EU Governments are likely to debate over 50 bn euros cut in its
spending plan
for 2014-2020 this week as the starting point for negotiations on the bloc's
proposed 1 trillion-euro ($1.3 trillion) long-term budget but is doubtful to be
deep enough to satisfy Britain, Germany, France and other net budget
contributors.
They want strict limits on EU spending to reflect the
austerity imposed by national governments to reduce debt, and called for cuts of
100-200 billion euros to the total proposed by the EU's executive, the European
Commission.
The proposal is also likely to anger Poland and other former
communist EU countries who are the major beneficiaries of EU funds, and oppose
any cuts to the Commission's blueprint which they argue is vital for their
future economic growth.
In order to generate the proposed savings, the
revised document will specify cuts to all areas of EU spending including
agriculture, infrastructure investment and research. That could create rifts
between countries calling for budget cuts, with France keen to exclude farm
spending from any reduction, while Britain, Sweden and others want a higher
share of EU spending on research and other measures to boost growth.
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