CHAPTER 3: Summary of Conclusions
55. We support HM Treasury's three principles
and welcome the news that work on the 2008/9 review has already
commenced in Government. We request that HM Treasury provide in
due course details of the items of expenditure that it finds not
to be 'fit for purpose'. We particularly welcome the Government's
commitment to sound financial management and the need to pressure
all Member States to manage expenditure with greater care. (paragraph
17)
56. This Committee will continue to scrutinise
closely the form and transparency of the funding of the Galileo
Project. We support the Government's stance in refusing to raise
the Financial Perspective ceilings to fund the Project. (paragraph
31)
57. We recommend that EU funding for the EIT
should be reduced to a level commensurate with the gradual phased
approach which is now envisaged for its implementation; and that
the year by year profile of the total budget should properly reflect
that phased approach. We recommend, further, that the practice
of funding such a major project as the EIT from a reserve budgetary
source should not be regarded as acceptable. Contingency funds
should be reserved for genuinely unforeseen contingencies regardless
of size. (paragraph 34)
58. We support the Government's view that the
budgets for the external agencies should be closely examined to
ensure they are producing value for money. (paragraph 36)
59. We support the principle of increasing the
Structural Fund receipts accruing to the poorest Member States
as this is where European money can add the most value. (paragraph
39)
60. We also note and support the Government's
intention to initiate a "Gershon-type review" as part
of the 2008/9 review of the budget (QQ 10, 25), and to take
steps to promote productivity and value for money. (paragraph
53)
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