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BROWN WINS FIGHT FOR SCOTS EU AID

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Gordon Brown has won a Cabinet battle with John Prescott over attempts to cut Scotland's share of an EU-aid package...
Gordon Brown has won a Cabinet battle with John Prescott over attempts to cut Scotland's share of an EU-aid package, according to The Scotsman (p4).

Senior sources said last night that ministers in the DETR claimed Scotland should be given less EU money because it was now devolved, and a greater share diverted to the English regions.

But the move to cut funds to Scotland was opposed by the chancellor , John Reid, the Scottish secretary, Donald Dewar, the first minister, and Jack McConnell, the Scottish executive's finance minister, who warned it would would damage the government's standing north of the border.

Despite initial suggestions that the row would delay a decision on the cash allocation until August, it is now expected next week after Stephen Byers, the trade secretary - who is in overall charge of EU regional aid - insisted that it was resolved.

He said: 'We will be announcing the outcome of the Objective 2 structural funds decision in a week or two. I think at that time we will be able to explain our thinking behind it.

'No decision has been taken yet but we are bringing forward the new map for Objective 2 structural funds.'

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