Cabbage patch Cameron to meet Jesuit trained Marxist treasonous Herman Van Rompuy
EU budget: David Cameron to hold talks with Van Rompuy
David Cameron has threatened to veto the EU budget
25 October 2012 Last updated at 02:10
Prime Minister David Cameron is meeting European Council President Herman Van Rompuy on Thursday as hard bargaining over the EU budget continues.
Mr Cameron has threatened to veto 2014-20 spending plans if Brussels insists on an above-inflation rise of 5%.
German Chancellor Angela Merkel has reportedly taken this to mean a summit next month would be pointless and should be cancelled.
Mr Van Rompuy is urging states opposed to the budget to reach a compromise.
In 2011 the UK’s net contribution to the EU budget was 11.27bn euros (£9.2bn; $14.7bn), after the UK’s rebate of 3.56bn euros from the EU.
Mr Cameron has said he has the support of the German, French, Finnish and Dutch governments to oppose any increase in the seven-year budget above the rate of inflation.
He says national governments’ deep spending cuts, dictated by the scale of the debt crisis, make the case for reining in EU spending all the more compelling.
The Commission, however, argues that the cuts would harm Europe’s growth efforts, hitting research and small firms.
If there is no deal on the long-term budget, the EU’s 2013 budget will roll over into 2014 with an automatic 2% rise based on inflation – still more than Mr Cameron wants.
In 2012 the EU budget was 129.1bn euros (£105bn; $168.5bn), a 1.9% increase on 2011.
The Commission says 2013 is the last year of the EU’s current seven-year financial period – the time when bills for existing projects have to be paid, hence the need for a budget increase.
The Commission’s proposal for the long-term budget, called the Multiannual Financial Framework, sets the ceiling at just over one trillion euros, or 1.03% of EU gross national income.
Poland, Hungary and other members from the former Soviet bloc – set to benefit most from the spending plans – are opposed to any cuts.
The European Parliament could also use the power granted to it under the 2009 Lisbon Treaty to vote down any deal reached by EU governments if its calls for increased funds are ignored.
On Tuesday, MEPs voted to back a 6.8% rise in EU spending for 2013 and an overall increase of at least 5% in the EU’s long-term 2014/20 budget, both of which are due to be agreed before the end of the year.
British MEPs joined forces to fight the budget plan, but were outnumbered by five to one.
The long-term budget for 2014-20 requires unanimity among the 27 member states, giving the UK a veto – but the budget for the single year 2013 is decided by qualified majority voting, meaning Britain could be over-ruled.
Downing Street said the European Parliament proposal was “completely unacceptable”.
“We think European budgets need to reflect the context, which is that countries across Europe are having to take some very tough decisions on public spending,” said the prime minister’s official spokesman.
In a speech to the European Parliament, Mr Van Rompuy called for member states to be prepared to compromise.
“I hope we can reach an accord in November on the multi-year budget,” he said.
“For that, we need something without which nothing is possible – a sense of compromise, alongside the political will to find an accord.
“If there is no willingness, then we will never get there.”