Independent Online Edition > Europe
"France puts EU enlargement on the line in bid to save farm subsidies
By Stephen Castle in Brussels and Andrew Grice
Published: 13 December 2005
The EU's new former Communist countries are to be offered further concessions tomorrow under new plans designed to isolate France and clinch a deal in a tense negotiation over the EU's budget.
Britain, which holds the presidency of the EU, is also prepared to reduce the value of the UK's rebate and probably to make that change permanent.
With the row over the budget due to reach a climax at a summit starting on Thursday, France issued a veiled threat to hold up future enlargement of the EU unless there is a deal over EU spending for 2007-13.
Paris is resisting British demands that a review of EU spending in 2008-9 should lead to concrete changes to the EU's Common Agricultural Policy before 2013. Instead of fighting on two fronts at once, Tony Blair will seek to bring on board the eight ex-Communist nations which stand to lose billions in subsidies under spending cuts proposed by the UK.
By putting forward an increase in EU expenditure, Britain hopes to rally the Eastern European countries behind its revised proposal before seeking to pressure France into agreeing to a wide-ranging clause reviewing agriculture spending.
One British source said: 'Is France really saying that it is going to hold up a funding deal for the whole of Europe? We think the new members will gradually come round to the idea that a deal this week is in their best interests. If we don't get one now, they might have to wait a long time.'
So far London has offered to trim €8bn off the value of the UK rebate over seven years, and most EU countries agree that this is not enough. Yesterday the European Commission president, Jose Manuel Barroso, appealed for Mr Blair to make 'further changes' to the rebate and ensure that they are permanent and will not need re-negotiation in 2013.
That demand"
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