GORDON Brown has announced the Labour Party

GORDON Brown has announced the Labour Party is entering formal talks with the Liberal Democrats over a coalition - but he would step down as leader regardless.

The Tories and Lib Dems have been in talks again today following a frantic weekend of negotiations between the three main political parties.

Nick Clegg faced strong opposition from parts of his party to a deal with the Conservatives, with the Lib Dems seen as closer aligned to Labour on policy matters.

And this afternoon, Mr Brown said Labour will enter formal discussions with the Liberal Democrats over a 'progressive coalition'.

Earlier, East Lancashire politicians said they expected the proposed deal between the Liberal Democrats and the Conservatives to go through.

Labour and the Lib Dems would not be able to command a majority, and in the aftermath of Thursday’s poll Blackburn MP Jack Straw said a coalition “doesn’t look like it’s going to fly”.

Mr Straw, who bucked the national trend by increasing his majority in Blackburn, said he had 'other roles to play' should Gordon Brown stand down.

And he insisted Labour’s showing of 258 seats was not as bad as he had feared.

He said: “There have been times in the last six months when I thought we would be back to 1983, when we got 203 seats.

“Obviously Mr Brown will stay as leader as long has he wishes. It’s too early to say what will happen on that front.

“I am not a candidate for the leadership.”

Tory Ribble Valley MP Nigel Evans said he would be “absolutely stunned” if a Lib-Lab pact was formed.

He said: “I just hope that Nick Clegg will do what he said during the campaign, which was to support the biggest party.

“David Cameron now deserves the chance to govern this country.”

Mr Evans, who was re-elected last week with a 14,769 majority, claimed the Lib Dems’ flagship policy of a proportional voting system would lead to more confusion and hung Parliaments.

But he said: “I would be prepared to do almost anything if it was in the best interests of this country, There are no no-go areas.”

Lib Dem Gordon Birtwistle, who ousted Labour to become Burnley’s MP on Thursday, called on the party to “bury the hatchet” with the Tories, put demands of voting reform to one side and focus on improving the economy.

Blackburn with Darwen Council deputy leader David Foster admitted his leader was faced with a “dilemma”.

He said: “Nick Clegg has a responsibility to act as a statesman, but there are also key policy issues we put forward, which in many cases put us nearer to Labour.”