A COALITION of right-wing parties in Sweden agreed to form a government today with the support of the far-right anti-immigration party, Sweden Democrats (SD).

The agreement comes after a month of talks following the September 11 elections that gave the SD an unprecedented position of influence in the country’s politics with 20 per cent of the vote.

Coalition leader Ulf Kristersson told reporters that his conservative Moderate party would form a right-wing coalition government with the Liberals and the Christian Democrats, but remain in “close collaboration” with the SD.

The SD was founded in the 1980s by people who had been active in right-wing extremist groups, including neonazis.

Mr Kristersson said the coalition has agreed to increase prison sentences for gang members amid a rise in gang violence in neighbourhoods that have a high number of migrant communities.

The increased sentencing will include those under 18.

Outgoing PM Magdalena Anderson commented on the new deal on Facebook, saying that the SD would have a huge influence on the government.

“Even if Ulf Kristersson becomes prime minister, it is [SD leader] Jimmie Akesson who rules,” she wrote.