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| Italy crisis: PM Enrico Letta faces confidence vote | Italy crisis: PM Enrico Letta faces confidence vote |
| (about 2 hours later) | |
| Italy's Prime Minister Enrico Letta is addressing parliament ahead of a crucial vote of confidence in his governing coalition. | |
| The vote was called after Silvio Berlusconi ordered ministers in his centre-right People of Freedom party (PDL) to leave the government. | The vote was called after Silvio Berlusconi ordered ministers in his centre-right People of Freedom party (PDL) to leave the government. |
| But on the eve of the vote, leading PDL figures defied him, saying they would back Mr Letta. | But on the eve of the vote, leading PDL figures defied him, saying they would back Mr Letta. |
| Mr Letta has rejected the resignations of the five PDL ministers. | Mr Letta has rejected the resignations of the five PDL ministers. |
| 'Moderate force' | |
| Berlusconi, a former prime minister, has accused Mr Letta of allowing his "political assassination through judicial means" - a reference to Berlusconi's criminal conviction for tax fraud in August. | Berlusconi, a former prime minister, has accused Mr Letta of allowing his "political assassination through judicial means" - a reference to Berlusconi's criminal conviction for tax fraud in August. |
| "Even though I understand the risks that I am taking on, I have decided to put an end to the Letta government," Berlusconi said in a letter to the weekly magazine Tempi. | "Even though I understand the risks that I am taking on, I have decided to put an end to the Letta government," Berlusconi said in a letter to the weekly magazine Tempi. |
| But in an apparent break with Berlusconi, his deputy and party secretary Angelino Alfano said PDL MPs should back Mr Letta in Wednesday's confidence vote. | But in an apparent break with Berlusconi, his deputy and party secretary Angelino Alfano said PDL MPs should back Mr Letta in Wednesday's confidence vote. |
| "I am firmly convinced that our party as a whole should vote confidence in Letta," said Mr Alfano, who is also Italy's interior minister. | "I am firmly convinced that our party as a whole should vote confidence in Letta," said Mr Alfano, who is also Italy's interior minister. |
| The BBC's Alan Johnston, outside parliament, says the mood has been that the PM will get the support that he needs by finding enough dissidents in the Berlusconi ranks - although loyalists in the Berlusconi camp say that this is not the case. | |
| Our correspondent says that after Mr Letta has finished speaking there will be a debate, and it is then that we will get a sense of whether there will be a mutiny in the Berlusconi camp. | |
| The first vote on Wednesday is in Senate. This will be the crucial moment as it where Berlusconi's allies have a narrow majority. The House will vote later. | |
| Mr Alfano's comments caused the Italian stock market to jump on Tuesday as investors appeared increasingly confident that the government would not fall. | |
| Another once-loyal supporter, Carlo Giovanardi, a senator from Berlusconi's party, said 40 PDL senators were ready to vote for the government. | Another once-loyal supporter, Carlo Giovanardi, a senator from Berlusconi's party, said 40 PDL senators were ready to vote for the government. |
| "We want to remain a moderate force," he said. | "We want to remain a moderate force," he said. |
| Fabrizio Cicchitto, a PDL deputy, said: "Making the government fall would be a mistake." | Fabrizio Cicchitto, a PDL deputy, said: "Making the government fall would be a mistake." |
| Mr Cicchitto said any new government would be "hostile to the PDL" and would be a boon for Mr Letta's centre-left Democratic Party. | Mr Cicchitto said any new government would be "hostile to the PDL" and would be a boon for Mr Letta's centre-left Democratic Party. |
| On Tuesday, Mr Letta refused to accept the resignations of five ministers from the PDL, Italy's Ansa news agency reported, citing a government source. | On Tuesday, Mr Letta refused to accept the resignations of five ministers from the PDL, Italy's Ansa news agency reported, citing a government source. |
| Mr Letta called the vote of confidence after Berlusconi ordered his ministers to leave the government in protest at a rise in VAT (sales tax). | Mr Letta called the vote of confidence after Berlusconi ordered his ministers to leave the government in protest at a rise in VAT (sales tax). |
| The prime minister accused Berlusconi of using the issue as an "alibi" for his own personal concerns. | The prime minister accused Berlusconi of using the issue as an "alibi" for his own personal concerns. |
| Analysts say the crisis threatens to hamper badly needed reforms to tackle Italy's economic problems that include debt, recession and high youth unemployment. | Analysts say the crisis threatens to hamper badly needed reforms to tackle Italy's economic problems that include debt, recession and high youth unemployment. |
| The International Monetary Fund has warned that political tensions are a risk to the Italian economy. | The International Monetary Fund has warned that political tensions are a risk to the Italian economy. |
| Mr Letta's cross-party alliance was formed in April after two months of political deadlock following an inconclusive election. | Mr Letta's cross-party alliance was formed in April after two months of political deadlock following an inconclusive election. |
| Berlusconi dominated Italian politics for nearly two decades before resigning in November 2011, in the midst of a storm over the failing economy. | Berlusconi dominated Italian politics for nearly two decades before resigning in November 2011, in the midst of a storm over the failing economy. |