CARWYN Jones is to be reinstated as First Minister after Labour and Plaid Cymru broke last week's deadlock.

Last week the Assembly found itself at a stalemate when Mr Jones and Plaid leader Leanne Wood received 29 votes each for the role of First Minister.

But, following a week of talks behind closed doors, Plaid withdrew their nomination of Ms Wood and allowed Mr Jones to be officially re-nominated for the job.

Labour won 29 AMs earlier this month, making it by far the largest party in the Senedd, but two seats short of an overall majority.

But, speaking in the Senedd today, Mr Jones said he believed the election results gave his party a mandate to form a minority government.

“We have no majority,” he said.

"Of that we are acutely aware and, as I have made clear since the election, we have no doubt about the responsibilities on us and the responsibility upon me in particular, to work with others, where we can, for the good of our people.

"No one party has a monopoly on good ideas and I want this Assembly to be more open and more confident than the last."

Setting out the new Welsh Government's priorities for its first 100 days in office, Mr Jones said there would be "a relentless focus" on protecting the steel industry while he and other Labour minister would campaign "vociferously" for the UK to remain part of the European Union.

He also said a new Public Health Bill - which was thrown out at the end of the previous Assembly term following opposition to a ban on e-cigarettes - would be developed, as well as a ban on smacking children.

He added he was conscious the lack of a majority meant cross-party consensus would be needed to create any new legislation, and this had formed the basis of the agreement between Labour and Plaid Cymru, which include setting up three new liaison committees and other groups.

Plaid overtook the Conservatives as the second largest party in the Assembly earlier this month with 12 AMs, and, speaking as leader of the opposition, Ms Wood was unrepentant for her role in causing the deadlock.

"I am not sorry for what happened last week and I would it again," she said.

She added the party would continue to scrutinise the Labour administration.

"The arrangement we have come to today does not mean Plaid Cymru endorse this minority government," she said.

"We endorse his (Mr Jones) appointment as First Minister, but we do not support."

Leader of the Welsh Conservatives Andrew RT Davies said he "would have preferred a different outcome" to the deadlock, but conceded Labour as the largest party "has the right" to form a new government.

"I do wish you well, but there are many, many challenges ahead," he said.

Meanwhile leader of the Senedd's newly-formed Ukip group Neil Hamilton made his maiden speech in the Senedd, saying: "We do not intend to be a disruptive influence in the Assembly but to be constructive.”

Mr Jones' appointment is expected to be confirmed by the Queen later today, while new cabinet posts will be announced in the coming days.