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POLITICS

Centre-right PM candidate faces likely defeat in Swedish parliamentary vote

On Wednesday, Swedish centre-right leader Ulf Kristersson is expected to become the first prime minister candidate to be voted down by parliament -- including by two of his allies.

Centre-right PM candidate faces likely defeat in Swedish parliamentary vote
Speaker Andreas Norlén and Ulf Kristersson (R) speak to media. Photo: Pontus Lundahl-TT

The leader of the Moderates party has been put forward by parliamentary speaker Andreas Norlén following over two months of deadlock. 

Kristersson aims to form a government with the Christian Democrats, but not the other two parties that make up the centre-right Alliance. The Centre Party and Liberals have not only refused to participate in the potential government, but have both said they will vote no to the proposal.

This leaves the proposal almost certain to fail.

Although it does not require a majority to support it in parliament, proposed governments can only be passed if a majority does not actively vote against them. The centre-left Social Democrats, Green Party and Left Party are expected to reject Kristersson, which together with the Centre and Liberals would mean 195 votes against, more than the 175 that means a majority.

The far-right Sweden Democrats on the other hand have said they will support a Kristersson-led government. The need for support from the nationalist party is the main reason the Centre Party and Liberals have refused to support the government, as they have committed to a strategy of politically isolating the Sweden Democrats.

IN DEPTH: How did the Swedish political situation get to where it is today?

“It is a difficult day for the Alliance,” said Kristersson in response to the Centre's decision to vote no.

The speaker has a total of four chances to ask a candidate to try to form a government that will be accepted by parliament. Kristersson's nomination is the first of the possible four.

If the government proposal is voted down as expected, speaker Norlén will hold a new round of talks with party leaders. After that, he is likely to propose another PM candidate, with leader of the centre-left Social Democrats Stefan Löfven and Centre Party leader Annie Lööf two of the likely choices.

After the September 9th election left neither of the two main blocs with a clear majority, the country has been in political deadlock. Kristersson and Löfven were each given two weeks to form a new coalition, but neither succeeded, leading Norlén to take a more active role in the process.

You can catch up on all The Local's coverage of the 2018 election HERE

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POLITICS

Full steam ahead for Swedish economy in new three-part budget bill

Sweden has won the fight against inflation and expects GDP to grow next year, Finance Minister Elisabeth Svantesson proudly proclaimed as she presented the government's budget bill for 2025.

Full steam ahead for Swedish economy in new three-part budget bill

“Going forward, the task will be to ensure that high inflation does not return, and at the same time to implement reforms and investments that build a more prosperous, safer and more secure Sweden for generations to come,” said Svantesson in a statement on Thursday morning.

The government predicts that Swedish GDP will grow 2.5 percent next year followed by 3.2 percent 2026.

Unemployment, however, is expected to remain unchanged at 8.3 percent in 2025, only beginning to drop in 2026 (7.9 percent, according to the government’s predictions, followed by 7.6 percent in 2027).

Svantesson told a press conference that a strong focus on economic growth would create jobs.

The 2025 budget, worked out in collaboration between the right-wing government coalition and far-right Sweden Democrats, is far more expansionary than the restrained budget Svantesson presented last year when Sweden was still fighting high inflation: 60 billion kronor towards new reforms rather than 39 billion kronor for 2024. Almost half, 27 billion kronor, will go towards funding lower taxes.

ANALYSIS:

Svantesson highlighted three areas in which new reforms are prioritised:

  • Strengthening household purchasing power after several years of the high cost of living putting a strain on household budgets, with reforms set to push the tax burden to its lowest level since 1980, according to the government.
  • Reinstating the “work first” principle, meaning that people should work rather than live on benefits. Some of the measures include language training for parents born abroad and increasing the number of places in vocational adult education.
  • Increasing growth, focusing on investments in research, infrastructure and electricity supply.

In the debate in parliament on Thursday, the centre-left opposition is expected to criticise the government for lowering taxes for high earners and not investing enough in welfare. 

Investments in healthcare, social care and education are significantly reduced in this budget compared to last year: down from 16 billion kronor to 7.5 billion kronor. 

Meanwhile, the hike of the employment tax credit (jobbskatteavdraget) – a tax reduction given to people who pay tax on their job income – is expected to lead to a 3,671 kronor tax cut for people on the median salary of 462,000 kronor per year.

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