The prime minister faces intense pressure for change after his party lost in a once-safe Scottish constituency.
Foreign Minister Tzipi Livni is increasingly seen as the likely successor to Prime Minister Ehud Olmert.
The prime minister's Labour Party, the dominant force in British politics for over a decade, is trailing the Conservatives by as much as 18 percent ahead of Thursday's local elections.
Outspoken conservative Boris Johnson leads 'Red' Ken Livingstone in the polls.
The plan, which would allow suspected terrorists to be detained for 42 days without charge, faces broad opposition.
Chinese officials are treating the Games as proud confirmation of their country's emergence as a global force to be reckoned with.