Damien English (Meath, Fine Gael)
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Question 34: To ask the Minister for Foreign Affairs the position with regard to agreement on the future financial perspectives for the EU for the period 2007-2013; and if he will make a statement on the matter. [33290/05]

Dermot Ahern (Louth, Fianna Fail)
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As the Deputy will be aware, the European Council in June 2005 failed to reach agreement on the future financial perspectives. While the great majority of member states could accept the Luxembourg Presidency's final compromise package of 17 June, a small number of countries remained opposed for a variety of reasons. These included the proposed reduction of the UK rebate, the level of net contributions and funding for cohesion.

The Taoiseach indicated at the European Council that, in the interests of solidarity, Ireland could accept the Luxembourg Presidency's final proposal. Throughout the negotiations, Ireland's fundamental objective has been to ensure that the enlarged Union is equipped with the necessary financial resources to enable it to meet the challenges of the years ahead and the rightful expectations of our citizens. Ireland's particular priorities in the negotiations include safeguarding the October 2002 agreement on the funding of the Common Agricultural Policy, ensuring adequate cohesion arrangements for our regions in transition, putting in place equitable financing arrangements for the Union and achieving increased funding for competitiveness, especially in the area of research and development.

At Monday's meeting of the General Affairs and External Relations Council in Brussels, member states held their first detailed discussion of the dossier at political level since June. I am pleased to report that all member states, Ireland included, attach urgency to achieving political agreement on the future financial framework at next month's European Council. It is clear, however, that considerable work needs to be done at Council level if we are to overcome the divisions that still exist among member states. Ireland's priorities in the current phase of the negotiations are unchanged. We also consider that the basis for agreement in December must be the package that was on the table in June. This is also the position of a clear majority of member states.

The Presidency is aiming to secure agreement on the dossier at the European Council meeting on 16-17 December. We will do everything possible, consistent with our stated priorities, to secure early agreement in the interests of the enlarged Union and its citizens.