MrPresident
Anglo-Saxon Liberal
The UK's £2bn EU rebate comes under the scrutiny of the European Commission on Wednesday as it discusses plans to scrap or reduce Britain's deal.
The rebate, negotiated by Margaret Thatcher in 1984, is under the spotlight as part of EU budget talks.
The UK argues it is still justified because France and others get much more cash in farm subsidies and other help.
Downing Street has said it will fight to keep the subsidy and Britain has the right of veto over any changes to it.
Tony Blair's official spokesman said last week: "We recognise that, in relative terms to most other EU countries, we have become more prosperous over the past decade, but we still believe the rebate is justified because of the distortions in programmes such as the CAP (Common Agricultural Policy).
"Any change would have to be passed unanimously so that does give us a veto."
Lady Thatcher argued in the 1980s that Britain was the biggest net contributor to the EU kitty despite being comparatively far down the then top of the European wealth league table.
Britain became the only EU state to qualify for the rebate.
Now, with a newly expanded Europe of 25 member states, there is pressure for cash to be redistributed to poorer states such as the former communist countries.
That proposal will be tabled by the EU's budget commissioner, Michaele Schreyer.
Ms Schreyer's plans would reportedly make Britain the biggest net contributor to the EU budget.
She wants to replace the British rebate with a general refund for all big net contributors.
Explaining her plan, Ms Schreyer said: "The sums allocated to poor new member states is growing and the British rebate is also growing to the burden of others."
UK Independence Party MEP Robert Kilroy-Silk has written to Tony Blair urging him to fight for the rebate.
"I am telling him to say that this is not an issue, that it is not negotiable and that he must exercise the veto to prevent this from happening," the eurosceptic said.
Source
I think we should give up the rebate in exchange for a reform of the CAP.