Britain’s Brexit divorce bill to hit £42.5bn

Reading Time: 2 minutes

Britain’s EU divorce bill is set to rise to £42.5 billion, the Treasury has admitted, blaming spiralling inflation that has bloated eurocrat pensions.

The Government has conceded for the first time that the settlement will exceed the £35-39 billion estimate given when it was agreed in 2019. 

It is now predicted to be around £5 billion higher than the central projection, according to Exchequer calculations published on Thursday.

The figures revealed that the UK has paid the bloc £17.9 billion so far, leaving an estimated £24.6 billion of the agreement outstanding. They will prove politically awkward at a time when Britain is battling a growing cost of living crisis and money for public sector pay rises is tight.

Under the terms of the Brexit withdrawal deal, taxpayers will cover the retirement packages of British officials and MEPs who worked for the bloc until 2064.

The calculations show that the predicted cost of pensions has risen from an expected £1.7 billion-£4.4 billion to stand at £6.4 billion. 

The divorce bill also covers money the UK had pledged to EU programmes as a member, plus fees for staying in the Single Market until January last year.

At the start of the month, the commission published its own figures, increasing the estimated size of the settlement to £41 billion.

Read more via The Telegraph

Once you're here...

%d bloggers like this: