Britain nears EU budget agreement despite Cameron's threat
LONDON (AFP) - EU officials are optimistic that a deal will be struck with Britain to set the bloc's long-term budget despite Prime Minister David Cameron's threat to wield his veto, the Financial Times reported on Thursday.
In an apparent breakthrough on the eve of the two-day Brussels summit of European leaders, the Financial Times reported that Mr Cameron was prepared to accept a 940 billion euro (S$1.4 trillion) spending ceiling from 2014 to 2020.
He had initially vowed to settle only for a real-terms freeze from 2011 levels - which Britain believes would be equivalent to 886 billion euros - but could still claim he had won a budget cut if the new plan proceeds.
"Our feeling is that Mr Cameron got what he wanted," an EU official told the paper.