BRUSSELS- The following are comments by European Union leaders at a two-day summit starting on Thursday in Brussels.

GERMAN CHANCELLOR ANGELA MERKEL

On European Commission President Jose Manuel Barroso, who is seeking a second term:

I back a second term for Jose Manuel Barroso and hope we can reach a political decision on that tonight and then consult with parliament.

Europe must be able to do business and cannot afford to be stuck hanging around for months on this.

BRITISH PRIME MINISTER GORDON BROWN ON SUPERVISION REFORM

Every country in Europe, Europe as a whole and Britain itself with our financial supervision proposals and of course America are now implementing that common set of guidelines. Not in exactly the same way, because every country has different facets and every country has different traditions and institutions that they start from. But everybody is trying to get to a common set of rules and a proper system of audit with a better form of cross-border supervision.

On whether he was open to compromise on who should chair the European Systemic Risk Board -- the European Central Bank or someone else?

As far as the chairmanship of this body, that is for further discussion. I think that is less important than the issue which for me is important -- that we have common rules. I think the principles matter more than the individuals.

We need new rules. We need a system of audit. We need mechanisms of cross-border supervision. At the end of the day, it is the national authorities that will have to take responsibility for the individual banks or companies. When we took the decision about RBS ... it was our money that had to be used.

ITALIAN FOREIGN MINISTER FRANCO FRATTINI:

On possible second term for European Commission President Jose Manuel Barroso:

Italy supports the re-election of President Barroso as president of the European Commission. We will see (about) the other member states.

FINNISH PRIME MINISTER MATTI VANHANEN:

(Speaking at news conference after meeting of Liberal EU leaders' group).

On possible second term for European Commission's Barroso:

As Liberal prime ministers, we will support Barroso.

I'm expecting that tonight we will get a clear decision that Barroso continue as president of the European Commission.

DANISH PRIME MINISTER LARS LOKKE RASMUSSEN

At news conference with Finland's Vanhanen:

It will be a common position among Liberal prime ministers to support the nomination of Barroso.

EU PARLIAMENT PRESIDENT HANS-GERT POETTERING:

On guarantees for Ireland on EU's Lisbon reform treaty:

I expect that we find an agreement with Ireland. Ireland has some questions, some requests, and I think the Lisbon treaty is of such priority to all of us that there are adequate answers that satisfy the Irish and are a good basis for a new decision of the Irish people.

On possible second term for Barroso:

The European Council should nominate a candidate. I think it is the logic of the Lisbon treaty that the largest group that won the European elections should propose the president of the European Commission. The EPP (European People's Party) has proposed Barroso and I expect that that will be the proposal of the European Council.

SWEDISH PRIME MINISTER FREDRIK REINFELDT

On possible second term for Barroso:

He is standing for re-election, there is no other candidate so why wait? We need leadership and we need clear decisions and I'm hopeful that we will get this tonight.

FINNISH PRIME MINISTER VANHANEN:

On economic crisis, taxation:

The economic crisis is not over, but we need to prepare for the post-crisis period. We must stabilise public finances if we want sustainable economic growth.

The current financial crisis has put increased pressure on public finances. We need structural reforms to improve sustainability. To emerge stronger from the current crisis the EU needs to raise the efficiency and effectiveness of public spending.

The outcome of the crisis is that we must be able to reduce our public debt ratio. This is the pre-condition for us to meet the challenge of an ageing population.

But this is not enough. What we could do next is to explore new avenues to coordinate economic policies, when the next upswing begins. A good way is to increase cooperation in the field of taxation. This would increase tax revenues and help fiscal consolidation.

I am not asking for tax harmonisation, taxation belongs to national competence. Instead, we should introduce similar coordination measures in the area of taxation as we did last autumn with banking policy and fiscal policy. Coordination benefits everyone.

Unrestrained tax competition between member states would harm our economic growth. Coordinated tax measures would benefit everyone in Europe: European public finances can be improved and we support the smooth functioning of the single market.

DANISH PRIME MINISTER RASMUSSEN

On possible second term for European Commission's Barroso:

We have an international climate change negotiation conference coming up in Copenhagen and in order to have a strong European leadership ... we don't need a president of the Commission that is campaigning for his election for many months. So hopefully, we can make a strong decision on that tonight. Asked whether there was an alternative to Barroso:

If you ask me, I can't see any alternative at all.

On climate:

To let Europe drop behind would be a mistake. The path we chose in December is the path European citizens expect of us. We should maintain leadership towards reaching an ambitious global climate agreement in Copenhagen. We are facing the difficult debate of financing mitigation and adaption. We have achieved steady progress. Today or tomorrow we will agree a number of fundamental principles setting out the terms for our financial contributions. In a few months, I am confident we will reach a final decision on all aspects of financing.

IRISH PRIME MINISTER BRIAN COWEN

On guarantees for Ireland on Lisbon reform treaty:

We are very satisfied with the progress we have been making. And obviously there are further issues to discuss at heads-of-government level. We have to formally finalise the text and see in what way we are going to ensure the legal guarantees are provided.

We have to continue this process until it is satisfactorily completed.

PORTUGUESE PRIME MINISTER JOSE SOCRATES

On European Commission's Barroso:

Mr Barroso has done a very good job and there is strong support for him, not just because he is Portuguese, but because he has done a good job. That is why so many socialist prime ministers stand for him in this meeting.

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