Germany's reformed communist party (PDS) took a fifth of the popular vote in state elections in Berlin yesterday, but could be kept out of government by a three-party social-liberal coalition.
The Social Democrats (SPD) took almost third of the vote, according to exit polls yesterday evening, making it the largest political force in the city.
"This is a clear victory for the SPD, the voters have given us a clear political mandate in Berlin," said Mr Peter Strieder, leader of the Berlin SPD. He said the party would examine all its options, either a Red-Red coalition with the PDS or the more likely option of a coalition with the Greens and the Liberal party (FDP).
The Christian Democrats (CDU) were the biggest losers, according to exit polls, capturing less than 24 per cent of the vote, a drop of 16 per cent in just two years and their worst showing in Berlin for over 40 years.
The elections mark the end of an era in Berlin, governed for the post-unification decade by a CDU-SDP grand coalition.
The coalition fell in June after it emerged that financial mismanagement had left the city over £31 billion in debt. The CDU mayor was removed amid allegations of corruption and cronyism and Berlin has been governed since then by a minority Social Democrat-Green government with the support of the reformed communist Party of Democratic Socialism (PDS).
Their possible return to power in the city was the primary campaign issue, but their anti-war rhetoric in recent weeks damaged their chances of taking power.
Meanwhile the mayoral campaign turned into a personality contest between the two main contenders.
SPD caretaker mayor and mayor-elect Mr Klaus Wowereit launched his campaign with the words: "I'm gay and that's a good thing". The CDU candidate Mr Frank Steffel used his wife at every opportunity during the campaign in what commentators called an attempt to capitalise on his heterosexuality, something that failed to impress the 2.5 million voters in liberal Berlin.
Mr Steffel, a former carpet dealer, was bombarded with eggs at a rally to kick off his campaign, and later described Munich as "Germany's most beautiful city".
The result could have implications for the future of CDU leader Ms Angela Merkel and her hopes of becoming the party's chancellor candidate for next year's federal elections.
