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EU membership costs every Briton £873 a year

Last updated at 00:22am on 01.09.06

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Every man, woman and child is paying £873 a year for Britain to be a member of the European Union

Every man, woman and child is paying £873 a year for Britain to be a member of the European Union, according to a devastating new study.

An analysis of the price of EU membership has concluded combined direct and indirect costs will reach close to £100,000 a minute by next year.

The report, by the right-wing Bruges Group think-tank, is an attempt to conduct the cost-benefit analysis demanded by many MPs and peers since Britain joined the then European Economic Community in 1973.

Successive governments have refused to carry out such a study, arguing the benefits of membership are self-evident.

But the research published today concludes Britain has given nearly £200 billion to the EU since we joined and in 2007, British taxpayers will be forced to contribute £14.2 billion for membership.

That works out at a cost of £873 per year for every man, woman and child, it says.

Overall, the EU is costing the British economy £50.6 billion this year in both direct and indirect costs and by 2007 this will rise to £52.4 billion.

That means that by 2007 the cost will rise to nearly £100,000 per minute, the Bruges Group says.

United Kingdom Independence Party MEP Gerard Batten, author of the pamphlet, said: 'The question should not be whether we can afford to leave but how can we afford to stay in.'

Robert Oulds, director of the Bruges Group, which counts former Prime Minister Lady Thatcher as its honorary president, said: 'The cost per minute is an enormous sum. Over the course of a year the figure is shocking.

'To put it into perspective, just £1 billion will pay for 222,000 hip replacements, or 46,893 nurses, or 38,782 teachers, or 34,585 police officers.

'Imagine what we could do in Britain with the £50.6 billion that the EU costs us each year.'
The pamphlet admitted calculating the cost of EU membership was 'not easy', but insisted 'conservative estimates' had been made where exact costs were not known.

Britain's direct annual contribution to the EU budget will be £4.7 billion and will rise year on year to 2013, it said.

However, some of the money we pay to the overseas aid budget is not included in the normal budget figures.

The Common Agricultural Policy is identified as a big indirect cost of membership. The CAP ensures that the French, who benefit most from lavish subsidies to their farmers, get back 98 per cent of their total contributions to the EU budget.

The CAP, the report says, costs a British family of four an additional £20 on their weekly food bill - or £1,000 per year. About half of this is made up of higher taxes in order to subsidise farmers, and half through higher food bills compared to what we would pay for the same food on the world market.

The Common Fisheries Policy, meanwhile, which has allowed EU fleets to ravage Britain's formerly fertile fishing grounds, costs at least £1 billion a year to Britain in lost jobs and reduced catches.

The tide of regulations from the EU is also costing business dear, the report says.

It is now estimated that 70 per cent of Britain's new laws now emanate from Brussels, and complying with them al has a direct effect and cost for government, private organisations and business. Costs are also passed on to the consumer.

Holland has estimated that the cost of EU over-regulation is about two per cent of its national income. On the same basis, the cost to Britain is £20 billion a year.


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Reader views (8)

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The only way we can ever be free of the ever increasing tide of laws and financial costs of the EU is to leave it.

- Rob, London

That Europe is a money pit is not in doubt. Let's keep our money and not go there unless we have to!

- Matilda, Deepdene

What an incredible watse of money. Certainly the EU has brought us some benefits in free trade and investment, but when we read about EU beurocrats debating whether to ban un-pasteurised cheese or force the UK to switch to metric it all smacks of pointless and expensive red tape.

- Paul Borge, London

The quicker we get out of this EU mess the better. Especialy after declaring Bulgaria and Hungary culturally and economically "European". I don't think ex-Soviet Union and Iron Curtain countries will contribute anything to European culture and economy.

- James Sheppand, London

Europe is just one big expensive club for no hopers like Kinnock and Mandelson to get on the gravy train. The sooner this country wakes up and realises that Europe is not the way forward for this country, the better. There are no tangible benefits to be part of Europe. It has destroyed our fishing industry and costs us dearly to pay for French farmers to live a coseted life.
Europe still refuses to do anything to combat the Tiger economies of Asia. Britain is best placed to adapt to this, but we are slowly being drawn backwards as we become more entrenched in Europe.
Pull out before it's too late.

- James, Rayleigh.

Is there an Opt out button? I would like my £4,365.00 back for this year please.

- Gideon Wilkins, Paddock Wood, Kent

Dhanraj, these figures are NETT and thus comprehend at least in part the investments. As for the the other investments to which you allude, do you have any figures to hand? Personally, I believe these are negligible. I see little or no benefit to the UK in EU membership. We'd get whatever trade exists with or without it.

- David, Crawley UK

You failed to mention in the article how much Britain gets back in terms of investment and grants.

- Dhanraj, Basildon


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