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For nearly eight years, Europe had been debating and discussing how to increase its influence on the world stage. That was one of the driving forces behind the Lisbon Treaty.

The concern was that Europe would not have a seat at the highest table beside America and China. Only recently the British Foreign Secretary, David Miliband, had argued that Europe needed a president who would stop the traffic in Beijing.

But over dinner in Brussels, the leaders came up with a compromise. The job of President of the European Council was given to the Belgian Prime Minister, Herman van Rompuy. He has been successful in negotiating between the French and Flemish factions in Belgium. He is, by all accounts, a good mediator. He probably is able at chairing meetings, but he has no international reputation. He is camera-shy, a man who some refer to as the "grey mouse". He will struggle to command attention when he travels on behalf of Europe.

There is a key to understanding today. The job description for the post of president was changed. In a paper, the Swedes essentially side-lined the part of the role that related to international affairs. The president they envisaged would chair meetings and co-ordinate the agenda. This was now an introspective post. The Lisbon Treaty, however, was quite clear of its intentions. "The President of the European Council... shall ensure the external representation of the Union on issues concerning its common foreign and security policy..."

The power brokers were France and Germany. They still drive much of European Union policy. In this, they co-ordinated their position. Van Rompuy was their man. He was from the right political grouping. He was also from a small party. But crucially he would not over-shadow them. When it comes to an international crisis, the first calls are still likely to be directed towards the Elysee Palace in Paris and the Chancellery in Berlin.

The other key job also went to a relative unknown. Catherine Ashton is the UK's Commissioner in Brussels. She is now the EU's foreign policy supremo. She was not the first choice and she got the job as a result of what looks like a trade-off. The French and Germans wanted Gordon Brown to give up on Blair and in exchange the British got the No 2 job.

It is a significant post, running not just a diplomatic service but being Vice-President of the Commission. Catherine Ashton has little experience in foreign affairs but she has a good reputation for competence. What she will not be able to do in the short-term is speak with a convincing voice about Iran, Afghanistan and the Middle East.

Carl Bildt, a veteran of the European scene, warned today against picking weak candidates. He said Europe would miss a historic occasion and that could diminish Europe's voice in the world.

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