German Chancellor Angela Merkel admitted that Frank Lampard's disallowed World Cup goal was over the line and told David Cameron she was sorry it did not stand.
The two leaders watched the second half of the crunch England-Germany match together at the G20 summit in Toronto, Canada.
Sources close to the British Prime Minister said the atmosphere as the pair watched the clash was “very good-natured” and Mr Cameron was very disappointed by the result.
“Angela Merkel conceded that the second goal was definitely in and said sorry,” reported the source.
Mr Cameron was told that England had gone 1-0 down as he stood up to address fellow world leaders on the economy at the G20 gathering, and Ms Merkel informed him that a second German goal had gone in while he was speaking.
There were no exuberant goal celebrations as the Germans forced their way to a crushing 4-1 lead.
And the Prime Minister and Ms Merkel shook hands good-naturedly as the game ended with an England defeat.