Michael Noonan (Limerick City, Fine Gael)
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This has been highlighted with comments made by the UK Prime Minister, Mr. David Cameron, when an extra demand was made on the UK Government as a result of the adjustments to the balancing repayments required from different countries. I will read the briefing note to the Deputy. I think that is the best thing to do.

The UK has requested that this item be added to the ECOFIN agenda. This follows Prime Minister Cameron's statement to Parliament that the UK will not pay a €2.1 billion balancing payment due on 1 December. ECOFIN Ministers now have an opportunity to discuss this issue and any proposal the Presidency may bring. A draft amending budget was tabled by the Commission on 17 October. The main part of this proposal provides for an adjustment to member states' EU budget contributions on foot of the annual technical re-balancing payments in respect of macroeconomic VAT and custom duty revisions undertaken for all member states. These re-balancing payments are called up automatically every year on 1 December in accordance with EU resource legislation. The UK has expressed its objection to the perceived magnitude and short notice for the 2014 balancing payment. It has requested the Commission to defer the formal request for the 1 December balancing payment and has asked it to investigate a possible phased payment approach. Ireland's position is that all member states must abide by the budgetary rules which they have agreed. In relation to this year's re-balancing exercise, we note this is a sensitive budgetary matter for certain countries, in particular the UK, particularly in relation to the timing as well as the magnitude of the proposed balancing statements. While recognising that all member states are expected to abide by the budgetary rules in terms of addressing any major political issue, we will be constructive in working with colleagues to seek a pragmatic solution which can be accommodated within the own resources legal framework.

What that means, in simple language, before I have conversations with the UK Chancellor of the Exchequer, Mr. George Osborne, is that my position is that every country should pay the legal amount. I do not think there is any necessity that it should be paid on 1 December. I would be quite open to a discussion about later payments and phased payments if that meets the needs of participating countries. In our own case, there was an adjustment for Ireland as well. An extra €6.5 million is required. I intend that we will pay that by 1 December.