Liberals could gain NDP support for the federal budget. It might not save their minority government but could drive a wedge between the Conservatives and the Bloc Quebecois.

Many Liberals call the Conservative-Bloc Quebecois interest an "unholy alliance," and are looking for a way to embarrass the opposition parties in the event of an election call.

"One way to do that," says CTV's chief political correspondent Craig Oliver, "is to add a lot of social spending to the budget -- spending that would be very popular in Ontario and Quebec."

NDP Leader Jack Layton has given the Liberals until Tuesday to answer the demand that they scrap the $4.6 billion in corporate tax cuts. Layton wants the money applied to housing, the environment and child care.

Speaking to reporters in Toronto, Martin defended his budget's tax cuts, which he said are crucial to job creation. He said they will go toward helping small and medium-sized businesses. But he hinted at some willingness to make a deal.

"Whatever we can do to enable this parliament to work," Martin said, "we're willing to discuss with the NDP or any other political party."

Conservative Leader Stephen Harper said that if the PM changes the budget, he might have to answer to voters.

"If somehow out of the blue we end up getting a back-room deal between the Liberals and the NDP, I think that's something the voters might want to have a say on," Harper told CTV News Toronto.

While an election is still just speculation, Harper, Layton and Martin are all travelling around vote-rich Ontario for the next few days. When asked if he had already begun campaigning, Harper said he was pretty close to that.

"If I wasn't campaigning, I'd be losing ground to the Prime Minister," Harper told reporters.

Number crunching

While Layton is seeking a deal, he said an agreement on the budget wouldn't necessarily mean the NDP would protect the Liberals against a possible non-confidence vote sometime in May, leading to a June election.

And even with the help of the NDP, the survival of the Liberals is not assured.

The combined Bloc Quebecois-Conservative alliance would amount to 153 votes, with 151 for a Liberal-NDP combo. That leaves three independents.

Last week, Martin made a televised address to Canadians, asking them for more time. He promised to hold elections 30 days after the final report by Justice John Gomery at the sponsorship inquiry. That report is due out in December.

While no election has been called, Martin has cancelled trips to the Netherlands and Russia next week to honour the 60th anniversary of the end of the Second World War.