Gay politician makes headlines in Germany

Berlin - Angela Merkel has won a second term as chancellor, but the politician hailed as the big winner in Germany's national election is the leader of the pro-business Free Democrats, Guido Westerwelle.

Westerwelle, who is expected be tapped as Merkel's deputy chancellor and foreign minister, led his party on Sunday to its best showing in its history - and a likely place in government.

Merkel's CDU and its Bavaria-only sister, the Christian Social Union, won 33,8 percent of the vote and the Social Democrats took 23 percent.

The Free Democrats captured 14,6 percent, the Left Party 11,9 percent and the Greens 10,7 percent.

That gave the conservatives 239 seats and the Free Democrats 93 in the lower house - for a comfortable centre-right majority of 332 seats to 290.

The Social Democrats won 146, the Left Party 76 and the Greens 68.

The results pave the way for Germany's first woman chancellor to form a conservative government with a politician who is openly gay.

A lawyer by training, the 47-year-old Westerwelle has been in a relationship for years with partner Michael Mronz.

But his sexual orientation has rarely been an issue, either for him or for the German public in eight years of leading his party.

His Free Democrats made clear gains in Sunday's vote that give Merkel the chance to finally ditch the centre-left Social Democrats, with whom she has governed uneasily for the past four years, and form her hoped-for coalition to enact tax cuts in an effort to spur economic growth.

"We have managed to achieve our election aim of a stable majority in Germany for a new government," Merkel told supporters, beaming even though her own party suffered its worst showing since 1953.

Merkel vowed to hold "swift and decisive" coalition talks with Westerwelle, though it wasn't immediately clear when exactly those negotiations would start.

"We are ready to take on this responsibility," Westerwelle told his supporters at the party's election night celebration in Berlin, where members welcomed the results on Sunday night with hugs, cheers and champagne.

"We want to help govern Germany because we need to assure that there is a fair tax system, better chances for education and that citizens' rights will finally be respected again," he said.

Germany's economy - Europe's largest - has been badly hit by the downturn. Though it returned to modest growth in the second quarter and business confidence is rising, gross domestic product is still expected to shrink by 5 percent or more this year - easily the worst performance since World War II.

That is expected to create hurdles for the next government because a rising budget deficit bloated by stimulus spending during the crisis will make it harder to deliver the promised tax cuts.

Westerwelle concentrated on portraying the Free Democrats as a champion of the middle class and small business at a time when Merkel's "grand coalition" with the Social Democrats was viewed by many to have favoured big companies.

"We are so happy with this outcome," said party supporter Bernd Tiedge, a tax adviser who complained Germany's middle class and business owners have been badly hurt by high taxes and restrictions on firing workers.

"The small business owner has been taxed to the point of ruin."

Westerwelle has led the pro-business Free Democrats since 2001, shedding his early image as a much-criticised publicity-hound. Taking the stage Sunday evening, he appeared statesmanlike in his dark tie and striped suit.

The Free Democrats have traditionally occupied the Foreign Ministry, serving in governments of the right and left for all but three years from 1961 to 1998