AbstractTo achieve significant reductions in European acidification emissions, side‐payments to less affluent countries are not only desirable, but also probably necessary. An Acidification Fund to support reductions to which the richer European countries donate and from which the less affluent ones receive money is one of the possibilities. Simple rules based on GDP, GDP per capita and abatement costs in each country are proposed to determine contributions to and receipts from such a fund. Within this paper, potential payments to and receipts from the fund are calculated for the reduction scenario used as a reference in the negotiations for the new sulphur protocol which is to be signed in May of this year. The paper discusses the advantages and disadvantages of such a fund, the role of institutions governing the payments and receipts, and the obligations of the countries who may receive payment