Liberals’ policy rollout slammed as ‘chaos’ by insiders in wake of disastrous election loss

Liberals blame policy ‘chaos’ as a factor in the party’s crushing election defeat, with major energy, housing and defence announcements worked up ‘on the run’ during the campaign.

EXCLUSIVE

Senior Coalition MPs were blindsided by Peter Dutton’s decision to announce the plan for an east coast gas reserve in his budget reply speech and the public release of modelling on the policy was delayed because the researcher responsible for it was uncontactable overseas.

Policy process “chaos” has been blamed by multiple Liberal sources as a factor in the party’s overwhelming defeat at Saturday’s election, with detail around major announcements on energy, housing and defence worked up “on the run” during the campaign.

Sources have confirmed Coalition treasury spokesman Angus Taylor and resources spokeswoman Susan McDonald were only given about three hours notice Mr Dutton planned to unveil the gas policy, which had previously gone through shadow cabinet, at his budget in reply speech the night before Anthony Albanese called the election.

Angus Taylor. Picture: NewsWire / Monique Harmer

Susan McDonald. Picture: Des Houghton

The pair were told to use the small window to advise business and energy stakeholders – who opposed the proposal – with multiple sources reporting Ms McDonald struck a conciliatory tone about the late notice when informing gas companies about was coming.

Most of the stakeholders were appalled at the process and, according to one person familiar with some of the calls, “basically hung up” on Ms McDonald.

The scramble to get the policy out the door meant Mr Dutton had to face a barrage of questions about his plan without the modelling to support his assertions promised retail gas and electricity savings for households and businesses would arrive by the end of “this calendar year”.

The Coalition had engaged Frontier Economics, to produce analysis of the gas reserve plan, the same company it sought to cost its $331 billion nuclear plan.

But as Mr Dutton came under pressure to produce this modelling, Liberal campaign staff chasing the final version of the report from Frontier Economics director Danny Price found he was overseas in New Zealand with his phone turned off.

The modelling was ultimately released 12 days after Mr Dutton’s budget speech, with the document in no way supporting his claim household bills would be reduced by December.

Both Ms McDonald and Mr Taylor declined to comment when asked about the process.

Mr Price was contacted for comment.

Senior Coalition MPs were blindsided by Peter Dutton’s decision to announce the plan for an east coast gas reserve in his budget reply speechPicture: Adam Head / NewsWire

Meanwhile it can also be revealed the night before the Liberals announced they would be spending more than $21bn on Defence, the party was scrambling to find a location to announce the pledge in Perth.

In an act of desperation a member of campaign headquarters reached out to former defence minister and West Australian Linda Reynolds, who helped to line up a defence industry business as the backdrop for the announcement.

Ms Reynolds then appeared at the press conference despite her retirement from politics.

Rushed policies were described by one Liberal source as a “hallmark” of the “disastrous” campaign, with another revealing the Coalition’s plan to allow first home buyers to tax deduct the interest on their mortgage was developed in just 48 hours.

It is understood housing spokesman Michael Sukkar, who lost his seat in the electoral bloodbath on Saturday, had been working on the proposal for some time, but the Coalition’s economic review committee had been unable to reach a final decision.

The policy was ultimately grabbed by Mr Dutton’s office and worked up in the two days before the official Liberal launch at the end of week two of the campaign.

Originally published as Liberals’ policy rollout slammed as ‘chaos’ by insiders in wake of disastrous election loss