EU summit: There will be no big gesture here

Europe Editor James Mates reporting on the Euro summit:

They are working late in to the night in this Euro summit. They are only just going to dinner and it is well after 11pm and they are likely to be talking into the wee hours of the morning, which suggests that even their limited objectives of help for Spain and Italy are proving problematic.

It is now completely clear that there will be no big gesture here, no leap in to political union or banking union. Both of which had been suggested as ways out of this crisis.

Cyprus' President Demetris Christofias and Greece's President Karolos Papoulias and Angela Merkel
Cyprus' President Demetris Christofias and Greece's President Karolos Papoulias and Angela Merkel Credit: Reuters

But those things will happen, they are due to build a road map here of the route to get out of the crisis in the medium term. Even that will present problems for the British government as they try to define our position in what will become a two-speed Europe.