Financial Times FT.com

Bitter SPD power struggle threatens Merkel coalition

By Bertrand Benoit in Berlin

Published: October 9 2007 03:00 | Last updated: October 9 2007 03:00

German officials yesterday dismissed rumours of an imminent cabinet reshuffle as concern mounted that Chancellor Angela Merkel's fragile administration was being undermined by a bitter power struggle among leaders of the Social Democratic party, junior partners in the coalition.

A spokesman for Franz Müntefering, SPD vice-chancellor, said he would not resign regardless of the outcome of a battle between himself and Kurt Beck, party chairman, over landmark labour market reforms.

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