David Cameron to head to Berlin for euro talks Germany supports the plan for greater union in principle but is reluctant to bear more responsibility for the debt and banking liabilities of struggling Europe nations, including Greece and Spain. Mr Cameron's talks with Mrs Merkel come after several signs that the European financial situation is worsening. Spain has now admitted it needs European aid to help bail out its banks. Mariano Rajoy, the Spanish Premier, said the country is "in an extremely difficult situation" and begged for reassurance that the euro is "an irreversible project that is not in danger." As the crisis escalated, Mr Cameron held a conference call with US President Barack Obama on Tuesday, and the leaders of Canada and New Zealand visited Downing Street. George Osborne, the Chancellor, also took part in a "stock-taking" conference call with finance chiefs from the G7 group of nations. The discussions are preparation for a summit of G20 countries in Mexico on 18 June, where world leaders will again attempt to solve Europe's financial problems. Proposals for a new treaty will be presented to EU leaders at a summit on 28 June. Britain has so far been excluded from discussions on the proposals but Mr Cameron will have to give his approval for other countries to go ahead.