UK firms pay £18billion bill for EU red tape

RED tape from Brussels has cost British business more than £18 billion over the last five years, new research showed yesterday.

The Lisbon Treaty is costing the UK dearly The Lisbon Treaty is costing the UK dearly [GETTY]

The annual net cost of rules generated or amended by the Lisbon Treaty is as high as £5.9 billion, said pro-reform and referendum group Business for Britain.

The Treaty which was formally enacted in 2009 though some of its new voting rules came into force only on Saturday.

It gave more power to Brussels and dramatically reduced the UK's power to veto EU proposals by increasing the number of measures where unanimous agreement is not needed to pass.

Business for Britain chief executive Matthew Elliott said: "The Lisbon Treaty has greatly increased the burden of EU regulation on business while reducing the power of the Britain to block EU decisions and new regulations.

"With the costs of the EU continuing to mount, reform that returns power to member states is long overdue.

The Lisbon Treaty has greatly increased the burden of EU regulation on business while reducing the power of the Britain to block EU decisions and new regulations

Matthew Elliott

"The public were denied a vote on the Lisbon Treaty despite the promises of politicians at the time.

"It's vital that history isn't allowed to repeat itself."

Today's report said the UK Government's highest estimates suggest the final cost to UK firms of laws directly linked to the Lisbon Treaty will come to £93.5 billion net.

When the Lisbon Treaty was signed in 2007 Mr Cameron gave a "cast iron guarantee" that a Tory government would give the public a vote.

In 2009 when the last EU state ratified it he dropped the pledge saying he could no more kill the treaty with a referendum than he could hold a vote to stop the sun rising.

But he promises if re-elected to hold a vote on whether to leave the EU.

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