The National Audit Office found that Britain's net cash contribution to Brussels jumped by 40 per cent to more than £4billion between 2006 and 2007. In the same year, the total value of reported irregularities rose by 20 per cent to €1,392 million (£1.3billion) across all European Union countries, a report published today finds. This figure is set to continue rising. Treasury figures released in December showed that the net payment to Brussels in 2008/09 will be £6.1 billion. Next year in 2009-10, the net figure will be £6.4 billion. The rises are the result of a 2005 agreement by Tony Blair - with Gordon Brown's backing - to a staged series of cuts in the rebate, which was won by Margaret Thatcher in 1984. The report found that 11 per cent of the cash intended to offer economic support for member states was mis-spent. Errors were mainly due to inclusion of ineligible costs, over-declaration of money spent, or failure to respect procurement rules. Of the irregularities across all member states, the United Kingdom reported 1,666 irregularities (including possible fraud), an increase over 2006, up 18 per cent. The report, Financial Management in the European Union, found that for the first time the European Court of Auditors has confirmed the acounts gave a "true and fair view". But for the 14th year running, there was no positive "statement of assurance on whether the underlying transactions conformed to applicable laws and regulations". Edward Leigh MP, the chairman of the Public Accounts Committee, said: "EU financial systems are still far too complex." Mr Blair, as Prime Minister, justified the removal of Britain's EU subsidy was an "anomaly" and had to be linked to farm subsidy reform. Matthew Elliott, chief executive at the TaxPayers' Alliance said Britain was spending more and more on Brussels and getting "fewer tangible benefits in return". He said: "It was bad enough that the Government abandoned the rebate, but it is very worrying that even the Treasury don't seem to understand how much that deal is going to cost. "It's time the Government grew a backbone and started doing what's right for Britain, instead of kow-towing to Brussels." Philip Hammond, Shadow Chief Secretary to the Treasury, added: "It is outrageous that the EU's shambolic financial management will force struggling British taxpayers to surrender even more of their hard-earned money to Brussels - particularly when this is partly due to weak financial controls here in Britain. "Yet again, people will be furious that Gordon Brown signed away a huge chunk of Britain's rebate in return for absolutely nothing."Britain sees 40 per cent rise in cash lost to Brussels, National Audit Office says
The public spending watchdog has raised concerns about how Brussels is spending the increasing amount of cash given to it every year by Britain.
Friday, 27 March 2009
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