Brown to quit as Labour leader

Mr Brown said he had been approached by Liberal Democrat leader Nick Clegg offering to hold formal talks between the two parties.

This indicates that David Cameron and the Conservatives could not offer Mr Clegg the deal he was looking for, especially on electoral reform, and that the Lib Dems will now try to work out a deal with Labour.

But it was clear Mr Clegg could not work with the Prime Minister, who has now indicated that he will step aside so that there can be a leadership election to choose a new leader and new Prime Minister.

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