Dutch cabinet quits after rift with far-right

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Dutch cabinet quits after rift with far-right

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The premier tendered his cabinet's resignation after a meeting with Queen Beatrix.

23 April,2012 11:20 pm

Dutch Prime Minister Mark Ruttes liberal government resigned on Monday after the collapse of its parliamentary partnership with a far-right party, paving the way for early elections. The premier, who had been under pressure for weeks, tendered his cabinets resignation at a two-hour afternoon meeting with Queen Beatrix at her Hague palace.A few minutes after Rutte left the palace, the Dutch governments information service said in a statement: Prime Minister Mark Rutte has offered to her Majesty the Queen the resignation of all ministers and deputy ministers with immediate effect.The Queen is considering the resignation, but has asked all ministers and deputy ministers to continue to do everything that is necessary in the interests of the kingdom, the statement added. The resignation had been widely expected since the weekend when Rutte acknowledged that a rift with anti-Islam politician Geert Wilders Freedom Party would likely lead to early elections, otherwise due in May 2015.Although not part of the ruling coalition, Wilders party had effectively guaranteed the governments majority for the last 18 months by agreeing to support it in parliament. That arrangement came to an abrupt halt at the weekend when talks on a new package of austerity measures foundered.A debate has now been scheduled for 2.00 pm (1200 GMT) on Tuesday before the Lower House in which Rutte is expected to address MPs. The ball is now in parliaments court, Finance Minister Jan Kees de Jager told reporters, adding that he hoped to have more clarity on Tuesday on the austerity package, for which Brussels gave an April 30 deadline.Ruttes liberal VVD party, its coalition partner the Christian Democrats and Wilders Freedom Party had been negotiating on a near-daily basis, in private, for seven weeks but divisions were made public when Wilders walked out on Saturday. The turmoil has raised fears that the Netherlands gold plated triple A credit rating could be in danger. It is one of only four eurozone countries to still retain AAA status among the three main credit rating agencies.Rutte, Verhagen and Wilders had held near daily talks at the premiers official Catshuis residence in a bid to reach agreement on how to cut 16 billion euros (U$21 billion) from the budget, which stood at 4.7 percent of gross domestic product for 2011. The EUs deficit ceiling is three percent of GDP.The talks had been in their final stages when Wilders dropped his political bombshell and the Dutch press said on Monday the country was still in shock. A visibly upset Rutte told reporters Saturday: I have to inform you today that the three parties have failed to come to common answers.Elections now seemed likely, he added. The austerity package at the centre of the row included a slight raise in Value-Added Tax (VAT), a freeze on civil servants wages and a cut in spending in both the health and development aid sectors.