David Cameron’s efforts to reform Britain’s relationship with Europe were dealt a devastating blow last night as Brussels demanded an extra £1.7 billion towards the EU budget.
The top-up, which Britain must pay within weeks, is a result of changes to how EU members’ economic growth over the past 18 years has been calculated. It means big rebates for France and Germany but extra contributions from Italy, the Netherlands, Greece and the UK — by far the biggest loser.
Downing Street said that it would fight to reduce the top-up, which is likely to be characterised by Eurosceptics as a prosperity surcharge, and last night Mr Cameron was meeting Mark Rutte, the Dutch prime minister, as he sought allies.
Mr Cameron’s supporters conceded that the