Norwegians are casting their votes in a tightly contested election that will determine if the Labour-led government continues or a centre-right coalition takes power, with domestic issues like cost of living and inequality dominating the final campaign discussions. The election, held over Sunday and Monday, sees Prime Minister Jonas Gahr Støre of the Labour Party facing a challenge from a bloc including the conservative Høyre party led by former Prime Minister Erna Solberg and the right-wing populist Progress Party under Sylvi Listhaug, in a race that polls show is too close to call.
With approximately four million voters participating, the outcome hinges on Norway’s proportional representation system, where no single party can govern alone, making coalition building essential for a majority in the 169-seat Storting. Opinion polls indicate a slight lead for Labour, partly attributed to the ‘Stoltenberg effect’ from former NATO chief Jens Stoltenberg’s role in finance, but the centre-right bloc remains competitive, especially with Listhaug’s Progress Party gaining traction.
Key domestic issues have taken center stage, particularly the wealth tax, which applies to assets over 1.76 million Norwegian kroner, with Listhaurg advocating for its abolition and Solberg proposing exemptions for working capital, while Labour promises a comprehensive review without immediate changes. This tax debate has fueled concerns about inequality and an exodus of wealthy Norwegians to countries like Switzerland, highlighting broader economic pressures faced by voters.
Foreign policy has also influenced the campaign, with Norway’s sovereign wealth fund—the world’s largest—recently divesting from nearly half of its Israeli investments due to alleged rights violations, a decision described by fund CEO Nicolai Tangen as his ‘worst-ever crisis’ amid the Gaza war. The conflicts in Ukraine and Gaza, along with US trade tariffs, have underscored Norway’s international role despite its small population, though EU membership remains a peripheral issue due to public opposition.
The political fragility was evident earlier this year when the Labour-Centre coalition collapsed over disagreements on EU energy policies, illustrating the challenges of maintaining stable governments in Norway’s multiparty system. As votes are counted on Monday evening, the result may lead to prolonged negotiations and potentially a minority government, reflecting the consensus-driven nature of Norwegian politics and the broader European trend of rising populism.
Ultimately, this election not only decides the immediate political direction but also signals how Norway will address global challenges like economic inequality and international conflicts, with implications for its future within NATO and its relationship with the EU.