Following nearly three weeks of strikes and demonstrations across Nepal in which at least 14 people died, on 21 April King Gyanendra announced that he would hand over executive power to the Seven Party Alliance and invite them to appoint a Prime Minister. On 24 April, King Gyanendra went further and reaffirmed that the "sovereignty of the kingdom of Nepal is inherent in the people of Nepal" and reinstated the Parliament of Nepal which he had suspended in 2002. The first session of Parliament is planned for Friday, 28 April.

On 21 and 25 April I issued statements welcoming these developments, which are a victory for the democratic aspirations of the people of Nepal. The UK has worked closely with the wider international community, over many months in support of these aspirations.

But there is much still to be done to secure a fully functioning democracy and peace in Nepal. In the first instance, we hope that calm will return to the streets of Nepal, and that the security forces will exercise the restraint that has been absent from much of their behaviour of in recent weeks and months. In my statement of 21 April I condemned the loss of life that resulted from the excessive use of force by the security forces.

We further hope that an early result of the recall of Parliament will be a transfer of the Royal Nepalese Army and security forces to full civilian authority, and that these forces will work under a democratic Government as soon as it is formed. We would hope to see a ceasefire by both sides to accompany these changes, as a step towards a peace process.

In November 2005 the Maoists announced an understanding with the Seven Party Alliance which opened up the possibility of reintegrating the Maoists into a democratic political process. A comprehensive peace process, to underpin the political process, remains a key objective. The Maoists must commit to an end to violence. They must commit to democracy by entering into a peace process with the new government, beginning with a ceasefire.

The role of the King in a future multi-party democracy is for the people of Nepal to determine. He should understand that there can be no rowing back from the transfer of full executive power to a government representing the will of the people.

A paramount concern for the UK Government throughout the current crisis has been the safety of British citizens and staff in Nepal. We continue to advise against non-essential travel to Nepal while the situation remains unstable. We will continue to keep this under daily review.

The UK stands ready, with international partners, to work with the new government and the people of Nepal in this new context. We are looking closely at what practical assistance might be appropriate, in the form of development and other support.