Shas leader Aryeh Deri has recently turned down a power-sharing offer from Likud by which he could have been named prime minister for a year, Israel Hayom learned Sunday.
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Likud sources said the offer would have paved the way for New Hope leader Gideon Sa'ar to join the government.
Deri declined the offer saying he "has no interest in becoming prime minister."
Insiders in both Likud and Shas confirmed that in order to resolve the political deadlock and form a right-wing government, Netanyahu was willing to consider giving another lawmaker take office first as part of a premiership rotation deal, and that of the options available, Deri was his first choice.
Deri's office confirmed that the offer was made and decline, reiterating the leader of the Sephardi ultra-Orthodox party was not interesting in becoming PM.

Israel Hayom has learned that last week, Blue and White leader Benny Gantz also hinted that he would be willing to join Netanyahu's government if he were guaranteed he would take office first as part of a power-sharing deal.
He also seeks to remain the defense minister.
Gantz is Netanyahu's partner in the outgoing national unity government, by which he was supposed to take office second. Were it not for the March 23 elections, the rotation agreements would have taken effect in November.
Blue and White leader's overture, however, goes against his previous statements
Likud officials said that it was unclear whether Netanyahu was considering this option, but said the factions were "talking."
Over at the Center-Left bloc, Yesh Atid leader Yair Lapid and Yamina head Naftali Bennett continued in their efforts to stitch together a coalition.
According to Israeli media, the two are working out the final details on their power-sharing deal with hopes of presenting President Reuven Rivlin with a government even before Netanyahu's mandate expires, in eight days.
However, hiccups in the negotiations – mainly over the division of portfolios – have insiders warn that Yesh Atid leader Yair Lapid's "amateurism will see Netanyahu remain in power."
Sources privy to the negotiations between the bloc's members – Yesh Atid, Yamina, Yisrael Beytenu, New Hope, Blue and White, Labor and Meretz – have descried Lapid's tactics as "inept," saying he insists on a government comprising no more than 20 ministers, as per his campaign promise to form a slim government, while Bennett and Sa'ar see the government expanding to 28 ministers.
This would still be paring down from the current government, which has 36 ministers and 16 deputy ministers.
"Lapid doesn't understand that Bennett and Sa'ar see him as a platform – nothing more," a source privy with the talks said. "Lapid will end up being the one who prevents a government with Bennett and this amateurism will see Netanyahu remain in power."
Yesh Atid issued a statement rejecting the claims, saying, "Yair Lapid and his negotiating team are working tirelessly to install an Israeli unity government."
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