Schroeder loses vote of confidence
German chancellor Gerhard Schroeder lost a vote of confidence today, increasing the likelihood of a general election in Germany.
He called for the parliamentary vote after his Social Democratic party (SPD) suffered a serious defeat in a key regional poll in North Rhine-Westphalia in May.
Mr Schroeder hopes bringing the election forward will give his increasingly unpopular government a new mandate to push through tough welfare and employment reforms.
But an early election could put power into the hands of the Christian Democrats (CDU), who secured the majority of votes in North-Rhine Westphalia.
With opinion polls currently putting the CDU at 17 per cent ahead, leader Angela Merkel is widely tipped to become Germany’s first female chancellor.
British prime minister Tony Blair has already begun to court Ms Merkel, even visiting her before Mr Schroeder during his recent trip to Berlin.