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| Italy's president facing impeachment calls after rejecting Eurosceptic finance minister | Italy's president facing impeachment calls after rejecting Eurosceptic finance minister |
| (35 minutes later) | |
| Italy has been plunged deeper into political turmoil after its president vetoed the appointment of a Eurosceptic finance minister, forcing the country’s populist prime minister-in-waiting to abandon attempts to form a government. | Italy has been plunged deeper into political turmoil after its president vetoed the appointment of a Eurosceptic finance minister, forcing the country’s populist prime minister-in-waiting to abandon attempts to form a government. |
| Sergio Mattarella, who was installed as president by a previous pro-EU government, has faced calls for his impeachment after he refused to accept a minister who called Italy’s entry into the eurozone a “historic mistake”. | Sergio Mattarella, who was installed as president by a previous pro-EU government, has faced calls for his impeachment after he refused to accept a minister who called Italy’s entry into the eurozone a “historic mistake”. |
| On Monday, the president appointed a former International Monetary Fund (IMF) economist as interim prime minister in a bid to restore political order and end an 11-week deadlock after inconclusive national elections. | On Monday, the president appointed a former International Monetary Fund (IMF) economist as interim prime minister in a bid to restore political order and end an 11-week deadlock after inconclusive national elections. |
| His rejection of 81-year-old Paolo Savona as finance minister had earlier foiled a bid by the populist 5-Star Movement, the country’s largest party, to form a government with far-right partners the League. | His rejection of 81-year-old Paolo Savona as finance minister had earlier foiled a bid by the populist 5-Star Movement, the country’s largest party, to form a government with far-right partners the League. |
| The move provoked outrage from the two parties, who claimed the president had betrayed the state, and raised the likelihood of new elections in a country which has been without a government since the last vote on 4 March, when no party secured a parliamentary majority. | The move provoked outrage from the two parties, who claimed the president had betrayed the state, and raised the likelihood of new elections in a country which has been without a government since the last vote on 4 March, when no party secured a parliamentary majority. |
| “We were a few steps away from forming a government, and we were stopped because in our cabinet there was a minister who criticised the EU,” said 5-Star leader Luigi Di Maio. | “We were a few steps away from forming a government, and we were stopped because in our cabinet there was a minister who criticised the EU,” said 5-Star leader Luigi Di Maio. |
| “I want this institutional crisis to be taken to parliament... and the president tried,” he told state broadcaster RAI. | “I want this institutional crisis to be taken to parliament... and the president tried,” he told state broadcaster RAI. |
| Mr Di Maio said charges could be brought under article 90 of the constitution, which allows members of parliament to vote on whether the president committed “high treason”. | Mr Di Maio said charges could be brought under article 90 of the constitution, which allows members of parliament to vote on whether the president committed “high treason”. |
| If a majority voted in favour, the constitutional court would then be called to decide whether to impeach. | If a majority voted in favour, the constitutional court would then be called to decide whether to impeach. |
| President Mattarella, who as head of state is supposed to be politically neutral, said he had approved of all proposed cabinet ministers except Mr Savona. | President Mattarella, who as head of state is supposed to be politically neutral, said he had approved of all proposed cabinet ministers except Mr Savona. |
| In a sombre televised speech in Rome, he said the economy ministry “always constitutes an immediate message of trust or alarm” for financial markets and as such he could not accept a minister who may “inevitably provoke Italy’s exit from the euro”. | In a sombre televised speech in Rome, he said the economy ministry “always constitutes an immediate message of trust or alarm” for financial markets and as such he could not accept a minister who may “inevitably provoke Italy’s exit from the euro”. |
| “The uncertainty over our position has alarmed investors and savers both in Italy and abroad,” he added. “Membership of the euro is a fundamental choice. If we want to discuss it, then we should do so in a serious fashion. | “The uncertainty over our position has alarmed investors and savers both in Italy and abroad,” he added. “Membership of the euro is a fundamental choice. If we want to discuss it, then we should do so in a serious fashion. |
| “No one can claim that I have stood in the way of the formation of the so-called government for change.” | “No one can claim that I have stood in the way of the formation of the so-called government for change.” |
| The president’s decision forced Giuseppe Conte to step down as proposed premier. | The president’s decision forced Giuseppe Conte to step down as proposed premier. |
| Mr Conte, a law professor and political novice who supports 5-Star, had been nominated to be prime minister by Mr Di Maio and League leader Matteo Salvini. | Mr Conte, a law professor and political novice who supports 5-Star, had been nominated to be prime minister by Mr Di Maio and League leader Matteo Salvini. |
| The two party heads had set aside a rivalry to open talks over forging a coalition, but each refused to back the other to lead the government. | The two party heads had set aside a rivalry to open talks over forging a coalition, but each refused to back the other to lead the government. |
| President Mattarella summoned former IMF senior official Carlo Cottarelli for a meeting on Monday and appointed him as stopgap prime minister, tasked with trying to form a technocratic government and ending weeks of political and constitutional turmoil. | |
| Mr Cottarelli, known as “Mr Scissors” for making cuts to public spending, is likely to prove a calming choice for the financial markets, which tumbled last week amid fears the mooted coalition would unleash a spending splurge and increase Italy’s already huge debt mountain. | Mr Cottarelli, known as “Mr Scissors” for making cuts to public spending, is likely to prove a calming choice for the financial markets, which tumbled last week amid fears the mooted coalition would unleash a spending splurge and increase Italy’s already huge debt mountain. |
| But his appointment will likely be only a short-term solution ahead of probable elections in the autumn. | But his appointment will likely be only a short-term solution ahead of probable elections in the autumn. |
| Polls have suggested that the League, which won 17 per cent of the vote in March, would see its support surge in a new ballot, while support for 5-Star remains strong. | Polls have suggested that the League, which won 17 per cent of the vote in March, would see its support surge in a new ballot, while support for 5-Star remains strong. |
| Mainstream centre-left and centre-right parties were seen losing further ground in the face of voter anger over the sluggish economy. | Mainstream centre-left and centre-right parties were seen losing further ground in the face of voter anger over the sluggish economy. |
| “If we’re not free to decide, better to go back to vote,” Mr Salvini told a rally of League supporters on Sunday. | “If we’re not free to decide, better to go back to vote,” Mr Salvini told a rally of League supporters on Sunday. |
| He added: “If there’s not the OK of Berlin, Paris or Brussels, in Italy a government cannot be formed. It’s a folly, and I ask the Italian people to stay close to us because I want to bring democracy back to this country.” | He added: “If there’s not the OK of Berlin, Paris or Brussels, in Italy a government cannot be formed. It’s a folly, and I ask the Italian people to stay close to us because I want to bring democracy back to this country.” |
| The two populist parties have proposed to lower taxes, roll back planned pensions cuts, and increase welfare spending, at a cost of tens of billions of euros. | The two populist parties have proposed to lower taxes, roll back planned pensions cuts, and increase welfare spending, at a cost of tens of billions of euros. |
| Their agreed joint programme also pledges to repatriate irregular migrants and block landlords from hosting those who have crossed the Mediterranean to safety. | Their agreed joint programme also pledges to repatriate irregular migrants and block landlords from hosting those who have crossed the Mediterranean to safety. |