Brussels splits over EU budget for 2007

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By Bruno Waterfield
- 21st November 2006

EU finance ministers, MEPs and the European commission will attempt to bridge deep divisions over Brussels budgets for 2007.

The European parliament in October voted to increase next year’s EU spending by €7bn to €127bn over sums agreed by Europe’s governments in July.

Behind the scenes bitter inter-institutional rows have broken out between MEPs and the commission over cash priorities.

The parliament is pushing for €10m in generous funding for EU political groupings of MEPs, money that some claim is not subject to full supervision.

Commission officials fear that the parliament’s grab for extra cash my see MEPs turn a blind eye to Finnish EU presidency moves to cut Brussels staffing budgets by €56m.

“The possibility to spend without any real control around €10m by political groups can be bought with an irresponsible agreement to cut at least 800 posts in the EU institutions,” a source told Reuters.

The cuts to commission administrative budgets will herald an EU executive jobs freeze in 2007, mainly hitting the recruitment of eurocrats from new European members.

MEPs are also set to clash with national governments over €80m earmarked for EU foreign policy representative Javier Solana.

The parliament is concerned that spending of the cash is not accountable enough to all the EU institutions.

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