EU leaders discuss budget cut in Brussels

The EU budget of €960billion could be reduced; meaning it would be the first EU budget cut in over half a century

11:02 08 February 2013

Leaders of the EU are believed to have gathered in Brussels and held talks overnight as to whether the EU budget for 2014 to 2020 would be cut by €30billion.If the cuts are to go ahead, it will be a historic event as the EU budget would be reduced for the first time in its 56-year history.

The meeting, which is set to end on Friday, 8th February, could result in the seven year budget being reduced by tens of billions of euros and this could be viewed as being a victory for UK Prime Minister David Cameron.

With proposals to cut the EU budget from €973billion to €960billion, British tax-payers would benefit. This is because it would save them £500million each year up to 2020.

Aside from this, it is understood the 27 EU leaders seemed to be drawing nearer to agreeing on a lower payment amount of €908billion.

Mr. Cameron has been calling on Brussels to reduce the budget since it was agreed last year, and if this is done the PM’s tough approach may be seen by some to have paid off.

The plan for cuts to the EU budget would not only need to be agreed by the EU but must also be presented to and agreed upon by the European Parliament. Based on reports, it is not clear whether the President of the European Parliament would want to endorse the cuts.