The Final Thread Holding Up Italy's Government Breaks - Berlusconi Allies To Resign From Government

"[Prime Minister Enrico] Letta's ultimatum is unacceptable and inadmissible," Silvio Berlusconi announced today, the newspaper reports. "The ministers of the PdL will immediately resign."

Berlusconi's announcement looks likely to mean that Letta's broad coalition government will collapse without the support of Berlusconi's PdL party, leading possibly to more elections and instability in the troubled country.

Tensions had been high since Berlusconi was convicted of finally found conclusively guilty of a crime earlier this summer. The tax fraud verdict should have effectively ended the Italian billionaire's political career, but his allies threatened to bring down the government unless Italy's president to pardon Berlusconi, or at least limit his ban from politics. Berlusconi and the PdL were effectively much holding Italy hostage.

The final straw for Berlusconi seems to have been Letta's call for a clear show of support from all members of the coalition.