How does the EU budget work?
\nThe EU's budget - known in technical jargon as the financial perspectives - are agreed in advance for a seven year period. The next period will run from 2007-2013. Member States and the Parliament agree on spending limits for the whole period and also for subdivisions within that budget. At present the budget is subdivided into seven categories: agriculture, structural measures, internal policies, external action, administrative procedure, reserves and p...