Lib Dems ditch Labour in Wales

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At a crunch meeting a majority of Lib Dem AMs and party officials voted to suspend negotiating with Labour, which failed to win an outright majority in this month's Welsh election.

It now means Mr Morgan's best hope of clinging on to power is to get Plaid Cymru's support for a minority Labour administration in Cardiff Bay.

But Plaid leader Ieuan Wyn Jones could launch his own bid to be First Minister as the head of a Plaid-Tory-Liberal "rainbow" coalition.

Following a meeting of party chiefs, the Lib Dems' Assembly leader Mike German said his party had taken "a historic step".

They were seeking "a triple crown government - one which will give us a fresh start, which we want and I think the people of Wales voted for in the election this year".

"If what we are proposing falls down then we will go back and look at it again," he said.

Although Labour is by far the biggest party in Cardiff Bay, with 26 of the Assembly's 60 seats, it is five short of a majority.

Mr German told BBC Wales on Thursday night: "As far as we are concerned, this is our preferred option.

"We have taken a very tough decision this evening, but what we said is we have got a preferred option we want to move forward with."