Israel nears early elections as coalition talks fail

Occupied Jerusalem: Israel's Shas party on Friday announced it would not join a coalition led by Israeli Foreign Minister Tzipi Livni, putting Israel close to early parliamentary elections.

Livni has secured a pledge of support from the powerful Labour party, but without Shas they would be short of a majority.

Both major parties say now is not the time to burden the country with elections. The right-wing Likud party, however, is ahead in the polls and favours a national ballot.

Livni had set a Sunday deadline for a coalition deal with Shas.

Shas spokesman Roy Lachmanovich on Friday released a statement saying there was no agreement with Livni's Kadima party over two main issues: the status of Occupied Jerusalem and social welfare benefits for the poor.

Lachamnovich said that as a result, the party's spiritual leader, Rabbi Ovadia Yosef, decided not to continue coalition talks.