Silvio Berlusconi has won his third Italian election with a bigger than expected swing to the centre right, but the media magnate said it would not be easy to solve deep economic problems.
Votes were still being counted today, but with Mr Berlusconi's victory clear yesterday evening, centre-left leader Walter Veltroni called the 71-year-old to concede defeat.
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After two years in opposition, Mr Berlusconi is expected to return to Rome from his home in northern Italy later today, although for procedural reasons he is unlikely to be appointed prime minister before early May.
A strong mandate should enable Mr Berlusconi to push reforms through parliament, but many Italians are disillusioned with politics and doubt any government can quickly cure the ills of the European Union's fourth-largest economy.
"The months and years ahead will be difficult and I am preparing a government ready to last five years," Mr Berlusconi told state television last night.
He said his priorities were settling the future of state-controlled Alitalia, which the outgoing administration was struggling to privatize, and clean up a long-standing garbage crisis in Naples.
Mr Berlusconi's pledges include cutting taxes while reducing public debt, liberalizing the economy and getting tough on crime. But critics say he failed to carry out pledges to revolutionize Italy when prime minister for seven months from April 1994 and from 2001-2006.
Pollsters' projections, based on partial results, gave Mr Berlusconi a 99-seat majority in the 630-member lower house and an advantage of up to 30 seats in the Senate, which has 315 elected and seven lifetime senators.
That contrasts with the two-seat Senate majority that the last government had under Romano Prodi, who resigned in January 20 months into his five-year term. Mr Berlusconi had set his sights on a 20-seat majority in the Senate.
A surprise winner in the election was Mr Berlusconi's junior coalition partner, the anti-immigration Northern League which doubled its result over the 2006 election to around 8 per cent.