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UK liable to pay 47.5 billion euros to EU in post-Brexit settlement

Friday, July 9, 2021
UK liable to pay 47.5 billion euros to EU in post-Brexit settlement © Reuters. FILE PHOTO: British and European Union flags are seen ahead of a meeting of European Commission President Ursula von der Leyen and British Prime Minister Boris Johnson, in Brussels, Belgium December 9, 2020. Olivier Hoslet/Pool via REUTERS/File Photo

By Kanishka Singh

(Reuters) - The United Kingdom is liable to pay 47.5 billion euros ($56.23 billion) to the European Union as part of its post-Brexit financial settlement, according to the EU's consolidated budget report for 2020.

The report adds that the money is owed under a series of articles which both sides agreed to as part of the Brexit withdrawal agreement. The figure was reported earlier on Thursday by RTÉ News.

The total amount is significantly higher than expected. The UK's Office for Budget Responsibility (OBR) predicted in its March 2018 economic and fiscal outlook report that the bill would amount to 41.4 billion euros.

An initial amount of 6.8 billion euros is due for payment in 2021, the EU's consolidated budget report added, with the remainder of the amount to be paid later.

A sum total amount of 47.5 billion euros was mentioned in the report as "net receivable from the UK".

A trade and cooperation deal between the UK and EU was struck in December after more than four years of acrimonious negotiations and lingering mistrust as Britain ended 47 years of EU membership.

On Tuesday, the European Union urged London to consider a Swiss-style veterinary agreement with Brussels on agri-foods to end a post-Brexit 'sausage war' row over certain goods moving between Britain and its province of Northern Ireland.

Tension has mounted over trade arrangements for Northern Ireland, particularly for chilled meats, because the province's open border with EU member Ireland is Britain's only land frontier with the EU and its vast single market.

($1 = 0.8448 euros)

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01-05-2024 10:45:17 (UTC+7)

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 EUR/USD1.0658↑ Sell
 GBP/USD1.2475↑ Sell
 USD/JPY157.91↑ Buy
 AUD/USD0.6469Neutral
 USD/CAD1.3780↑ Buy
 EUR/JPY168.32↑ Buy
 EUR/CHF0.9808Neutral
 Gold2,295.80↑ Sell
 Silver26.677↑ Sell
 Copper4.5305↑ Buy
 Crude Oil WTI81.14↑ Sell
 Brent Oil85.62↑ Sell
 Natural Gas1.946↑ Sell
 US Coffee C213.73↑ Sell
 Euro Stoxx 504,920.55↑ Sell
 S&P 5005,035.69↑ Sell
 DAX17,921.95↑ Sell
 FTSE 1008,144.13Sell
 Hang Seng17,763.03↑ Sell
 Small Cap 20001,973.05↑ Sell
 IBEX 3510,854.40Neutral
 BASF49.155↑ Sell
 Bayer27.35↑ Sell
 Allianz266.60↑ Sell
 Adidas226.40↑ Sell
 Lufthansa6.714Neutral
 Siemens AG175.90↑ Sell
 Deutsche Bank AG15.010Neutral
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