Talks to form a Belgian coalition government were thrown into disarray on Thursday after the chief negotiator submitted his resignation to King Philippe, threatening to prolong the country's political limbo two months after the elections.
With its linguistic divide between French and Dutch and a highly complex political system, Belgium has an unenviable record of painfully protracted coalition discussions – reaching 541 days back in 2010-2011.
Five groups had agreed in mid-July to formal coalition talks led by Flemish conservative Bart De Wever in the wake of June legislative polls that boosted right-leaning parties.
Usually, the person forming the coalition goes on to become prime minister.
But De Wever, the mayor of Antwerp and head of the N-VA party that holds sway over the Dutch-speaking Flanders region, informed the king during a meeting late Thursday that the talks had fallen apart – largely due to a row over taxation.
A palace statement said the king had accepted De Wever's resignation and would pursue negotiations with the five party leaders himself starting on Friday "with a view to forming a government."
Alongside the N-VA, the other parties involved are the Reformist Movement and Les Engages (The Committed Ones) in French-speaking Wallonia, and the Christian-Democrats and the leftist Vooruit (Onward, formerly the Socialist Party) in Flanders.
Together, the five hold an 81-seat majority in Belgium's 150-seat parliament.
The difficult talks finally hit a wall after the Reformist Movement apparently rejected a capital gains tax proposed by De Wever as a way to plug the country's budget deficit – 4.4% of gross domestic product (GDP) in 2023 – while winning over the left-wing Vooruit.
In a statement, the N-VA acknowledged the failure to win an agreement on a budgetary framework for the new coalition, including the labor market, pension, and tax reforms.
"Bart De Wever remains convinced of the need for a government of recovery and reforms in order to protect Flemish prosperity and avoid European sanctions over the excesses of the federal budget," it said.
Belgium is one of seven European Union countries facing disciplinary action for running a deficit above 3% of GDP, in violation of the bloc's fiscal rules.
The country's June 9 elections – conducted the same day as a European Parliament vote across the EU – saw the right and center-right triumphant.
The result was the loss of a parliamentary majority for the outgoing government of Prime Minister Alexander De Croo, a Flemish liberal who fronted a seven-party coalition formed after an arduous 493 days back in 2019.
With center-right parties in prime positions across the country, analysts had predicted that finding a deal could take less time than usual – but still at least six months.
For the time being, De Croo remains a caretaker leader until his successor is named.