David Cameron's bid to overhaul Britain's relationship with Brussels suffered a major blow today after Germany rejected the prospect of EU treaty change.

The Prime Minister has promised to introduce new rules to ban EU migrants claiming benefits for four years and allow the government to deport jobless Europeans after six months.

Mr Cameron has also vowed to introduce a ban on people claiming child benefit for children in foreign countries

The Prime Minister today insisted he wanted to change the EU's treaties to cement the reforms in European law ahead of an in-out referendum by the end of 2017.

However, Germany's powerful finance minister Wolfgang Schauble today slapped down the demand after holding talks with the Chancellor George Osborne.

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The Prime Minister - talking to staff during a visit to the Tetley factory in Stockton-on-Tees - has vowed to introduce new rules which would ban EU migrants claiming benefits for four years

Mr Osborne, who is expected to lead the EU negotiations alongside Mr Cameron and the Foreign Secretary Philip Hammond, held talks with Mr Schauble in Brussels on the sidelines of a meeting of EU finance minister.

However, following the talks Mr Schauble dismissed the prospect of treaty change any time soon.

Mr Schauble said: 'The German government wants treaty change one day. We don't think it will happen tomorrow.

'All we need to do to strengthen the economic and monetary union can be done without treaty change.'

George Osborne travelled to Brussels today for a meeting of European finance minister, insisting last week's surprise Conservative victory gave the UK government a mandate to demand sweeping changes in Europe

Mr Osborne, who is expected to lead the EU negotiations alongside Mr Cameron, held talks with Germany's powerful finance minister Wolfgang Schauble (pictured) today

CAMERON'S KEY DEMANDS FOR WORKERS FROM THE EU: No in-work benefits until they have been in Britain for four years No social housing for four years No child benefit or tax credits paid for children living outside the UK FOR UNEMPLOYED EU MIGRANTS: No support from the UK taxpayer Deportation if they do not get a job for six months Other measures include: Impose restrictions on EU migrants bringing in family members from outside the EU Longer bans on rough sleepers, beggars and fraudsters returning to the UK Tougher rules on deporting foriegn criminals Refusing to allow other countries to join the EU without imposing controls on the movement of their workers until their economies have reached UK levels Advertisement

Mr Schauble added: 'The British wish to reduce bureaucracy and reduce misuse of free movement is to be welcomed. I can imagine we can find common solutions. We agreed to take this process forward.'

Mr Osborne arrived in Brussels insisting last week's surprise Conservative victory gave Mr Cameron the mandate to demand sweeping changes in Europe.

He said: 'We come here with a very clear mandate to improve Britain's relationship with the rest of the EU and reform the EU.

'I don't think anyone is now in any doubt we will hold that referendum on British membership of the EU having conducted these negotiations.

'We go into the negotiations aiming to be constructive and engaged but also resolute and firm. No one should underestimate our determination to succeed.'

Mr Cameron could call an early referendum on Britain's membership of the European Union if he can reach a deal that satisfies his demands for major reforms, his spokesman said on Tuesday.

Mr Cameron used his first speech after winning re-election to commit to holding an in-out referendum before the end of 2017.

But his official spokesman today said: 'If we can do it earlier we will.'

The spokesman also confirmed he wanted full treaty change rather than cosmetic tinkering to EU rules.

He said: 'All the advice that he has had is that treaty change is required, for example in terms of some of the changes that we want to see in welfare.'

Further details about Britain's view of which reforms are needed will be set out by Mr Cameron at a meeting of EU leaders in late June, the spokesman said.