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Iceland announces snap election as temporary leader takes over

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Iceland announces snap election as temporary leader takes over


The fallout from the Panama Papers has left Iceland with a new prime minister and the prospect of snap elections. Fisheries and Agriculture Minister Sigurdur Ingi Johannsson has been chosen to lead the country after his predecessor was forced to step down mired in scandal.

The Icelandic premier is the first head to roll after a leak of documents uncovered a murky world of offshore finances.

Sigmundur David Gunnlaugsson stepped aside after documents from Panamanian law firm Mossack Fonseca revealed his wife owned a company with claims on the island’s collapsed banks.

He claims he sold his stake in the company and denies any wrongdoing, but the news sparked widespread protests as people vented their anger outside parliament.

Opposition parties have agreed to an autumn election. Recent polls show that the scandal has boosted support for the Pirate Party, with almost half of the population pledging support to the group.

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