Iceland's next prime minister, Sigmundur Gunnlaugsson, said Wednesday (22 May) that his cabinet intended to halt his country’s accession negotiations, which began in 2010.
Iceland submitted its application to join the EU one year before, in the midst of a banking and economic crisis.
"The EU talks will be stopped until a referendum has been held on the issue. When the referendum will be held has not been decided," Gunnlaugsson told a news conference.
On 27 April, Iceland held elections, inflicting to the ruling pro-European Social Democrats the the biggest defeat any ruling national party has suffered since independence from Denmark in 1944.
The vote was favourable to the Independence Party, which has participated in every government between 1980 and 2009, and to the Progressive Party, its main rival and partner in previous coalitions. Both parties are against Iceland joining the EU or the euro.
Gunnlaugsson, leader of the Progressive Party, has been chosen as the next prime minister, while Bjarni Benediktsson, head of the conservative Independent party, will serve as minister of finance.
An advisor to Gunnlaugsson was quoted as saying that no timing has been set for the referendum other than it will be held within the next four years.
Opinion polls suggest most Icelanders are now against joining the EU.
Ongoing talks have not yet touched upon the sensitive chapter of fisheries, where Icelanders fear their fishing rights would be eroded by demands from Brussels to allow access to foreign boats.
