Ian Macdonald (Queensland, Liberal Party) Share this | Hansard source

There is a certain sensitivity on this issue—a real sensitivity. Perhaps I have let the cat out of the bag! Perhaps it is Labor Party policy to increase the GST, because they will not get any obstruction from the states. Further, on duplicity, you will see in the Labor senators’ report and in the second reading amendment moved by the Labor Party that they are calling for a referendum on constitutional recognition of local government. Let me ask anyone who put this report together and put their name to it—as I say, I know it was a staffer from Mr Rudd’s office, who followed the committee, riding shotgun on Labor senators to ensure that they toed the line, but I will not ask him—how many state governments, all of which are controlled by the Labor Party, would support this referendum? Not one. Labor state governments will not do it, so now we have this divide again: a federal Labor government would have this constitutional recognition for state government but the state Labor Party simply would not. Is it one Labor Party or are there two Labor parties?