"An official committee of the EU meets in Brussels mid-week to consider whether the LTTE should be added to the list of terrorist organisations," the Sunday Times said.
Britain, as the current holder of the EU presidency, has already circulated a note among member states on Sri Lanka's concerns about the LTTE, it added.
Meanwhile, Sri Lanka has invited the United Nations to send an envoy to Sri Lanka as part of a possible effort to seek a greater United Nations role in resolving the island nation's festering ethnic conflict.
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Annan had on Friday sent top UN diplomat Lakhdar Brahimi on a four-day mission to the island nation for talks with Sri Lankan leaders.
Although Colombo has in the past resisted any moves to involve the UN in the peace process fearing that it make the conflict an international issue, it has finally turned to the world body for help, the newspaper said.
Early in August, Sri Lankan Foreign Minister Lakshman Kadirgamar was assassinated, allegedly by the LTTE.