EU budget talks break down

A summit of European Union members in Brussels failed to produce a long-term budget agreement, with negotiators at odds over spending and austerity. The two-day summit ended after EU member government leaders were unable to accept a proposal by European Council President Herman Van Rompuy, the Financial Times reported Friday. Van Rompuy told reporters negotiators "need some more time to finalize the solution." "There's no need to dramatize," he said. "These budget negotiations are so complex it generally takes two goes." British Prime Minister David Cameron -- who called for an EU budget freeze last year -- said EU members calling for more spending to revive the economy seem to be operating in a "parallel universe," the newspaper said. One sticking point is the level of spending for EU administrative costs, the report said. Even though talks have broken down, leaders held further private meetings, and EU officials have suggested budget talks may resume early in 2013.