Iran today signalled it would agree a deal to delay its capacity to produce nuclear weapons.

Israel accused Iran of lying on Friday, while Tehran challenged the international community to send inspectors for a probe of its arch-rival’s nuclear capabilities, in an unusually bitter and rare direct confrontation.

Most participants at a key 35-nation meeting of the UN nuclear watchdog agency have agreed to deny Iran technical aid for its plutonium producing reactor, diplomats at the gathering said today.

A senior Iranian envoy today called talks between his country and the European Union a “step in the right direction” that had made progress in resolving the stand-off over Tehran’s refusal to freeze uranium enrichment.

Russia today said the Iranian nuclear crisis must be solved under the direction of the UN nuclear watchdog agency, and it called on Iran to co-operate more fully with the organisation.

Iran says it is willing to continue holding discussions to resolve an international stand-off over its nuclear programme amid international pressure on Tehran to halt its uranium enrichment.