The Eurovision Song Contest was facing a potential budget squeeze after Spain, the Netherlands, Ireland and Slovenia said they would withdraw from next year's competition in protest at Israel's participation.

The planned boycott brought to a head a row that has overshadowed the past two contests, and followed threats by the four that they would pull out if the organiser did not exclude Israel over the conduct of its war against Hamas in Gaza.

The walkout by Spain, one of the "big five" backers of the contest, as well as two of Europe's wealthiest countries, raises the prospect of less sponsorship income and viewers for the extravaganza that draws millions of viewers worldwide.

Pro-Palestinian protestors hold a flag and a banner outside the Irish public service broadcaster television

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