Krista Hughes: Captain Merkel fails to keep a firm hand on the tiller

Fresh from a humiliating rebellion last week in a vote for a new president, the chancellor badly needed a smooth passage for budget cuts and changes to the health system this week in order to steer the country's course to economic recovery.

However, her victories did not dispel grumblings about Ms Merkel's leadership or disillusionment with the government of her Christian Democrats (CDU), sister party the Christian Social Union and the pro-business Free Democrats (FDP). "None of the coalition parties has an interest in a change in government, even if working together is completely miserable," said Gerd Langguth, a political scientist at the University of Bonn and biographer of Ms Merkel. "For the next three years, everything will probably stay the same."

Analysts said the compromises which have marked the government's first nine months and bickering in coalition ranks dashed hopes for bold policy action and were likely to herald more of the same until federal elections in 2013. "When you look back to September 2009, people were really quite euphoric because they thought this government could change course, do structural reforms and prepare Germany … for increasing competition," Barclays Capital economist Thorsten Polleit said. "But so far, it's plodding along."

Ms Merkel said this month that agreements on the budget and health care had strengthened "team spirit", but her appeals for unity have been criticised for lacking force.

Record lows in voter support for the centre-right coalition make an early election unpalatable and there are no obvious leadership rivals.

Just nine months into office, the coalition's electoral support is at a dismal 35 per cent, well behind the opposition Social Democrats and Greens' combined 45 per cent. Ms Merkel's chances of achieving bold reform were also undermined by her party's defeat at state elections in Germany's most populous state in May, which stripped her of the majority in the Bundesrat upper house of parliament.

Anger with the loss was highlighted when dozens of coalition members refused initially to support Ms Merkel's hand-picked choice for president, Christian Wulff, and sent the election to three rounds at a special assembly.

CDU heavyweight Ole von Beust, the mayor of Hamburg, says Ms Merkel has to make clear that she is "the captain of the ship". Alternative leadership pickings are slim, given that many of the CDU's best and brightest have bowed out of politics this year, although labour minister Ursula von der Leyen is seen as a potential contender.

"But you would really need someone to mount a putsch against Merkel, and I don't see anyone doing that," said Mr Langguth.

Gero Neugebauer, a political scientist at Berlin's Free University, said younger rivals might eventually emerge, but for now the coalition partners were condemned to co-operate. "As long as new MPs fear losing their jobs and the FDP fears losing power, the coalition will cling together," he said.z