EU Leaders Reach Budget Cut Deal

European Union leaders have reportedly reached an agreement on the bloc's long-term spending plans until the end of the decade.

European Council President Herman van Rompuy announced the breakthrough on Twitter.

"Deal done! #euco has agreed on #MFF (Multi-annual Financial Framework) for the rest of the decade. Worth waiting for," he said.

The details are not yet public, but it is understood to involve the first ever reduction in the EU's multi-annual budget, BBC informs.

According to Sky News, initial reports said the agreement fixes a spending limit of EUR 960 B for projects the EU can promise to fund between 2014 and 2020.

The deal has to be approved by the European Parliament.