Premier Peter Malinauskas faces in Labor backbench backlash over ‘Cranker saved blackout’ in Crown and Anchor Hotel controversy

Peter Malinauskas is facing ‘widespread’ internal fury over claims a ‘lack of respect’ was shown to Labor MPs before a blockbuster call on the weekend.

Peter Malinauskas is facing “widespread” internal fury over claims a “lack of respect” was shown to Labor MPs who were left in the dark about a major development intervention.

In a rare leak of party disunity, the Premier is embroiled in a mounting backbench revolt over the state government’s decision to “save” the CBD Crown and Anchor hotel.

The East End pub, popularly known as the Cranker, has been at the centre of fierce debate for the past five months amid a community backlash over student accommodation tower plans.

Multiple MPs, who declined to be named, have now voiced private fury at poor communication after Mr Malinauskas ended fevered speculation on a high-level intervention when he revealed a new deal at a weekend public rally.

New legislation will also be tabled in parliament later this month to “protect significant live music pubs” from neighbourhood complaints.

Premier Peter Malinauskas (blue shirt top right) at the Save the Cranker rally on the steps of parliament on Sunday. Picture: Instagram / @pmalinauskasmp

Premier Peter Malinauskas address the crowd at Sunday’s rally. Picture: RoyVphotography

Insiders criticised a “lack of respect” for the Labor caucus, who will vote to support the legislation, and “special treatment” of some MPs.

Sources alleged many government MPs learned of Sunday’s announcement – made after the Premier’s personal intervention – either from the press or the Premier’s social media accounts.

They claimed the topic wasn’t mentioned during two online caucus meetings of Labor politicians in the past week despite printed “saved the Cranker” material distributed at the rally.

They claimed internal “ill feeling” within party ranks was “widespread” after private warning in recent months of a mounting communications problem at the highest levels of government.

“The distance between the top (Mali) and the people who put him there (backbench) is so great he doesn’t even bother speaking to some anymore,” one said.

Senior government sources insisted a deal wasn’t made until just before the announcement while it was “no secret” the government was trying to broker a deal.

They said that while a deal had been agreed to “in principle” late last week, it wasn’t inked until shortly before the rally while rally organisers asked for artist impressions for the event.

Labor MP Nadia Clancy at the Save the Cranker rally on the steps of parliament with colleague, Lucy Hood. Picture: Instagram / @nadiaclancy

Nadia Clancy MP at the rally with “Saved the Cranker” material. Picture: Instagram / @nadiaclancy

Addressing more than 1000 people on Parliament House’s steps, the premier unveiled a compromise to save the Grenfell St hotel that is known as a live music venue.

The deal to save the pub’s building would add 10 storeys to the 19-level tower and an extra $150m developer investment but the pub’s closure for two years.

An insider said: “The thing is – it’s not about the Cranker being saved. It’s about how it was communicated.

“That’s the problem people have. Heaps of members have told him directly.”

Senior sources said no agreement had occurred before either caucus meeting.

Development plans had shown the 171-year-old pub’s front bar area would be converted to a retail or cafe space, while the first floor would include a “yoga/dancing” area.

Accommodation for more than 700 students was to be constructed above the current site.

Sources said none within the party felt they could attend previous rallies “because people were concerned about the government position”.

“Fact is this could have been a great unifying moment for caucus – to show we’re all there being part of it,” one said.

“But (others) have hogged it for themselves.”

Mr Malinauskas declined to comment on Monday night.

While the deal has been widely welcomed, Property Council SA executive director Bruce Djite said: “Notwithstanding the positive outcome achieved on the Cranker site, it should not take the intervention of a Premier to bring about these kind of development outcomes.

“What has been achieved on the Cranker site through political intervention should be the default setting of the (planning) Commission and it only demonstrates that faster and better development outcomes are possible.”