Frontbenchers come to PM's defence

ALP frontbenchers deny the government is in chaos after the latest damaging reports about the PM.

Poll

Who is your preferred Prime Minister?

This poll ended on 05 September 2010.

Julia Gillard

27%

Tony Abbott

49%

Bob Brown

5%

None of the above

8%

Bring back Kevin Rudd

9%

This is not a scientific poll. The results reflect only the opinions of those who chose to participate.

LABOR frontbenchers are attempting to hose down accusations the government is in chaos following embarrassing claims Prime Minister Julia Gillard tried to kill off its paid parental scheme and cut more cash for aged pensioners.

The damaging internal leak is dominating coverage of the campaign on Wednesday and threatens to derail Labor's bid for re-election.

It also is threatening the stability of the government, opposition frontbencher Andrew Robb says.

"She's got a situation where her government is falling into chaos," he told ABC Radio on Wednesday.

Ms Gillard is refusing to comment on the claims, saying she will not respond to anonymous allegations nor breach cabinet confidentiality.

Opposition Leader Tony Abbott says senior people within the Labor Party are now working against the prime minister.

"We've got a prime minister whose fundamental political convictions are far from clear and we have an extremely divided government," he told Macquarie Radio on Wednesday.

The allegations have blunted Labor's attack on the coalition's paid parental scheme, which the government claimed would cost the average household $355 more a year for essential goods.

Attention also was taken away from a significant change in the coalition scheme - paying carer fathers only the wage of the working mother.

Health Minister Nicola Roxon came to her leader's defence on Wednesday, saying too much weight was being placed on anonymous allegations.

"What I can absolutely confirm is that Julia has had a lifelong commitment to delivering for working men and women across this country," she told ABC Radio.

But like Ms Gillard she used cabinet confidentiality to neither confirm nor deny the allegations.

The prime minister will endeavour to put Labor's campaign back on track in Adelaide where she will hold a news conference at 9am (CST) on Wednesday.

The government is struggling to gain traction over the coalition midway through the second week of the campaign.

There was a lukewarm response to a package of suicide prevention measures Ms Gillard unveiled on Tuesday.

Labor's economic management will come under scrutiny later on Wednesday when the June quarter consumer price index is released.

Analysts suggest the index will rise between 0.8 per cent and 1.0 per cent, tipping the annual rate of inflation over three per cent.

That might be enough for the Reserve Bank to hike interest rates next Tuesday - the seventh increase since October 2009 - adding to voter woes about cost-of-living pressures.

Mr Abbott is in Sydney where he is expected to make a policy announcement about 10.30am (AEST).

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