Merkel: sees potential for EU budget deal at start of 2013

BRUSSELS Fri Nov 23, 2012 11:24am EST

BRUSSELS Nov 23 (Reuters) - European Union leaders failed to reach agreement on a new seven-year budget for their troubled bloc, calling off talks in less than two days after most countries rejected deeper spending cuts demanded by Britain and its allies.

For comments by EU leaders and officials after Friday's talks click on