By Francois Murphy

VIENNA (Reuters) – Austria is moving towards coalition talks with the far-right Freedom Party (FPO) following the resignation of Chancellor Karl Nehammer. Nehammer’s attempts to form a centrist government collapsed, leading to his resignation late Saturday.

Nehammer had engaged in three- and then two-party discussions to establish a coalition to counter the eurosceptic, pro-Russia FPO, which secured approximately 29% of the votes in September’s parliamentary election, placing first.

The conservative People’s Party (OVP) has appointed Secretary-General Christian Stocker as its interim leader. Stocker maintained the previous position that the OVP would not collaborate with FPO leader Herbert Kickl, but acknowledged that circumstances had changed.

“I expect that the leader of the party with the most votes will be tasked with forming a future government. If we are invited to these (coalition) talks, we will accept this invitation,” stated Stocker to reporters. “It is about the necessity for a stable government in the country, not about Kickl or me.”

The OVP is the only parliamentary party that hasn’t ruled out a coalition with the FPO outright. Should they unite, they would have a parliamentary majority. Nehammer criticized Kickl for being a conspiracy theorist, while Kickl asserted he would become chancellor in any FPO-led government.

President Alexander Van der Bellen, a former leader of the left-wing Greens who has reservations about Kickl becoming chancellor, angered the FPO by not inviting it to form a government after the election, citing no willing coalition partners among other parties.

Despite the situation evolving, Van der Bellen has not tasked Kickl with forming a government yet. He is scheduled to meet with Kickl at 11 a.m. (1000 GMT) on Monday.

“Voices within the People’s Party that rule out cooperation with an FPO under Herbert Kickl have become much quieter. This signifies a potential new path,” Van der Bellen stated in a national address.

GROWING SUPPORT FOR FPO

The FPO has served as a junior coalition partner previously, most recently with the OVP from 2017 to 2019, but has never led one since its inception in the 1950s, originally formed under a leader with Nazi ties.

Nehammer’s failed coalition discussions reflect the challenges centrist parties across Europe face in forming stable governments amidst a rising far-right. Recent polls indicate FPO’s support is increasing, extending its lead over both the OVP and Social Democrats by over 10 percentage points, while their support has diminished.

The OVP and FPO share similar stances on some issues, especially regarding strict immigration policies. Yet, the main contention in the centrists’ talks was how to address the budget deficit, projected to surpass the EU’s 3% limit of economic output in 2024 and 2025.

While both parties call for tax reductions, the FPO has committed to challenging some of the OVP’s established interests, such as the powerful Chamber of Commerce. Disagreements persist over the FPO’s stance on aid for Ukraine amidst its conflict with Russia and current missile defense plans.

The FPO, allied with Hungarian Prime Minister Viktor Orban’s Fidesz party, claims it is upholding Austria’s neutrality. Kickl expressed his discontent regarding the failed discussions via a Facebook post, stating: “We are not responsible for the lost time, chaotic conditions and enormous damage to trust that has been caused.”