The victory was seen as a bittersweet one for Merkel, with her alliance having lost about 8% of the vote compared to the last election. The SPD was down by almost 5%.

The AfD gained more than 8 points on its 2013 result, when it failed to reach the 5% hurdle that would have allowed it into the Bundestag. Thirty-five percent of its supporters were first time voters.

Voter turnout stood at 77% a 5.5-point increase on 2013 after voters were urged by leaders of the mainstream parties to turn out in force in an attempt to counter the rise of the right.

The country faces weeks of drawn out coalition talks between the parties, about who will form a government with the CDU/CSU.

A repeat of the so-called grand coalition between Merkel’s conservative alliance and the SPD would amount to 354 seats 316 are required to form a government but was vehemently ruled out by Schulz, who in Sunday night’s post-result TV debate called Merkel’s election tactics scandalous and accused her of creating the political vacuum that was filled by AfD.

A second option is a Jamaica alliance so called because the parties colours make up the Jamaican flag between the CDU/CSU, the resurrected Free Democratic party (FDP) and the Greens which would have 356 seats.

But the constellation has never been tried in the national parliament before and is fraught with potential difficulty, not least a clash over environmental issues between the FDP and Greens and resistance in the FDP towards eurozone changes proposed by France’s president, Emmanuelle Macron, to which Merkel has given her backing.

Renate Künast, a leading Green, whose party did better than expected with 9%, said the result had to be seen as a slap in the face for the government but that it was the responsibility of all parties to address the concerns of AfD voters. We must respond to the AfD voters and those people who clearly feel misunderstood, she said.

The results followed a campaign that had been decidedly dull, with the CDU/CSU and SPD appearing determined to avoid tackling the emotions triggered by the refugee crisis, while AfD ensured the issue was at the top of its campaign agenda, often addressing concerns such as the impact that Muslim migrants were perceived as having on German society.

AfD supporters were vociferous protesters at Merkel’s rallies throughout the campaign, repeating their claims that she was a traitor and calling for her to go.

The results provoked a demonstration on Berlin’s Alexanderplatz, with hundreds of anti-AfD protesters gathering with banners against the party. Some shouted Nazis raus Nazis out as police sought to protect AfD supporters and journalists entering and leaving the AfD election party.

Speaking to crestfallen supporters, Schulz pledged that the SPD would bear the consequences and enter the opposition benches. He said voters had signalled that they did not wish a continuation of the grand coalition between the SPD and CDU/CSU, which has dominated most of Merkel’s time in government since 2005.

Today is a difficult and bitter day for social democracy in Germany, he said, adding that the party had failed in our election purpose and had not managed to mobilise the party’s traditional base.

Christian Lindner, the head of the pro-business FDP, celebrated the fact his party was back in parliament, having bowed out in 2013 when it received less than 5%. The FDP is on course to enter a coalition government.

From now on there is once again a Freedom faction in Germany, because the people allowed us to make a comeback, he said, calling the result a new start for his party.

During an hour-long television debate known as the elephant round table, AfD’s Jörg Meuthen was given a hostile reception by the other party leaders.

When he tried to rubbish claims that members of his party were overtly racist or had tried to justify aspects of Nazism, he was bombarded with statements made during the campaign that had provoked outrage. He said his party had a duty to continue to be provocative when in parliament.