Austria's Chancellor Karl Nehammer to step down after coalition talks collapse

Jan 5, 2025 - Austria's Chancellor, Karl Nehammer, has confirmed he will resign in the coming days following the failure of coalition talks. Nehammer, who also leads the Austrian People’s Party (ÖVP), will step down as both Chancellor and party leader after negotiations with the Social Democrats broke down over key issues such as immigration and economic policy.

The breakdown of talks has created uncertainty over the country's political future. While some analysts suggest the ÖVP may seek a new coalition with the far-right Freedom Party (FPÖ), others believe fresh elections may be called.

The FPÖ, which has gained significant support following a strong performance in September’s general elections, had previously been excluded from coalition talks. The party's leader, Herbert Kickl, has made clear his focus on strict immigration controls and security, including the controversial proposal for "remigration," which would see asylum seekers returned to their home countries.

In the September elections, the FPÖ emerged as the largest party with almost 29% of the vote, followed by the ÖVP at 26.3%, and the Social Democrats at 21%. Voter turnout was high at 77.3%, with migration, economic concerns, and the war in Ukraine dominating the political discourse.

The collapse of coalition talks and Nehammer's decision to resign could lead to further political shifts in Austria. The FPÖ, which has previously governed in a coalition, may push for another election, with opinion polls suggesting the party’s popularity continues to rise.

The FPÖ has criticized the delays in coalition talks, calling the situation "chaos" rather than stability. The party also called for the resignation of Social Democrat leader Andreas Babler and blamed President Alexander Van der Bellen for the "chaos" and lost time.