HC Deb 19 June 1995 vol 262 c82W
Mr. Byers

To ask the Minister of Agriculture, Fisheries and Food what level of financial support has been given to the Italian and Greek tobacco industry over the last five years from the European Community, and what is the forecast of funding for each of the next three years. [28156]

Mr. Jack

[holding answer 13 June 1995]: Details of expenditure on the tobacco regime by the EU, broken down by member state, are contained in annex 2 of the annual financial reports of the European agricultural guidance and guarantee fund—EAGGF—guarantee section, copies of which have been deposited in the Library of the House. The latest report available relates to 1993. Figures for 1994, taken from the draft annual financial report are set out in the table.

  • Greece: 426.06 mecu (£326.481)
  • Italy: 394.53 mecu (£302.321)

The CAP budget is drawn up only a year in advance and is set in relation to forecast expenditure throughout the Community and not on the basis of allocations to individual member states. The figures for 1995 and 1996 are as follows:

  • 1995: EU 15 1,132 mecu (£914 million1)
  • 1996: EU 15 1,087 mecu (£909 million1)

Since 1992, the Commission has been conducting a detailed investigation into EC tobacco expenditure in member states. Disallowance—costs not being met from the EC budget—has been applied to Greece and Italy to the value of 16 mecu—£12 million—and 8 mecu—£6 million—in respect of the 1990 budget, and 35 mecu£28 million—and 22 mecu—£17 million—respectively, with regard to 1991, the last year where the accounts have been cleared. Concerns about tobacco expenditure have, of course, been covered in European Court of Auditors special report 8/93. Earlier this year, the Commission undertook to submit a report on the operation of the new regime agreed in 1992, together with an account of irregularities and fraud committed, and of measures already taken or to be taken in the clearance of accounts procedures.

  • 1 £1 = 1.3050 ecu. 2 £1 = 1.2389 ecu. £1 = 1.1960 ecu.

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