On the face of it, this story makes no sense. There is nothing for Britain in the deal. The French are laughing at our further gift to their pampered farmers. We already, before reducing the rebate, contributed five times as much to the EU as France.
Why would a British Prime Minister do this? He had a veto right. He could have used it. Who in Britain would care that the EU was not able to agree a budget? He would have been very popular, in fact. His successor will now have to make cuts in British public spending (or raise taxes) to fund the additional payments to Brussels. Either could cost Labour the next election. Economically and politically, there was no reason to do this.
If a story makes no sense there is always an unknown factor. Perhaps it is this; Mr Blair is scheduled to retire before the end of this Parliament. He has already said he will not serve in the House of Lords. Who will take a £100 bet that Mr Blair is offered a prestigious role in Brussels?
Telegraph | News | Blair's return of EU rebate will force spending cuts at home