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Clashes as protesters in Portugal demonstrate against tax hikes.

6 years ago287 views

reuters

Reuters

ROUGH CUT (NO REPORTER NARRATION)

STORY: Portuguese protesters against new tax hikes that have shattered the political consensus behind austerity imposed by an EU/IMF bailout moved to the country's parliament building where they clashed with police on Saturday.

Earlier more than 100,000 protesters marched in Lisbon. While most dispersed peacefully between three and four thousand stayed outside the parliament building into the evening.

Organized via the Internet, the rallies brought together Portuguese from all walks of life, chanting: "Out of here! IMF is hunger and misery!" and calling on the center-right government to resign.

Tax hikes and spending cuts imposed since last year's bailout have contributed to record unemployment above 15 percent and pushed the economy into its worst recession since the 1970s.

On Thursday, the main opposition Socialists threatened to end cross-party backing for the 78-billion-euro bailout by voting against the 2013 draft budget unless the government drops its planned increase in the social security levy for all workers to 18 percent from 11 percent.

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