Member States struggle to reach EU budget agreement

Monday, 24 Sep 2012, 12:59

 

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According to BBC News, senior EU officials have warned that it is proving harder than ever for agreement to be reached in negotiations on the 27-member bloc's next budget, the multiannual financial framework.

The broadcaster reports that ministers are set to meet today for further talks and EU leaders are to hold a special summit in November as they try to strike and accord over the European commission's €1033bn budget proposal for 2014-2020.

The commission has protested that the budget represents only one per cent of the EU's income, but the UK and others are calling for a €100bn reduction in the proposed amount.

The Telegraph says the European commission has asked for the power to raise directly through taxation, as it bids to reduce its reliance on member state contributions.

The paper reports that the EU's executive arm has made proposals which include a one per cent VAT increase, added to the already existing EU levies on petrol and aviation.

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