David Cameron has said he is confident of getting the changes he wants in the UK's relationship with Europe.
He told BBC Radio 4's Today he wants a "fresh settlement" with Europe and would then seek "consent" from Britons.
Although he declined to say this would mean a referendum, he said it would be done in a "straightforward way".
He dismissed business and political critics who warn uncertainty caused by the prospect of a future referendum could put British business at risk.
Labour said Mr Cameron was putting party unity ahead of inward investment, jobs and growth.
Mr Cameron is expected to announce his plans - including a referendum after the next election - in detail in a long-awaited speech on the UK and Europe next week.
He has faced pressure to hold a referendum on Europe and has been criticised by some in his own party for not doing more to get powers back from the EU to the UK.
'Lead the debate'But others, such as pro-European Tory peer Lord Heseltine, have warned a referendum would jeopardise the UK's business prospects.
Mr Cameron said he wanted the UK to remain within the EU, but said there was a need to redefine the relationship in light of moves towards further integration by countries using the single currency.
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"Europe is changing and the opportunity for us to lead those changes and make changes that will make our relationship with Europe more comfortable, I think, are absolutely there.
"I am confident we can do that - a fresh settlement and then fresh consent for that settlement," he said.
Lord Heseltine and a series of leaders of large British businesses have said the uncertainty caused by the idea of a future referendum which could lead to the UK's exit from the EU, put at risk Britain's relationship with Europe and could cause problems for British business.
But the PM said the EU was already in the process of change because of the recent euro area crisis: "This debate is happening anyway."
"You have a choice as politicians - do you get out there, lead that debate and make the changes that will be right for Britain - and I would argue right for Europe - and then give people a choice about that, or do you stick you head in the sand and hope the debate will go away?"
Immigration figuresHe insisted it was not in Britain's interest to leave the European Union.
"Would Britain collapse if we left the European Union? No, of course not. You could choose a different path. The question is, what is in our national interest?
"I've always been very clear it's in our national interest as a trading nation to be in the single market," he said.
Mr Cameron backed Communities Secretary Eric Pickles' over the lack of an official estimate of how many Romanians and Bulgarians might move to Britain after temporary immigration curbs, in place since 2005 to protect the British labour market, expire in December.
"I completely support what Eric Pickles has said which is don't make official predictions unless and until you've got real confidence in those figures," the prime minister said.
"It's a very difficult calculation to make. It's right to take the time and get this right."
The last Labour government vastly underestimated the numbers of people from the first wave of eastern EU member states who would move to the UK, nearly a decade ago.
Mr Pickles has warned that an "influx" of Romanians and Bulgarians would add to the existing housing problems in the UK.
Shadow foreign secretary Douglas Alexander accused the prime minister of not being in control of the agenda or of his own party.
"It's little wonder that British business leaders like Richard Branson and Martin Sorrell, together with the Americans, the Germans and the Austrians, have all warned in the last week of the dangers of the UK sleepwalking towards exit from Europe," Mr Alexander said.
"At a time when the priority should be jobs and growth, the prime minister sadly seems willing to put vital UK investment at risk for the sake of trying to keep his party united."
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