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Austrian Finance Minister quits over tax reform

Austria’s Finance Minister and Vice Chancellor Michael Spindelegger has resigned, after persistent criticism from his People's Party (ÖVP).

Published: 26 August 2014 09:48 CEST
Austrian Finance Minister quits over tax reform
Michael Spindelegger. Photo: APA/Schlager

He made the announcement on Tuesday morning at an unexpected 7am press conference at the Finance Ministry.

He said he was resigning as he felt he was lacking loyalty and support from the conservative ÖVP and the Social Democrats (SPÖ) in the current tax reform debate. 

He said that reform was necessary to relieve the burden on the tax payer but that it must come at "the right time". 

"There has to be cohesion in a party. If the cohesion is no longer there, then the moment has come to hand over the tiller," he said.

The ÖVP has been locked in a battle with its senior coalition partner, Chancellor Werner Faymann's SPÖ, over how to finance income tax cuts to give a boost to the economy.

Spindelegger has been under pressure recently within his own party, with many demanding a greater urgency for tax reform and expressing discontent with the course the party has been taking.

He has refused to cut taxes unless the cuts can be financed without new levies.

Spindelegger is also the chairman of ÖVP, and has said he will resign from all his offices. There is no immediate indication as to who will succeed him.

The 54-year-old has been Vice Chancellor and ÖVP chairman since 2011, and Finance Minister since December 2013.

 

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POLITICS

Why 1.5 million people can’t vote in Austria’s crucial federal election

Almost one in five people in Austria won’t have a say in the upcoming election, mainly due to the country’s restrictive citizenship laws.

Published: 11 September 2024 10:15 CEST
Updated: 15 September 2024 08:19 CEST
Why 1.5 million people can't vote in Austria's crucial federal election

As Austria prepares for its upcoming National Council elections on September 29th, nearly 1.5 million people living in the country will be unable to participate despite being of voting age, Austrian media has reported.

This group, which represents around 19 percent of the population aged 16 and over, is largely composed of residents who do not hold Austrian citizenship.

While Austria has some of the most restrictive citizenship laws in the world, the election will still see some new eligible voters—particularly descendants of Nazi regime victims—casting their ballots for the first time, thanks to a 2019 amendment to the citizenship law that made the naturalisation process less restrictive for these cases. Among them is British actor Stephen Fry, whose grandmother fled Austria to escape Nazi persecution.

READ ALSO: Austria improves nationality law for descendants of Nazi victims

Over the past two decades, the number of residents not eligible to vote has more than doubled, from around 9 percent in 2002 to 19 percent today. Of the 1.5 million residents unable to vote, about half are citizens of other EU countries. While they are allowed to vote in EU elections, they are excluded from Austria’s national elections.

This growing number of non-voters contrasts with the shrinking pool of eligible voters. Despite having around 6.3 million eligible voters, Austria’s stringent naturalisation process means that only a small fraction of its long-term foreign residents can (or want to) attain citizenship and the right to vote.

READ ALSO: What makes Austrian citizenship so hard to get?

Who is eligible for citizenship in Austria?

Currently in Austria, if someone wants to take up citizenship via naturalisation they have to undergo an extensive and expensive process and fulfil specific criteria.

Generally, there needs to be at least 10 years of lawful and uninterrupted residence in Austria. But there are exceptions for those with citizenship of an EU or EEA country, those born in Austria, or married to an Austrian, for example.

The main hurdles, however, include having to give up any other citizenships, as Austria doesn’t allow dual citizenship in naturalisation cases with few exceptions, and paying a high fee, which depends on the municipality.

What’s at stake?

The elections will determine the composition of the National Council, Austria’s parliament. The far-right Freedom Party (FPÖ) is currently leading in the polls, followed by the centre-right Austrian People’s Party (ÖVP). The results could significantly change the country’s political landscape.

While many are still unable to vote, Austria’s decision to grant citizenship to descendants of Nazi regime victims has (slightly) expanded the voter base. 

Under this provision, around 27,800 people, mostly living abroad, have regained Austrian citizenship. The Foreign Ministry has encouraged these new citizens to participate in the elections.

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