Europe News

Merkel and SPD in breakthrough on coalition talks, conservatives say

Angela Merkel, German Chancellor and Chairwoman of the German Christian Democrats (CDU).
Getty Images

German Chancellor Angela Merkel's conservatives and the centre-left Social Democrats (SPD) made a breakthrough early on Wednesday in talks about forming a "grand coalition" government, two top conservative politicians said on their Twitter accounts.

Germany's two biggest political forces negotiated through the night and reached a breakthrough at about 5 a.m. (0400 GMT), said senior Merkel lawmaker Michael Grosse-Broemer and Annegret Kramp-Karrenbauer, the conservative premier of Saarland state.

Two months after Merkel's election victory and a month after coalition talks began, the agreement, if confirmed, would enable her to firm a government by Christmas - if the SPD gets approval in a vote among more than 474,000 party members.

(Read more: The euro was madefor Germany: Ex Spanish PM)

The party leaders are expected to present details of a deal at a news conference on Wednesday, the deadline set by Merkel. But they may wait two more weeks to announce the allocation of cabinet posts.