Direct EU tax plan to face UK flak

Didier Reynders, Belgian Minister of Finance, has raised the idea of direct financing for the EU through a new EU-wide tax. He said that the tax would not lead to an increased tax level in the Member States but would shift the system of governmental contribution to the EU budget towards a direct taxation by the EU. While the proposal is backed by the German government and Romano Prodi, President of the European Commission, it is opposed by the UK and France.