Right-winger in Israeli coalition talks

Avigdor Lieberman, the hard right-wing nationalist, was on the brink of joining Ehud Olmert's government after a meeting with the Prime Minister.

Mr Lieberman - frequently denounced by his opponents on the left because of his authoritarian and anti-Arab views - left the talks confident of leading the 11 parliamentarians in his "Israel Our Home" party into Mr Olmert's coalition.

Mr Olmert reinforced speculation that the Moldovan-born Mr Lieberman, 49, would be addressing the issue of Iran in office by declaring that he expected to appoint him as a deputy prime minister to deal with "strategic threats against Israel".

Mr Lieberman, whose party has an especially strong base among the million immigrants from the former Soviet Union, was dismissed from Ariel Sharon's government in 2004 after protesting against the withdrawal from Gaza. A supporter of redrawing the borders of Israel to move Israeli Arab population centres against their will in the occupied territories, Mr Lieberman suggested in May 2004 that only those Arabs "completely loyal" to Israel should be allowed to stay. In May this year, he proposed the trial and execution of Arab Knesset members who had contacts with Hamas or who marked the Palestinian "Nakba [disaster] day" rather than Israeli independence in 1948.

Government officials say that Mr Lieberman's entry to office - which must be approved by the Knesset - requires him to sign up to the government's original guidelines, which provide for "realignment", or withdrawal from parts of the West Bank, though that has slipped down Mr Olmert's public agenda since the Lebanon war.

Mr Olmert told business leaders he wanted Labour to remain a "senior partner" in the coalition. His spokesperson, Miri Eisin, said he had made it clear "Labour should stay in to ensure we go forward with dialogue with moderate Palestinians and moderate Arab states".

But the Hebrew University political science professor Zeev Sternhell, said Mr Lieberman may be "the most dangerous politician in our political history" because of his "cocktail of nationalism, authoritarianism and dictatorial mentality" and because, unlike previous extreme-right figures he was not "marginalised". Professor Sternhell added: "I cannot forget that Mussolini came to power with only 30 members of parliament."

He said Mr Olmert had "cynically" brought Mr Lieberman in to bolster his own position "in the belief he will be able to control him. I am afraid that will be much more difficult than he thinks". The way was cleared for Mr Lieberman to join the coalition by a 12-11 vote in Mr Olmert's cabinet to support the first reading of his highly contentious constitutional bill designed to bolster the Prime Minister.

It seeks the direct election of the prime minister, who could be appoint a cabinet without approval from the Knesset and even to declare a state of emergency without the approval of MPs or the cabinet. Mr Olmert has sought to asssure ministerial critics that the Bill will not pass in its present form.

Ophir Pines-Paz, the Labour Culture minister, said he would oppose the move, which will expand Mr Olmert's coalition from 67 to 78 out of 120 Knesset MPs. He said that to ask Mr Lieberman to deal with strategic threats was a "joke", adding: "He is a strategic threat."

But while most Labour Knesset members are publicly against bringing Mr Lieberman's party into the coalition, the party's central committee is thought likely to ensure they do not walk out.

Amir Peretz, the Labour leader and Defence minister, is opposed to Mr Lieberman's entry to the government, but says he does not intend to create a political crisis over it. Allies of Mr Olmert, anxious to strengthen his coalition after a steep fall in popularity after the Lebanon war, claim dissent within the Labour Party has strengthened his need to bring in Mr Lieberman.

* Israeli forces killed seven Palestinians in Gaza yesterday, one of the highest death tolls since they launched an offensive after the kidnap of the Israeli corporal Gilad Shalit four months ago.