AUSTRALIA’S RULING Labor party was one step closer to forming a new government last night when a key independent MP announced he would back the incumbents.
Andrew Wilkie signed an agreement not to use his vote to block money supply or support no-confidence motions. His support follows the announcement a day earlier that Greens MP Adam Bandt would also support the government.
Labor won 72 seats in the federal election on August 21st, but 76 are required to form government in the 150-seat parliament. The opposition Liberal-National coalition won 73 seats.
Both sides are now trying to woo the remaining three independents, but the momentum is with Labor after signing agreements with the Greens and Mr Wilkie.
Prime minister Julia Gillard yesterday attacked the coalition’s economic credentials following treasury analysis which revealed an $11 billion (€7.8 billion) hole in the opposition’s election promises. It also emerged Liberal Party leader Tony Abbott offered a $1 billion hospital upgrade to try to secure Mr Wilkie’s vote.
Labor secured the Tasmanian MP’s support by offering an extra $340 million for the Royal Hobart Hospital and a pledge to tighten poker machine regulations.
Mr Wilkie outlined why he backed Labor despite a much smaller offer.
“Who do I believe has the best chance of providing competent government? Whose policies are ethical or less unethical than the other party . . . Labor was not going to give me $1 billion because it would have had to go outside proper process to do that,” he said.
“There was much more of an understanding that this shouldn’t be seen as a pork-barrelling exercise.”
Ms Gillard said the coalition’s costings were suspect.
“Mr Abbott was prepared to give Mr Wilkie $1 billion for a proposal that should properly cost the Australian government about a third of that,” she said.
“Now doesn’t that tell you everything you need to know about Mr Abbott’s credentials to be prime minister and why he got himself in an $11 billion black hole? He doesn’t have $1 billion. Look at the treasury numbers.”
Mr Abbott, who had initially refused to submit the coalition’s costings to treasury analysis, said the funding blow-out was caused by differences in economic modelling.
Tony Windsor, one of the independents yet to say who he will back as prime minister, said Mr Abbott’s financial abilities would play a part in his final decision.
“It’s not a game-breaker, but it places some question marks within my mind at least,” he said.