Labor’s plans to reform Victoria’s electoral funding system are on the brink of collapse after the Coalition controversially pulled its support for the legislation at the 11th hour.
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The government is now scrambling to cobble together support for its plan, which Labor says would take corporate money out of politics.
The legislation is now opposed by at least 19 members of the upper house, with the position of the Shooters, Fishers and Farmers Party now vital.
The Liberals and Nationals made their decision on Tuesday morning, shattering the confidence in government ranks that they would be able to get their long-awaited bill through before Parliament’s long winter recess.
The Coalition argues the government’s proposed reforms allows Labor to retain its funding through unions’ affiliation fees while starving other parties from other income streams.
Under the proposed reforms, donations to political parties would be capped at $4000 over a four year term but more than $40 million in taxpayer funds would go towards political campaigns.
Candidates would need to achieve a minimum of 4 per cent of votes to receive $6 for each lower house vote and $3 for every upper house vote.
The major parties were set to reap tens of millions of dollars in taxpayer money in each electoral cycle in return for relinquishing much of their fundraising activities.
MPs were to receive $40,000 a year for administrative costs under the proposed shake-up.
Opposition special minister of state spokesman Ryan Smith said the government had put forward a donations model designed to give Labor the advantage over other parties.
“From the very start of this process it was clear that Daniel Andrews wanted to limit some donations to his political opponents, but allow the unions to continue to financially support the Labor Party with affiliation fees that would remain uncapped,” he said.
Mr Smith said the Coalition was committed to discussing “true and fair” donation reforms but it was a conversation that should happen after the November election.
“Victorians want action on cost of living pressures, crime and congestion and are sick of politicians talking about themselves and trying to play politics with transparency.”
The government, which holds 14 seats in the upper house, needs another seven votes to pass legislation.
The Greens, who have five upper house seats, will support the donation reform bill. However, the government must gain two votes from the remaining five crossbenchers.
Vote 1 Local Jobs MP James Purcell said he was strongly opposed to the bill. “I think it’s disgraceful,” he said. “It’s one of the greediest pieces of legislation I’ve seen in my time here.”
Shooters, Fishers and Farmers MP Jeff Bourman he said and his colleague Daniel Young were yet to decide on how they would vote.
Australian Conservatives MP Rachel Carling-Jenkins said she did not support the bill. “I was never going to support it,” she said.
Ms Carling-Jenkins said she was philosophically opposed to public money funding election campaigns.
