Learning from Menzies about coalition relations

Perhaps the only issue more important to the success of a Liberal leader than party unity and supporter loyalty has been the maintenance of coalition relations. Menzies did not have a good reason to be especially thankful to or trustful of the Country Party (now National Party).

While minister in Victoria Menzies frequently had disagreements with the Country Party on several issues. He disliked the special deals that the Country Party often sought for their constituents as a condition for support. Hence, at a United Australia Party (UAP) meeting Menzies urged the party to resist these demands as the Country Party "was concerned merely with procuring any temporary advantage for one section of society".[ii] Nor should it be forgotten that Menzies' father, lost his seat in the Victorian Parliament to the emerging Country Party in 1920 and despite several attempts, failed to win it back.

Menzies had suffered great indignity through the vitriolic attack on his character, loyalty and courage by Country Party leader Earle Page in 1939 who stated he would refuse to serve in cabinet if Menzies became the new UAP leader, and thus prime minister. Country Party parliamentarians agreed and passed a resolution that it was "definitely unable to co-operate with the Hon RG Menzies KC as its prime minister".^[iii] Menzies was undeterred, rebuffed the allegations and became prime minister a few days later. The Country Party remained out of the government, though supportive of it on the floor of parliament, till the following year. Consequently, Menzies, as a new prime minister, at first led a minority government juggling both the Labor opposition and the renegade Country Party. It was another challenge to his talents. As Menzies later said:

Conducting a minority government is a great training ground in political tactics. With two parties to watch, the Labor opposition and Page's party, a lot of cross-trumping was called for.[iv]

This fracturing of coalition support although only lasting till 1940 when the election was called and the Country Party had replaced Page with a new leader, nevertheless weakened Menzies' prime ministership and was a contributing factor to the undermining of his leadership and later his resignation as prime minister in 1941.

Later, in better times, some Liberals believed that this and other episodes were sufficient reason for their party to confront the Country Party head-on and to unwind the compromises necessary for effective coalition. Menzies however, had learnt that, in Liberal politics, party purity brings a warm and fuzzy feeling, but a stable coalition brings government. Indeed, some believe that Menzies in his second prime ministership gave in too often to the Country Party on a range of matters ranging from economic and trade policy, support for the agricultural sector to issues concerning electoral weightage and redistributions. Even during the Menzies first post-war government (1949-51), the Country Party – although holding Treasury – resisted its advice to revalue the currency and threatened to withdraw from the government if the Liberals insisted that it occurred.^[v] Menzies relented, but it necessitated the 'horror' 1951-2 budget with increases in taxation, resulting credit squeeze and later electoral damage. What has been called Menzies' 'indulgence' to the Country Party especially under their later forthright leader Jack McEwen (1958-71) on both policy and electoral issues such as redistributions was largely correct, with some important exceptions, but it paid off. Professor Brian Costar acknowledged this situation but also pointed out its virtues:

Had Menzies been less astute and publicly confronted McEwen on each and every occasion which warranted it, it is doubtful that the coalition would have survived intact for as long as it did.^[vi]

One observant journalist has reminded us of Menzies' reply to a question at his final prime-ministerial press conference. When asked what he regarded as his greatest political achievement, he replied: "Maintaining the constant and fruitful alliance with the Country Party".[vii]

One can hardly escape the conclusion that few of Menzies' successes as prime minister could have been achieved without his assiduous maintenance of a close working relationship with Country Party leaders. Without these close relationships, few if any federal Liberal victories would have been possible. It is noteworthy, that when Menzies' numerous successors failed to take note of this lesson, they, and the coalition inevitably fell from office and stayed out of office until relationships had been mended. Fraser and Howard, certainly took note and both resisted suggestions from some in their party following their landslide election wins (1975, 1977 and 1996) to govern without the Country Party (by then National Party). It would have been unseemly and would not have lasted one term. The Liberals will always need the Country Party.