The Netherlands and Britain led opposition to the EU’s 2011 spending plans on Monday night, forcing a rethink on the setting up of an EU diplomatic service among other projects, various newspapers report on Tuesday.

The European Commission and parliament want a 6.2% increase, partly to fund an expansion of the EU role under the Lisbon treaty.
In October, the Netherlands was one of 11 member states to support capping the EU budget increase at 2.9%, or €126.5bn. But new prime minister Mark Rutte came under heavy fire at home for not putting up more of a fight.
Influence
The European parliament had been willing to accept the lower figure if member states agreed to give them more say over the EU’s spending plans in the future.
But The Netherlands and Britain oppose boosting the parliament’s role in determining the EU’s budget.
D66 MEP Gerben Jan Gerbrandy told Nos tv the Netherlands’ position is ‘incomprehensible’.
‘The current way the EU budget is drawn up is not at all transparent,’ he said.
PVV
Labour MEP Thijs Berman said he also opposes the Dutch position. ‘The influence of the [anti-EU] PVV can be clearly felt,’ he was quoted as saying.
If the impasse continues, the 2011 budget will remain at 2010’s level. London and The Hague want more austerity because most EU countries have to cut spending because of the economic crisis.