Portugal’s government loses confidence vote, triggering early election amid prolonged instability

Portuguese Prime Minister Luis Montenegro, second right, gestures during a debate preceding a confidence motion vote at the Portuguese parliament in Lisbon, Tuesday, March 11, 2025. (AP Photo/Armando Franca)

LISBON, PORTUGAL — Portugal’s minority government lost a confidence vote in parliament Tuesday, forcing its resignation and bringing the European Union country’s third general election in three years.

The government’s fall marks the worst spell of political instability since Portugal adopted a democratic system more than 50 years ago in the wake of the 1974 Carnation Revolution, which ended a four-decade dictatorship.

A string of minority governments has been unable to forge alliances that might ensure the administration completes its constitutional four-year term without opposition parties teaming up to bring it down.

A new election, likely in May, pitches the country of 10.6 million people into months of political uncertainty just as it is in the process of investing more than 22 billion euros ($24 billion) in EU development funds. The European continent, meanwhile, is facing immediate challenges to its security and economy.

Voter discontent with a return to the polls could play into the hands of the radical-right populist party Chega (Enough), which has fed off frustration with mainstream parties. Portugal has been caught up in the rising European tide of populism, with Chega surging into third place in last year’s election.

The government asked for the confidence vote, saying it was needed to “dispel uncertainty” about its own future amid a simmering political crisis that has focused on Social Democrat Prime Minister Luis Montenegro and distracted attention from government policy.

After more than three hours of at times loud debate and following dramatic late twists as the government tabled proposals to avoid its defeat, the government called an hourlong recess and lawmakers went into a huddle. The government said it made a last-minute offer to the Socialists.

Silence fell on the chamber after the result was announced.

“Things are how they are. We gave our all,” Montenegro, the prime minister, told reporters as he left the National Assembly, Portugal’s parliament.

Socialist leader Pedro Nuno Santos, the leader of the largest opposition party, described the government’s conduct as “shameful,” saying it resorted to “maneuvers, games, tricks” to survive.

The controversy has revolved around potential conflicts of interest in the business dealings of Montenegro’s family law firm.

Montenegro, who says he’ll stand for reelection, has denied any wrongdoing. He said he placed control of the firm in the hands of his wife and children when he became Social Democratic leader in 2022 and has not been involved in its running.

It recently emerged that the firm is receiving monthly payments from a company that has a major gambling concession granted by the government, among other sources of revenue.

The exact vote count wasn’t immediately available, but the speaker of parliament Jose Pedro Aguiar-Branco said the center-right government was defeated.

The government, a two-party alliance led by the Social Democratic Party in power for less than a year, had just 80 seats in the current 230-seat legislature. An overwhelming majority of opposition lawmakers had vowed to vote against it. The center-left Socialists and Chega, which together hold 128 seats, voted against the government.

Opposition parties have demanded more detailed explanations from Montenegro, and the Socialist Party wants a parliamentary inquiry that would dog the government for months.

The Social Democrats are hoping that economic growth estimated at 1.9 per cent last year, compared with the EU’s 0.8 per cent average, and a jobless rate of 6.4 per cent, roughly the EU average, will keep their support firm.

The next general election in Portugal was scheduled for January 2028.

Article by Barry Hatton.