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EU Rebate: Blair Showing the Same Weakness as on Constitution

Wednesday 8 June 2005

The Labour Government's confusion over its policy on the UK's rebate from the European Union - and in particular the Prime Minister's refusal to rule out categorically any negotiation of the rebate - is serving only to encourage those who want to scrap or alter the rebate, Timothy Kirkhope MEP, Leader of Conservatives in the European Parliament, said today.

Mr Kirkhope said the government's weakness and the Prime Minister's vacillation sent out all the wrong signals to other EU states at a critical point in the EU's history and at the moment Britain assumes the rotating presidency of the bloc. He said Tony Blair's reluctance to take a firm line on the rebate now will inevitably weaken his position during the presidency, when he will be expected to compromise to prevent budget negotiations from breaking down.

Moreover, Mr Kirkhope said, the government's strategy on the EU Constitution - and in particular the indication that certain parts of it could be implemented without a referendum - had further emboldened political leaders in Europe who are seeking to influence Britain.

He said:

"Other EU states are ganging up on the UK to give way on the rebate, just as they are ganging up on us to keep the constitution on the back burner.

"It is hardly surprising that Mr Blair is increasingly seen by other political leaders in the European Union as malleable and a soft touch. 

"By leaving the rebate open to question, he is encouraging other EU states in their bid to erode the rebate. As Britain is in a minority of one, this does not augur well for the rebate's future.

"Moreover, his failure to take a firm line on the constitution has emboldened all those who are trying to resuscitate this discredited document or trying to smuggle it in by the back door.

"Even with the rebate, Britain is still second on the list of net contributors to the EU. The rebate remains fully justified. I have no doubt the French Government takes the same view on subsidies that French farmers receive from Brussels.

"Mr Blair's indecisiveness on these key issues is undermining Britain and building up the hopes of his fellow heads of government. On current form, it seems he will not have the courage to pour cold water on those hopes later."

ENDS

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