QUESTION: Mr. Armstrong; All the news here in Britain is always how bad it will be if we leave the extortion ring in Brussels. You have mentioned that we are the biggest market for German cars. What will Brexit do to the EU?
Thanks
GD
ANSWER: Once the British exit from the EU “extortion” ring as you call it, the remaining nations will have to pay more than an additional €10 billion euros to keep Brussels floating in jobs and exorbitant pension. Besides the German auto-industry being clipped for political reasons as the EU punishes Britain to act as a deterrent to prevent others from leaving, Germany’s proportion of making up the shortfall from BREXIT will be almost €4 billion. With BREXIT, everyone will have to contribute an additional 15% so they can do nothing but make it more miserable for Europeans.
European Parliament President Antonio Tajani calls for a doubling of the budget of the European Union. “We need twice as much money as today, so 280 billion euros instead of 140 billion euros per year,” said Tajani the spark newspapers. Since the EU cannot issue debt, that means the doubling of the EU budget should not be financed by additional transfers from the Member States, but by the introduction of taxes.
“This will require new EU own resources, such as a financial transaction tax on stock exchanges,” Tajani said. The President of the European Parliament justified his initiative with the costs of dealing with the refugee crisis and the fight against terrorism, as well as the increased need for investment. “Europeans must invest more in energy and digitalization of the economy in the future,” the Italian said. Only in this way could the EU compete with the US, China, India or Russia in global competition.
The EU Parliament is currently negotiating with the finance ministers of the EU governments for the Community budget for the year 2018. The EU parliament demands funds of 146.7 billion euros for the coming year – 2.3 billion euros more than the finance ministers want to make available.
Almost 80 percent of the EU budget is covered by the contributions of the member countries, the remainder comes from so-called own resources of the EU – these are mainly customs revenue. Germany, the largest net contributor, contributes just under 20 percent to the EU budget.
The EU wants to impose its own tax resources, such as a financial transaction tax on stock exchanges. This is being justified, believe it or not, to cover the costs of dealing with the refugee crisis and the fight against terrorism as they claim. They are right now negotiating with the finance ministers of the EU governments for the Community budget for the year 2018. They now want 146.7 billion euros for the coming year – 2.3 billion euros more than the finance ministers want to make available. Brussels knows how to spend money. Almost 80 % of the EU budget is covered by the contributions of the member states. The rest is primarily customs revenue. Germany, the largest net contributor, contributes just under 20 percent to the EU budget.
