Elfyn Llwyd would back deal with minority Labour government

Elfyn Llwyd says the party is considering strategy for a hung parliament now because it is 'inevitable'

"A lot of good" could be done for Wales in a deal between Plaid Cymru and Labour if there is a hung parliament, says a senior Plaid politician.

MP Elfyn Llwyd said his party, working with the SNP, could win concessions from a minority Labour government.

The party's parliamentary leader said key demands would include more funding and further powers for the assembly.

Polls indicate a strong possibility of a hung parliament after May's general election, given UKIP and SNP support.

The rise of UKIP and the SNP means it appears it may be more difficult for the Conservatives or Labour to win a majority, and the Liberal Democrats could lack sufficient seats to hold the balance of power on their own.

'Fully endorse'

Mr Llwyd, who is stepping down as MP for Dwyfor Meirionnydd at the election, told Sunday Politics Wales that a hung parliament was "inevitable".

"It's an interesting situation and I believe that we will be players in it," he said.

"Greater powers to the Welsh assembly, clearly; moving on taxation without a referendum, ensuring that we address the Barnett [funding formula] problem now without any further ado.

"There are many things that we could be talking about, but I think, potentially, it's an important situation and potentially we could do a lot of good for Wales by entering into an issue-by-issue understanding with a Labour government and I for one would fully endorse that."

Plaid leader Leanne Wood, new SNP leader and Scottish First Minister Nicola Sturgeon and Green Party leader Natalie Bennett will hold talks on Monday in London to discuss their strategy for the coming months.

Sunday Politics Wales can be seen on BBC One Wales at 11:00 GMT on Sunday 14 December