§ Mr. Marlow
To ask the Chancellor of the Exchequer under what provisions the United Kingdom is required to increase its gross national product percentage contribution to the EC; and by what date any necessary legislation is required to be passed.
§ Sir John Cope
The Edinburgh European Council agreed, as part of its conclusions on the Community's finances over the period to 1999, that the current ceiling of 1.2 per cent. of EC GNP on the Community's own resources should remain in force until 1994; and that the ceiling should then rise to 1.21 per cent. of EC GNP in 1995 and by gradual steps thereafter to 1.27 per cent. in 1999. In order to give effect to this agreement from 1 January 1995, it will be necessary to amend the Community's own resources decision—88/376/EEC, Euratom—and for the amended decision to be adopted by the member states. In the case of the United Kingdom, adoption would mean amending section 1(2) of the European Communities Act, 1972. The member states' actual contributions to the EC budget are determined in the annual budgetary procedure, within the ceiling in force.