Legislative Observatory
European Parliament
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2006 budget: Section III, Commission

2005/2001(BUD)

PURPOSE : to draw up an Amending Letter No. 3 to the Preliminary Draft Budget for 2006 in order to reduce the level of payment appropriations for 2006.

CONTENT : due to exceptional circumstances, arising in the context of the negotiations on the 2006 budget procedure, the Commission proposes a reduction to the level of payment appropriations in the preliminary draft budget (including amending letters 1/2006 and 2/2006) of EUR 257 million. This is to facilitate an agreement between the two arms of the budgetary authority, who have concurred that they can accept a total level of payment appropriations of EUR 111 969 million (equal to 1.01% of GNI).

Careful analysis of the possible areas, where reductions could be made without having an adverse effect on the budget for 2006, has led to the following proposals:

  • A reduction under Heading 4 of payment appropriations by EUR 70 million.
  • A reduction under Heading 7 of payment appropriations by EUR 187 million.

The revised amount for payment appropriations is deemed sufficient to cover the obligations of the year.