Merkel begins SPD talks on grand coalition

German Chancellor Angela Merkel is today in preliminary talks with the Social Democrats (SPD) in discussions on the possibility of forming a grand coalition.

Talks could last for two months or more; whilst the SPD is seen as the most likely coalition partner for Merkel, agreements on taxation, a minimum wage and infrastructure investment need to be reached to form a government, which also needs enough public confidence to deal with Eurozone challenges efficiently and effectively.

Party leaders will most likely make statements this evening, giving an early idea of the feasibility of a grand coalition.