Prime Minister Malcolm Turnbull has held a press conference after the government’s corporate tax cuts bill was rejected by the Senate.
Mr Turnbull has confirmed the policy would not be taken to voters at the next election – whenever that might be.
It is anticipated Mr Turnbull could do one of two things this week: stand down as Prime Minister or call an election.
He defeated former senior government minister Peter Dutton in a party room ballot for the Liberal leadership.
The vote count was 48 to 35.
On radio on Wednesday morning, Mr Dutton revealed he would seek a second tilt at the leadership once the opportunity arose.
A second party room meeting could be held before Question Time at 2.30pm.
Tasmanian Liberal powerbroker Eric Abetz has called for a cut to immigration and hinted that Peter Dutton will get the numbers to replace Prime Minister Malcolm Turnbull.
Senator Abetz told ABC radio that it was not about leadership but rather the policy direction of the Liberal Party and its ability to sell policies.
He said he had “no inkling” there would be a leadership vote on Tuesday morning and indicated support for Peter Dutton would continue to grow.
“I think there was a shift after the party room meeting with the offers of resignation by a considerable number of ministers,” Senator Abetz said.
“From a standing start to get 35 votes was a very strong showing by Peter Dutton and indicated there were genuine and real concerns about policy direction.
“This is about policy direction and the direction we go in relation to a number of issues.
“On the energy front we must put price front and centre, we have to fix the Catholic schools situation and we have to ensure we don’t fiddle with superannuation again as we did before the last election.
“We must put small business upfront and small business should be in cabinet.
“Our immigration intake does need to be reduced so infrastructure, housing, jobs can all catch up.”
Senator Abetz said Australians wanted “secure borders and cheaper and reliable energy.”
“They do want to ensure our immigration intake is able to be absorbed in our economic outlook,” he said.
Senator Abetz said the Liberal leadership needed to be resolved internally but would not confirm another move against Mr Turnbull by Mr Dutton.
Mr Turnbull won the leadership 48 votes to 35.