LONDON, Dec. 6 (Xinhuanet) -- British Foreign Secretary Jack Strawon Monday unveiled British proposal to cut its European Union (EU) budget rebate in the future by nearly 800 million pounds (1400 million US dollars) a year.

    Straw said Britain was ready to pay an extra 1 billion Euros (about 1.18 billion US dollars) per year into the EU budget, which is part of a package aimed at ending deadlock over the 2007-13 EU budget before Britain ends its EU presidency.

    Straw said Britain wanted to pay its fair share of the costs of enlargement, adding that the European Commission's original proposal was "far too high".

    "The UK government recognizes its responsibility to pay a fair contribution to the cost of enlargement...We in the UK government are prepared to pay out fair share but no more than a fair share." Straw said.

    The current annual rebate of more than 2.7 billion pounds (4.7 billion US dollars) a year would still rise - but only by 40% instead of by 75%.

    The EU's new member states would lose nearly 10% of EU funds they expected from the new budget. And it would also mean a lower ceiling on total EU spending than the European Commission insists is necessary to finance the expanded 25-nation EU between 2007-2013.

    The proposal is more than a trillion euros over seven years - about 700 billion pounds (about 1225 billion US dollars) or 1.24% of all the 25 member states' national wealth.

    British new rebate proposal was made just 10 days before the EU summit in Brussels, Belgium, on December 15-16, at which Britain is keen to break the deadlock over the seven-year budget before ending its EU presidency.

    According to the Sky news, President of the European Commission Jose Manuel Barroso said British deal was "unacceptable" and left the EU with insufficient funds.

    Barroso said the UK proposal was more suited to a "mini-Europe, not the strong Europe that we need".

    "As it is, the UK presidency proposal is unacceptable. It is simply not realistic," he added. Enditem