The Prime Minister's spokeswoman said David Cameron does believe a deal can be reached on the European Union budget, due to be discussed during a summit this Thursday in Brussels. The spokeswoman said:
We're in negotiations in the run up to the European Council. We think we can agree a deal. The Prime Minister believes we can work through these details to get the right deal at this week's summit and we are ready to do that.
Mr Cameron has called for a real terms freeze for the 2014-2020 budget, and has threatened to use Britain's veto to stop any agreement that is "not in the interests of British taxpayers."
The spokeswoman said the Government was still seeking "at best a cut, at worst a freeze" in the budget.