You're saying money can't buy off religious fanatics who are ideologically committed to wiping out Israel? Warmonger:

The EU is to increase its aid to the Palestinian Authority by EUR40 million, in order to pay the salaries of government employees... Still, the EU's generosity with our money - it has paid the Palestinian Authority €256 million so far this year - creates two problems. First, the PA is run by Hamas, which is on the EU's list of designated terrorist operations. Under Brussels rules, funding such an organisation is a criminal offence. Euro-lawyers have sought to circumvent the letter of the law by funnelling aid money through NGOs, but this is sheer sophistry. Many of the PA's officials are Hamas militants, whose salaries are being paid while they serve their sentences in Israeli jails. Second, it is becoming increasingly clear that overseas aid is arresting a political settlement in the region.... Palestinians receive more assistance, per capita, than any other people on Earth.

Since I'm just getting back into the blogging swing, here's a little sumthin sumthin for MR's friends on the far right: how much of this only got locked in when Livni scored that huge upgrade in US-EU ties? (Answer: yeah right - as if the EU needs excuses to pour money into Hamas coffers). That said: it could be the case that giving money to Iran's terrorist proxies is undermining the international community's efforts to dry up terrorist funding.

References:
* EU aid to Palestine is funding the conflict [Telegraph]
* Israel wins significant EU upgrade [JPost]

Previously:
* Slate Seems a Little Confused about the Israeli-EU Relationship
* EU Lies, Allows Hamas Terrorists to Stream Into Gaza
* EU Again Backs Out of Monitoring Agreement, Endangers Israeli Security