Friday 24 October 2014

The E.U. Conundrum

The United Kingdom has been told by the European Union to pay an extra £1.7bn towards the EU budget.

Also slapped with the deadline of the 1st December, the Conservatives and UKIP have gone into overdrive in condemnation and disbelief at paying.

At a time of heavy Anti-EU feeling within the UK, the rise of UKIP, and right-wing Tories having an ever increasing presence, could this be another nail in the possible EU coffin?

For the ever present soundboard of Nigel Farage, this is his prefect opportunity to stay in the spotlight, keeping up his condemnation of the EU and all it stands for.

Today in interviews he has been comparing the commission to “Thirsty Vampires” and also laying down gauntlets to the Prime Minister saying “that Mr Cameron has to veto this if he is to have any credibility at all”.

Bold words for a leader with one MP, as it stands.

But with another By-election in Rochester and Strood in the not too distant future, and being able to use big headlines like this, along with immigration fears in the general public, a possible second could be on the cards.

David Cameron on the other hand, has it all to do.

After already stating that he wanted to renegotiate the UK’s position within the EU, this announcement has dwarfed news that the British economy is still growing, something that the Tories could have shouted about.

But now, instead of being able to quiet the other political parties for a while, he has to take up arms and defend his position again.

He has started very strong, combating Nigel Farage with a very angry and powerful speech, saying that he would not pay. At least not on the 1st December.

It would seem then that David Cameron knows the severity of this political crossroad.

But I find it very unlikely that Britain will not pay any extra, even if a deal is agreed.

EU finance ministers have agreed to an emergency meeting of disgruntled countries, as it is not just the UK that have to pay extra, although we do have to pay considerably more. With some other major countries getting a ‘tax rebate’ of sorts.
Losers
Additional sum to pay
SOURCE: LEAKED EU COMMISSION DOCUMENT
United Kingdom
£1,676m
Netherlands
£506m
Italy
£268m
Greece
£70m
Cyprus
£33m
Winners
Reduction
France
£801m
Germany
£614m
Denmark
£253m
Poland
£249m
Austria
£232m
   
With countries like France and Germany set to profit from this new budget, a deal will be improbable.

But whatever deal Mr. Cameron might be able to make with the EU, it could have a direct result on the general election next year, as I fear that if UKIP are allowed to build up steam on the back of big negative EU stories, we could be in store for a very different looking government.