A large majority of EU leaders agreed tonight to extend a deadline to ratify the bloc's embattled constitution beyond the target date of November 2006.
At the start of their summit in Brussels, most of the heads of government said they needed more time to reflect on the No votes in France and Holland.
But none of them called for the treaty to be abandoned or for any changes to be made to the text.
Britain says budget proposals are unacceptable
Britain has described the latest compromise proposals on the European Union budget as unacceptable and is threatening to use its veto to protect its widely criticised rebate from Brussels.
At the start of a two-day summit, Foreign Secretary Jack Straw said that the proposal by the Luxembourg presidency to freeze Britain's annual refund at its pre-enlargement level until 2013 was not acceptable.
He told reporters the rebate was fully justified and if necessary Britain would use its veto.
The issue of a long-term budget for the European Union has been overshadowed by the continuing row between Britain and France over farm subsidies and London's rebate.
- Nine News: Tony Connolly, Europe Correspondent, reports as Britain says compromise proposals on the next European Union budget are unacceptable
- Morning Ireland: Seán Whelan, Europe Editor, assesses the likelihood of success at this week's meeting
- Six One News: Tony Connelly, Europe Correspondent, reports on the two-day EU summit in Brussels
- One News: Seán Whelan, Europe Editor, reports ahead of the start of the two-day summit which is to focus on the EU budget and the EU Constitution
- Morning Ireland: Charlie McCreevy, EU Commissioner, says it is up to the leaders to resolve their differences
- Six One News: Seán Whelan explains divisions over the ratification of the EU Constitution
- Nine News: Seán Whelan, Europe Editor, speaks about the difficulties in ratifying the EU Constitution
- Six One News: Seán Whelan, Europe Editor, outlines the background to a row over the EU budget
- Six One News: Dermot Ahern continues discussing EU issues
- Six One News: Dermot Ahern, Minister for Foreign Affairs, gives his opinion on the main issues for the summit
