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| Spain's Socialists vote to allow Rajoy minority government | |
| (about 3 hours later) | |
| The opposition Socialists in Spain have effectively voted to allow the conservatives under Mariano Rajoy to rule as a minority government. | |
| Party leaders decided by a majority at their meeting in Madrid to abstain when Mr Rajoy puts his Popular Party (PP) government to a vote in parliament. | |
| The country had faced the prospect of a third general election inside a year. | |
| But the Socialists forced out their leader, Pedro Sanchez, earlier this month after he rejected abstention. | |
| Mr Rajoy has led a caretaker administration since losing his overall majority in an election last December. | Mr Rajoy has led a caretaker administration since losing his overall majority in an election last December. |
| A repeat election in June failed to end the impasse but strengthened his hand. | A repeat election in June failed to end the impasse but strengthened his hand. |
| The Socialists (commonly known by their Spanish abbreviation, the PSOE) came second on both occasions, their support eroded by radical leftist newcomers Podemos. | The Socialists (commonly known by their Spanish abbreviation, the PSOE) came second on both occasions, their support eroded by radical leftist newcomers Podemos. |
| For decades, the PSOE and PP took turns in governing the country on their own but last year the popular vote split four ways - the new centrist Ciudadanos party come fourth. | |
| Spain country profile | Spain country profile |
| EU pressure | EU pressure |
| Sunday's resolution was passed by 139 votes to 96, with two members of the party's federal committee not voting, the PSOE reported in a tweet. | |
| It came after weeks of bitter infighting. | |
| "Most Spaniards, more than 65%, don't want to go back to the ballot box and it's the same among Socialist voters," MP Ignacio Urquizu was quoted as saying by AFP news agency. | |
| Guillermo Fernandez Vara, a leader of the rebellion against Mr Sanchez, also argued earlier in favour of a deal. | |
| "Right now, with the worst results in our recent democratic history, the PSOE finds itself in a key situation," he said. | "Right now, with the worst results in our recent democratic history, the PSOE finds itself in a key situation," he said. |
| Writing in his blog (in Spanish), he argued the party could only act as a "true opposition" once Mr Rajoy, who governed with an overall majority from 2011 to 2015, was back in power. | Writing in his blog (in Spanish), he argued the party could only act as a "true opposition" once Mr Rajoy, who governed with an overall majority from 2011 to 2015, was back in power. |
| Opponents of abstention demonstrated outside PSOE party headquarters with placards reading "No". | |
| Despite the uncertainty, Spain's economy has maintained a steady pace of growth of just over 3% annually since early 2015, with tourists arriving in record numbers and unemployment creeping down. | Despite the uncertainty, Spain's economy has maintained a steady pace of growth of just over 3% annually since early 2015, with tourists arriving in record numbers and unemployment creeping down. |
| However, the budget deficit is still well above target and Brussels is pressing for action to reduce it next year. | However, the budget deficit is still well above target and Brussels is pressing for action to reduce it next year. |
| Without a fully functioning central government, no new budgetary policies can be drawn up. | Without a fully functioning central government, no new budgetary policies can be drawn up. |
| Podemos's Ikea-style appeal to young voters | Podemos's Ikea-style appeal to young voters |
| Resisting change in a dying Spanish village | Resisting change in a dying Spanish village |
| Taking back Barcelona's apartments | Taking back Barcelona's apartments |