Europe Letter: Pro-light touch UK ignored undervaluation of Chinese imports

The European Union is demanding £2.5bn in compensation from Britain for failing to apply customs rules to Chinese imports.

Olaf agency is carrying out an assessment of payments made by Arron Banks. / The European Union’s anti-fraud watchdog is considering whether Nigel Farage should be investigated for any illegal activity over lavish payment from Arron Banks, the Guardian has learned.

The committee acted after Channel 4 News revealed how Mr Farage’s lavish lifestyle was funded to the tune of £450,000 by Arron Banks’ companies.

Claim: The European Union is so corrupt that the European Court of Auditors has not signed off its accounts for 20 years. / Reality Check verdict: The Court of Auditors has signed the EU accounts every year since 2007...

Non-binding opinion says UK allowed criminal gangs to flood Europe with cheap Chinese-made clothes.

UK ‘failed to fulfil its obligations’ to stop Chinese companies flooding market with cheap clothes.

Institute for Direct Democracy denied funds as EU’s anti-fraud office investigates ‘irregularities’. / A political group linked to Ukip has lost a legal attempt to restore EU funds that were suspended over fraud allegations, adding to financial pressure on Eurosceptic parties.