Iceland voted ‘No’ to resuming membership negotiations with the European Union, final referendum results showed on Sunday, dealing a blow to Brussels, which had been keen to welcome a new wealthy member.

In a vote held Saturday, 52.8 per cent of Icelanders rejected the resumption of EU entry talks suspended 13 years ago, while 47.2pc voted ‘Yes’, according to the official tally published by RUV, the public broadcaster.

The result will be a disappointment to Brussels, which had appeared willing to compromise on thorny issues to facilitate Iceland’s accession.

The result will also likely bury the EU question in Iceland until at least 2028.

Far-right leaders in Britain and France hailed the result.