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EU President 'delays budget offer due to divisions'

European Council President Herman Van Rompuy has chosen not to present a new budget compromise to EU leaders at a summit after sharp splits emerged between key nations, EU diplomats have told Reuters.

"There will be no new proposals [from Van Rompuy]," one source said on condition of anonymity. The impasse could mean that no new proposal is presented at all on the first night of the two-day summit, a second source said.

Van Rompuy had been expected to present a revised budget plan to leaders this afternoon, but that was delayed by more than five hours as meetings among EU leaders showed deep differences in their positions.

Top EU official warns against British repatriation of powers

Prime Minister David Cameron with European Council president Herman Van Rompuy in Downing Street Credit: Andy Rain/PA Wire

The president of the European Council Herman Van Rompuy has warned that David Cameron's strategy of repatriating powers from the EU would damage the union and the eurozone.

He said that Britain has gained "tremendously" from being part of the single market and said he did not want to see "a friend walk off into the desert".


Van Rompuy: Reform needed for Greek economy

We do not question Greece's sense of responsibility and are hopeful that the next Greek Government will act in accordance with the country's engagement and its European future.

Continued reform is the best guarantee for the Greek economy and for the future of the Greek people in the euro area.

– Herman Van Rompuy, President of the European Council