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Australian Politics Live: Bank levy given Senate green light

PoliticsNow: The government’s proposed levy on Australia’s five biggest banks has cleared federal parliament.

Follow Australian Politics live throughout the day
Follow Australian Politics live throughout the day

Australian Politics Live: It is the final sitting week before the winter recess and the government is fighting battles on several fronts. Here’s how today’s developments in Canberra have played out.

9.50pm: Bank levy passed by Senate

The Turnbull government’s proposed levy on Australia’s five biggest banks has cleared federal parliament despite concerns from within coalition ranks. The levy, announced in the May budget, passed the upper house with the support of Labor and the Greens late on Monday night.

The levy will apply to ANZ, Westpac, National Australia Bank, Commonwealth and Macquarie.
The levy will apply to ANZ, Westpac, National Australia Bank, Commonwealth and Macquarie.

It will apply to ANZ, Westpac, National Australia Bank, Commonwealth and Macquarie and is expected to raise $6.2 billion, including $1.6 billion in the first year.

Veteran coalition senator Ian Macdonald said he “despaired” as a Liberal that the government was taxing different companies differently, insisting it was inappropriate.

“I’m uncomfortable about that and I know that many in my party are,” he told parliament.

He was “distressed” that the government did not amend the legislation to adopt the recommendations of a government-dominated Senate committee, labelling it “incredible”.

The committee report, tabled in parliament on Monday, agreed with a request by the big banks for a review of the levy in two years.

The legislation should also be amended to allow the treasurer to suspend the levy in cases where banks are in extreme financial hardship, the report said. As well, Treasury should better explain why foreign banks are excluded and Macquarie Bank is included as one of the five “major banks”. Crossbench senator Nick Xenophon tried but failed to amend the legislation to ensure the levy would apply to foreign banks with significant assets such as HSBC or BNP Paribas, arguing the levy unfairly disadvantaged Australian banks. Finance Minister Mathias Cormann said the levy would apply to foreign banks if they were ever to meet the threshold but at present, none fit the “major bank” category.

One Nation’s Brian Burston described the levy as a “lazy, ugly, cheap solution” that would hit shareholders and superannuation savings without fixing any of the real problems within the banking sector.

“It’s as if you call the cops to deal with a thug demanding protection money and instead of arresting the thug, the policeman just puts out his hand to take his cut,” he told parliament.

David Crowe 6.42pm: Abbott under fire on energy

Tony Abbott was reminded of his support for a renewable energy target just two years ago. Picture: AAP
Tony Abbott was reminded of his support for a renewable energy target just two years ago. Picture: AAP

Former prime minister Tony Abbott has come under fire from a key conservative colleague over his remarks on energy policy in a sign of growing frustration at his calls for big changes to the policies he once espoused.

International Development Minister Concetta Fierravanti-Wells reminded Mr Abbott of his support for a renewable energy target just two years ago, contradicting his calls for the scheme to be frozen today.

Senator Fierravanti-Wells, a senior conservative within the NSW branch of the Liberal Party, said the government was committed to the Paris agreement on climate change despite Mr Abbott’s remarks last week that the commitments were only “aspirational”.

“The Paris targets were an iron-clad agreement,” Senator Fierravanti-Wells said.

The minister said Mr Abbott was in “direct contradiction” to his own stance as prime minister two years ago, when the government set the target of cutting greenhouse gas emissions by 26 to 28 per cent by 2030 when compared against the levels of 2005. Read the full story here.

EWIN HANNAN 6.00pm: Labor backs union pay deal probe

The ALP has backed a Senate inquiry into controversial pay deals struck between major employers and the ALP’s largest union affiliate, the shop assistants union.

Senior executives from some of the nation’s biggest employers along with the Fair Commission president Iain Ross will come under pressure to appear before the inquiry.

The Senate today backed a push by Nick Xenophon for an inquiry into enterprise agreements. Picture: AAP
The Senate today backed a push by Nick Xenophon for an inquiry into enterprise agreements. Picture: AAP

As predicted by The Australian last week, the Senate today backed a push by Nick Xenophon for an inquiry into enterprise agreements struck between the union and major employers including Coles, Woolworths, KFC and McDonald’s.

The inquiry will investigate claims that many employees working for the companies receive weekend and public holiday penalty rates that are lower than the industry award.

ALP and union sources admitted they were concerned the inquiry could embarrass the Shop, Distributive and Allied Employees Association and undermine their campaign against the government over penalty-rate cuts imposed — by the Fair Work Commission.

But Opposition workplace relations spokesman Brendan O’Connor said Labor supported the inquiry.

“Labor is always prepared to examine whether or not the industrial relations laws are working properly to protect penalty rates and workers’ pay and conditions,’’ he told The Australian.

Senator Xenophon said while it was a decision for the inquiry “it would make sense for executives from companies involved to appear to explain how the outcomes were achieved”.

He said it would be “useful” to also invite Fair Work Commission president Iain Ross to appear before the inquiry.

Greens workplace relations spokesman Adam Bandt said workers were being “ripped off”.

“We’re pleased the inquiry is looking at dodgy agreements in the retail, hospitality and fast food sector as well as the Greens’ bill to fix the problem,’’ he said.

The Greens have proposed a bill designed to stop enterprise agreements from going below the award rate for nights, weekends and public holidays.

“Malcolm Turnbull is suddenly pretending to care about workers at McDonald’s and Coles, so now he has a chance to back our bill and show he’s not just crying crocodile tears,’’ Mr Bandt said.

“Malcolm Turnbull and Michaelia Cash can get up in front of a camera and yell about unions, but it won’t put one extra dollar in the pocket of young workers being denied their penalty rates.”

David Crowe 3.45pm: QT channels Whitney

Malcolm Turnbull during Question Time today. Picture: AAP.
Malcolm Turnbull during Question Time today. Picture: AAP.

Whitney Houston sang it first but now it’s the soundtrack to Question Time: “I believe that children are our future.” That was the theme when the school funding debate dominated parliament on Monday, as Labor tried to push Malcolm Turnbull’s $18.6 billion spending increase over the edge of a political cliff. The Prime Minister’s response was to urge Bill Shorten to stop listening to the unions and vote for the Gonski 2.0 reforms. “Think about the children,” he said.

Labor is not giving an inch in the political fight over schools. Three key members of Labor’s own Gonski review into school funding – David Gonski, Ken Boston and Kathryn Greiner – all back the plan from Education Minister Simon Birmingham, but Labor has closed its ears to the pleas for reform to the needs-based funding model. That means Labor, backed by the Australian Education Union, is voting for an old regime that locks in money for the wealthiest private schools.

Turnbull joked that Labor wanted to “purge” the Gonski reviewers. “Who will they purge next?” he asked. Labor MPs raised their fingers and pointed right at him. “You!” It was not the best question to ask on a day when this newspaper reported the latest Newspoll showing the Coalition behind yet again.

The Prime Minister’s best answer came when he rebuked Labor deputy leader Tanya Plibersek for misleading voters over the “cut” to funding in a plan that offered $18.6bn more over ten years. Labor is voting against a funding boost and a needs-based funding model that has Gonski’s blessing. Turnbull called them out for it.

Confident and aggressive as usual, Labor needled Turnbull and did its best to sow division within the Coalition. At least two Labor questions, from Plibersek and from Andrew Giles, asked how backbencher Kevin Andrews could support cuts to Catholic schools. With some Coalition MPs worried about the Gonski 2.0 reforms, Labor is preparing for another vote in the lower house where it can try to shame government backbenchers into crossing the floor.

Much of Question Time was Josh Frydenberg’s show as the Energy Minister took questions on the Finkel proposal for a clean energy target and also handled education, given he represents Birmingham in the lower house. Frydenberg lampooned Labor frontbencher Andrew Leigh for telling a radio interview that climate change threatened the Australian ski season – a perfectly commonsense remark that is easily turned into a joke when given the right treatment in Question Time.

Frydenberg slipped up, however, when he began this answer on energy. With Coalition backbenchers chatting behind him, he turned to “shoosh” them so he could continue his answer. It was a sign of poor discipline on the backbench that forced an error on the frontbench. Labor MPs spent the rest of Question Time “shooshing” Frydenberg. It was juvenile but effective.

Sometimes in Question Time, it really does look like children are our future.

3.10pm: ‘Focus on the children’

The PM has rolled out the “focus on the children” several times now. Here he is again:

“Every principle they said they were committed to about school funding - needs-based, consistent, transparent - they’ve thrown aside. The funding model we’ve presented is consistent, needs-based, it is transparent across the nation.

“Labor should drop the politics and focus on the children.”

3.00pm: Dutton attacks Shorten over citizenship

Immigration Minister Peter Dutton goes on the attack against Bill Shorten as he flags the government’s tougher citizenship test changes, which the Labor caucus is due to formalise a position on tomorrow.

“We want to make sure people who are becoming Australian citizens are people who deserve to be Australian citizens,” he says.

“Is it any wonder that under this Leader of the Opposition ... (he) has no ability to pull those behind him into line when it comes to border protection, national security, citizenship changes, because he is divided right down the middle?

“This Leader of the Opposition has a problem with the public and the public has a problem with him. As you go around and speak to people around the country, they know that there is something that is not quite right about this Leader of the Opposition.”

2.54pm: ‘Expect parents to believe fees won’t go up?”

Bill Shorten points to two sets of modelling - PBO modelling that shows cuts of $3.1 billion and departmental modelling that shows cuts of $4.6 billion to Catholic schools over a decade.

“Does the Prime Minister seriously expect parents with children at Catholic schools to believe that fees won’t go up?”

Malcolm Turnbull stresses the package before the Senate involves an extra $18.6 billion. Funding for students in Catholic schools will go up by 3.5 per cent, he says, and 4.1 per cent for students in independent schools.

“(Labor’s) hypocrisy and their political gamesmanship is leaving the children of Australia behind,” the PM says. “It’s about time the Labor Party focused on the kids.”

2.50pm: Concerns over Vic Catholic schools funding cuts

Labor MP Andrew Giles points to concerns that Victoria’s Catholic schools capped funding cuts “would add up to $25 million per year”. Giles asks: Why did every member of this government, including the member for Menzies (Kevin Andrews), vote in this very House for $22 billion of cuts to schools?

Josh Frydenberg, representing the Education Minister, says the Member for Scullin may be interested to know that under the Turnbull government’s plan there are “46 seats” (he had meant to say there are 46 schools who will miss out on an average of $7.6 million if the government’s package is blocked).

Shushes continue from the Labor benches.

2.33pm: ‘Golden opportunity’ on Gonski 2.0

The PM launches a strident defence of the Gonski 2.0 changes. He says the parliament has a “golden opportunity” now to bring the schools funding wars to an end. This is not about politicians or education bureaucrats, he says, “this is about our children”. He says it will ensure they get the quality education they need so they can be top of the class “right around the world”.

2.30pm: ‘Shush!’

We really are in a kindergarten class today. After Energy and Environment Minister Josh Frydenberg advises his colleagues to “shush” so he can tell the chamber that Andrew Leigh is worried the ski season could be lost if climate change continues (point to earlier post), Labor MPs impersonate the Minister and “shush” back at him.

Josh Frydenberg 'shushes' the backbenchers

2.26pm: ‘Who’s purged next?’

The PM accuses Labor of “purging” David Gonski and Gonski architect Ken Boston. Who will be purged next? The PM asks.

Labor is ready with a response: “You will be!”

Labor MPs point at the PM as they yell their reply.

2.23pm: Shorten dare on Gonski

Bill Shorten asks why the government will rip $22bn out of schools while giving millionaires a tax cut from July 1. Those on the government benches dare the Opposition Leader to say “Gonski”.

The PM recalls a “happy” time when Labor “used to believe in needs-based funding”.

2.19pm: Electricity dominates

We’re 15 minutes in to Question Time and Labor and the government want to talk about one thing: energy prices. Scott Morrison says the Turnbull government is doing and will do everything that is needed to put downward pressure on prices.

“What we are doing is not limiting ourselves to any one area, any one energy source,” he says. The Treasurer says what is needed is moving away from the politics as usual approach, which he says is being driven by the Leader of the Opposition.

2.10pm: Electricity prices take first questions

Bill Shorten has the first question, it’s for the PM.

He says Energy Australia electricity prices will on average rise by nearly 20 per cent or $320 per year for households in NSW. Will the PM commit to work with Labor in the nation’s interest to end the policy paralysis which continues to mean higher electricity prices for all Australians?

Malcolm Turnbull voices surprise at Labor’s suggestion it can help bring down electricity prices. “When they were in government they doubled,” the PM declares.

He blames the Victorian government for increase in gas prices.

The first Dorothy Dixer is also on electricity prices.

1.30pm: Xenophon ‘broadly supportive of Gonski 2.0

South Australian crossbencher Nick Xenophon, who leads a crucial bloc of three upper house MPs, says his team is “broadly supportive” of the Gonski 2.0 schools funding overhaul but is “not quite there yet”.

The Nick Xenophon Team, which will meet with Education Minister Simon Birmingham shortly to negotiate the package, has several demands.

“Ten years is too long to implement the package, there needs to be more accountability mechanisms, we need to look at ensuring those states that are behind the SRS (Schooling Resource Standard) can be brought up to speed more quickly and there are a range of mechanisms as well in terms of having some accountability for what’s being proposed,” Senator Xenophon said.

“And obviously in relation to the Catholic school sector they have been quite concerned about this. I think one way that could be dealt with is to have a good look at the SES (socioeconomic status) and in terms of the statistical basis used for determining where schools fit in in terms of funding. That’s something we think is important as well.”

That last comment indicates the NXT is open to a review of the formula used to determine the capacity of parents’ to contribute to their children’s education. This idea is also being pushed by Liberal senator Chris Back, who has threatened to cross the floor unless the Catholic sector gets a fairer deal.

Rachel Baxendale 1.10pm: Shorten has a ball

It’s not often in Parliament House that two male party leaders get sidelined by a bunch of women, but that’s exactly what happened to Opposition Leader Bill Shorten and Greens leader Richard Di Natale as pollies and players jostled for photos at this morning’s launch of the Parliamentary Friends of Women’s Australian Rules Football.

Bill Shorten hand balls the ball at a Parliamentary Friends of Women's AFL inaugural event at Parliament House. Picture Kym Smith
Bill Shorten hand balls the ball at a Parliamentary Friends of Women's AFL inaugural event at Parliament House. Picture Kym Smith

Pollies of all stripes – including Education Minister Simon Birmingham, Veterans Affairs Minister Dan Tehan, Speaker Tony Smith and Labor frontbenchers Chris Bowen and Kate Ellis – attended the morning tea, which was hosted by Labor’s Terri Butler, Nationals senator Bridget McKenzie, Nick Xenophon Team senator Skye Kakoschke-Moore and the Greens’ Janet Rice.

Adelaide Crows premiership player Talia Radan, a staffer for Birmingham, reflected on the similar challenges posed by footy and politics, in a week when her boss is under pressure to find a way to pass the government’s Gonski 2.0 education policy.

“By politics being difficult I mean that it has its challenges as we all know, and it’s not unlike a game of football I guess, in that it’s very strategic and you’ve got some interesting decisions that you need to make,” she said.

Senator McKenzie, a former sports scientist and fiercely competitive netballer, spoke of how far the women’s game had come following its first official 2017 season, which saw eight teams compete, with new Geelong and St Kilda teams set to join the league next season.

She said the competition showed how important it was for female athletes to have professional pathways and be paid for what they do.

“In a small country town, I was a football tragic,” Senator McKenzie said.

“I played kick to kick in the playground, I didn’t take a bad mark and I could run OK, but I could never play in the mid-80s, and indeed watching my sons play at their local footy club, the girls all had to stop.

“To have that pathway now for these fantastic athletes to pursue their passion is really positive.”

12.50pm: Christensen ‘breaks ranks’

Queenslander George Christensen has defended his decision to introduce a private bill to prevent a Fair Work Commission ruling to cut Sunday rates for some workers, reports AAP.

The Nationals MP told parliament he was “breaking ranks” with the coalition by putting the bill forward.

“First and foremost, legislation concerning people’s livelihoods and their ability to put food on the table should be considered very carefully,” he told MPs.

“I believe that rank-and-file members of the Labor party and the Greens would fully support this bill, and I challenge the members opposite and those in the Senate to demonstrate that they do in fact support Australian workers,” he said. “I challenge the unions to instruct their members to support this bill, to instruct their puppets in the Labor party to support this bill.”

The legislation would also stop rates from being cut under enterprise agreements if an employee was worse off than under an award wage. The lower house is already debating a private bill introduced by federal Labor leader Bill Shorten to protect the take-home pay of Australian workers. His draft laws, however, don’t extend to cover rates cut under agreements brokered by unions. - This is an AAP report

12.25pm: Online GST delayed

Australians will not have to pay GST on goods bought online until July 1, 2018, after the government and Labor voted to delay the introduction of the tax on imported goods valued at $1000 or less. The Productivity Commission will review the change.

12.05pm: Greens bid fails

The Greens’ amendment to the GST Low Value Goods Bill, which would abolish the tampon tax, has been defeated in the Senate 33-15

11.45am: Climate change warning

Energy policy will be at the fore this week as the Coalition debates whether to embrace Chief Scientist Alan Finkel’s clean energy target. Dr Finkel will address the National Press Club on Wednesday.

Energy and Environment Minister Josh Frydenberg has refused to commit to a timetable to finalise a policy and says his colleagues come first. Labor MP Andrew Leigh today warned Australia’s ski season could evaporate if “serious action” isn’t taken on climate change.

“Any idea that we ought to describe coal as clean energy isn’t a plan – it’s a scam. There’s no private sector appetite for building new coal-fired power stations in Australia. We need to be moving down the emissions curve if we’re going to ensure we don’t see hottest year after hottest year, as we’ve seen over recent times,” he told ABC radio.

“We’re into winter and again what the scientists say is we could well lose the ski season if climate change continues unchecked. It might just be hobby for many people, but it’s just one indicator of what’ll happen if we don’t take serious action on climate change.”

11.25am: Labor to set stance on citizenship changes

Labor is set to finalise its position on media reforms and tougher citizenship changes in a caucus meeting tomorrow. The opposition’s position on media reforms has been clear – that it supports all elements of the bill except the two-out-of-three rule – while there are also concerns about the new citizenship test.

Here’s Labor frontbencher Linda Burney on Sky News discussing the citizenship overhaul: “There are aspects to this particular piece of legislation that we need to understand very carefully. Things like, for example, the language test. Is it based at the right level? Is it fair? There are many issues to this piece of legislation.

Labor MP Linda Burney. Picture Kym Smith
Labor MP Linda Burney. Picture Kym Smith

“Labor will look at this legislation and obviously the issues of security and national safety are first and foremost. But the legislation has to be fair and it has to be demonstrated that there is a need for all aspects of it before Labor will support the whole package. We may support the whole package, we haven’t decided yet, but there needs to be that opportunity for Labor to have a good look at this particular piece of legislation.”

11.10am: Late night ahead?

There are murmurings around Parliament House that we might see yet another Senate sleepover on Thursday in order to get government legislation through. Pollies and journalists alike are hoping it won’t come to that but are already bracing themselves.

10.50am: ‘Deal has been done’

Victorian crossbencher Derryn Hinch reckons the government has the Greens and One Nation on side and will legislate its Gonski 2.0 schools funding changes by the end of the week. We reported today that One Nation whip Brian Burston told Education Minister Simon Birmingham last week the minor party would support the package. However One Nation leader Pauline Hanson is not confirming her party’s position and the Greens remain undecided.

Senator Hinch, who will support the package but does not favour giving public money to private schools, told Sky News: “I think the deal’s been done, I think One Nation and the Greens with possibly some amendments will get it across the line.

“I think you’ll find by the end of the week this will all go through and maybe we will get home on Friday.”

Simon Benson 10.30am: Schools funding bill in serious jeopardy

The Turnbull Government’s schools funding bill is now in serious jeopardy with Liberal MPs in the lower house threatening not to support the bill on current modelling that suggests the Catholic school sector will be disadvantaged.

Even if a deal can be struck to get the bill passed in the Senate, which is also regarded as in peril with at least one Liberal Senator also threatening to not support it, it could be scuttled if and when it comes back to the House of Representatives. Full story here.

10.14am: Greens attempt to scrap tampon tax

Over in the Senate, the Greens are attempting to scrap the tampon tax.

The upper house is debating a government bill that would apply the GST to online items under $1000.

The Greens want to amend the bill so that is also abolishes GST applied to tampons. The party says it has new costings that show states won’t be worse off if the tax is removed.

“The government’s plan to make GST payable on items purchased online for under $1000 would raise an extra $300 million,” Greens co-deputy leader Larissa Waters said.

“Removing the GST from sanitary products would cost $115 million, so states and territories would still be $185m ahead.”

10am: Today in the Senate

9.30am: ‘Issues will be resolved’

Finance Minister Mathias Cormann, the government’s deputy leader in the Senate, says of the internal dissent over Gonski 2.0 changes: “We have a strong and united team, we’ve put a package forward which has broad support. I’m obviously aware that my good friend and colleague from the great state of Western Australia Chris Back has raised some issues in relation to Catholic schools (but) he’s indicated he’s very confident that in talking the Minister, Minister Birmingham, that these issues will be resolved.

“We call on the Labor Party to vote in favour of genuine, needs-based school funding.”

9.10am: ‘A dangerous slump’

Here is David Crowe, speaking on Sky News, about today’s Newspoll.

9am: Tweets on Gonski 2.0

And Labor MP Peter Khalil says the government has fallen short of $22bn on school funding reforms and they know it.

8.50am:

8.30am: Birmingham staring down division

Education Minister Simon Birmingham is staring down division within the Liberal Party over the government’s Gonski 2.0 schools funding overhaul as at least one of his colleagues threatens to cross the floor unless the Catholic sector gets a fairer deal.

Senator Birmingham said there were “some technical issues” he was discussing with WA Liberal senator Chris Back, who has told The Australian he could not support the reforms without changes to help Catholic schools.

But Senator Birmingham was confident his colleague would work with the government.

“I’m sure in the end he will support what is a very significant addition of investment in Catholic education across the country that will see funding grow from $6.3 billion this year in 2017 to the eight different Catholic education authorities, growing up to $9.7bn by 2027 to those eight different Catholic education authorities,” Senator Birmingham told ABC radio.

“I appreciate that there are people who have had special deals that were in place in the past and they want to keep those specials deals for the future that give them a financial advantage over others. That’s not what the Turnbull government wants to see happen though because what we’re wanting to see occur is an arrangement that provides fair, consistent treatment across all non-government schools regardless of sector, background, faith or otherwise. We don’t want to see special deals there.”

8.10am:

8am: Several Lib backbenchers furious

Senator Back is not the only Liberal MP cautioning against the government’s education package. The Australian spoke to several backbenchers yesterday who were furious at the release of new departmental modelling that shows Catholic schools would be $4.6 billion worse off while public schools would receive an extra $4bn over ten years. They have also blasted the idea of dealing with the Greens. Here’s a taste of what they had to say:

Kevin Andrews - “To do a deal with the Greens seems madness to me, that we’re hell-bent on driving our own base away in return for votes from the Greens in which we’ll never be ­rewarded at the ballot box.”

One MP told The Australian they would need to be convinced Gonski 2.0 would not deliver a “direct transfer (of funds) from Catholic education to public education” before agreeing to support the legislation when it returns to the House of Representatives.

“It leaves me with a very sour taste in my mouth. I’m wondering if Minister Birmingham deliberately misled the partyroom when he gave his briefing,” the MP said.

Another Liberal MP said it “made a travesty of the partyroom process” that the modelling was not presented and cautioned his colleagues against clinching a deal with the Greens.

“The Greens are at total odds with Coalition policy more generally so anything they extract out of us is going to go against our philosophy and our principles,” they said.

“If the consequences of this policy are far more dire for the Catholic and Independent sector than originally briefed than we need to be told.”

7.52am: ‘Let funding model continue’

Senator Chris Back, who is threatening to cross the floor if the government’s Gonski 2.0 package is put to the upper house in its current form, has urged Senator Birmingham to allow the current funding model to continue for 12 months, review the system and then determine if it or the Gonski model is fairer.

7.45am: Senator threatens to cross floor

Western Australian Liberal senator Chris Back is threatening to cross the floor if the government’s Gonski 2.0 package is put to the upper house in its current form, and is asking Education Minister Simon Birmingham to delay the reforms for a year.

As revealed in The Australian, Senator Back, who will retire from the Senate this week and is a former member of WA’s Catholic Education Commission, said he could not support the overhaul without changes. He says Catholic schools must get a fair deal.

Senator Back said he was continuing discussions with Senator Birmingham but was “not yet convinced” by the legislation.

Liberal Senator Chris Back. Picture: AAP
Liberal Senator Chris Back. Picture: AAP

“My legacy very strongly is to support Catholic schools and unfortunately until I’m convinced that the proposals in place will not disadvantage Catholic schools and independent schools for that matter then I’ve indicated to the Minister that ‘obviously please don’t make me vote against the government in my last week in the Senate’,” Senator Back told ABC radio.

“I’m very, very confident that we will reach a landing which will be not only accessible for everybody but acceptable to everybody.”

David Crowe 7.30am: Newspoll

The Coalition is struggling to climb out of a dangerous slump after trying to win back voters on school funding and energy prices, with the government trailing Labor by 47 to 53 per cent in two-party terms. The latest Newspoll, conducted exclusively for The Australian, shows Labor has kept its commanding lead over the Coalition with the help of a small gain in its primary vote, from 36 to 37 per cent, since the last survey three weeks ago.

7.15am: Making headlines - key stories today

• Education Minister Simon Birmingham is on the verge of locking in enough Senate crossbench votes with the support of One ­Nation to drive his $18.6 billion Gonski 2.0 reforms through parliament this week, resisting a ­bitter backlash from Catholic schools.

In a potentially pivotal move, West Australian Liberal Chris Back, who will retire from the Senate this week, said he could not support the Gonski 2.0 package in its current form.

The Coalition is struggling to climb out of a dangerous slump after trying to win back voters on school funding and energy prices, with the government trailing Labor by 47 to 53 per cent in two-party terms. Malcolm Turnbull has kept his lead over Bill Shorten as preferred prime minister but has failed to revive the government’s primary vote, a key measure that has flatlined at 36 per cent for more than 10 weeks.

• A new row threatens to derail the case for a clean energy target as the resources industry warns against claims of lower household electricity bills from the controversial reform, escalating a fight over demands for federal intervention to support coal power.

• Crossbencher Derryn Hinch has hit out at Pauline Hanson’s handling of taxpayer-funded election returns, saying a parliamentary inquiry into political donations could be widened to consider the accountability implications.

Labor has hit out at One Nation’s compromise plan for media reforms as the government prepares to put the package and other key pieces of legislation to a vote in the Senate.

• And in Media Diary Nick Tabakoff reports that nervous politicians are running a mile from activities around the parliamentary press gallery’s Midwinter Ball, in the latest fallout from Nine Network veteran ­Laurie Oakes ’s leaking of ­ Malcolm Turnbull ’s supposedly off-the-­record speech.

7am: On the agenda today

The government will today seek to legislate the Gonski 2.0 schools funding changes and media reforms amid intense negotiations with Senate crossbenchers.

There is also dissent within the Coalition’s ranks as backbenchers warn they may not support the education package until the Catholic sector is offered a fairer deal. As Malcolm Turnbull fails to revive the government’s primary vote in the latest Newspoll — the 14th consecutive Newspoll in which the Coalition has trailed Labor — expect a long week of twists and turns.

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Original URL: https://www.theaustralian.com.au/national-affairs/australian-politics-live-gonski-20-media-reforms-on-the-agenda/news-story/e66906915f810a340a3913068dccf829