Berlusconi lacks backing for threat to topple Monti government
Outburst risks rattling financial markets, but even his own party appears cool to the idea
Former premier Silvio Berlusconi's threat to bring down Italy's government underscores deep divisions in his centre-right party ahead of next year's elections and risks rattling markets that see Prime Minister Mario Monti as Italy's saviour.
Berlusconi made the unexpected threat on Saturday, still fuming from his conviction 24 hours earlier on charges of tax fraud and a jail sentence of four years, which he will not have to serve until all appeals are exhausted.
In a hastily called news conference he trained his sights on Monti's economic policies.
"The initiative of this government is a continuation of a spiral of recession for our economy. We will decide in the next few days whether it is better to immediately withdraw our confidence in this government or keep it, given the elections that are scheduled," he said.
The Monti government of non-elected technocrats is supported by the centre-left, the centre-right and the centre. It would lose its majority and have to resign if most of Berlusconi's PDL party withdrew support.
"The damage would be enormous," Stefano Folli, editor of Italy's leading financial daily Il Sole 24 Ore. "Damage in terms of political neurosis, international anxiety, threats to the stability law (the annual budget), and a general discrediting."