Iceland's new government says it will seek a parliamentary vote on membership of the EU.

The country has been traditionally Eurosceptic, but support for joining the EU rose after last year's banking crisis.

Iceland's new Prime Minister Johanna Sigurdardottir has said she is confident of a vote in favour even though her own coalition partners are opposed to the move.

‘A resolution will soon be proposed to parliament after it meets for the first time next Friday,’ Ms Sigurdardottir told a news conference.

‘We insist that a membership application be sent to the EU before July,’ she said.

The coalition released a general policy paper stating that it will ask the parliament that was elected last month to vote on whether to apply for EU membership.

Voters will have Iceland's last word, via a referendum, on whether it pursues EU accession, the document said, acknowledging divisions between Social Democrats and their Euro-sceptic coalition partners of the Left Green Movement.