At a time when the whole of the European Union seems to have agreed, at least in principle, to more integration and more centralized power, the United Kingdom has shied away.

David Cameron’s announcement of a veto set everyone’s backs up, not least the Deputy Prime Minister Nick Clegg, leader of the Liberal Democrats, who are of course a junior partner in a coalition government.

Mr Clegg said that Cameron’s veto of the EU treaty was “bad for Britain” and could leave it “isolated and marginalized”.

Initially Mr Clegg said the coalition was united over the use of the veto, but later told the BBC that he had "made it clear" to Mr Cameron it was "untenable" for him to welcome the move.

The fact remains that David Cameron blocked changes to the EU's Lisbon Treaty at the last EU summit and no amount of arguing that the proposed changes were not in the UK's interest will bring any of the partners round.

At the end of the day, Mr Cameron was damned if he did and damned if he didn’t. Unwillingness to negotiate from France and Germany, combined with the skepticism from parts of the Conservative Party had left him with no room to maneuver.

Mr Cameron is due to make a statement in the House of Commons about his decision today. But while the rest of Europe looks at the UK with bewilderment and increasing frustration, the Foreign Secretary thinks differently.

William Hague said Britain was "not marginalised", and told Sky News that while "everybody knows" that the Tories and Lib Dems had different views on Europe, the negotiating position taken by Mr Cameron "was agreed in advance".

The British PM said that the veta was down to the fact that the government felt it had the obligation to protect the City of London (the financial core) from excessive intervention by Europe’s institutions. Whatever the case may be, the UK has done itself some damage by leaving itself out in the cold. It is becoming increasingly more clear that Europe needs to pull together on one rope, if we are to overcome the financial and economic crisis which has gripped the region. The UK has, of course, left itself room to maneuver in terms of exchange rates, but it is becoming increasingly more distant. It is a hard situation to reconcile. David Cameron has been a leading player in many of the summits he has attended since taking office. Yet at the same time, while he is increasingly more vocal, the country itself is freezing itself out.

The UK has some tough decisions to make and at some point or another, it is going to boil down to one simple question: “Do you want in, or out?”