The Portuguese Parliament has voted to dismiss the centre-right government led by Prime Minister Luís Montenegro following the rejection of a motion of confidence.
The decision, taken on 11 March, comes amid allegations of a conflict of interest involving a consulting firm linked to Montenegro’s family, sparking a political crisis that may lead to a third snap election since 2022.
The motion of confidence was expected to fail, with the opposition, excluding the Liberal Initiative, having already signalled its intent to vote against it. The final tally saw 142 votes against the government and 88 in favour.
This marks only the second time in Portugal’s democratic history that the rejection of a motion of confidence has led to the fall of a government, the first being in 1977 under Mário Soares.
The four-hour parliamentary debate preceding the vote was marked by tensions, with Montenegro making repeated appeals to the Socialist Party (PS), the main opposition force.
The government attempted to negotiate privately with the PS, which refused, and later proposed a shorter timeframe for the parliamentary inquiry into the consulting firm owned by the prime minister’s family. The PS insisted on a full and public inquiry, accusing the government of attempting to influence the process.
At the heart of the crisis is a consulting firm owned by Montenegro’s family, which allegedly secured contracts with private companies. The opposition claims this led to personal enrichment, though Montenegro has denied any wrongdoing.
During the parliamentary session, he reiterated that “the insinuation that I have conflated my business and political activities is entirely unfounded and even insulting.”
Montenegro offered to suspend the parliamentary session if the PS outlined its questions regarding the inquiry. The opposition, however, remained firm in its stance, citing concerns over potential conflicts of interest.
The prime minister and other government officials subsequently proposed that inquiries be submitted in writing, a suggestion rejected by the opposition, which claimed the government was visibly uncomfortable with the investigation.
As discussions progressed, the Social Democratic Party (PSD) proposed a 15-day limit on the inquiry, a move dismissed by the opposition as an attempt to restrict its scope.
In a final effort before the vote, the government suggested that the inquiry present its conclusions by the end of May, but the PS refused this compromise. The parliamentary debate also saw a request by the PSD to suspend the session for private discussions, which was rejected by the opposition.
By the end of the debate, the government’s fate was sealed, and the motion of confidence was defeated. Montenegro expressed frustration, blaming the PS for the deadlock, while the opposition accused him of attempting to manipulate the inquiry process.
Following the fall of the government, President Marcelo Rebelo de Sousa has summoned party leaders and the Council of State for consultations. He has previously indicated the possibility of holding early elections on either 11 or 18 May, though the final decision remains in his hands.
The political landscape remains deeply fragmented. Both the centre-right PSD and the Socialist Party are polling at similar levels, each projected to secure around 80 seats in the 230-member parliament—far short of a governing majority. This raises concerns about continued political instability and the potential difficulty of forming a stable government.
The PSD came to power following early elections in 2024, which were triggered by a corruption scandal involving the previous Socialist government of António Costa, now President of the European Council. With another snap election appearing increasingly likely, Portugal faces further political uncertainty and potential deadlock in the months ahead.
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