Page last updated at 17:30 GMT, Tuesday, 11 May 2010 18:30 UK

Labour 'ready to concede defeat'

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The UK may finally be about to get a new government, as sources close to Labour say the party has given up hope of doing a deal with the Liberal Democrats.

It means the way is clear for a Lib Dem and Conservative deal, which would see Tory leader David Cameron becoming prime minister.

The Lib Dems and Tories are still locked in talks at the Cabinet Office.

James Landale reports.

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