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Draft EU Budget

European Union Documents No. 11779/11 and No. 11775/11, relating to the preparation of the EU Budget, and an unnumbered Explanatory Memorandum dated 27 May 2011 from HM Treasury on the Statement of Estimates of the Commission for 2012 (preparation of the 2012 Draft Budget). Considered by General Committee. Main question, on motion to take note, agreed to as amended.Resolved, that the Committee takes note of European Union Documents No. 11779/11 and 11775/11, relating to the preparation of the EU Budget, and an unnumbered explanatory memorandum dated 27 May 2011 from HM Treasury on the Statement of Estimates of the Commission for 2012 (preparation of the 2012 Draft Budget); recalls the agreement at the October 2010 European Council that it is essential that the European Union budget and the forthcoming Multi-annual Financial Framework reflect the consolidation efforts being made by Member States to bring deficit and debt onto a more sustainable path; notes that in spite of this agreement the Commission’s proposal has come at a time for particular austerity in domestic budgets across the EU; agrees that the 4.9% increase in payment appropriations proposed for 2012 by the Commission is therefore unacceptable; notes that UK contributions to the EU budget have also risen in recent years due to the 2005 decision to give away parts of the UK rebate; supports the Government’s objective to deliver the terms of the language secured by the Prime Minister’s December letter that the growth of the European public spending must be consistent with the considerable efforts made by the Member States to bring their public spending under control and that action to curb budget growth in 2011 should be progressively stepped up in 2012; and so supports the Government in seeking significant savings to the Commission’s proposals across all headings and its strenuous efforts to limit the growth of payments to below inflation.