Joy As Egypt's President Mubarak Steps Down

Roars of joy erupted from tens of thousands of protesters gathered in Cairo as the announcement was made by the leader's deputy, Omar Suleiman, in a televised address.

Mr Mubarak has handed over control to army chiefs, vice-president Suleiman said in a brief speech.

The embattled leader's 30-year reign ended following more than two weeks of angry and sometimes violent demonstrations involving anti-government protesters, riot police and Mubarak supporters.

Key Egyptian opposition figure Mohamed ElBaradei said: "This is the greatest day of my life. The country has been liberated after decades of repression."

Mr Suleiman said: "In these difficult circumstances that the country is passing through, President Hosni Mubarak has decided to leave the position of the presidency.

What happens now? Egypt in the hands of the military

"He has commissioned the armed forces council to direct the issues of the state."

Mr Mubarak had earlier resisted calls to quit ahead of elections due to take place later this year and last night insisted he would be staying put, which sparked fury among demonstrators gathered in Cairo's Tahrir Square and in other parts of the country.

Sky's chief correspondent Stuart Ramsay, who is in the square, said: "The crowd completely erupted after the announcement that he was resigning.

"This is just what the people wanted.

"People are shouting, cheering, waving flags - really quite remarkable scenes."

Prime Minister David Cameron said  he was looking forward to a "peaceful transition" following the resignation. US president Barack Obama is expected to make a statement at 6.30pm GMT.

There are reports of celebrations on the streets of Gaza following the news and fireworks have exploded in the skies above Lebanon's capital Beirut.

Mr Mubarak, 82, is now thought to be hundreds of miles away in the Red Sea resort of Sharm el-Sheikh.

Pro-democracy campaigners, inspired by a tide of upheaval which saw the ousting of Tunisia's president Zine al-Abidine Ben Ali last month, staged 18 days of protests involving hundreds of thousands of people.

Today they marched on the presidential palace and state TV buildings in Cairo.

There were violent clashes with riot police early in the demonstrations in January, and later with Mubarak supporters.

But Egypt's army, drafted in to replace riot police, was tolerant of the protests and top generals said the protesters' demands were legitimate - a major blow to the embattled Mr Mubarak.

The Arab League welcomed what it called a "white revolution", while Egypt's main opposition group the Muslim Brotherhood said it "saluted" the people.

EU foreign policy chief Baroness Ashton paid tribute to the "dignified" protests, telling Sky News: "It's so important to recognise that this has happened by the sheer will of people saying 'We want to see change'."

Meanwhile, it has emerged "possible assets" held by Mr Mubarak in Switzerland have been frozen. The country's foreign ministry declined to say how much money was involved.

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