HC Deb 08 June 1982 vol 25 c83W
Sir Anthony Meyer

asked the Chancellor of the Exchequer which items are included in the (a) allocated and (b) unallocated sections of the European Community budget.

Mr. Ridley

The allocated budget comprises items of budget expenditure which the Commission allocates between member States and takes into account when calculating member States' net contributions for the purpose of the budget refunds agreements. The allocated budget currently represents some 90 to 95 per cent. of total expenditure—excluding the refunds paid under the budget agreements—and can be broken down in the following way:

  1. I. EAGGF Guarantee Section
  2. II. Improvement of structures (Social Fund, EAGGF Guidance Section, Regional Development Fund (quota section), EMS interest rate subsidies)
  3. III. Other intervention appropriations (research and investment, energy, industry, relief aid to disaster victims in the Community)
  4. IV. Repayments (reimbursement of own resources collection costs and other compensatory payments)
  5. V. Administration (covering all expenditure by the Parliament, the Council—including the Economic and Social Committee—the Court of Justice and the Court of Auditors, plus the bulk of the Commission's administrative expenditure)

The remaining items of expenditure constitute the unallocated budget. Apart from refunds paid under the budget agreements, the predominant component is the Community's expenditure on overseas aid.