The EU's annual budget for 2011 was vetoed last night. This means voting through monthly amounts until a new budget is agreed. Any new budget has to be re-proposed from scratch by the European Commission and accepted by both a qualfied majority of the 27 governments on the one side and a majority of the European Parliament on the other. It is the first time that an annual budget for the EU is rejected since 1985.

Later today, I'll update this blog looking into how and why this veto occurred and what will now happen.