Parties set short deadlines for coalition government

Hotel News - 10/05/2010

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The Lib Dems have given themselves a day to come to an agreement with the Tories or go for a deal with Labour. The Liberal Democrats are keen to get electoral reforms implemented but they must work fast or both the public and the markets are likely to turn against them. The question of constitutional amendment is perhaps the biggest sticking point in negotiations. Some Tories are threatening to punish their leader if he gives in to Lib Dem demands.

The Conservatives and the Liberal Democrats have already held a hurried series of secret talks. Though the two parties are confident of being close to a deal, their political platforms are substantially different. The Liberal Democrats have much more in common with Labour, a fact the Lib Dems exploited in recent talks with Gordon Brown at least partially intended to put more pressure on the Tories. However, there is consensus among all parties that a government will need to focus on economic stability and reduction of the deficit.

The election has resulted in what is called a ‘hung parliament’. This means the government lacks the parliamentary majority it needs to pass legislation and avoid censure. While talks continue, all parties need to show the public they’re close to a deal, as the lack of a stable government could lead to a lack of confidence from both the public and financial markets.

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