Yes, yes, I know that’s not a headline to bring the crowd to its feet (and I promise not to mention it at Chicago – unless, hint, asked, hint), but the next round in the EU’s gathering crisis is the budgetary talks being held next week. Basically, the Commission in Brussels wants more money (there’s a surprise), and most national politicians don’t want to hand any more over (there’s another). One possible source of funds? The (very partial) rebate on the UK’s budget contribution negotiated by a handbag-swinging Mrs Thatcher way back when.

Jacques Chirac, desperately trying to deflect attention from the slight, uh, embarrassment recently inflicted on him by French voters has suggested that the UK should give up this rebate as a “gesture of solidarity” to Europe.

Tony Blair (credit where credit’s due) hit back with a gesture or two of his own (nicely illustrated over at EurSoc).

“Britain has been making a gesture because over the past 10 years, even with the British rebate, we have been making a contribution to Europe two and a half times that of France. Without the rebate, it would have been 15 times as much as France. So that is our gesture. The reason why the rebate exists is because otherwise there would be this quite unfair proportion of British contribution. The reason for the unfairness is because the spending of Europe is so geared to the common agricultural policy.”

France, needless to say, is the main beneficiary of the Common Agricultural Policy (the subsidy/protection regime for the EU’s farmers).

Will Chirac give that up?

Mais non.