Draft general budget 2008

Annex PARTA-2 — FINANCING OF THE GENERAL BUDGET

Appropriations to be covered during the financial year 2008 pursuant to Article 1 of Council Decision 2000/597/EC, Euratom of 29 September 2000 on the system of the European Communities´ own resources

EXPENDITURE

Description

Budget 2008

Budget 2007⁽¹⁾

Change (%)

1. Sustainable growth

49 114 980 357

44 837 060 205

+ 9,54

2. Preservation and management of natural resources

54 217 327 053

54 718 545 736

- 0,92

3. Citizenship, freedom, security and justice

1 127 980 786

1 201 955 766

- 6,15

4. The EU as a global partner

7 552 525 400

7 352 746 732

+ 2,72

5. Administration

7 190 804 746

6 942 264 030

+ 3,58

6. Compensation

206 636 292

444 646 152

– 53,53

Total expenditure⁽²⁾

119 410 254 634

115 497 218 621

+ 3,39

(1)	The figures in this column correspond to those in the 2007 budget (OJ L 77, 16.3.2007, p. 1) plus Amending Budgets No 1 to No 4/2007.
(2)	The third paragraph of Article 268 of the Treaty establishing the European Community reads: ‘The revenue and expenditure shown in the budget shall be in balance‚.

REVENUE

Description

Budget 2008

Budget 2007⁽¹⁾

Change (%)

Miscellaneous revenue (Titles 4 to 9)

1 285 893 454

1 209 273 561

+ 6,34

Surplus available from the preceding financial year (Chapter 3 0, Article 3 0 0)

p.m.

1 847 631 711

Surplus of own resources resulting from a transfer from EAGGF Guarantee Section chapters (Chapter 3 0, Article 3 0 1)

p.m.

Surplus of own resources resulting from the repayment of the surplus of the Guarantee Fund for external actions (Chapter 3 0, Article 3 0 2)

125 750 000

p.m.

Balance of own resources accruing from VAT and GNP/GNI-based own resources for earlier years (Chapters 3 1 and 3 2)

p.m.

Total revenue for Titles 3 to 9

1 411 643 454

3 056 905 272

- 53,82

Net amount of customs duties, agricultural duties and sugar levies (Chapters 1 0, 1 1 and 1 2)

18 748 500 000

17 307 700 000

+ 8,32

VAT own resources at the uniform rate (Tables 1 and 2, Chapter 1 3)

19 095 673 953

17 827 409 252

+ 7,11

Remainder to be financed by the additional resource (GNI own resources, Tables 3 and 4, Chapter 1 4)

80 154 437 227

77 305 204 097

+ 3,69

Appropriations to be covered by the own resources referred to in Article 2 of Decision 2000/597/EC, Euratom⁽²⁾

117 998 611 180

112 440 313 349

+ 4,94

Total revenue⁽³⁾

119 410 254 634

115 497 218 621

+3,39

(1)	The figures in this column correspond to those in 2007 budget (OJ L 77, 16.3.2007, p. 1) plus Amending Budgets No 1 to No 4/2007.
(2)	The own resources for the 2008 budget are determined on the basis of the budget forecasts adopted at the 139th meeting of the Advisory Committee on Own Resources on 16 May 2007.
(3)	The third paragraph of Article 268 of the Treaty establishing the European Community reads: ‘The revenue and expenditure shown in the budget shall be in balance‚.

TABLE 1

Calculation of capping of harmonised value added tax (VAT) bases pursuant to Article 2(1)(c) of Decision 2000/597/EC, Euratom

Member State

1 % of non-capped VAT base

1 % of gross national income

Capping rate (in %)

1 % of gross national income multiplied by capping rate

1 % of capped VAT base⁽¹⁾

Member States whose VAT base is capped

(1)

(2)

(3)

(4)

(5)

(6)

Belgium

1 440 965 000

3 420 171 000

1 710 085 500

1 440 965 000

Bulgaria

180 939 000

302 569 000

151 284 500

Bulgaria

Czech Republic

702 867 000

1 219 393 000

609 696 500

Czech Republic

Denmark

975 620 000

2 392 833 000

1 196 416 500

975 620 000

Germany

10 407 889 000

24 720 152 000

12 360 076 000

10 407 889 000

Estonia

98 259 000

165 538 000

82 769 000

Estonia

Ireland

905 937 000

1 719 953 000

859 976 500

Ireland

Greece

1 267 563 000

2 175 920 000

1 087 960 000

Greece

Spain

6 743 417 000

10 822 406 000

5 411 203 000

Spain

France

9 383 695 000

19 230 736 000

9 615 368 000

9 383 695 000

Italy

6 175 505 000

15 707 334 000

7 853 667 000

6 175 505 000

Cyprus

128 544 000

157 346 000

78 673 000

Cyprus

Latvia

122 307 000

218 725 000

109 362 500

Latvia

Lithuania

132 605 000

286 456 000

143 228 000

132 605 000

Luxembourg

175 313 000

323 842 000

161 921 000

Luxembourg

Hungary

404 912 000

995 759 000

497 879 500

404 912 000

Malta

41 423 000

53 280 000

26 640 000

Malta

Netherlands

2 803 480 000

5 744 079 000

2 872 039 500

2 803 480 000

Austria

1 220 187 000

2 736 781 000

1 368 390 500

1 220 187 000

Poland

1 593 295 000

3 122 414 000

1 561 207 000

Poland

Portugal

978 963 000

1 599 144 000

799 572 000

Portugal

Romania

552 422 000

1 317 240 000

658 620 000

552 422 000

Slovenia

185 938 000

335 086 000

167 543 000

Slovenia

Slovakia

250 865 000

563 978 000

281 989 000

250 865 000

Finland

792 183 000

1 828 978 000

914 489 000

792 183 000

Sweden

1 490 119 000

3 456 262 000

1 728 131 000

1 490 119 000

United Kingdom

10 530 959 000

21 276 097 000

10 638 048 500

10 530 959 000

Total

59 686 171 000

125 892 472 000

62 946 236 000

57 669 214 000

(1)	The base to be used does not exceed 50 % of GNI.

Calculation of the uniform call rate for VAT own resources (Article 2(4) of Decision 2000/597/EC, Euratom):

Uniform rate (%) = maximum call rate – frozen rate

A. The maximum call rate is set at 0,50 % for 2008.

B. Determination of the rate frozen by the correction of budgetary imbalances granted to the United Kingdom (Article 2(4)(b) of Decision 2000/597/EC, Euratom):

(1) calculation of the theoretical share of the countries with a restricted financial burden:

In accordance with Article 5(1) of Decision 2000/597/EC, Euratom, the financial contribution of Germany (DE), the Netherlands (NL), Austria (AT) and Sweden (SE) is restricted to a quarter of their normal contribution.

Formula for a country with a restricted financial burden, for example Germany:

Germany’s theoretical VAT contribution = (Germany’s capped VAT base / (EU capped VAT base – UK capped VAT base)) x 1/4 x United Kingdom correction

Example: Germany

Germany’s theoretical VAT contribution =10 407 889 000 / (57 669 214 000 – 10 530 959 000) × 1/4 × 5 757 931 681 = 317 830 570

(2) calculation of the frozen rate:

Frozen rate = (UK correction – theoretical VAT contributions (D + NL + A + S)]/[EU capped VAT base – capped VAT bases (UK+ D + NL + A + S))

Frozen rate = 5 757 931 681 – (317 830 570 + 85 611 179 + 37 261 421 + 45 504 460))/(57 669 214 000 – (10 530 959 000 + 10 407 889 000 + 2 803 480 000 + 1 220 187 000 + 1 490 119 000))

Frozen rate = 0,168875772152444 %

Uniform rate

0,5 % – 0,168875772152444 % = 0,331124227847556 %

TABLE 2

Breakdown of own resources accruing from VAT pursuant to Article 2(1)(c) of Decision 2000/597/EC, Euratom (Chapter 1 3)

Member State	1 % of capped VAT base	Maximum VAT call rate (in %)	Uniform rate of VAT own resources (in %)	VAT own resources at uniform rate
	(1)	(2)	(3)	(4) = (1) × (3)
Belgium	1 440 965 000	0,50	0,331124228	477 138 423
Bulgaria	151 284 500	0,50	0,331124228	50 093 963
Czech Republic	609 696 500	0,50	0,331124228	201 885 283
Denmark	975 620 000	0,50	0,331124228	323 051 419
Germany	10 407 889 000	0,50	0,331124228	3 446 304 209
Estonia	82 769 000	0,50	0,331124228	27 406 821
Ireland	859 976 500	0,50	0,331124228	284 759 055
Greece	1 087 960 000	0,50	0,331124228	360 249 915
Spain	5 411 203 000	0,50	0,331124228	1 791 780 415
France	9 383 695 000	0,50	0,331124228	3 107 168 761
Italy	6 175 505 000	0,50	0,331124228	2 044 859 325
Cyprus	78 673 000	0,50	0,331124228	26 050 536
Latvia	109 362 500	0,50	0,331124228	36 212 573
Lithuania	132 605 000	0,50	0,331124228	43 908 728
Luxembourg	161 921 000	0,50	0,331124228	53 615 966
Hungary	404 912 000	0,50	0,331124228	134 076 173
Malta	26 640 000	0,50	0,331124228	8 821 149
Netherlands	2 803 480 000	0,50	0,331124228	928 300 150
Austria	1 220 187 000	0,50	0,331124228	404 033 478
Poland	1 561 207 000	0,50	0,331124228	516 953 462
Portugal	799 572 000	0,50	0,331124228	264 757 661
Romania	552 422 000	0,50	0,331124228	182 920 308
Slovenia	167 543 000	0,50	0,331124228	55 477 547
Slovakia	250 865 000	0,50	0,331124228	83 067 479
Finland	792 183 000	0,50	0,331124228	262 310 984
Sweden	1 490 119 000	0,50	0,331124228	493 414 503
United Kingdom	10 530 959 000	0,50	0,331124228	3 487 055 667
Total	57 669 214 000			19 095 673 953

TABLE 3

Determination of uniform rate and breakdown of resources based on gross national income pursuant to Article 2(1)(d) of Decision 2000/597/EC, Euratom (Chapter 1 4)

Member State

1 % of gross national income

Uniform rate of ‘additional base‚‚ own resources

‘Additional base‚ own resources at uniform rate

(1)

(2)

(3) = (1) × (2)

Belgium

3 420 171 000

2 177 587 566

Bulgaria

302 569 000

192 642 559

Czech Republic

1 219 393 000

776 374 934

Denmark

2 392 833 000

1 523 492 068

Germany

24 720 152 000

15 739 065 572

Estonia

165 538 000

105 396 336

Ireland

1 719 953 000

1 095 076 319

Greece

2 175 920 000

1 385 385 800

Spain

10 822 406 000

6 890 514 171

France

19 230 736 000

12 244 011 076

Italy

15 707 334 000

10 000 697 398

Cyprus

157 346 000

100 180 574

Latvia

218 725 000

0,6366897⁽¹⁾

139 259 949

Lithuania

286 456 000

182 383 578

Luxembourg

323 842 000

206 186 858

Hungary

995 759 000

633 989 475

Malta

53 280 000

33 922 826

Netherlands

5 744 079 000

3 657 195 798

Austria

2 736 781 000

1 742 480 209

Poland

3 122 414 000

1 988 008 758

Portugal

1 599 144 000

1 018 158 475

Romania

1 317 240 000

838 673 109

Slovenia

335 086 000

213 345 797

Slovakia

563 978 000

359 078 970

Finland

1 828 978 000

1 164 491 410

Sweden

3 456 262 000

2 200 566 333

United Kingdom

21 276 097 000

13 546 271 309

Total

125 892 472 000

80 154 437 227

(1)	Calculation of rate: (80 154 437 227) / (125 892 472 000) = 0,636689676146879 %.

TABLE 4

Correction of budgetary imbalances for the United Kingdom for 2007 pursuant to Article 4 of Decision 2000/597/EC, Euratom (Chapter 1 5)

Description

Coefficient⁽¹⁾ (%)

Amount

1. United Kingdom’s share (in %) of total non-capped VAT bases

17,7156

2. United Kingdom’s share (in %) of PAE-adjusted total allocated expenditure

8,7227

3. (1) – (2)

8,9929

4. Total allocated expenditure

107 174 316 280

5. Pre-accession expenditure (PAE)⁽²⁾

2 924 640 078

6. PAE-adjusted total allocated expenditure = (4) – (5)

104 249 676 202

7. United Kingdom’s correction original amount = (3) × (6) x 0,66

6 187 547 592

8. United Kingdom’s advantage⁽³⁾

451 577 107

9. Basic compensation for the United Kingdom = (7) – (8)

5 735 970 485

10. Windfall gains deriving from traditional own resources⁽⁴⁾

- 21 961 196

11. Correction for the United Kingdom = (9) – (10)

5 757 931 681

(1)	Rounded percentages.
(2)	The amount of pre-accession expenditure (PAE) corresponds to payments made to the 10 new Member States (which joined the EU on 1 May 2004) under 2003 appropriations, as adjusted by applying the EU GDP deflator for 2004, 2005 and 2006, as well as payments made to Bulgaria and Romania under 2006 appropriations. This amount is deducted from total allocated expenditure to ensure that expenditure which is unabated before enlargement remains so after enlargement.
(3)	The ‘UK advantage’ corresponds to the effects arising for the United Kingdom from the changeover to capped VAT and the introduction of the GNP/GNI-based own resource.
(4)	These windfall gains correspond to the net gains of the United Kingdom resulting from the increase – from 10 to 25 % as of 1 January 2001 – in the percentage of traditional own resources retained by Member States to cover the collection costs of traditional own resources (TOR).

TABLE 5

Calculation of the financing of the correction for the United Kingdom amounting to EUR – 5 757 931 681 (Chapter 1 5)

Member State	Percentage share of GNI base	Shares without the United Kingdom	Shares without Germany, the Netherlands, Austria, Sweden and the United Kingdom	Three quarters of the share of Germany, the Netherlands, Austria and Sweden in column 2	Column 4 distributed in accordance with column 3	Financing scale	Financing scale applied to the correction
	(1)	(2)	(3)	(4)	(5)	(6) = (2) + (4) + (5)	(7)
Belgium	2,72	3,27	5,03		1,32	4,59	264 394 444
Bulgaria	0,24	0,29	0,45		0,12	0,41	23 389 931
Czech Republic	0,97	1,17	1,79		0,47	1,64	94 264 507
Denmark	1,90	2,29	3,52		0,93	3,21	184 976 643
Germany	19,64	23,63	0,00	-17,72	0,00	5,91	340 140 218
Estonia	0,13	0,16	0,24		0,06	0,22	12 796 824
Ireland	1,37	1,64	2,53		0,67	2,31	132 960 024
Greece	1,73	2,08	3,20		0,84	2,92	168 208 303
Spain	8,60	10,34	15,92		4,19	14,53	836 620 163
France	15,28	18,38	28,30		7,44	25,82	1 486 621 504
Italy	12,48	15,01	23,11		6,07	21,09	1 214 246 844
Cyprus	0,12	0,15	0,23		0,06	0,21	12 163 546
Latvia	0,17	0,21	0,32		0,08	0,29	16 908 416
Lithuania	0,23	0,27	0,42		0,11	0,38	22 144 324
Luxembourg	0,26	0,31	0,48		0,13	0,43	25 034 428
Hungary	0,79	0,95	1,47		0,39	1,34	76 976 604
Malta	0,04	0,05	0,08		0,02	0,07	4 118 781
Netherlands	4,56	5,49	0,00	-4,12	0,00	1,37	79 036 419
Austria	2,17	2,62	0,00	-1,96	0,00	0,65	37 657 102
Poland	2,48	2,98	4,59		1,21	4,19	241 376 502
Portugal	1,27	1,53	2,35		0,62	2,15	123 620 950
Romania	1,05	1,26	1,94		0,51	1,77	101 828 516
Slovenia	0,27	0,32	0,49		0,13	0,45	25 903 640
Slovakia	0,45	0,54	0,83		0,22	0,76	43 598 010
Finland	1,45	1,75	2,69		0,71	2,46	141 388 142
Sweden	2,75	3,30	0,00	-2,48	0,00	0,83	47 556 896
United Kingdom	16,90	0,00	0,00		0,00	0,00	0
Total	100,00	100,00	100,00	-26,28	26,28	100,00	5 757 931 681

The calculations are made to 15 decimal places.

TABLE 6

Summary of financing⁽¹⁾ of the general budget by type of own resource and by Member State

Member State

Traditional own resources (TOR)

VAT and GNI-based own resources, including UK correction payments

Total own resources⁽²⁾

Net agricultural duties (75 %)

Net sugar and isoglucose levies (75 %)

Net customs duties (75 %)

Total net traditional own resources (75 %)

p.m.

Collection costs

(25% of gross TOR)

VAT own resources

GNI own resources

United Kingdom correction

Total “national contributions”

Share in total “national contributions” (%)

(1)

(2)

(3)

(4) = (1) + (2) + (3)

(5)

(6)

(7)

(8)

(9) = (6) + (7) + (8)

(10)

(11) = (4) + (9)

Belgium

18 400 000

31 400 000

1 676 800 000

1 726 600 000

575 533 333

477 138 423

2 177 587 566

264 394 444

2 919 120 433

2,94

4 645 720 433

Bulgaria

10 100 000

400 000

55 600 000

66 100 000

22 033 333

50 093 963

192 642 559

23 389 931

266 126 453

0,27

332 226 453

Czech Republic

6 700 000

3 300 000

230 400 000

240 400 000

80 133 333

201 885 283

776 374 934

94 264 507

1 072 524 724

1,08

1 312 924 724

Denmark

40 900 000

3 800 000

275 400 000

320 100 000

106 700 000

323 051 419

1 523 492 068

184 976 643

2 031 520 130

2,05

2 351 620 130

Germany

221 500 000

163 700 000

3 381 600 000

3 766 800 000

1 255 600 000

3 446 304 209

15 739 065 572

340 140 218

19 525 509 999

19,67

23 292 309 999

Estonia

900 000

8 600 000

26 200 000

35 700 000

11 900 000

27 406 821

105 396 336

12 796 824

145 599 981

0,15

181 299 981

Ireland

800 000

232 000 000

232 800 000

77 600 000

284 759 055

1 095 076 319

132 960 024

1 512 795 398

1,52

1 745 595 398

Greece

11 000 000

1 500 000

247 000 000

259 500 000

86 500 000

360 249 915

1 385 385 800

168 208 303

1 913 844 018

1,93

2 173 344 018

Spain

58 700 000

8 500 000

1 337 600 000

1 404 800 000

468 266 667

1 791 780 415

6 890 514 171

836 620 163

9 518 914 749

9,59

10 923 714 749

France

126 000 000

229 600 000

1 352 400 000

1 708 000 000

569 333 333

3 107 168 761

12 244 011 076

1 486 621 504

16 837 801 341

16,97

18 545 801 341

Italy

173 600 000

6 900 000

1 621 700 000

1 802 200 000

600 733 334

2 044 859 325

10 000 697 398

1 214 246 844

13 259 803 567

13,36

15 062 003 567

Cyprus

4 300 000

3 800 000

32 200 000

40 300 000

13 433 333

26 050 536

100 180 574

12 163 546

138 394 656

0,14

178 694 656

Latvia

1 200 000

800 000

26 800 000

28 800 000

9 600 000

36 212 573

139 259 949

16 908 416

192 380 938

0,19

221 180 938

Lithuania

2 500 000

900 000

48 200 000

51 600 000

17 200 000

43 908 728

182 383 578

22 144 324

248 436 630

0,25

300 036 630

Luxembourg

700 000

21 800 000

22 500 000

7 500 000

53 615 966

206 186 858

25 034 428

284 837 252

0,29

307 337 252

Hungary

4 800 000

6 300 000

128 500 000

139 600 000

46 533 333

134 076 173

633 989 475

76 976 604

845 042 252

0,85

984 642 252

Malta

1 400 000

200 000

10 500 000

12 100 000

4 033 334

8 821 149

33 922 826

4 118 781

46 862 756

0,05

58 962 756

Netherlands

298 700 000

14 600 000

1 634 600 000

1 947 900 000

649 300 000

928 300 150

3 657 195 798

79 036 419

4 664 532 367

4,70

6 612 432 367

Austria

4 400 000

13 800 000

327 400 000

345 600 000

115 200 000

404 033 478

1 742 480 209

37 657 102

2 184 170 789

2,20

2 529 770 789

Poland

46 800 000

71 200 000

304 200 000

422 200 000

140 733 333

516 953 462

1 988 008 758

241 376 502

2 746 338 722

2,77

3 168 538 722

Portugal

28 000 000

300 000

103 800 000

132 100 000

44 033 333

264 757 661

1 018 158 475

123 620 950

1 406 537 086

1,42

1 538 637 086

Romania

30 000 000

1 100 000

186 200 000

217 300 000

72 433 334

182 920 308

838 673 109

101 828 516

1 123 421 933

1,13

1 340 721 933

Slovenia

300 000

41 400 000

41 700 000

13 900 000

55 477 547

213 345 797

25 903 640

294 726 984

0,30

336 426 984

Slovakia

1 500 000

2 300 000

75 700 000

79 500 000

26 500 000

83 067 479

359 078 970

43 598 010

485 744 459

0,49

565 244 459

Finland

7 400 000

900 000

149 800 000

158 100 000

52 700 000

262 310 984

1 164 491 410

141 388 142

1 568 190 536

1,58

1 726 290 536

Sweden

19 800 000

2 900 000

406 200 000

428 900 000

142 966 667

493 414 503

2 200 566 333

47 556 896

2 741 537 732

2,76

3 170 437 732

United Kingdom

562 800 000

56 600 000

2 497 900 000

3 117 300 000

1 039 100 000

3 487 055 667

13 546 271 309

-5 757 931 681

11 275 395 295

11,36

14 392 695 295

Total

1 683 200 ⁽³⁾000

633 400 000

16 431 900 000

18 748 500 000

6 249 500 000

19 095 673 953

80 154 437 227

99 250 111 180

100,00

117 998 611 180

(1)	p.m. (own resources + other revenue = total revenue = total expenditure) ; (117 998 611 180+ 1 411 643 454 = 119 410 254 634 = 119 410 254 634)
(2)	Total own resources as percentage of GNI: (117 998 611 180) / (12 589 247 200 000) = 0,94 %; own resources ceiling as percentage of GNI: 1,24 %.
(3)


Important legal notice	Last updated on: '23/08/2007'

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