Austrian Chancellor Karl Nehammer has announced his resignation as both ÖVP party leader and head of government following the collapse of coalition talks with the SPÖ.

The negotiations, centered on budget reforms, failed due to irreconcilable differences, with Nehammer refusing to support wealth and inheritance taxes proposed by the SPÖ.

Nehammer criticized the SPÖ for what he called "destructive forces" and reaffirmed his stance against policies he deemed harmful to Austria's economy.

His departure has sparked speculation about potential successors, including Karoline Edtstadler, Jochen Danninger, and even former Chancellor Sebastian Kurz.

The ÖVP is set to meet Sunday to discuss its next steps, with options ranging from new coalition talks to potential elections.

The political future of Austria remains uncertain as the country awaits further developments.