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Coalition talks continued yesterday as Israel prime minister’s Likud Party sought agreement to bring Avigdor Lieberman’s Yisrael Beitenu party into government.

The negotiations follow a dramatic turn of events on Wednesday, in which Prime Minister Benjanin Netanyahu’s advanced coalition talks with opposition leader, Zionist Union leader Isaac Herzog ended, and Netanyahu swiftly turned to Lieberman to bolster his government, which has just a single-seat majority. Lieberman is expected to be appointed as Defence Minister, having previously served as Foreign Minister under Netanyahu. However, the two have previously disagreed sharply in public.

Yediot Ahronot reports that although an agreement is expected to be concluded soon, policy differences remain, including Lieberman’s desire to introduce the death penalty for terrorists. Meanwhile, senior Yisrael Beitenu MK Orly Levy-Abuksis announced that she is leaving the party to become an independent MK, as the coalition talks failed to advance social issues. Another senior Yisrael Beitenu figure, Sofa Landver is expected to become Immigrant Absorption Minister as part of the coalition agreement.

This morning, given Lieberman’s impending appointment in his place, current Defence Minister Moshe Ya’alon resigned from the government and Knesset entirely. Despite a well-publicised disagreement with Netanyahu last week over outspoken IDF officers, Ya’alon was expected to be offered the position of Foreign Minister. However, he said this morning that he would be “taking time out from political life,” and had made his decision “following the recent conduct” of Netanyahu, and “in light of my lack of faith in him.”

Yesterday, Isaac Herzog gave further reaction to the recent political developments. In an impassioned interview with Channel Two, he said that he pursued a coalition deal with Netanyahu as he believed a “historic” change was imminent, but that Netanyahu “ran away.”

He said: “I believed that there was a unique moment, in which a group of moderate Arab leaders were willing to implement a dramatic move.”

He also indicated “messages from the regional leadership and world leaders” encouraging an expanded coalition to facilitate such a process.