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Knives out at 9am for Kevin Rudd

GoFlyKiteNow

Alfrescian
Loyal
Kevin Rudd's last stand as Julia Gillard forces his hand on leadership

KEVIN Rudd this morning looks certain to lose his prime ministership in a caucus ballot after he and Julia Gillard last night spent a desperate 2 1/2 hours in failed talks.

Key Labor powerbrokers yesterday moved on Mr Rudd, telling the Deputy Prime Minister she had the numbers to win.

But Mr Rudd made it clear he would not step aside and that his enemies would have to force him out.

The final straw for Ms Gillard came early yesterday. Angered by a morning newspaper report leaked from the Prime Minister's office, questioning her loyalty to Mr Rudd, she called senior powerbroker and fellow Victorian MP Bill Shorten.

She wanted to know what to do.

"It p***ed everyone in the caucus off," a New South Wales senior factional leader said.

"And it p***ed her off, too. She has been nothing but loyal. And to have that happen was not only stupid but unwarranted."

Just before Question Time at 2.30pm, Ms Gillard sounded out a select group of Cabinet colleagues.

What should she do? They had been giving her that answer for weeks. Challenge him.

By late afternoon, Mr Shorten, fellow Victorian Senator David Feeney, NSW MP Tony Burke and South Australian right wing factional leader Don Farrell went to see Ms Gillard in her office.

They had been conspiring for the past week and they wanted her to challenge.

"I'll consider it," she said.

The dice was rolled.

A grim-faced Ms Gillard later confirmed she would stand in the leadership contest as she left Parliament House after telling the Prime Minister she had the numbers to oust him.

"I will be a candidate in tomorrow's ballot," Ms Gillard told reporters.

If she loses today she would be expected to quit as a minister and go to the backbench. Treasurer Wayne Swan is expected to become Deputy Prime Minister under Ms Gillard.

Not happy

After the meeting with Ms Gillard, Mr Rudd called a press conference in which he slammed faction leaders, saying voters and not factions had made him Prime Minister, and vowed to fight for his job.

Barely disguising his bitterness, he said he had "lost the support of certain factional leaders" several weeks before but wanted to work for the national interest.

"I was elected by the people of Australia to do a job," he said.

"I was not elected by the factional leaders of the Australian Labor Party to do a job, although they may be seeking to do a job on me.

"We've made mistakes on the way through. I've been very upfront about that."

Mr Rudd was also brought undone by junior minister and NSW faction chief Mark Arbib, and ALP national secretary Karl Bitar. They pressured the Prime Minister over the decision to defer action on climate change through creation of an emission trading scheme.

The pressure on Mr Rudd was heightened when Victorian right-wingers added their weight to demands he step aside. During the evening the AWU, one of Australia's most powerful unions, joined the anti-Rudd mobilisation.

"We've gone into some heavy weather of late and a few people have become, shall I say, a little squeamish," Mr Rudd said last night.

"I'm not for getting squeamish about those things. I am about continuing the business of reform."

Bets on

Meanwhile, the bookies are backing Ms Gillard to win today's spill.

Ms Gillard is the favourite at $1.20 to roll Mr Rudd whose odds are $4.20.

Sportingbet chief executive Michael Sullivan says a flood of big bets has also come in for the Government to win the next election as soon as Ms Gillard's intentions became clear.

He said as soon as Ms Gillard walked into Mr Rudd's office, punters wanted to back Labor to win the next election with bets of up to 10-thousand dollars coming at $1.70 within minutes.

The coalition are lagging behind at $2.40 behind Labor as favourites on $1.55

With The Daily Telegraph and AAP
 
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