§ 9. Sir Sydney Chapman (Chipping Barnet)If he will make a statement on the impact of the proposals set out in his comprehensive spending review on the United Kingdom's net contributions to the European Union.
§ Mrs. LiddellThe United Kingdom's contributions to the European Community derive from its treaty obligations with the Community. Consequently, the comprehensive spending review has had no direct impact on the United Kingdom's net contributions to the European Community.
§ Sir Sydney ChapmanI thank the hon. Lady for her reply. If that is so, can she assure the House that when the budget and expenditure review of the EU takes effect from the end of next year, the UK's net contributions to the EU in the first two years of the new millennium will be no higher than they are at present?
§ Mrs. LiddellThe hon. Gentleman will be aware that discussions are about to start on the new financial prospectus for the European Community. It is important to make the point that, at the moment, there are increased pressures on the European Community budget because of decisions entered into by the Government of which he was a member in 1992 in relation to structural funds, which have meant a significant increase in expenditure on contributions to the EU. The long-term financial prospects must be looked at in light of the proposed enlargement of the EU. It is the determination of the Government to ensure that we can have a tight budgetary package so we get value for money not just for our domestic economy, but right across Europe.
§ Mrs. Louise Ellman (Liverpool, Riverside)Does my hon. Friend agree that targeted investment-led EU structural funds have made a major impact on the economies of regions such as the north-west, particularly during those years when the Conservative party refused to intervene to do anything about disparities in regional economies? Does she believe that the comprehensive spending review's proposals for new investment in transport infrastructure will help to develop the economies of our regions so that we may strive to become near the average of the EU regions in terms of gross domestic product, rather than below, where we find ourselves as a result of 18 years of neglect?
§ Mrs. LiddellMy hon. Friend is well aware of the Chancellor's intention in the comprehensive spending review to seek to reach a settlement that ensures that our infrastructure gets the investment that it requires. We are coming up to a period in which we will be examining the future of the structural funds. The aim of the British Government will be to ensure value for money and that the new structural funds settlement and the common agricultural policy secure the best interests of the taxpayers of the United Kingdom and our constituents.