asked the Chancellor of the Exchequer what is Her Majesty's Government's policy towards the recent proposals by Mr. Jacques Delors, President of the European Economic Community Commission, for reform of the European Economic Community budget.

The president of the Commission's proposals for reform of the EEC budget contain a wide range of ideas, which Her Majesty's Government will be examining closely. The first priority must be to look at ways of controlling expenditure, especially on agriculture.