Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what are the estimated net contributions to/from the European Union in each year following the EU/UK reset, including contributions to Erasmus+ and the EU Cohesion Fund, and what assessment has he made of the potential impact of the reset on the 2030 net payment to the UK.

The Government does not produce an estimate of a single net annual contribution to or from the European Union. Payments relating to the UK's participation in EU programmes and other agreements are disclosed in the relevant departmental accounts. For Erasmus+ in particular, contributions in 2027 are estimated at £570m. Participation in EU programmes under the next Multiannual Financial Framework from 2028 will be subject to further negotiations.

The UK is not currently contributing to EU Cohesion Funds as a consequence of the May 2025 Common Understanding. Whilst the EU is seeking to establish a mechanism for a UK financial contribution towards reducing economic and social disparities between the regions of the Union as part of participation in the Internal Electricity Market, any UK financial contribution would be subject to negotiations with the EU, and no contributions have yet been made or agreed upon.

The UK also continues to make and receive payments under the financial provisions of the Withdrawal Agreement. The Office for Budget Responsibility's forecast of those payments is presented on a net basis and is published in the OBR’s biannual Economic and Fiscal Forecast. The forecast negative value in 2030 reflects the expectation that receipts will exceed payments in that year. Obligations under the Withdrawal Agreement are not impacted by the May 2025 Common Understanding.