Balls tells Labour not to be stupid on EU referendum.

Shadow Chancellor Ed Balls has told Ed Miliband and the Labour Party not to be stupid and become the anti EU referendum party.

Talking to the Yorkshire Post Balls said - "As long as we don’t allow ourselves to be caricatured as an anti-referendum party, which we’re not – we’ve absolutely not ruled out a referendum – I personally think that for now this is quite a comfortable position for us".

"If we allow ourselves either to be the ‘status quo party’ on Europe, or the ‘anti-referendum party’ on Europe, then we’ve got a problem.

"But I think we would be pretty stupid to allow ourselves to get into either of those positions."

The outburst which defies the view of Labour Party Leader Ed Miliband, who said he did not agree with a referendum on EU membership apparently came just hours before David Cameron successfully negotiated the first ever real-terms cut in the EU budget.

Balls' frustration over-spilled into the Hose of Commons this afternoon as he recieeved a dressing down from The Speaker for heckling.