§ 56. Mr. Heathcoat-Amoryasked the Secretary of State for Foreign and Commonwealth Affairs what is the estimated net cost of the European Community budget of the proposed accession of Spain and Portugal.
§ Sir Geoffrey HoweIt is generally accepted that both Spain and Portugal will be net recipients from the Community budget. Their actual net receipts after accession will depend on the outcome both of the post-Stuttgart and the accession negotiations currently under way.
§ Mr. Heathcoat-AmoryBearing in mind that the movement towards the accession of Spain and Portugal is gaining momentum, can we be given accurate estimates of costs on which to base a decision of principle, as the events of the past few days show that budgetary arrangements, once settled, are difficult to alter? Will my right hon. and learned Friend confirm that there is a limit to the costs that the Government would be prepared to accept in admitting Spain and Portugal to the EC?
§ Sir Geoffrey HoweThe costs of accession cannot yet be determined, as they depend on the nature and conclusion of the enlargement negotiations, and on the outturn of the negotiations that were broken off in Athens yesterday. Our contribution to those costs depends critically on our success in achieving a fair amendment of the budgetary arrangements in the Community which was one of the two key conditions emphasised by my right hon. Friend in Athens and Stuttgart.
§ Mr. DeakinsAre the estimates of the costs of accession likely to be based on present levels of agricultural production in Spain and Portugal, or are vast increases to be expected under any conceivable regime for those two countries?
§ Sir Geoffrey HoweThe precise shape of agricultural output and size for those two countries depends on the conclusions arrived at for the CAP regime as a whole.