Austrian far right and conservatives reach budget accord in a step toward new government

(13 Jan 2025)
RESTRICTION SUMMARY:

ASSOCIATED PRESS
Vienna – 13 January 2025
1. Wide of press conference
2. SOUNDBITE (German) Herbert Kickl, FPÖ (Freedom Party of Austria) chairman:
“We have achieved together, in three days of intensive and good negotiations, what was not possible in about 100 days in a different political constellation. We have made a fundamental decision and developed a joint course of action to avert an EU deficit lawsuit against Austria.”
3. ÖVP (Austrian People’s Party) chairman Christian Stocker and Kickl on stage
4. Photographer
5. SOUNDBITE (German) Herbert Kickl, FPÖ (Freedom Party of Austria) chairman:
“Together we have prepared a 6.3 billion euro ($6.4 billion) package, which should spare Austria this EU deficit lawsuit – without new taxes. No inheritance tax, no gift tax, no wealth tax, but with measures against tax loopholes and privileges, especially those concerning big players. With savings measures in the ministries, with an end to too many subsidies – and all of that with special consideration for the job market, of the economic situation.”
6. Wide of press conference
7. SOUNDBITE (German) Herbert Kickl, FPÖ (Freedom Party of Austria) chairman:
“Why is this so important, ladies and gentlemen? First of all, because only like this can Austria decide its own futures, with its own hands, and not be governed by Brussels. And secondly, because with that we prevent a further increase of the interest rate burden. And this at the same time prevents higher prices for businesses, consumers and borrowers.”
8. Wide of politicians on stage
9. SOUNDBITE (German) Herbert Kickl, FPÖ (Freedom Party of Austria) chairman:
“Ladies and gentlemen, someone who claims that a different approach is better – with new taxes and new burdens – that person is not a physician who is curing Austria, but a charlatan risking the life of the patient. We believe in this country, we believe in our Austria, we love it.”
10. Wide of politicians leaving
STORYLINE:
Austrian far-right leader Herbert Kickl and his prospective partners in a new government said Monday they reached an agreement to bring down the budget deficit, an important step toward forming what would be the country’s first post-World War II government led by the far right.

Kickl, whose Freedom Party won Austria’s parliamentary election in September, received a mandate to try to form a government with the conservative Austrian People’s Party a week ago.

The latter had previously attempted to form a government without Kickl, but lengthy talks with two other mainstream parties collapsed — with the question of how to get the country’s finances in shape a key sticking point.

On Monday, the two parties said they had agreed to some 6.3 billion euros ($6.5 billion) in savings this year that would get Austria’s deficit below the 3% maximum mandated by European Union rules.

Negotiations to form a new government could still take weeks or months and aren’t guaranteed to succeed.

In the meantime, Foreign Minister Alexander Schallenberg has taken over as interim chancellor after conservative Karl Nehammer, Austria’s leader for the past three years, resigned following his failed attempt to put together a new coalition.

Schallenberg was heading to Brussels Monday to meet senior European Union officials as they face the prospect of an Austria led by the eurosceptic, Russia-friendly and anti-immigration Freedom Party.

However, Schallenberg doesn’t plan to stay in the government under Kickl and can’t speak for the prospective new coalition.

AP video by Philipp Jenne

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