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France and Britain clash over rebate

Tony Blair - Wants CAP talks reopened
Tony Blair - Wants CAP talks reopened

The row between France and Britain over London's EU rebate of €4.5bn is continuing after discussions between the EU's foreign ministers in Luxembourg.

Britain won the rebate on contributions to the EU in 1984 because it gained little from agricultural subsidies.

The British Prime Minister, Tony Blair, has indicated that he is willing to negotiate on the rebate, if talks on the Common Agricultural Policy are reopened.

However, France has rejected new discussions on the CAP deal agreed three years ago.