Britain’s contributions to the EU will increase by £3.1 billion, according to figures hidden in tables released by the Office of Budget Responsibility late on Wednesday, following the launch of George Osborne’s Summer Budget.
Next year, the OBR estimates our contribution will be £9.5 billion — £1.3 billion higher than forecast following Osborne’s March budget. Last December Osborne also got it wrong when he said “I can confirm that the OBR’s forecast today shows Britain’s net payments to the EU falling by around £1 billion for this year and next year.”
Over the next 5 years, the cost of Britain’s EU membership will leap by £3.1 billion and we will be forced to pay £11.3 billion in 2020 — that’s if the projections don’t increase even further as time goes on. Previous estimates of our net contributions were £9.9 billion, but this year they will be £10.4 billion.
The new figures are based on revised projections of the size of Britain’s economy compared to other EU Member States. As ever, the EU is effectively punishing Britain for our success and the growth of our economy.
According to the OBR, we will also receive a lower than expected EU rebate. This is because we received more EU funds than were anticipated last year. The level of the rebate is affected by the amount of EU funds we receive.
Margaret Thatcher negotiated Britain’s historic rebate in 1984 because 80 percent of the EU budget was spent on agricultural subsidies. Britain, having a relatively small farming industry, would only receive a small share of this money.
We won’t know for certain whether or not our contributions will increase even further until December, and a Grexit from either the euro or the EU could impact even further.
While David Cameron keeps promising success with his proposed limited negotiations over our EU membership, our bills from Brussels keep rising, as more and more EU migrants flood into Britain.
It is clear the EU has very little interest in David Cameron’s renegotiation process, as they are far more concerned with saving the Eurozone.
The reality is the EU wants to keep expanding its powers and forging ahead with plans for a federal Europe.
The more Britain’s economy grows, the more money will be extracted by Brussels for them to squander. As we have said before, Cameron’s renegotiation efforts will prove to be futile and will yield — at best — minor adjustments.
The only way to secure our prosperity is to Get Britain Out and leave us free to enjoy our success in global markets, as well as the dwindling economy of the EU.
This article was cross-posted for the Commentator.