Sweden's political parties are now beginning coalition negotiations after the Social Democrats, led by Magdalena Andersson, started forming a new government. With 95% of the votes counted from Sunday's election, the Social Democrats and the broader centre-left bloc hold a narrow but growing lead with 176 seats, compared to the right-leaning parties' 173. The final results, including overseas votes, are expected to be released by Wednesday. The far-right Sweden Democrats, who had hoped to enter government for the first time, have lost support for the first time since the party was founded. However, many of their policy ideas, such as stricter immigration laws and crime control, have become more mainstream, even among the centre-left. Both Andersson and outgoing centre-right Prime Minister Ulf Kristersson, of the Moderates, have said they are considering possible coalition options to secure power. After a tense election night where the two blocs were nearly tied, Social Democrat leaders met with Andersson on Monday morning at the party’s Stockholm headquarters. Uncertainty remains about whether the centre-left bloc will work with the Left party (Vänsterpartiet), which the Centre party has previously ruled out. Tobias Baudin, the Social Democrats' press secretary, said he had been in contact with colleagues from opposition parties and called for Kristersson to resign. Baudin told Swedish broadcaster SVT that voters had given the outgoing government a "failing grade" and that Kristersson should step down. He added that if Kristersson did not resign, he would be removed. The Centre party, in its talks with the Social Democrats, emphasized the need for a government with "political stability" and a "clear centre-right character" without "fringe politics." Morgan Johansson, a former deputy prime minister, said the Centre party's statement was a positive development and that there were "good prospects" for forming a government. He added that all left-leaning parties wanted a change of government and that no one wanted to end up in a situation that would lead to a new election. Kristersson appears to be keeping his options open. On Sunday night, he said the election result could lead to a "complicated government formation" and that the outcome was still uncertain. On Monday, before a meeting with his fellow Tidö coalition leaders, he declined to elaborate, saying he would wait for the full results before having conversations. He warned that if all the red lines remained, Sweden could end up without a government. "I plan to pursue a number of possibilities that may exist," he said. The Liberals and the Christian Democrats have both stated they will not work with the Social Democrats. The final election results are not expected until the weekend after overseas votes are counted. The new parliament will meet for the first time on 28 September, and the earliest date the speaker can suggest a prime minister is 29 September, though negotiations could take much longer. If more than half of the parliament votes against a prime minister candidate, the speaker must find a new candidate. If there are four failed votes, a new election will automatically be called. Fredrik Furtenbach, a senior political correspondent at Sveriges Radio (Radio Sweden), said he believes the negotiations will eventually require either the Left or Centre party to compromise. However, he does not think the Social Democrats and Moderates, described as "traditional archenemies," will end up working together. "You cannot share the position of prime minister," he said.