Coalition on the brink

Blue-black enters decisive negotiations

The house blessing between the ÖVP (General Stocker on the left) and the FPÖ (Herbert Kickl on the right) is already hanging askew before a possible agreement is reached.(Bild: AFP/Alex HALADA)

Negotiations on a possible coalition between the ÖVP and the FPÖ are on the brink after unexpected discontent at the weekend. In particular, the bank levy demanded by the FPÖ threatens to derail the project.

The decisive second round of negotiations began on Monday, during which key issues such as the economy, agriculture, national defense, internal security and justice are to be discussed.

Deep rifts after initial agreement
After initially reaching a quick agreement to balance the budget, increasing differences between the two parties emerged last week. A first point of contention was the abolition of the ORF budget levy, a core concern of the FPÖ.

Other topics of conflict include migration policy, how to deal with Russia's war against Ukraine and European policy. The FPÖ's demand for a bank levy in particular is causing tensions and could cause the negotiations to fail for good.

FPÖ with concerted critical messages
The situation came to a head at the weekend after ÖVP leader Christian Stocker made statements in a media interview that were sharply criticized by the FPÖ. FPÖ state leaders responded with concerted critical messages, further fueling the conflict. Both parties feel under great pressure to meet the expectations of their voters, which makes the search for compromises even more difficult.

The ÖVP is demanding a clear commitment to Europe from the FPÖ. However, this contrasts with statements such as those made by FPÖ politician Petra Steger, who described the European Parliament as the "heart of injustice".

No agreement in sight - must party leaders mediate?
Despite the tensions, representatives of both parties reject the interpretation as mere "theatrical thunder". Instead, each side expects the other to show a willingness to compromise. Direct talks between the party leaders this week have not been ruled out.

The original plan to present a coordinated paper from the subgroups by Friday and have the steering group meet the following week is increasingly being jeopardized by the current conflicts. The coming days will show whether an agreement is still possible or whether the negotiations will fail.