EU Budget Summit Ends in Failure - Friday Nov 23,2012

Talks on the European Union's trillion-euro budget - covering seven years from 2014 to 2020 -have ended in deadlock after leaders of the 27-nation bloc failed to overcome seemingly irreconcilable differences on spending in Brussels,Belgium
The summit laid bare clear divisions between richer northern countries in the EU, and the poorer south and east. It mirrored the divide that has emerged in the eurozone between northern creditors and southern debtors.

Britain was cast as the chief spoiler, with prime minister David Cameron arriving with a threat to wield his veto unless spending was frozen in real terms. He argued that in times of economic crisis, the EU too must make deep cuts.David Cameron had vowed to bring down the budget from a proposed 1.047 trillion euros ($1.347 trillion) to 886 billion euros.
France on the other hand, supported by Italy and Spain, was keen to defend the EU's biggest spending projects.

European Council President Herman Van Rompuy said they decided to end a special summit on the 2014-2020 EU budget, worth about 1 trillion euros, and would try again early next year rather than continue negotiating into the weekend.

The leaders mandated Van Rompuy and European Commission President Jose Manuel Barroso to try to close the gaps between member states in the coming weeks.

Officials said the most likely date for resuming the talks was February.