Lindsay Tanner says resignation not due to leadership battle

Finance minster Lindsay Tanner says his decision not to contest the next election was driven by a desire to spend more time with his young family, and had nothing to do with Julia Gillard snatching the Labor leadership from Kevin Rudd.

At the end of a day of high political drama, Tanner dropped another bombshell by announcing in Parliament his intention to quit.

“My decision is absolutely unrelated to the events of the last 24 hours, and is entirely related to personal considerations,” Tanner told the House of Representatives.

“There are frankly two little girls, and indeed two older kids, who need me more than the country needs me.”

Tanner said he had discussed the matter with former Prime Minister Kevin Rudd a few weeks ago, and had been asked by Rudd to reconsider his position before the end of the Parliamentary sitting, which finished yesterday.

Tanner told new PM Julia Gillard that he would stay on until the election in whatever role she decided, but would not recontest his inner Melbourne seat (which is actually called Melbourne).

The loss of Tanner is clearly a blow for Gillard and the Government. Tanner is seen as being Labor’s best thinker on economic matters and has proved to be far better than Treasurer Wayne Swan at explaining economic policy.

However, there was some doubt whether Tanner would actually hold his seat at the next election, with many commentators expecting Greens candidate Adam Bandt will win the seat and give the Greens their first lower-house federal seat.

But Tanner also dismissed this as a reason for his departure, saying Labor currently held the seat by a bigger margin than it did before the 2007 election.

However, the Rudd Government’s emissions trading scheme backflip may have dented the ALP’s chances in this poll.