Portugal’s centre-right government, led by Prime Minister Luis Montenegro, lost a confidence vote on Tuesday evening amid ongoing conflict-of-interest accusations related to his family business. The country’s president, Marcelo Rebelo de Sousa, must now decide whether to dissolve parliament and call for new elections.
Montenegro, leader of the Social Democratic Party, took office in April 2024 without an absolute majority in parliament. The vote was called due to allegations involving a family business, but an attempt to avoid the vote with a proposed parliamentary inquiry failed when terms couldn’t be agreed upon.
The prime minister expressed frustration over the outcome, saying, “The government tried everything right up to the last minute to avoid snap elections.” Both the Socialist Party (PS) and the far-right Chega party voted to oust the government.
Montenegro, 52, denied any wrongdoing, stating during the parliamentary debate, “I have committed no crime.” The PS had urged Montenegro to cooperate with an inquiry into his family’s business dealings, but disagreements over the inquiry’s terms led to the confidence vote proceeding.
With a potential new election looming, the far-right Chega party, which saw significant gains in the March 2024 legislative elections, could increase its influence. The PS had formally requested a parliamentary commission of inquiry into Montenegro’s alleged conflict of interest.
Despite previous written responses to opposition questions, the PS argued that they were insufficient to resolve the suspicions. Montenegro, who had previously called for the vote to avoid instability, told CNN Portugal he would stand again if fresh elections were called, likely to be held in May.
The controversy centers on potential conflicts of interest surrounding Montenegro’s family law firm. Montenegro has denied any misconduct, claiming he handed control of the firm to his wife and children in 2022 when he became the leader of the Social Democrats. Despite this, reports suggest the firm has been receiving payments from a company with a major government-granted gambling concession.
Montenegro’s family business dealings and a recent flat purchase have drawn scrutiny. The prime minister, who succeeded Antonio Costa after his resignation in November 2023 amidst a corruption probe, remains under fire, though he denies any wrongdoing. Costa himself has been accused of influence peddling but continues to deny the charges, and he was recently appointed to lead the EU’s European Council in June 2024.
