Accusations of legal breach spark heated debate in Parliament

A heated exchange unfolded in Alþingi this morning as Guðlaugur Þór Þórðarson, MP for the Independence Party, accused the government of breaking public finance laws by failing to submit a financial strategy as legally required.

"The government has broken the law on public finances," Þórðarson declared in a pointed speech, criticizing what he described as unprofessional conduct and a failure to honor its own pledges. He emphasized that the financial strategy should be presented and approved before work begins on the fiscal plan.

Opposition proposal rejected

Opposition parties introduced a proposal to rearrange the parliamentary agenda: first to debate the fiscal plan, then the indexation of social security benefits, and lastly the proposed fishing fees bill.

The motion was backed by Bergþór Ólason (Centre Party), Hildur Sverrisdóttir (Independence Party), and Ingibjörg Isaksen (Progressive Party), but was ultimately voted down by government MPs.

"Government is playing a shell game"

Þórðarson accused the government of attempting to obscure the state of public finances by prioritizing the debate on the fishing fees bill over the more pressing fiscal plan, which has already passed committee but has yet to reach second reading.

He also pointed to the government's abandonment of its commitment to a balanced budget by 2027, saying that fiscal equilibrium now seems out of reach.

Call for vote on fishing fees

Kolbrún Áslaug Baldursdóttir, MP for the People’s Party, countered the opposition, accusing them of deliberately prolonging debate on the fishing fees bill. "If the opposition truly wants progress, let's vote on the bill now," she urged.

Concerns over parliamentary trust

Sigmar Guðmundsson, chair of the Reform Party, urged party leaders to reach a compromise to bring the session to a close. "Parliament is in disarray. I fear for public trust in this institution and for its credibility," he said.

He noted that party leaders have been meeting late into the night for days, with no resolution in sight. "The divide between government and opposition is now glaring, and that’s the root of this deadlock."