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June 16, 2026

Big parties freezing out the independents?

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Electoral reform sounds boring, which is probably why the government hoped to squeeze a substantial change to the way Australian politics works in amongst some positive-sounding modifications late last year, without too many people noticing. After independents raised the alarm, this legislation was delayed, and is now likely to be presented in the new year.

The main impetus for these changes is the collapsing primary vote (and membership) for the two major parties. Labor is being affected by negative campaigns from the likes of Clive Palmer, and the Liberals are haemorrhaging votes in wealthy areas to the teals. Donation caps have been proposed to deal with these upstarts, with both big parties likely to support any changes that entrench their own dwindling power.

This idea is among a raft of electoral reforms proposed by The Joint Standing Committee on Electoral Matters, which was asked by Special Minister of State Don Farrell to report on all aspects of the conduct of the 2022 federal election.

After three public hearings, the result was 15 recommendations, including much-needed things like increasing Indigenous enrolment, introducing real time disclosure requirements for political donations, and establishing truth in political advertising rules, such as currently exist in South Australia.

That well known champion of Australian democracy, Clive Palmer. Wikipedia/CC.

Donation caps

The controversial recommendations of the JSCEM relate to reforming election campaign financing, as the Labor government in Victoria has done, with strict caps on political donations received in advance of elections, and increased funding from the public purse received after elections.

For an independent running in a single seat, or a loose affiliation like the teals, running in a small group of seats, this creates a playing field which massively advantages the major parties, who can use money garnered from across the country to campaign in the marginal seats which actually decide elections, confident of a return to justify their expenditure afterwards.

The result in Victoria has been the complete loss of independents in that state’s lower house.

The proposed federal recommendations do nothing to stop the loopholes which allow the major parties to raise millions outside the formal donations process, including via unions and businesses.

Labor figures, including SA Senator Karen Grogan, have said the changes are about protecting Australia’s democracy. Others have made references to babies and bathwater.

WA teal Kate Chaney said in parliament , ‘No one wants to see a billionaire swaying the outcome of an election. That has broad community support [but] the 99.6 per cent of Australians who are not a member of a major political party don’t want to see a reform that locks in the two-party system.’

Tasmanians weigh in

Senator Tammy Tyrrell, the Jacqui Lambie Network Whip (whose boss got into parliament originally because of Clive Palmer’s money), described the JSCEM recommendations as ‘just another stitch-up’ from the big parties. As she points out, ‘a lot of the money funnelled to major parties isn’t through direct donations; it’s through fundraisers and membership fees…

Tasmania Senator Tammy Tyrrell. Photo supplied.

‘That means the Liberal and Labor parties could still hold a fish and chip dinner fundraiser that cost 10 grand a ticket and it would be totally within the rules. Funny how that works!

‘The major parties are trying to pull the wool over the public’s eyes. This isn’t genuine reform to make things better; it’s just a way to make sure that the two big parties are there to stay, while independents and minor parties get squeezed out,’ said Senator Tyrrell.

‘People are seeing the value of independent voices and they’re moving away from voting for major parties. But put this in place and we won’t stand a chance. We need more transparency around political donations, no question, but, as long as the major parties are the ones in charge of doing it, it will never, ever be a fair fight.’

With the Coalition reportedly happy to put in place donation caps, but uneasy about the more progressive aspects of the JSCEM recommendations, and the next election approaching, the Albanese Government will very soon have to decide whether it wants to work with the Greens and crossbench or Peter Dutton in implementing its electoral reforms. This will reveal what kind of government they really are.

As Kate Chaney put it, ‘Communities will be watching very closely to see whether the purpose of any reform package is to embed the two-party system, or reflect community concerns about transparency and truth and restoring trust in our electoral system by allowing political choice.’

Let’s see what 2024 holds!


David Lowe
David Lowe. Photo Tree Faerie.

Originally from Canberra, David Lowe is an award-winning film-maker, writer and photographer with particular interests in the environment and politics. He’s known for his campaigning work with Cloudcatcher Media.

Long ago, he did work experience in Parliament House with Mungo MacCallum.

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