The People's Party was in talks to establish a ruling coalition with the liberal NEOS party and the Social Democratic Party of Austria. NEOS withdrew from negotiations on Friday. On Saturday, Nehammer announced that his party would not cooperate with the SPÖ.
The cessation of negotiations likely indicates that the Austrian government cannot be formed after the elections. The radical-right Freedom Party emerged winner, but other movements refuse to collaborate with it. New parliamentary elections may be called in the country. This situation arises amidst a two-year recession and the necessity to sharply cut public spending to ensure the budget deficit aligns with EU standards.