German Chancellor Angela Merkel's party and its coalition allies have been defeated in regional elections in North Rhine-Westphalia, exit polls suggest.

If confirmed, this could see Mrs Merkel's national coalition lose its majority in the upper house of parliament, the Bundesrat.

The campaign has been overshadowed by the government's decision to contribute to a huge rescue package for Greece.

Meanwhile many cities in NRW are on the brink of bankruptcy.