"It is not true. There is no such decision," German Chancellor Angela Merkel's spokesman Steffen Seibert told Reuters, referring to a Financial Times newspaper report earlier that Germany would accept an increase of the rescue schemes in return for its euro zone peers accepting tough budget rules in a new fiscal compact.

(Reporting by Andreas Rinke and Noah Barkin, writing by Annika Breidthardt; editing by Rex Merrifield)