e a r s .
It
was u n a c c e p t a b l e
largest
that the t h i r d poorest
contributor.
member s h o u l d
be t h e
The budget p r o b l e m was c r e a t i n g s u b s t a n t i a l
political difficulties
i n t h i s country.
I f the excess
contribution
t o t h e Community budget was a v a i l a b l e t o t h e Government,
i t would
be p o s s i b l e t o b r i n g t a x l e v e l s down t o w a r d s t h e l e v e l s e x i s t i n g
in France
and t h e F e d e r a l R e p u b l i c .
t h a t t h e Government social
were h a v i n g t o economise on h o u s i n g ,
s e c u r i t y and t h e l i k e
was b e i n g p a i d
The e l e c t o r a t e were b e i n g t o l d
The biggest
single increase
i n t h i s y e a r ' s n a t i o n a l budget had been our c o n t r i b u t i o n
resentment
a t t h e same t i m e a s e v e r more money
i n c o t h e Community budget.
Community budget.
education,
t o t h e
C o n s c i o u s n e s s o f t h i s s i t u a t i o n was c a u s i n g
and would have an i n c r e a s i n g l y a d v e r s e e f f e c t on
a t t i t u d e s t o w a r d s t h e Community.
The P r i m e M i n i s t e r s a i d t h a t h e r Government t h e Community. r e m a i n members.
T h e r e was no q u e s t i o n
of t h e i r determination
I f t h e Community d i d n o t e x i s t ,
democracy would be s i g n i f i c a n t l y more d o u b t f u l She f e l t and work
f e r v e n t l y supported
than i t now was.
together
Ci'i
I \iT\L
/
the future of
s t r o n g l y t h a t t h e f r e e c o u n t r i e s had t o s t i c k together.
to
T
h
e
Prime M i n i s t e r
The P r i m e M i n i s t e r r e c a l l e d at t h e European C o u n c i l if
t h a t s h e had r a i s e d
i n Strasbourg.
t h e U n i t e d Kingdom d i d n o t g e t f a i r
t h e r e would be t r o u b l e .
the question
She had made i t c l e a r
that
and r e a s o n a b l e t r e a t m e n t
F o r t h e moment t h e p r i n c i p a l r e q u i r e m e n t
was t h a t t h e a g r e e d t i m e t a b l e s h o u l d n o t s l i p .
The R e f e r e n c e
P a p e r s h o u l d be d e a l t w i t h by t h e ECOFIN m e e t i n g on 17 September.
1 d 6 cL ^ f O I* cL T h e r e a f t e r t h e Commission
s h o u l d p u t f o r w a r d / r e a s o n a b l e and
e q u i t a b l e solution i n good t i m e f o r d e c i s i o n s to be t a k e n i n D u b l i n i n November. M. Martens s a i d British
Government
problems r a i s e d
t h a t he v a l u e d t h e a t t i t u d e o f t h e p r e s e n t
t o w a r d s t h e Community.
He was aware o f t h e
f o r t h e U n i t e d Kingdom by t h e Community
He a g r e e d t h a t
t h e E u r o p e a n C o u n c i l ' s t i m e t a b l e must
H i s Government
would examine
objectively.
t h e Commission's
budget.
be o b s e r v e d .
Reference Paper
But t h e P a p e r posed a problem f o r them: t h e y d i d not
accept t h a t Belgium d e r i v e d
a benefit,in
t e r m s of r e s o u r c e
transfer,
from t h e l o c a t i o n o f t h e Community's a d m i n i s t r a t i v e h e a d q u a r t e r s
in Brussels.
The C h a n c e l l o r o f t h e E x c h e q u e r s a i d
ments about t h e Commission's to d i s c u s s i o n .
that
a n a l y s i s would no doubt be s u b j e c t
What m a t t e r e d was t h a t F i n a n c e M i n i s t e r s
soon a d d r e s s t h e m s e l v e s t o t h e q u e s t i o n of i d e n t i f y i n g t o t h e major
t o t h e Community budget was a m a j o r p o l i t i c a l
solutions
on a programme o f economic
of t h e population.
and i n d u s t r i a l
problem f o r t h e B r i t i s h
o f t h e Community.
rationalisation
of a major
section
for.
T h i s u n d o u b t e d l y posed a
Government
substantial
and hence f o r t h e Community a s a
i t came a t an unwelcome moment i n t h e e v o l u t i o n At t h e v e r y l e a s t
t h e t i m e t a b l e was k e p t . favour of t h i s
B r i t a i n had
At t h e same t i m e i n c r e a s e d c o n t r i b u t i o n s t o t h e
Community were b e i n g c a l l e d
Moreover,
contribution
issue.
w h i c h would n e c e s s i t a t e s a c r i f i c e s on t h e p a r t
whole.
should
problem.
M. Simonet s a i d t h a t t h e q u e s t i o n o f B r i t a i n ' s
embarked
d i s a g r e e
M. Simonet
HMG was e n t i t l e d
to see that
s a i d t h a t he would
argue i n
i n t h e F o r e i g n A f f a i r s C o u n c i l where, he t h o u g h t ,
the i s s u e would p r o b a b l y a r i s e would be found a t t h e t e c h n i c a l
s i n c e he doubted whether level.
A political
agreement
solution
be r e q u i r e d and t h i s would have t o be p r e p a r e d by t h e F o r e i g n Ministers. /M.
Simonet
would
M. major
Simonet went on t o s a y
t h a t t h e budget
i s s u e evoked
three
questions: ( a )
The U n i t e d Kingdom's c o n c e p t i o n o f i t s c o n t r i b u t i o n
called
i n question
t h e "own
r e s o u r c e s " system.
This
was a major i s s u e of p r i n c i p l e ;
( b ) A s o l u t i o n o f t h e B r i t i s h problem would r e q u i r e
that
o t h e r members o f t h e Community s h o u l d pay more t o t h e
budget t h a n t h e y d i d a t p r e s e n t . happy
f o r o t h e r Governments
but would be r e l u c t a n t retrenchment.
B e l g i u m would
to increase t h e i r
t o do so h e r s e l f
be
contribution
a t a time of
No doubt o t h e r Governments
would f e e l t h e
same ;
( c )
Much i l l - w i l l
had been g e n e r a t e d by t h e p o l i c i e s o f t h e
p r e v i o u s B r i t i s h Government.
Some o t h e r members o f t h e
Community had c o n c l u d e d t h a t t h e Community was a one-way
street. I t was i n e v i t a b l e t h a t from HMG,
t h e y would
look f o r a
g e s t u r e / i n o t h e r a r e a s , e.g. on e n e r g y p o l i c y , f o r making M.
a move on t h e budget.
Simonet c o n c l u d e d by s a y i n g t h a t
certainly
be t a c k l e d
t h e budget i s s u e
Seal said
t h a t he had reminded M.
day t h a t t h e p r e s e n t Government's t h a t of i t s p r e d e c e s s o r . street.
aspects
i n Dublin.
Simonet e a r l i e r
The
a t t i t u d e was v e r y d i f f e r e n t
T h e r e was no q u e s t i o n now
from
of a one-way
c l e a r l y wrong.
But t h e p r e s e n t w o r k i n g of t h e budget
The own
resources
system would be more s o u n d l y
b a s e d i f t h e b u d g e t a r y problem had been
resolved.
The Prime M i n i s t e r c o n c l u d e d t h e d i s c u s s i o n budget by s a y i n g t h a t h e r Government t o Europe but t h a t
was
of t h e Community
was p a s s i o n a t e l y
committed
i t was coming under a t t a c k b e c a u s e of t h e
i n e q u i t i e s o f t h e budget.
Members o f t h e Community s h o u l d not be
from t h e t i m e t a b l e .
I t was t e m p t i n g t o d e l a y /but
in the
Nor was t h e U n i t e d Kingdom s e e k i n g t o o v e r t u r n t h e own
r e s o u r c e s system.
deflected
should
on i t s m e r i t s but t h a t t h e o t h e r
w h i c h he had mentioned would have t o be d i s c u s s e d Lord P r i v y
in return
decisions
- 9
b u t on
t h i s o c c a s i o n t h e y had
t o be t a k e n .
d e a l and e q u i t y among p a r t n e r s was
A fair
a l l t h a t was
and
reasonable
being asked f o r .
