Regardless of which parties form a government or whether there will be new elections, social cuts, anti-refugee agitation and increasing rearmament spending will be at the centre of the next government’s agenda.

Austria's two biggest centrist parties are moving quickly towards a coalition deal without the far-right Freedom Party after it failed to form a government, party officials said.

Austria's People's Party and Social Democrats have expanded coalition talks to include the liberal Neos party, aiming for a stable parliamentary majority. The move follows the collapse of talks led by the Freedom Party.

Austria's conservative People's Party and Social Democrats are quickly negotiating a coalition without the far-right Freedom Party. Previously failed attempts and potential snap elections have made this the longest government formation process since WWII.