Italy’s populist Five Star Movement and (formerly Northern) League have finalized a coalition agreement.
Among their policies are:
Reducing personal and business taxes to two rates: 15 and 20 percent.
A €780 monthly basic income for poor families.
Repealing 2011 pension reforms that raised the retirement age and made the system financially sustainable.
Withdrawal of EU sanctions on Moscow.
Speeding up the deportation of around 500,000 immigrants.
The final version of the text does not call for a pathway for countries to leave the euro, nor does it call on the European Central Bank to cancel €250 billion in Italian debt. These proposals had been in leaked drafts.
During a visit to Sydney, French president Emmanuel Macron said he wanted to work with the largest democracies in the region — Australia, India, Japan and the United States — to “balance” Chinese power and protect “rule-based development” in Asia.
“It’s important… not to have any hegemony in the region,” he said.
Australia has eyed accommodation with China since Donald Trump withdrew from the Trans Pacific Partnership in 2017. But Prime Minister Malcolm Turnbull, speaking alongside Macron, insisted his country is still committed to preserving a rules-based order.
British home secretary Amber Rudd has resigned for misleading lawmakers about her migration policy.
She told Parliament there was no Home Office target for deportations, but then The Guardian revealed she had written to Prime Minister Theresa May about her aim to increase “enforced removals” by 10 percent.
Politico reports that Rudd’s departure — the fourth by a cabinet minister in six months — risks destabilizing May’s government at a time when it is negotiating Britain’s exit from the European Union. Rudd was one of the leading pro-EU Conservatives and seen as a potential future party leader.
Italy’s Five Star Movement may go into coalition after all. Having placed first in the election on Sunday, the populist movement is reportedly eying an accord with the left.
The Five Stars, center-left Democrats and left-wing Free and Equal would have a majority in the new parliament.
The Five Stars and Free and Equal share views. Free and Equal was formed last year by Democrats critical of Matteo Renzi’s market reforms.
Renzi has come out against a deal, calling the Five Star Movement “anti-European”. But he is on his way out as leader. The rest of the party may be willing to reverse his signature labor reforms in return for staying in power.
Emmanuel Macron touched one third rail of French politics and didn’t die: labor reform. Now he is grabbing the other: agriculture.
French farmers rely heavily on EU agricultural subsidies and are generally less innovative (defenders would say more traditional) than their peers in Germany and the Netherlands, the two largest exporters of agricultural goods in Europe.
Macron has already opened the door to subsidy reform, arguing that, due to Brexit, cuts are inevitable.
At the same time, he has promised €5 billion in public investments to kickstart a “cultural revolution” in the sector.
Voting reforms enacted by the Italian parliament this week could do little to make the country more governable, an analysis of Ipsos polling data by Corriere della Sera reveals. The three main political blocs would remain roughly equal in size.
The new law allocates a third of the seats in the lower chamber on a first-past-the-post basis and removes the premium for the largest party.
The expectation was that these changes would hurt the populist Five Star Movement and help the mainstream left and right.