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Angela Merkel warns EU budget unlikely

Angela Merkel, the German Chancellor was doubtful that an agreement could be reached in regards to the European Union’s next budget at the summit which is taking place in Brussels. Merkel spoke after negotiations on the 2014-2020 budget were adjourned until midday on November 23, 2012.

The summit opening was delayed by three hours due to major differences over the budget plans. It was noticed that many countries say that the budget was unacceptable taking into consideration the current financial situation in Europe. However, most EU members did support an increase in the budget.

A revised proposal of the new budget was circulated by the president of the European Council  – Herman Van Rompuy, who said that he believed that a compromise is possible. Although, Merkel said, “I think we’re advancing a bit, but I doubt that we will reach a deal”.

Earlier Merkel said that another summit may be necessary early in 2013, if a deal cant be reached at this point. The French president Francoise Hollande also warned that an agreement is not likely, but added that if they do not get there by tomorrow or day after tomorrow then all would be lost.

Luxemberg’s Yves Mersch was nominated by leaders to the executive board of the European Central Bank before talks were suspended.