I'm still studying the specific campaign myself, but my point was that Andrew Peacock had been grooming Hewson as one of his possible successors, and that when Hewson's time came, he fell just five seats short in an incredibly shocking election which, if I understand it correctly, he had no business losing.
"The Answer Is Liberal": Australia After Hawke
- Thread starter TheBrunswickian
- Start date
I'm still studying the specific campaign myself, but my point was that Andrew Peacock had been grooming Hewson as one of his possible successors, and that when Hewson's time came, he fell just five seats short in an incredibly shocking election which, if I understand it correctly, he had no business losing.
The thing about Howard was that his leadership was stable because the Opposition couldn't get its act together for long enough to provide a challenge to him. There were many changes in the Labor leadership. Beazley vs Crean, Crean to Latham, Latham vs Beazley, Beazley vs Rudd. Howard meanwhile, kept his potential challengers on just enough yarn (namely Peter Costello) so that he wouldn't do a Paul Keating. That and Costello never had the guts.
A somewhat socially moderate, fiscally Thatcherite view, whereas Howard was far more socially conservative as well.
yeah, obvious convention would have been to groom Costello to be honest but he didn't.
If Hewson were up against Hawke in 1993, he would have won. Hawke just couldn't pull apart Fightback! or challenge Hewson in the psychological battle like Keating could
The Democrats have got a history of killing themselves, the voted for the GST after all...
The thing is that Howard knew Costello would probably be his successor, but he enjoyed being PM too much. Howard had promised several times to hand over to Costello at some point. His original promise was he would leave after 1 and a half terms. Then he said he would retire when he turned 60. Then he said something else. He kept promising Costello he would hand over to him. And when Costello got annoyed and wanted a promise about when that would happen, Howard got angry and refused to give him anything. So it got to a point where Costello could have seized the moment several times and forced the issue, but he didn't. And then when Rudd came to power, Costello's time had passed and so he bowed out
Pangur
Donor
I well remember when this first came out. TBH I am far from sure that Costello would have had a good fist of it as PM however some of that will be because his bloody smirk
Costello wouldn't have had the party room support, especially in later years. By the time he could have made an effective challenge with public support, the party had become too loyal to Howard.
Can you blame them? He ended almost a decade of Labor Government between Hawke and Keating. If a boot had ended such a dry spell for the Coalition, that boot would have had majority support in the party.
21 August 1990
Facing significant pressure and resistance, Janine Haines was in hot water. Her announcement that she was prepared to negotiate the government’s Medicare and HECS reforms through the Senate had caused a major backlash to the Democrats. The party’s primary vote had crashed in the last Newspoll – from 10% of the national primary to merely 4. There was no speculation that her leadership was under threat. Victorian Senator Janet Powell had indicated that the Democrats’ 9-man party room was unhappy with Haines’ decision to negotiate with the government.
“We were elected to be a party to hold the major parties to account,” she told Nine’s Laurie Oakes. “I refuse to believe that supporting the total overturn of Medicare is doing that job.”
Pressed about whether or not she believed that the leadership of the Democrats was in doubt, Powell responded that Haines still had confidence of the party room.
However, despite the rocky footing for the Democrats, Haines was determined to follow through with negotiations. “If the Prime Minister won’t take a step back from some of his proposed measures, then the Democrats will block these packages. But if we can find some kind of common ground on these matters, then the Democrats will support them through.”
24 August 1990
Andrew Peacock announces that Australia will send 4 frigates to the Persian Gulf to support the international blockade of Iraq following the invasion of Kuwait. His Defence Minister, Alexander Downer confirms that the ships will take part in operations to ensure that Iraq “is totally isolated from the rest of the world via the sea”. Downer also declares that he is prepared to send Royal Australian Air Force fighters to the Gulf should US President George H.W. Bush request them.
WA Greens Senator Jo Vallentine is the only Australian parliamentarian to condemn this move, issuing a statement calling on the Australian government to reconsider joining the war.
5 September 1990
As Janine Haines continued to negotiate with the government, Treasurer John Hewson announced that part of the Medicare repeal would be the overturning of the pharmaceutical benefits scheme. In a short press release, the Treasurer claimed the cut was so the government could streamline its spending. Paul Keating unloaded on the government in Question Time, accusing Hewson and Health Minister John Moore of making deliberately damaging decisions. “Will the Treasurer be able to sleep tonight knowing that his choices will lead to the deaths of vulnerable Australians?” Cries of shame erupted from the Opposition benches, while the government was faced with jeers of anger. Speaker Bob Halverson ruled the question out of order.
12 September 1990
“What would you be doing differently if you were where Mr Peacock is now?” asked the ABC’s Kerry O’Brien to Liberal backbencher, John Howard.
With a small chuckle, Howard responded; “Look, as you know I’m not going to give you an answer to that. It’s not helpful to the government, and I have full confidence in the leadership of Mr Peacock. However I will say this, I think that the handling of this budget negotiation process with the Democrats is not doing much benefit for the Treasurer.”
“What would you suggest that the Treasurer do?”
“Not give the Democrats a single thing.”
“And why is that?”
“Well if the Democrats block budget measures that would have fixed the economic situation in this country, then it would not be the fault of the government if anything were to go wrong.”
17 September 1990
“In accordance with standing order 64, the time for Member’s Statements has expired. We now go to Questions Without Notice, I call the Leader of the Opposition.”
“Mr Speaker, my question is the Prime Minister. Given the Prime Minister’s recent failings to achieve anything of significance in since coming to power, would the Prime Minister like to respond to the comments of the Member for Bennelong to Kerry O’Brien last Wednesday?”
“No, order, order!” declared the Speaker, “Order! That question was clearly out of order, and the Leader of the Opposition, I suspect, knows this was out of order. And I call the Member for Cowper.”
Facing significant pressure and resistance, Janine Haines was in hot water. Her announcement that she was prepared to negotiate the government’s Medicare and HECS reforms through the Senate had caused a major backlash to the Democrats. The party’s primary vote had crashed in the last Newspoll – from 10% of the national primary to merely 4. There was no speculation that her leadership was under threat. Victorian Senator Janet Powell had indicated that the Democrats’ 9-man party room was unhappy with Haines’ decision to negotiate with the government.
“We were elected to be a party to hold the major parties to account,” she told Nine’s Laurie Oakes. “I refuse to believe that supporting the total overturn of Medicare is doing that job.”
Pressed about whether or not she believed that the leadership of the Democrats was in doubt, Powell responded that Haines still had confidence of the party room.
However, despite the rocky footing for the Democrats, Haines was determined to follow through with negotiations. “If the Prime Minister won’t take a step back from some of his proposed measures, then the Democrats will block these packages. But if we can find some kind of common ground on these matters, then the Democrats will support them through.”
***
24 August 1990
Andrew Peacock announces that Australia will send 4 frigates to the Persian Gulf to support the international blockade of Iraq following the invasion of Kuwait. His Defence Minister, Alexander Downer confirms that the ships will take part in operations to ensure that Iraq “is totally isolated from the rest of the world via the sea”. Downer also declares that he is prepared to send Royal Australian Air Force fighters to the Gulf should US President George H.W. Bush request them.
WA Greens Senator Jo Vallentine is the only Australian parliamentarian to condemn this move, issuing a statement calling on the Australian government to reconsider joining the war.
***
5 September 1990
As Janine Haines continued to negotiate with the government, Treasurer John Hewson announced that part of the Medicare repeal would be the overturning of the pharmaceutical benefits scheme. In a short press release, the Treasurer claimed the cut was so the government could streamline its spending. Paul Keating unloaded on the government in Question Time, accusing Hewson and Health Minister John Moore of making deliberately damaging decisions. “Will the Treasurer be able to sleep tonight knowing that his choices will lead to the deaths of vulnerable Australians?” Cries of shame erupted from the Opposition benches, while the government was faced with jeers of anger. Speaker Bob Halverson ruled the question out of order.
***
12 September 1990
“What would you be doing differently if you were where Mr Peacock is now?” asked the ABC’s Kerry O’Brien to Liberal backbencher, John Howard.
With a small chuckle, Howard responded; “Look, as you know I’m not going to give you an answer to that. It’s not helpful to the government, and I have full confidence in the leadership of Mr Peacock. However I will say this, I think that the handling of this budget negotiation process with the Democrats is not doing much benefit for the Treasurer.”
“What would you suggest that the Treasurer do?”
“Not give the Democrats a single thing.”
“And why is that?”
“Well if the Democrats block budget measures that would have fixed the economic situation in this country, then it would not be the fault of the government if anything were to go wrong.”
***
17 September 1990
“In accordance with standing order 64, the time for Member’s Statements has expired. We now go to Questions Without Notice, I call the Leader of the Opposition.”
“Mr Speaker, my question is the Prime Minister. Given the Prime Minister’s recent failings to achieve anything of significance in since coming to power, would the Prime Minister like to respond to the comments of the Member for Bennelong to Kerry O’Brien last Wednesday?”
“No, order, order!” declared the Speaker, “Order! That question was clearly out of order, and the Leader of the Opposition, I suspect, knows this was out of order. And I call the Member for Cowper.”
Opposition leader Keating is fantastic. I mean he will be PM eventually but i'm enjoying his run and making Peacock and co squirm.
21 September 1990
Newspoll data shows that Labor has gained ground against the Coalition two-party preferred, putting the result at 53/47. Prime Minister Andrew Peacock’s personal approval rating has also slipped to -46, one of the lowest recorded numbers in Newspoll’s history. Opposition Leader Paul Keating’s approval ratings improved two points, to -19. Keating has also gained another 4 points over the Prime Minister for preferred Prime Minister, giving him an 18-point lead. John Howard remains the preferred Liberal leader, however has slipped 5 points, to 62%. Peacock has also lost 2 points, down to 16. Hewson has gained 3 points, now at 9 percent. Paul Keating overwhelmingly remains the preferred Labor leader at 76%, with Kim Beazley ranking a mere 9%, and Shadow Treasurer John Kerin 3%. The leadership of the Democrats was also polled, with the leader, Janine Haines rating a satisfaction rate of -32. She also lost the preferred leader stakes to Janet Powell by 7 points.
The Newspoll also released polling data for the state of Victoria. Premier Steve Crabb received positive satisfaction ratings and Preferred Premier against Alan Brown. However, Labor trails the Coalition two-party preferred by a blistering 54/46. However, this is a gain of one point for Labor. Deputy Premier Joan Kirner, however, outranks Crabb for preferred Labor leader.
24 September 1990
For years, the Queensland and Northern Territory Air Service, better known as QANTAS, had been one of two government-owned Airlines in Australia – the other being Australian Airlines. QANTAS operated international flights to and from Australia, while Australian Airlines was solely a domestic airline, competing with the private service, Ansett. But now, these two airlines had become too costly for the government to manage – at least according to Treasurer John Hewson.
Standing beside the Prime Minister, the Treasurer announced that QANTAS and Australian Airlines would be sold off. The government would begin immediately seeking buyers for the airlines, although Andrew Peacock ruled out allowing Ansett to purchase Australian Airlines in the interests of market competition. “The market works best when there is competition. We want for Australian Airlines and QANTAS to become competition to Ansett, ensuring that Australian travellers have a choice in their air travel.”
Opposition Leader Paul Keating warns to government about this course of action, stating it will seriously destabilise the sector. Speaking on ABC’s Radio National, Keating said that “this course of action the government is taking is absolutely reckless. Australian Airlines is not going to be able to compete with Ansett in the market, and QANTAS cannot survive as a solely international venture. The government would be smarter to merge the two and slowly privatise it as one company. Ansett could become the nation’s sole domestic carrier if the government isn’t careful – Australian Airlines will collapse without a significant restructuring before selling it off”.
1 October 1990
John Hewson was anxious to get his budget measures passed through the parliament, but the Democrats were stalling. Haines was under immense pressure from her party to cancel the negotiations and just block the measures all together. Senator Powell was stepping up her criticism of Haines in the national press. “I do think that Janine is making a mistake,” she told The Australian’s Laura Tingle, “these measures Hewson wants will just do too much damage”.
On Medicare repeal, Haines ruled out supporting it. “Look John, I will not support the repeal of Medicare. It’s just not something my party would ever back – and on principle I don’t agree with it.”
“What if we can at the very least, cut its budget over the next five years by 50%. We need to be making savings in the budget.”
“What about 7 years, and give tax incentives to insurance companies to keep premiums low?” suggested Finance Minister Peter Reith, who was also engaging in the negotiations. Peacock thought it would be best to have as many heads on this as possible, much to Hewson’s annoyance.
As Haines mulled over the proposal, Hewson was seething. Reith was positioning himself to totally re-write the budget, and this led Hewson to suspect that Reith was out to replace him as Treasurer.
“Alright,” Haines said. “You’ve got a deal on that. How about education? Last time you suggested HECS covering only half of the degree, but I’m not comfortable with that. What about lowering the minimum income threshold and closing the overseas loophole?”
Newspoll data shows that Labor has gained ground against the Coalition two-party preferred, putting the result at 53/47. Prime Minister Andrew Peacock’s personal approval rating has also slipped to -46, one of the lowest recorded numbers in Newspoll’s history. Opposition Leader Paul Keating’s approval ratings improved two points, to -19. Keating has also gained another 4 points over the Prime Minister for preferred Prime Minister, giving him an 18-point lead. John Howard remains the preferred Liberal leader, however has slipped 5 points, to 62%. Peacock has also lost 2 points, down to 16. Hewson has gained 3 points, now at 9 percent. Paul Keating overwhelmingly remains the preferred Labor leader at 76%, with Kim Beazley ranking a mere 9%, and Shadow Treasurer John Kerin 3%. The leadership of the Democrats was also polled, with the leader, Janine Haines rating a satisfaction rate of -32. She also lost the preferred leader stakes to Janet Powell by 7 points.
The Newspoll also released polling data for the state of Victoria. Premier Steve Crabb received positive satisfaction ratings and Preferred Premier against Alan Brown. However, Labor trails the Coalition two-party preferred by a blistering 54/46. However, this is a gain of one point for Labor. Deputy Premier Joan Kirner, however, outranks Crabb for preferred Labor leader.
***
24 September 1990
For years, the Queensland and Northern Territory Air Service, better known as QANTAS, had been one of two government-owned Airlines in Australia – the other being Australian Airlines. QANTAS operated international flights to and from Australia, while Australian Airlines was solely a domestic airline, competing with the private service, Ansett. But now, these two airlines had become too costly for the government to manage – at least according to Treasurer John Hewson.
Standing beside the Prime Minister, the Treasurer announced that QANTAS and Australian Airlines would be sold off. The government would begin immediately seeking buyers for the airlines, although Andrew Peacock ruled out allowing Ansett to purchase Australian Airlines in the interests of market competition. “The market works best when there is competition. We want for Australian Airlines and QANTAS to become competition to Ansett, ensuring that Australian travellers have a choice in their air travel.”
Opposition Leader Paul Keating warns to government about this course of action, stating it will seriously destabilise the sector. Speaking on ABC’s Radio National, Keating said that “this course of action the government is taking is absolutely reckless. Australian Airlines is not going to be able to compete with Ansett in the market, and QANTAS cannot survive as a solely international venture. The government would be smarter to merge the two and slowly privatise it as one company. Ansett could become the nation’s sole domestic carrier if the government isn’t careful – Australian Airlines will collapse without a significant restructuring before selling it off”.
***
1 October 1990
John Hewson was anxious to get his budget measures passed through the parliament, but the Democrats were stalling. Haines was under immense pressure from her party to cancel the negotiations and just block the measures all together. Senator Powell was stepping up her criticism of Haines in the national press. “I do think that Janine is making a mistake,” she told The Australian’s Laura Tingle, “these measures Hewson wants will just do too much damage”.
On Medicare repeal, Haines ruled out supporting it. “Look John, I will not support the repeal of Medicare. It’s just not something my party would ever back – and on principle I don’t agree with it.”
“What if we can at the very least, cut its budget over the next five years by 50%. We need to be making savings in the budget.”
“What about 7 years, and give tax incentives to insurance companies to keep premiums low?” suggested Finance Minister Peter Reith, who was also engaging in the negotiations. Peacock thought it would be best to have as many heads on this as possible, much to Hewson’s annoyance.
As Haines mulled over the proposal, Hewson was seething. Reith was positioning himself to totally re-write the budget, and this led Hewson to suspect that Reith was out to replace him as Treasurer.
“Alright,” Haines said. “You’ve got a deal on that. How about education? Last time you suggested HECS covering only half of the degree, but I’m not comfortable with that. What about lowering the minimum income threshold and closing the overseas loophole?”
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7 October 1990
This was it for Janine Haines. She had negotiated an agreement with the government to pass most of their budget measures Treasurer John Hewson had put forward in his budget. But now, she had to get her party room of 8 Senators had to sign off to support the packages through parliament. As expected, the media was gathering to watch how this would play out. Nine’s Laurie Oakes was predicting “a brutal and bitter struggle between Haines and her outspoken rival, Janet Powell”, while ABC’s Kerry O’Brien stated the meeting “would be a clash of wills”.
Haines had told The Age’s Michelle Grattan that she was confident that her agreement with the government would be endorsed by her party room. “I have negotiated these amendments with the thoughts of my colleagues in the forefront of my mind. I am in no doubt that my colleagues in the Senate will agree to back these reforms”. As Oakes and O’Brien had predicted, Janet Powell was not impressed with the agreement that Haines had struck with the government. “I will be speaking against these measures in the party room and I expect others to agree with me”. Her public statement to the press was a flagrant violation of collective responsibility and party solidarity. It didn’t bode well for Haines.
Powell spoke passionately against the measures. She called them “a surrender to the neoliberals in government” according to one Democrats senator. Haines tried to soothe over the wounds that Powell had been creating. She advocated to her party that she was confident that she had struck the best terms that could have been expected. “The country is not in the economic position to cope with the stress the recession will put on it. The government needs to streamline the budget”, she said. Robert Bell, John Coulter and Cheryl Kernot all spoken in favour of backing the agreement, while Meg Lees, Vicki Bourne and Sid Spindler all spoke against.
When it came to a vote on whether to accept the reforms, the vote was close. 4 to support, 5 to oppose.
Janine Haines was deflated. She had fought so hard for this, only to see it shot down by her own party. A woman of substance and integrity, she saw this as a rejection of her leadership. Haines decided for the benefit of the party, that she should resign immediately. She saw no point in allowing herself to go forward. Her deputy, Senator John Coulter, also tendered his resignation. The party room, now without leader, moved to elect a new interim leadership team. A vote of the party membership would need to take place to confirm any choice. Janet Powell was elected as interim leader, and Meg Lees elected as deputy leader.
The press pack swarmed like vultures as the party members left their party room. Janet Powell, flanked by Meg Lees and Vicki Bourne, fronted the media, while others opted instead to ignore the pleas for comment. “Tonight, the Australian Democrats resolved not to support the government’s proposed budget measures,” Powell told the media. “As a result, Janine Haines made the decision to resign as leader of the party. John Coulter also resigned as deputy leader. I have been elected as interim leader, and Meg Lees has been elected as my interim deputy. I would like to praise the work Janine has done for this party, and I have no doubt she will continue to act in its interests.”
Back in her office, Janine Haines wrote a quick letter, addressed to the Australian Democrats General Secretary. She informed him of her intention to resign her membership of the party, and continue to sit in parliament as an independent.
This was it for Janine Haines. She had negotiated an agreement with the government to pass most of their budget measures Treasurer John Hewson had put forward in his budget. But now, she had to get her party room of 8 Senators had to sign off to support the packages through parliament. As expected, the media was gathering to watch how this would play out. Nine’s Laurie Oakes was predicting “a brutal and bitter struggle between Haines and her outspoken rival, Janet Powell”, while ABC’s Kerry O’Brien stated the meeting “would be a clash of wills”.
Haines had told The Age’s Michelle Grattan that she was confident that her agreement with the government would be endorsed by her party room. “I have negotiated these amendments with the thoughts of my colleagues in the forefront of my mind. I am in no doubt that my colleagues in the Senate will agree to back these reforms”. As Oakes and O’Brien had predicted, Janet Powell was not impressed with the agreement that Haines had struck with the government. “I will be speaking against these measures in the party room and I expect others to agree with me”. Her public statement to the press was a flagrant violation of collective responsibility and party solidarity. It didn’t bode well for Haines.
Powell spoke passionately against the measures. She called them “a surrender to the neoliberals in government” according to one Democrats senator. Haines tried to soothe over the wounds that Powell had been creating. She advocated to her party that she was confident that she had struck the best terms that could have been expected. “The country is not in the economic position to cope with the stress the recession will put on it. The government needs to streamline the budget”, she said. Robert Bell, John Coulter and Cheryl Kernot all spoken in favour of backing the agreement, while Meg Lees, Vicki Bourne and Sid Spindler all spoke against.
When it came to a vote on whether to accept the reforms, the vote was close. 4 to support, 5 to oppose.
Janine Haines was deflated. She had fought so hard for this, only to see it shot down by her own party. A woman of substance and integrity, she saw this as a rejection of her leadership. Haines decided for the benefit of the party, that she should resign immediately. She saw no point in allowing herself to go forward. Her deputy, Senator John Coulter, also tendered his resignation. The party room, now without leader, moved to elect a new interim leadership team. A vote of the party membership would need to take place to confirm any choice. Janet Powell was elected as interim leader, and Meg Lees elected as deputy leader.
The press pack swarmed like vultures as the party members left their party room. Janet Powell, flanked by Meg Lees and Vicki Bourne, fronted the media, while others opted instead to ignore the pleas for comment. “Tonight, the Australian Democrats resolved not to support the government’s proposed budget measures,” Powell told the media. “As a result, Janine Haines made the decision to resign as leader of the party. John Coulter also resigned as deputy leader. I have been elected as interim leader, and Meg Lees has been elected as my interim deputy. I would like to praise the work Janine has done for this party, and I have no doubt she will continue to act in its interests.”
Back in her office, Janine Haines wrote a quick letter, addressed to the Australian Democrats General Secretary. She informed him of her intention to resign her membership of the party, and continue to sit in parliament as an independent.
hopefully the democrats are saved (and go on to be a solid party that 'keeps the bastard's honest').
8 October 1990
It was The Australian’s Dennis Shanahan who was sent the memo Janine Haines had written to the Democrat’s national secretary, declaring her intention to sit as an independent. “Holy shit,” he said. There was no chance for him to run this scope in the day’s news. He just had to hope that he could sit on the story, and that it wouldn’t make the six o’clock news bulletin. Shanahan quickly phoned Haines’ office and requested an interview to give her side of the story – and to try and keep the story out of the headlines until he could break it.
And it wasn’t good for the government. Andrew Peacock was fuming. He had a copy of The Canberra Times sitting on his desk with a big, splashy headline: Democrats to kill budget measures. Underneath, the article spelled Peacock’s worst fears. ‘In a late-night party room meeting, the Democrats resolved not to support the government’s proposed budget measures, prompting Janine Haines, the party’s leader and only MP in the lower house, to resign from her position as leader. Janet Powell, the enigmatic Victorian senator, has been elected as her interim replacement, pending a ballot of party members.’
He called in John Hewson immediately. “How could this happen?” Peacock demanded. The Prime Minister was told that his budget measures would be passed with the help of the Democrats. He was supposed to deliver the numbers. “You had one job man!”
“Well how was I supposed to predict that the party would roll her?”
However, for Paul Keating, this was going well for him. The Democrats had long threatened to replace Labor for the alternative party to the Liberals, with their more progressive outlook on politics. Now, his enemies were dysfunctional on both sides. Speaking to ABC Breakfast, Keating said “the government and the Democrats are absolute shambles. Complete shambles. God help this country that the only thing standing between them and the Liberal reform agenda is the Democrats”.
John Howard was enjoying watching Peacock’s misery. For a man who had promised the country so much, he was delivering so little. Howard would scoff to his staff “so this is the sensible centre!”, and openly told this to members of the press gallery. He should be Prime Minister, he thought to himself. Not Peacock, not Hewson. Himself. He would be able to beat the Democrats into line. It wouldn’t be that hard to do. Should he challenge? No, no, that would be a bad idea…
9 October 1990
Dennis Shanahan’s gamble had paid off. Somehow, his scoop was not leaked over the 24-hours he had it. His offer to Janine Haines had been accepted, and his interview ran all over the front page of The Australian; Democrats split as Haines leaves party. He gave her the chance to explain why she had decided to quit the party. “I felt the party was no longer in the image of what I held for it. I no longer felt at home with the party. So I made the decision to leave.”
“And your decision to resign as leader?” he asked.
“Much the same reason. I had spent weeks negotiating with the government. I felt the party room’s resolution to oppose the packages was clearly a reflection of my inability to lead the party. I felt it was the last option I had. The vote was, in essence, a vote of no confidence in me.”
“And John Coutler, your replacement in the Senate, also resigned as Deputy Leader. Why was that?”
“I think it was a show of solidarity with me, it was flattering and I hope he remains in the party to fight for the values of the members.”
“Your relationship with Senator Powell?”
“Janet and I have a good working relationship,” Haines said with a clear tinge of apprehension. “I have respect for her decision and I hope she does the party a good service.”
16 October 1990
“Fuck!”, Andrew Peacock cried as he read the latest Newspoll figures. Once again, Labor had gained ground against the Coalition two party preferred, bringing the number to 54/46. Peacock’s personal approval ratings remained at a blistering -46. In contrast, Keating’s approval ratings saw a massive shift from -19 to -4, as well as extending his lead over Peacock in the preferred Prime Minister by 9 points. Unwelcome news continued to roll in for Peacock, as Howard remained the preferred Liberal leader, gaining 8 points on his last score, meaning 70% of respondents now wanted Howard to lead the Liberal Party.
“He’s going to roll me,” Peacock bemoaned. “I just know it”. Alexander Downer, his Defence Minister and trusted confidant, tried to reassure him.
“Howard doesn’t have the support of the party to oust you.”
“Are you sure of that?”
“I’ll run the numbers.”
It was The Australian’s Dennis Shanahan who was sent the memo Janine Haines had written to the Democrat’s national secretary, declaring her intention to sit as an independent. “Holy shit,” he said. There was no chance for him to run this scope in the day’s news. He just had to hope that he could sit on the story, and that it wouldn’t make the six o’clock news bulletin. Shanahan quickly phoned Haines’ office and requested an interview to give her side of the story – and to try and keep the story out of the headlines until he could break it.
And it wasn’t good for the government. Andrew Peacock was fuming. He had a copy of The Canberra Times sitting on his desk with a big, splashy headline: Democrats to kill budget measures. Underneath, the article spelled Peacock’s worst fears. ‘In a late-night party room meeting, the Democrats resolved not to support the government’s proposed budget measures, prompting Janine Haines, the party’s leader and only MP in the lower house, to resign from her position as leader. Janet Powell, the enigmatic Victorian senator, has been elected as her interim replacement, pending a ballot of party members.’
He called in John Hewson immediately. “How could this happen?” Peacock demanded. The Prime Minister was told that his budget measures would be passed with the help of the Democrats. He was supposed to deliver the numbers. “You had one job man!”
“Well how was I supposed to predict that the party would roll her?”
However, for Paul Keating, this was going well for him. The Democrats had long threatened to replace Labor for the alternative party to the Liberals, with their more progressive outlook on politics. Now, his enemies were dysfunctional on both sides. Speaking to ABC Breakfast, Keating said “the government and the Democrats are absolute shambles. Complete shambles. God help this country that the only thing standing between them and the Liberal reform agenda is the Democrats”.
John Howard was enjoying watching Peacock’s misery. For a man who had promised the country so much, he was delivering so little. Howard would scoff to his staff “so this is the sensible centre!”, and openly told this to members of the press gallery. He should be Prime Minister, he thought to himself. Not Peacock, not Hewson. Himself. He would be able to beat the Democrats into line. It wouldn’t be that hard to do. Should he challenge? No, no, that would be a bad idea…
***
9 October 1990
Dennis Shanahan’s gamble had paid off. Somehow, his scoop was not leaked over the 24-hours he had it. His offer to Janine Haines had been accepted, and his interview ran all over the front page of The Australian; Democrats split as Haines leaves party. He gave her the chance to explain why she had decided to quit the party. “I felt the party was no longer in the image of what I held for it. I no longer felt at home with the party. So I made the decision to leave.”
“And your decision to resign as leader?” he asked.
“Much the same reason. I had spent weeks negotiating with the government. I felt the party room’s resolution to oppose the packages was clearly a reflection of my inability to lead the party. I felt it was the last option I had. The vote was, in essence, a vote of no confidence in me.”
“And John Coutler, your replacement in the Senate, also resigned as Deputy Leader. Why was that?”
“I think it was a show of solidarity with me, it was flattering and I hope he remains in the party to fight for the values of the members.”
“Your relationship with Senator Powell?”
“Janet and I have a good working relationship,” Haines said with a clear tinge of apprehension. “I have respect for her decision and I hope she does the party a good service.”
***
16 October 1990
“Fuck!”, Andrew Peacock cried as he read the latest Newspoll figures. Once again, Labor had gained ground against the Coalition two party preferred, bringing the number to 54/46. Peacock’s personal approval ratings remained at a blistering -46. In contrast, Keating’s approval ratings saw a massive shift from -19 to -4, as well as extending his lead over Peacock in the preferred Prime Minister by 9 points. Unwelcome news continued to roll in for Peacock, as Howard remained the preferred Liberal leader, gaining 8 points on his last score, meaning 70% of respondents now wanted Howard to lead the Liberal Party.
“He’s going to roll me,” Peacock bemoaned. “I just know it”. Alexander Downer, his Defence Minister and trusted confidant, tried to reassure him.
“Howard doesn’t have the support of the party to oust you.”
“Are you sure of that?”
“I’ll run the numbers.”
For Peacock or for Howard?
If I remember correctly, Downer supported Howard when the latter was getting rolled by Peacock, right?
24 October 1990
Victorian Premier Steve Crabb faced a problem he hadn’t seen coming. Or not quite yet anyway. The opposition benches were rife with speculation and the media was full of gossip: Jeff Kennett was plotting his comeback. It hadn’t been a long time since Kennett himself had been dumped as leader, in fact it had only been just over 12 months since his removal. For Alan Brown it was a bigger problem than it would seem to be for Steve Crabb, but that’s not how the Labor benches saw it. Brown was a dull and boring leader who was constantly crushed by Crabb in opinion polls, whereas Kennett put up far much more of a fight.
Crabb was confident that he would be able to take down Kennett with enough time, but he didn’t have the luxury of time. The election was in just over two years, and the state’s economy was a mess. Offloading Tricontinental to Macquarie had probably avoided the collapse of the State Bank of Victoria and the economic recession that would have brought with it. Yet that didn’t mean the situation was by any means stronger. Despite promising a much stronger relationship and cooperation with Joan Kirner, he was struggling with her over the state’s expenditure. He wanted to streamline the education budget, and take money out many areas. Kirner, as she had indicated after Crabb had become Premier, was staunchly opposed. “As I already stated, education is an area I will not allow to be compromised by the required budget cuts. Areas such as transport have far more give when it comes to budget streamlining” she told The Age.
Jeff Kennett was enjoying watching Kirner and Crabb fight, he thought it just showed incompetence on their part. But while he took pleasure in their struggles, he was angry with his own party. Alan Brown was barely able to make any headway against the incompetent government that was dying more and more every day. He was seriously considering making a challenge for the leadership again. “We aren’t performing as well as we should be,” he told a loyal supporter. He would let Brown stew for a while though in an attempt to avoid any major struggle that might make the party look more divided than the government. If Brown were to resign and he were to return to the leadership, all would be fine.
Kennett’s car throttled down the Mulgrave Freeway as he headed back to his home in his safe Liberal seat of Burwood. He had the nightly news over the radio as he drove. “The Treasurer John Hewson confirmed today that there have been several interested parties in the search to find buyers for Australian Airlines and Qantas, with media mogul Kerry Packer and businessman Alan Bond among the names raised in a press conference today”. The weather was unseasonably wet, and the road was slippery. Hitting a particularly bad patch, Kennett lost control of his car.
25 October 1990
“Former Victorian Opposition Leader Jeff Kennett was killed last night in a horror car crash on the Mulgrave Freeway in Melbourne’s south-east”.
Andrew Peacock took the news particularly badly. He and Kennett were close, and had known each other for some time. This was a tragic moment for the Liberals, they had lost a man who Peacock still thought could be Premier of Victoria. Despite being political rivals, Steve Crabb praised Kennett’s commitment to public service, and called him a man of integrity and valour. Even Opposition Leader Paul Keating praised Kennett’s service to Victoria.
However, for John Hewson, he had become more concerned about the growing threat to his own position. Peter Reith had been talking to the media about his own aspirations. He had told Michelle Grattan that he had aspirations to be Treasurer someday, which Hewson was beginning to regard as a clear sign he was gunning for him. When Kerry O’Brien had asked Reith’s opinions on the failed budget measures, he had responded that he thought that perhaps the government should have taken a different approach.
He was becoming more and more paranoid about his position. Peacock had clearly no interest in defending him from Reith’s attacks and very poorly deflected attacks from Keating in Question Time. When Peacock was able to beat back Keating in the chamber, it was seen as a way of taking a shot at Hewson. This wasn’t working for him anymore. He refused to resign, he had too much pride for that. He needed to try a new option.
It felt like he was betraying the man who had given him so much, but he couldn’t take it anymore. Picking up the phone, he dialled a number he never thought he would have to call in these circumstances. After a brief chat with the man on the other end of the line, Hewson had one demand; “I want Reith gone from the Ministry if I am to give you my support.”
“That could be accommodated for,” replied John Howard.
Victorian Premier Steve Crabb faced a problem he hadn’t seen coming. Or not quite yet anyway. The opposition benches were rife with speculation and the media was full of gossip: Jeff Kennett was plotting his comeback. It hadn’t been a long time since Kennett himself had been dumped as leader, in fact it had only been just over 12 months since his removal. For Alan Brown it was a bigger problem than it would seem to be for Steve Crabb, but that’s not how the Labor benches saw it. Brown was a dull and boring leader who was constantly crushed by Crabb in opinion polls, whereas Kennett put up far much more of a fight.
Crabb was confident that he would be able to take down Kennett with enough time, but he didn’t have the luxury of time. The election was in just over two years, and the state’s economy was a mess. Offloading Tricontinental to Macquarie had probably avoided the collapse of the State Bank of Victoria and the economic recession that would have brought with it. Yet that didn’t mean the situation was by any means stronger. Despite promising a much stronger relationship and cooperation with Joan Kirner, he was struggling with her over the state’s expenditure. He wanted to streamline the education budget, and take money out many areas. Kirner, as she had indicated after Crabb had become Premier, was staunchly opposed. “As I already stated, education is an area I will not allow to be compromised by the required budget cuts. Areas such as transport have far more give when it comes to budget streamlining” she told The Age.
Jeff Kennett was enjoying watching Kirner and Crabb fight, he thought it just showed incompetence on their part. But while he took pleasure in their struggles, he was angry with his own party. Alan Brown was barely able to make any headway against the incompetent government that was dying more and more every day. He was seriously considering making a challenge for the leadership again. “We aren’t performing as well as we should be,” he told a loyal supporter. He would let Brown stew for a while though in an attempt to avoid any major struggle that might make the party look more divided than the government. If Brown were to resign and he were to return to the leadership, all would be fine.
Kennett’s car throttled down the Mulgrave Freeway as he headed back to his home in his safe Liberal seat of Burwood. He had the nightly news over the radio as he drove. “The Treasurer John Hewson confirmed today that there have been several interested parties in the search to find buyers for Australian Airlines and Qantas, with media mogul Kerry Packer and businessman Alan Bond among the names raised in a press conference today”. The weather was unseasonably wet, and the road was slippery. Hitting a particularly bad patch, Kennett lost control of his car.
***
25 October 1990
“Former Victorian Opposition Leader Jeff Kennett was killed last night in a horror car crash on the Mulgrave Freeway in Melbourne’s south-east”.
Andrew Peacock took the news particularly badly. He and Kennett were close, and had known each other for some time. This was a tragic moment for the Liberals, they had lost a man who Peacock still thought could be Premier of Victoria. Despite being political rivals, Steve Crabb praised Kennett’s commitment to public service, and called him a man of integrity and valour. Even Opposition Leader Paul Keating praised Kennett’s service to Victoria.
However, for John Hewson, he had become more concerned about the growing threat to his own position. Peter Reith had been talking to the media about his own aspirations. He had told Michelle Grattan that he had aspirations to be Treasurer someday, which Hewson was beginning to regard as a clear sign he was gunning for him. When Kerry O’Brien had asked Reith’s opinions on the failed budget measures, he had responded that he thought that perhaps the government should have taken a different approach.
He was becoming more and more paranoid about his position. Peacock had clearly no interest in defending him from Reith’s attacks and very poorly deflected attacks from Keating in Question Time. When Peacock was able to beat back Keating in the chamber, it was seen as a way of taking a shot at Hewson. This wasn’t working for him anymore. He refused to resign, he had too much pride for that. He needed to try a new option.
It felt like he was betraying the man who had given him so much, but he couldn’t take it anymore. Picking up the phone, he dialled a number he never thought he would have to call in these circumstances. After a brief chat with the man on the other end of the line, Hewson had one demand; “I want Reith gone from the Ministry if I am to give you my support.”
“That could be accommodated for,” replied John Howard.