Cameron reiterates his vow that the UK will not pay EU bill on 1 December

David Cameron has said the UK will not pay a £1.7bn budget surcharge to the EU in full as a compromise on staggering the payments was put forward.

EU finance ministers meeting in Brussels said the UK could pay the bill in instalments by September 2015 rather than as a lump sum on 1 December.

But Mr Cameron said he would not be happy without a reduction in the total bill as well as a new deadline.

There would be a "major problem" if his two conditions were not met, he said.

Robin Brant reports.