Italy's two largest parties, the far-right League and anti-establishment 5-Star Movement, both appeared to reject a call by President Sergio Mattarella to form a "neutral government" on Monday, saying early elections were preferable.

"There is no time to lose, there is no space for technocrat government," League leader Matteo Salvini said in a statement.

5-Star's parliamentary party leader Danilo Toninelli told state television Rai: "The only way to get a serious government is to return to the polls."

The League and 5-Star have failed to agree on forming a coalition between themselves after an inconclusive election on March 4, but they have enough votes together in parliament to block any other government from taking office.

Earlier, President Mattarella called on the  political parties to rally behind a short-lived "neutral government" to keep the country's finances on track and prepare for early elections in 2019.

Looking to end two months of deadlock after an inconclusive election in March, Mattarella said a new vote would have to be held in July or the autumn if such an administration failed to find the necessary backing in parliament.