Negotiations to form ruling coalition collapses in Austria

After weeks of negotiations to form a coalition consisting of the conservative Austrian People’s Party (ÖVP), the Social Democratic Party of Austria (SPÖ), and NEOS – The New Austria and Liberal Forum – talks have ended in failure.

On January 3, the liberal NEOS announced their withdrawal from the negotiations, Caliber.Az reports via German media.

Despite intensive consultations, no breakthrough was achieved, explained NEOS chairwoman Beate Meinl-Reisinger, who also criticized the lack of ambition from the negotiating partners. Austrian President Alexander Van der Bellen, Chancellor Karl Nehammer (leader of the ÖVP), and SPÖ chairman Andreas Babler have been informed of NEOS's decision.

The National Council elections (Austria's lower house of parliament) were held on September 29, 2024. The far-right Freedom Party of Austria (FPÖ) emerged victorious with 28.85% of the vote. The ruling ÖVP came in second with 26.3%, while the Social Democrats secured 21.1%, and NEOS garnered just over 9%.

FPÖ leader Herbert Kickl faced resistance from both the ÖVP and SPÖ, as neither party was willing to form a coalition with the far-right populists. This prompted the conservatives, Social Democrats, and liberals to begin coalition talks in November.

The discussions were tense, particularly on contentious issues like economic and tax policy. At one point, Nehammer even threatened to withdraw the ÖVP from the negotiations.

By Khagan Isayev