EU budget talks collapse

In a published statement, European Parliament President Jerzy Buzek said:

"Differences still exist between the European Parliament on one side and the Council on the other. Parliament is ready to accept the modest increase in payments in next year's budget as proposed by Council. We are not asking for one euro more on condition that our political expectations are met. I am confident that we will manage to iron out these differences in following meetings." 

"The Parliament is ready to have a deal on figures if there is an agreement on our political demands. We do not want to change the Treaty, we want a serious agreement on how we will work together in the future on EU financing including a new system of own resources, which could be the best way to reduce national contributions to the EU budget. The EP wants to have clear guarantees that next budgets will be put together in a serious and rigorous way. We need to put more order in European finances," Buzek added.

French European People's Party MEP Alain Lamassoure, chair of the Parliament's budget committee, also voiced his disappointment:

"In order to finish negotiations, you have to start them first. In spite of the Belgian Presidency's efforts, in spite of the agreement of a large majority of governments, some ten countries refused any negotiations. In the talks on the EU 2011 budget, Parliament isn't asking for a single euro more than the Council. Parliament is not asking for a Treaty change. We are proposing a political agreement on working together to avoid future budgetary crises and to ensure sustainable financing for future policies," Lamassoure said. 

"Today's failure confirms what everyone already knew: how difficult it is for states to finance future policies in a sustainable manner. Last year everyone tried to spend as much as possible in an attempt to support economic activity. This year, everyone is trying to spend as little as possible in an attempt to fight the debt crisis" he said.

"This failure shows very clearly the deep division between European countries regarding the financing of common policies which all have agreed to. All states want to profit from the European budget, but some richer states do not want to pay for policies which benefit their neighbours as well. It is incomprehensible, this refusal to work towards safeguarding the future of Europe as well as solidarity between European countries," Lamassoure concluded.

Polish MEP Sidonia Jędrzejewska (European People's Party), the European Parliament's general rapporteur on the 2011 EU budget, said that the Parliament is ready to compromise with the Council but only if member states agree to discuss future EU financing – a request justified under the Lisbon Treaty.

''We are considering to agree to large cuts in our project for the 2011 EU budget in order to accommodate the maximum 2.9% increase in payments as requested by twelve member states. In return, we invited the Council to open a real discussion on the future financing of EU policies. By rejecting this invitation, a couple of member states created taboo subjects such as the Parliament's role in the negotiations of the next Multiannual Financial Framework or the own resources' issue. These expectations of the European Parliament are justified by the Lisbon Treaty and the Parliament expects a discussion only on the precision and interpretation of the Treaty," she stated.

"We cannot accept a situation where the Council agrees to take on board more and more commitments and tasks, but does not want to finance them," she added.