11:25am Update: Opposition leader Tony Abbott this morning has announced that a Coalition Government would cut the company tax rate from 30% to 28.5% by 2013. Further commenting on the Prime Minister’s admissions on questioning parental leave and pension increases: “ask yourself about the fundamental political convictions and the unity of the team when you have this kind of information coming out”. He also described the Gillard Government as “deeply dysfunctional”.
The 2010 election campaign has some life in it, after all. Julia Gillard has just finished a highly pressurised press conference which started with journalists baying questions over whether she argued against the government’s parental leave scheme in Cabinet, as reported last night by Laurie Oakes.

Gillard started the press conference in Adelaide with curt and businesslike responses to the string of questions, but in the end handled them all. On the paid parental leave scheme and the planned pension increase, she said she “asked every question because I wanted to satisfy myself that they were affordable”, adding that she would take the same approach in future.
Gillard is usually excellent under pressure but today she was on the back foot. Take the scorn poured on the plan for a “citizen’s assembly” on climate change, the distraction from the government’s key messages by this latest revelation and the perception of disunity in the Labor ranks and it starts to look decidedly like the momentum is turning against the Prime Minister.
Gillard was clearly furious about the leak. It was “completely ridiculous and absurd”, she said, for anyone to think people thought she lacked passion and enthusiasm for reforms like paid parental leave.
But at the core of the leak is the claim that Gillard argued in Cabinet that the idea paid parental leave would be a political winner was being misconstrued. That’s different from wondering whether it was affordable.
This introduces a new and unpredictable dynamic into the campaign, as it looks like an angry Kevin Rudd might be behind the leaks. If it’s not him, the problem remains that people in the party are briefing against the Prime Minister.
This is all the more destructive in a low-volume campaign in being waged in an atmosphere of frustration and even boredom at the lack of vision and major policy ideas on offer from Labor and the Coalition.
One final observation: Gillard performed very well in Adelaide. She may have a fight on her hands but today she certainly looked up for it.
Over to you: what do you think the impact of the the latest developments will be?
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