Israeli Prime Minister Benjamin Netanyahu’s opponents last night announced they have reached a deal to form a new governing coalition, paving the way for the ousting of the long-time leader.

The dramatic announcement by opposition leader Yair Lapid and his main coalition partner, Naftali Bennett, came moments before a midnight deadline and prevented the country from plunging into what would have been its fifth consecutive election in just over two years.

In a statement on Twitter, Mr Lapid said he had informed the country’s president of the deal.

“This government will work for all the citizens of Israel, those that voted for it and those that didn’t. It will do everything to unite Israeli society,” he said.

Under the agreement, Mr Lapid and Yamina alliance leader Mr Bennett will split the job of prime minister in a rotation, with Mr Bennett serving the first two years, and Mr Lapid the final two years.

The historic deal also includes a small Islamist party, the United Arab List, which would make it the first Arab party ever to be part of a governing coalition.

The agreement still needs to be approved by the Knesset, or parliament, in a vote that is expected to take place early next week.

If it goes through, Mr Lapid and his diverse array of partners will end the record-­setting 12-year rule of Benjamin Netanyahu.

Mr Netanyahu, desperate to remain in office while he fights corruption charges, is expected to do everything possible in the coming days to prevent the new coalition from taking power.

If he fails, he will be pushed into the opposition.

Centrist Yair Lapid and ultranationalist Naftali Bennett finally struck the deal to rotate the premiership between them.

But they worked until late last night to cobble together a ruling coalition that would include parties from across the political spectrum.

Israeli media reported some lingering disagreements over lower-level political appointments. According to the reports, Ayelet Shaked, Mr Bennett’s deputy in the Yamina party, was demanding a place on a committee that chooses the nation’s judges.

But Mr Shaked, a prominent voice in Israel’s hard-line right wing, had expressed misgivings about joining forces with the dovish members of the emerging coalition.

Both Mr Shaked and Mr Bennett had come under heavy pressure from Mr Netanyahu and the country’s right-wing base not to join with his opponents.

The Knesset has assigned additional security guards to both in recent days because of death threats and online incitement.

The deal was a close-run thing. With less than two hours to go to the midnight deadline last night, there was still no deal.

In the first sign of progress, Mr Lapid announced a coalition deal with the United Arab List, a small Islamist party whose support was key to securing a coalition. The deal makes it the first Arab party to be part of an Israeli governing coalition.

But with time ticking away, there was still no deal with Mr Bennett’s Yamina alliance, the last holdout in the emerging government.

However, Mr Lapid informed Israel’s largely ceremonial president, Reuven Rivlin, shortly before midnight last night that he had formed a majority coalition in the Knesset with the support of ­Yamina.

Mansour Abbas, leader of the United Arab List, said his party made the “difficult decision” to join Mr Lapid’s governing ­coalition.

“This agreement has a lot of things for the benefit of Arab society, and Israeli society in general,” he told reporters.

The assembly now has a week to hold a vote of confidence.

The deal heads off the divisive possibility of the country’s fifth election in just over two years, which would have given Mr Netanyahu another chance to hold on to his position as he stands trial for corruption.

Mr Netanyahu’s Likud won the most seats in the March 23 election, but he was unable to form a majority.