Feb 20, 2020
Brexit complicates EU Budget plans
EU spending is quite small compared to the budgets of national governments. In the current seven year period it was fixed at 1% of the EU economy, its GDP. By contrast, what member countries spend on themselves compared to their national economies is much higher, more than 50% for several of them. The UK's total contribution in 2018 was £17.4bn but that was before the UK rebate, which is paid by other member states, and spending on EU programmes in the UK. Neither of those will feature in the future financial framework, and deducting them leaves a hole of £9bn to be filled. EU spending priorities have changed and that will probably continue. The European Commission proposal for the next seven years for example takes it down to below 30%, including spending on fisheries.
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