Swedish Prime Minister Lofven toppled anti-immigrant party for political role

STOCKHOLM (Reuters) – Swedish Prime Minister Stefan Lofven lost a vote of no confidence in parliament on Tuesday, as Swedish anti-immigration Democrats threaten to block any new government unless they have a say in politics.

The rise of the far right in Europe has forced many traditional parties to choose uneasily to share power with populist forces or to reach out to long-time opponents.

Sweden, long regarded as a bastion of liberal values ​​and political stability, is now faced with the same choice, with its center-left and center-right blocs also balanced after the 9 September elections and the Swedish democrats balance of power.

"Now, the enthusiasm will really begin," said Ulf Bjereld, a political scientist at the University of Gothenburg. "The parties will have to show their true colors now."

The Swedish Democrats have been rejected by all other parties since joining the parliament in 2010, making any rapprochement unlikely.

But if there is no viable government after four attempts by the speaker, then a new election will have to be called within three months, with the major parties likely to face a similar dilemma.

Voters presented a stalled parliament in the September 9 elections as Lofven's left-center bloc won 144 seats, one more than the center-right alliance.

The Swedish white supremacist party won 62 seats and supported the alliance in Tuesday's vote, which was a mandatory test of the Prime Minister's parliamentary support after an election.

A new government could take weeks or months – as was the case in Germany and Italy – to struggle. The presenter will begin discussions with party leaders on Thursday.

"VERY COMPLEX"

After the ousting of Lofven, the Speaker of Parliament now turns to Ulf Kristersson, the leader of the largest party of the Alliance, the moderates, to try to form a new administration.

But for lack of a majority, Kristersson needs the support of Swedish Democrats, who want to freeze immigration, and a vote on membership in the European Union, or center left.

No choice seems viable.

"If Alliance parties choose to try to govern as the smallest bloc, then they are totally dependent on Swedish Democrats," said Lofven.

Swedish Democrats want a voice on immigration, welfare and anti-crime policies to support a new government.

"We will do everything in our power to put an end to any attempt to form a government, to bring down all governments, which does not give us a reasonable influence proportional to our electoral support," said Jimmie Akesson.

The Alliance of Moderates, Center, Liberals and Christian Democrats said it would not negotiate with the party.

Nevertheless, moderate leader Kristersson said his chances of forming a government were good "for the simple reason that voter support for an Alliance government is much stronger than for any other government." "But I am very aware that the situation in parliament is very complex," he said.

The only other alternative, center-left support, has been dismissed by Lofven, who hopes another shot as Prime Minister himself.

An Alliance government has very little chance of being formed, said political scientist Magnus Hagevi of Linnaeus University.

Despite uncertainty, the markets barely reacted on Tuesday.

The Swedish economy has experienced strong growth for years and public finances are strong. Economic policy should not change radically under a new government and there is broad agreement on the need to address structural problems in areas such as housing and the labor market.

The crown has been strengthened since the elections.

If Kristersson fails to form a government, the speaker could turn once again to Lofven, still the leader of the largest party in parliament, the Social Democrats, who have dominated Swedish politics for decades.

"I want to lead a government that enjoys wider support in the country's parliament and that allows us to break the stalemate of bloc politics," Lofven said after the vote of no confidence.

Lofven hopes that the dislike of the Center and liberal parties for the Swedish Democrats will override their political differences with its Social Democrats.

Scenarios Swedish election graphic: tmsnrt.rs/2p45tJh