the EU budget explained

The European summit on 15-16 December will focus discussions on the "financial perspectives", the EU budget for 2007-2013.

What spending areas does it cover, how do the positions and proposals differ and why is it such a contentious issue?

What is the \\"financial perspective\\"?

\nThis is the seven-year framework which provides a legal basis for the annual EU budgets.

It sets out the limits for the block's expenditure.

The plan spells out five main spending ...