Sweden's parliament confirmed Moderate Party leader Ulf Kristersson as prime minister on Monday as head of a three-party minority coalition with support from the anti-immigration Sweden Democrats.

The Moderate, Christian Democrat and Liberal Party coalition plans to cut taxes, cap benefits, tighten immigration rules and give police more powers as part of a policy deal with the Sweden Democrats, who are now the biggest party on the right after September's election.

Kristersson was elected with 176 votes in favor and 173 against, and he will present his government on Tuesday. 

(With input from Reuters)