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Allister denounces funding deceptions

27 April 2006

DUP MEP JIM ALLISTER used a debate in the European Parliament today in Brussels on budgetary discharge to sharply focus attention on the UK's misuse of funds earmarked by the EU for use in Northern Ireland.  EU Regulations require additionality, but the UK, while garnering funds on the back of Northern Ireland's needs, when they are received pours them directly into the central exchequer.  Mr Allister, who has been campaigning to expose what he describes as a cheat on both Europe and the regions, stepped up his battle today by addressing the Parliament on the issue.

In the course of his remarks Mr Allister said:-

"Whereas there is much to be said about the deficiencies in budgetary discharge here in the EU and within the institutions, I wish to focus on national misuse of EU funding.  There is a deception being perpetrated on both the regions of Europe and the EU by national governments, not least the UK.

EU funds are required by Article 11 of EC 1260/1999 to be truly additional and not deployed to replace domestic funds.  Yet, this is not how EU funds are being applied.  I have in my hand a letter from the Finance Minister in my region which admits that EU funds acquired for Northern Ireland are diverted instead directly into the UK central Exchequer and thereby used to reduce the level of UK-wide taxation and borrowing which is then necessary.  Such defeats additionality and cheats a region like mine out of funds intended by Europe to provide truly additional expenditure there.

I, therefore, call for the Regulation governing the new financial perspective from 2007 to expressly require Member States to demonstrate that true additionality is delivered to the regions in whose name funding is claimed.  Only then will the objective of attaining genuine economic impact be secured.  This cheating of the regions has gone on for years, now is the time to stop it."

For further information see http://www.jimallister.eu/default.asp?blogID=429

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