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David Cameron appears to be trying to win over the Tory Rebels who voted against him last night, over controversial increases to the EU Budget.
Today, he said: "Of course I will listen carefully to parliament. If we don't get what I consider a good deal for Britain. I will have no hesitation at vetoing the multi-financial package, it won't happen.
Report by ITV News Political Correspondent Alex Forrest
He said the Labour party "stood up for the taxpayer" and that David Cameron must secure the reduction.
Douglas Carswell, the MP for Clacton, was one of more than 50 Tory MPs who voted in favour of demanding a reduction in the EU budget yesterday.
Mr Carswell told ITV News that the House of Commons would have the final say on whether Britain goes along with a deal on the budget.
The Deputy Prime Minister Nick Clegg has said he would support David Cameron if he decided to veto a deal on the EU budget.
Mr Cameron is planning to push for a freeze to the budget in real terms, but some believe this will be a hard sell when many EU states support a rise in spending.
The Prime Minister Nick Clegg denied he was out of step with the public mood in supporting a freeze to the EU budget rather than a cut. He said the Prime Minister can't "wave a magic wand" to get the other EU states to agree with him.
The European Commission is pushing for a 5% increase in spending over the period from 2014 to 2020. On November 22 and 23, there will be negotiations to reach a deal.
- More than 50 Tory MPs joined Labour yesterday in voting for the Government to pursue a cut to the budget
- The Government wants a budget freeze, meaning it would only rise in line with inflation
- Deputy Prime Minister Nick Clegg says Britain has 'no hope' of negotiating a cut in real terms
- Chancellor George Osborne says a freeze would be better than reaching no deal at all
- If David Cameron vetoes any deal that is reached in the EU, the budget will automatically rise by 2%
The Deputy Prime Minister made an argument for Britain's support of the single market, saying that British jobs depend on it. He said:
"Around one in every ten jobs in Britain relies on British trade within the single market."
"One of the reasons big multinationals come here is because we offer a launching pad to the worlds largest borderless marketplace.
"Think of the big employers whove set up operations here: Samsung, Tata, Siemens. The automotive giants helping drive the renaissance in the UKs car industry: Nissan, Honda, BMW, Toyota."
"These companies need to be reassured that we will continue to be the best bridgehead into the European market."
The Deputy Prime Minister Nick Clegg haslaunched a robust attack on Labour calling some of its members' stance on the EU budget "dishonest" and "hypocritical".
He said the Government has been consistent in its belief that "we cannot support a real increase in EU spend".
Britain was taking the "toughest negotiating stance of any EU state" but that a cut to the budget was not achievable, he said.
The Deputy Prime Ministry Nick Clegg has described the idea of "repatriating" British powers from the EU as a "false promise wrapped in a Union Jack".
In a speech at Chatham House, he said he was in favour of EU reform but that the other EU members would not allow Britain to opt out of its duties while still enjoying the benefits:
Shadow foreign secretary Douglas Alexander has said Labour had been "entirely consistent" since July in arguing for a real-terms cut in EU spending.
He said: "The Labour Party was consistent and clear in July that we thought the right approach for Britain, in fact the right approach for Europe, was to go for a real-terms cut.
"We support Britain's future in Europe but we also support the reform of Europe," he added.
Latest ITV News reports
David Cameron was dealt a damaging blow as Tory rebels combined with Labour to inflict a brusing defeat on his EU negotiating strategy.