For once, I though Pistonheads did a fair job of summarising the story and not spinning it too far from the truth:
here is the link . (I should add that they did start with a very sensational 'all modified cars will be banned!' article and then added this one a few days later iirc) .
As Michael suggest above, getting agreement across the entire EU would be nearly impossible. What is annoying is that someone thought it was a good idea to spend 4.2 billion euros to create a report!

(I'd have done it for them for 2.1 billion

)