Rajoy set to form new government

Spain's opposition parties warned acting Prime Minister Mariano Rajoy he will face a challenging second term if, as expected, he wins a parliamentary confidence vote today after losing a first ballot on Thursday.

The Socialist party has agreed to abstain in the second vote, which was called automatically after Sr Rajoy fell six votes short of the majority he needed in Thursday's first parliamentary vote.

The Socialists' planned abstention this evening, when Sr Rajoy only needs more votes in favour than against, should allow him to form a minority conservative government and end more than 300 days of political paralysis.

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