British government attacked by MEPs over EU budget criticisms

UK government's criticisms of a proposed increase in the EU's long-term budget have been attacked as a "provocation to Europe and the European Union" during a debate on 8 June 2011.
Guy Verhofstadt, the leader of the European Parliament's liberal group and a former prime minister of Belgium, accused the UK of "continuing the policies of the past", through its opposition to a proposed 5% increase in the budget for 2014-2020.
His attack came during a debate on a report by the parliament's Policy Challenges Committee on the seven year budget, known as the Multi-annual Financial Framework (MFF).
The UK, along with some other EU government, has said the next MFF should be capped at the EU inflation rate, currently 3.2%.
However Mr Verhofstadt said that increasing the role of the EU could lead to reductions in the UK's public sector budget, through pooling resources with other member states.
British Conservative MEP Richard Ashworth defended the opposition to the proposed increase and accused Mr Verhofstadt of "missing the point and facing in the wrong direction".
Mr Ashworth, the leading UK conservative on the Policy Challenges Committee, said the European Parliament would be "extremely unwise" if it ignored the austerity measures being undertaken by a number of EU national government.
"More Europe is not the answer, smarter Europe is," he said.
The report says that a 5% increase is needed to meet the policy aims, such as the Europe 2020 strategy, that member states have already agreed to.
EU governments are being challenged to say which policy priorities would be dropped if the budget freeze is insisted upon.
MEPs say that whilst agriculture and regional policy funding should remain at current levels, there should be an increase in investment in energy infrastructure.
The report also reiterates demands by MEPs for the EU to introduce further "own resources", such as direct carbon or aviation taxes, to replace the system of contributions by national governments.
This demand includes a call to end the British rebate, currently worth around €3 (£2.6bn) a year.
However Swedish centre-right MEP Gunnar Hokmark warned against "member state bashing". He urged the EU's Budget Commission Janusz Lewandowski to show "courage and leadership", and said "if we don't understand the tough circumstances facing national governments, then we don't understand the citizens of the EU".
The report was passed by 468 votes to 134 at the daily voting session later in the day.
This will be followed at the end of June by the formal publication of the European Commission's recommendations of the MFF.
It has already indicated that its position is similar to the parliamentary committee's.
Following this, negotiations will begin between the Parliament, Commission and national governments.