MEPs support CAP with EU budget vote

EU funding for agriculture has survived another hurdle, with a large majority of European Parliamentarians voting for agriculture and regional policy funding to remain at current levels, and the EU’s seven-year budget to be boosted by 5% — despite huge fiscal challenges and austerity programmes for many member states.

However, the Parliament is opposed by EU paymasters such as Britain, France, the Netherlands, Finland and Germany, who have signalled their intention to freeze EU spending.

The MEPs’ call for a bigger EU budget marked the beginning in earnest of negotiations over future EU spending limits.

Following the passing of the Lisbon Treaty, the European Parliament has much increased powers in budget negotiations.

Farmers who depend on the Common Agricultural Policy will have their fingers crossed again on June 29, when the European Commission will indicate its thinking on future resources for the CAP, to be followed by many months of budget negotiating before agreement is reached.

Controversially, MEPs have proposed that the EU generate its “own resources“, such as direct carbon or aviation taxes, to replace the system of contributions by national governments.