Czech PM running for life

23 October 2012

Czech Prime Minister Petr Nečas will make a last-ditch effort to win the support of six ODS deputies, who are threatening to bring down the government because of Nečas’ unpopular tax package. The center-right government is on the verge of collapse because of the proposed austerity measures and after losing seats in the regional and Senate elections. The six ODS backbenchers oppose the cabinet’s plan to increase VAT and income taxes, which both Finance Minister Miroslav Kalousek and the prime minister insist is necessary to push the budget deficit below 3 percent of GDP next year from the current 3.2 percent. A group of Nečas supporters is trying to negotiate a compromise prior to the final vote, which could take place in Friday. “Moving away from our agenda, not keeping our word leads to shameful election results and now the issue is not just the tax package but the future of the right in this country,” one of the dissenters, Petr Tluchoř, said on Monday. Nečas has tied the fate of the tax package with the confidence vote for his cabinet. If the government falls, parliament may call for early elections.

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