Portugal PM Socrates resigns after austerity rejected

Reuters News
Posted: Mar 23, 2011 5:15 PM

LISBON (Reuters) - Portuguese Prime Minister Jose Socrates said on Wednesday he has submitted his resignation to the president after parliament earlier rejected his minority Socialist government's latest austerity measures in a vote.

The rejection "had taken away from the government all conditions to govern," Socrates said in a televised statement.

He said his government would remain in power in a caretaker capacity.

(Reporting by Axel Bugge)