The Coalition could be spared the humiliation of being the first government in 90 years to lose a substantial vote in the lower house after the Greens baulked at a compromise plan by Labor concerning the transfer of asylum seekers to Australia for medical treatment.

Following a backdown by Labor, in which it sought to amend the original agreed position with the Greens and lower-house independents, the Greens said the proposed changes vested too much power with Home Affairs Minister Peter Dutton.