By Neal Wallace

Italian prime minister Silvio Berlusconi has said he will not stand if the country holds early elections.

Amid eurozone turmoil, the opposition wants a national unity government, while Mr Berlusconi's party are calling for fresh elections.

The politician had promised to resign as soon as parliament passes urgent budget reforms, which could be approved by the end of the month. He said that there was "no other majority possible" after losing lower parliament in a crucial vote yesterday (November 8th).

The BBC's Europe editor Gavin Hewitt has said that political differences in the country lie ahead, saying on his Twitter feed that these are "dangerous times for Italy".

An EU team is due to meet in Rome today to discuss how Italy will reduce their debt burden, which currently stands at €1.9 trillion (£1.63 trillion).

Yesterday the nation voted on budget reforms, with 321 MPs choosing to abstain, causing Berlusconi to lose his majority in the lower house.