Labour donor: Miliband move 'a step in right direction'

One of Labour's biggest donors, John Mills, has said Ed Miliband's pledge to hold an EU referendum if there is a transfer of powers from Westminster to Brussels is "a step in the right direction".

However, Mr Mills has been clear that he would like Labour to promise an in/out referendum.

He said this morning: "I think we should recognise that the growth of the EU's influence over Britain in the past 40 years warrants a referendum regardless of future events."

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Miliband: EU referendum 'unlikely' if Labour wins election

Labour leader Ed Miliband has effectively ruled out a referendum on Britain's membership of the EU, pledging that he would only hold one in the “unlikely” event that Westminster had to transfer more powers to Brussels.