EU confusion as David Cameron and Donald Tusk fail to agree reform deal

Officials have been locked in negotiations today after president of the European Council Donald Tusk admitted there had been "no deal" on the UK's renegotiated settlement with Europe.

The Prime Minister hosted Mr Tusk, the president of the European Council, at Downing Street last night, in an attempt to thrash out a draft proposal to be put to leaders at February’s European Council.

However Tusk told reporters there was "no deal" as he left No 10, and tweeted "Intensive work in next 24 crucial”. 

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Tonight negotiators will decide whether to table a draft agreement or not. 

Downing Street said the European Commission had agreed that the idea of an “emergency brake”, which would allow member states that could demonstrate their welfare systems were under exceptional strain to restrict migrants’ access to in-work benefits, could be applied in Britain’s case straightaway.

“The Commission have tabled a text making clear that the UK’s current circumstances meet the criteria for triggering the emergency brake,” a No 10 spokesperson said. “This is a significant breakthrough, meaning the Prime Minister can deliver on his commitment to restrict in work benefits to EU migrants for four years.”

Mr Cameron had also been pressing for there to be no time limit on the length of time the brake could be applied. 

However today former minister Peter Lilley said he was "puzzled" by the idea. 

“To me, it’s quite a small issue, really, and it doesn’t get to the root of the reasons why there’s an element of dissatisfaction in this country about membership of the European Union. We have to think which are the countries which find the European Union difficult. There are ourselves, Sweden, Denmark inside; Norway, Iceland and Switzerland outside. What do they all have in common? They all have the longest tradition of democracy; we’re all used to making our own laws.

“It’s restricting the area of our law which is subject to that fundamentally undemocratic process that we need to make ourselves feel comfortable – and I think one or two other countries in Europe would be grateful for a move in that direction, too,” he said.

No 10 said there were areas where the leaders still had to make “further progress” before an acceptable deal was on the table, including economic governance and further restrictions of free movement.