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++ Sources: 'Con/Lib deal is done'++

Analysis by Political Editor Ian Kirby

I'm told by authoritative sources that a deal has now been done - barring any last minute hitches (and there have been a few of those since Friday) a Lib Tory coalition government will be unveiled tonight.

The Labour Party seem to be about to admit their talks are at an end and will criticise the Lib Dems for demanding "unaffordable, impractical and impossible" concessions.

However, this is spin straight from Alistair Campbell.

The embarrassing truth for the Labour Party is the fact that four Cabinet Ministers yesterday told Gordon Brown and Peter Mandelson it was time to accept they had lost.

Those wise words from Andy Burnham, Bob Ainsworth, Baroness Scotland and Liam Byrne were ignored and Burnham has now gone public with his objections.

The Parliamentary Party was also furious at not being consulted in the same way that the Tories and Lib Dems did.

Vince Cable is on his way to the Treasury as we speak. The Queen is thought to still be at Windsor but could be back in time to greet a new Prime Minister.

But .... Nick Clegg still has to convince his Federal Executive at 7.30pm to accept the deal. And if he has to put the deal to his wider party.

When I saw Shadow Chancellor George Osborne a few hours ago he looked almost relaxed. As I noted this morning, there was still a strong chance of a deal with the Lib Dems.

We could see David Cameron taking his first Prime Minister's Questions very soon, facing Gordon Brown.

Where will Nick Clegg sit? We really are approaching a new world.



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