Socialist leader will take control in Spain

Socialist party leader Pedro Sanchez is set to become the new prime minister of Spain after a no-confidence vote in parliament unseated Mariano Rajoy’s conservative government.

Mr Sanchez, the leader of the largest opposition party, could be sworn in as early today, with Cabinet appointments taking place next week.

To prevent a power vacuum after a no-confidence motion, Spanish law makes the motion’s author – in this case, Mr Sanchez – the country’s new leader as soon as the king swears him in.

The end of Mr Rajoy’s sixyear reign as PM was the first removal of a serving leader by the parliament in Madrid in four decades of democracy.

Mr Rajoy shook hands with Mr Sanchez after the result was announced.

The reputation of Mr Rajoy’s Popular Party was badly damaged by a court verdict last week which identified it as a beneficiary of a large kickbacks-for-contracts scheme.

Mr Sanchez seized his opportunity and managed to muster enough support from smaller parties to send him to La Moncloa palace, the seat of government in Madrid.

Mr Sanchez and his party are staunch supporters of the EU and the continent’s shared currency.

The Madrid stock exchange was up nearly 1.6% after Mr Sanchez won the vote, earning a standing ovation from his party’s MPS.

The incoming prime minister has outlined that his priorities will be social issues before calling elections, though he has not said when there might be a vote.

Socialist party leader Pedro Sanchez could be sworn in as early as today. Picture: AP.