EC panel issues plan to reform the budget

The EC commission unveiled proposals for reform of the European Community budget, including a special mechanism to reduce the cost of Britain's EC membership. The Commission did not set any figure on how much Britain's budget contributions could be reduced, but some estimates were $1.1 billion.

The Commission's blueprint for budget reform is in response to a mandate from EC foreign ministers last year to find a solution avoiding any repetition of the row over budget payments which split Britain and its EC partners in 1979 and early 1980.

West Germany has also complained about the high level of its net contributions, which last year came to more than $1.8 billion. But the Commission took no specific accout of West Germany's complaints, beyond emphasizing the need for streamlining the EC's expensive Common Agriculturral Po licy to reduce its cost.