The state broadcaster in Greece is to close down due to the current financial situation there.

ERT is to shut down television and radio services from midnight tonight in a move that affects almost 2,700 jobs.

"ERT is a case of an exceptional lack of transparency and incredible extravagance. This ends now" government spokesman Simos Kedikoglou said.

The broadcaster says on its website it is set to go off-air for 3 months. It is believed the organisation will re-open at a later stage with a new format and considerably fewer employees.

It is reported that all current employees will be compensated and will be allowed to reapply for a job at the re-vamped organisation. Greek unions have protested the move.

The announcement also brought immediate protests from staff and the junior Greek coalition partner, The Democratic Left.

The reforms demanded in Greece in return for a bailout include a reduction of the public sector and the merging or closure of public organisations.

ERT employees have been staging work stoppages for months, opposing plans to restructure the broadcaster.