Norway Faces Pivotal Election: Labour or Centre-Right?

Mon Sep 15 2025 16:59:32 GMT+0300 (Eastern European Summer Time)

As Norwegians head to the polls, a critical decision faces the nation: continue with a Labour-led government or shift towards a centre-right coalition. Key issues rapidly shifting from international conflicts to domestic economic challenges amidst a tight race.

With just days before the election, Norway's political landscape is dominated by pressing concerns over cost of living, inequality, and wealth tax. Jonas Gahr Støre vies for a second term as Labour's leader, while conservative opposition under Erna Solberg and Sylvi Listhaug seek to reclaim power. Complications arise from the consequences of Norway's resource management and foreign policy amidst ongoing geopolitical tensions.

Norwegians go to the polls on Sunday and Monday in a tight race to decide whether to continue with a Labour-led government or turn to the centre right.

There are only four million voters in this founding member of NATO, which shares an Arctic border with Russia and is part of the EU's single market but not a member state.

Despite its small population, Norway has long punched above its weight on the international stage, and the wars in Gaza and Ukraine - as well as US trade tariffs - have played a significant part in the election campaign.

Nevertheless, in the final stretch of the race, the focus has switched to the increasing cost of living and inequality.

Public spending, school and infrastructure, railway infrastructure and road construction, those kinds of things, says Andreas, who is a father to a small child, about what he considers the key issues.

This domestic focus became clear during Norway's summer politics fest in the small town of Arendal, last month.

Every year, Norway's political class joins company bosses, unions and the public on the southeast coast for an array of panel talks and meetings. This time, it opened with a nationally televised election debate in which all the main political leaders took part.

Among them was Labour Prime Minister Jonas Gahr Støre, 65, who is aiming for a second term in office after eight years of conservative rule ended in 2021.

He is fighting off a challenge from a bloc made up of two conservative parties: the right-wing populist Progress Party under Sylvi Listhaug, 47, which has risen in popularity, and the Høyre party of ex-Prime Minister Erna Solberg, which is looking to return to power.

One of the hot-button issues of the campaign has been the future of a 1% wealth tax, which Norwegians pay if their assets add up to more than 1.76m Norwegian kroner (£130,000; $175,000), although there are discounts that cover three-quarters of the value of your main home.

Hundreds of wealthy Norwegians have already left the country for Switzerland in recent years, anecdotally because of their native country's high taxes.

Sylvi Listhaug has called for the abolition of the wealth tax and cutting other taxes too, while Solberg's conservatives want to remove the wealth tax on what they call working capital, such as shares.

Labour refuses to go that far but has promised a wide-ranging review of taxation. It has heavyweight former NATO chief Jens Stoltenberg in charge of finance and he warns against creating a tax system that means the wealthiest in Norway end up paying little or no tax.

Opinion polls ahead of the vote have put Labour in the lead, buoyed partly by the Stoltenberg effect.

However, if the combined forces of the centre-right win, one of the big questions of this election is which of the two party leaders would be prime minister.

Foremost involves foreign policy implications as ongoing geopolitical tensions from Russia's war in Ukraine have prompted heightened interest in Norway's stance and its vast resources.