Iceland's governing coalition appears to have suffered big losses in parliamentary elections with centre-left parties picking up many seats. <br/><br/>With 81 per cent of the vote counted, Prime Minister Bjarni Benediktsson's centre-right Independence Party still looks set to emerge the largest. <br/><br/>The second snap election in a year, called after a paedophile scandal, was held amid deep voter distrust. <br/><br/>Coalition talks are expected to be complex, with a record eight parties poised to enter parliament.