BUDGET

Britain allowed to halve EU budget bill

London has reached a compromise with EU finance ministers over higher British payments to the EU budget. British Finance Minister George Osborne says Britain will only have to pay half of the 2.1-billion-euro bill.

A surprising outcome to a surprise bill: EU officials have agreed to halve the amount Britain owes Brussels, following a weeks-long row over a budget surcharge due by next month.

Britain hailed the compromise as a victory, following a weeks-long row with Brussels over a 2.1-billion-euro budget surcharge.

British Finance Minister George Osborne (center of the picture) struck a triumphant tone after Friday’s negotiations.

“Instead of footing the bill we have halved the bill, we have delayed the bill, we will pay no interest on the bill, if there are mistakes in the bill we will get our money back," Osborne told reporters in the Belgian capital, adding, “this is far beyond what anyone expected us to achieve.”

More breathing space

Osborne said London will pay 850 pounds in two installments in the second half of next year. Under new calculations released last month, the EU had asked Britain to provide the additional funding because of higher-than-expected growth. London was given until December 1 to foot the bill. British Prime Minister David Cameron denounced the move as “appalling.”

Friday’s deal gives Cameron some much-needed breathing space - and a chance to save face at home. Instead of three weeks, he now has 10 months to find the funds for the payments. But more importantly, it’s sure to silence euroskeptics - if only for a while - who sought to paint Cameron into a corner ahead of the May 2015 general elections.

With this win in the bag, the conservative leader can make the case to voters that he can stand up to Brussels, at a time of growing anti-EU sentiment among Brits.

pad/hg (dpa, Reuter)  dw de