The EU's most senior official warned that "more cracks" were emerging in the bloc on Friday after the Catalan parliament declared independence from Spain, plunging the country into political and economic turmoil.

Madrid swiftly responded to the vote by dissolving the Catalan parliament and dismissing Carles Puigdemont as president of Catalonia and his entire government. 

Mariano Rajoy, the Spanish prime minister, announced that regional elections would be held in December and said the unprecedented act of imposing direct rule on the regional was needed to "recover normality".

The national police may be deployed to bring Catalonia under Madrid's control.

The shock decision to declare independence poses potentially the greatest threat to the EU's unity since Brexit, and is likely to fuel support for separatist movements in Ireland, Scotland and the Basque Country.

"[The EU] doesn't need any more cracks, more splits ... we shouldn't insert ourselves into what is an internal debate for Spain, but I wouldn't want the European Union to consist of 95 member states in the future," warned Jean-Claude Juncker, the European Commission president, on Friday evening.

The crisis marks the first time that a region within an EU member state has broken away from the bloc, though movements demanding more independence exist in several countries.

Thousands of pro-independence activists clapped and cheered in the streets of Barcelona as the votes were counted, before breaking into a spontaneous rendition of Catalonia's regional anthem.

Many drank from bottles of Cava, a sparkling wine produced in Catalonia, as they waved the region's red-and-yellow flag and hugged each other.

But in Madrid, the senate reacted by granting sweeping powers to Mr Rajoy which will allow him to impose direct rule over the rogue region.

“I have dissolved the parliament of Catalonia and on December 21 there will be elections in that region,” he said.

“I have decided to call those free, fair and legal elections to restore democracy. We never wanted to reach this situation.”

He earlier said: "Spain is a serious country, a great nation, and we are not going to watch while a few individuals try to liquidate our constitution."

The beleaguered prime minister held a crisis cabinet meeting on Friday evening, as the United States, France and Germany reiterated their support for a united Spain.

source: AFP