Germany is set to hold snap elections on February 23 after an agreement was reached among parties in the country’s fractured parliament on Tuesday, according to reports from public broadcaster ARD.

After the collapse of Chancellor Olaf Scholz’s governing coalition, the balloting will be held on Feb. 23, about seven months before it had been scheduled.

The decision follows a budget fight that prompted Chancellor Olaf Scholz to fire his finance minister and announce a confidence vote that is widely expected to fail.

Parties agree 23 February vote after chancellor torpedoed the coalition government by sacking finance minister.

Media reports say Germany's biggest political parties have reached agreement on a timetable leading towards a snap election after the governing coalition collapsed last week. DW has more.

The new date represents a compromise between center-left Chancellor Olaf Scholz and conservative opposition leader Friedrich Merz.

German legislators on Monday scrapped a crucial budget planning meeting as parties continued to wrangle over the timing of an election to end a period of political uncertainty after Chancellor Olaf Scholz's coalition broke up last week.

Friedrich Merz, the leader of the Christian democratic (CDU/CSU) opposition, is pushing for a confidence vote before Christmas.

The German Chancellor Olaf Scholz has announced a vote of confidence in his government following the coalition's collapse. This move could pave the way for early parliamentary elections, which pose significant political and organisational challenges.

On Nov. 11, by Hamburg city parliament members Markus Schreiber and Tim Stoberock suggested that Defense Minister Boris Pistorius should replace Scholz as “Germany's most popular politician,” capable of leading the SPD to victory.