Liberal Movement
Encyclopedia
The Liberal Movement was a minor South Australia
South Australia
South Australia is a state of Australia in the southern central part of the country. It covers some of the most arid parts of the continent; with a total land area of , it is the fourth largest of Australia's six states and two territories.South Australia shares borders with all of the mainland...

n political party in the 1970s. Stemming from discontent within the ranks of the Liberal and Country League
Liberal and Country League
The Liberal and Country League was a major political party in South Australia throughout its forty year existence. Thirty-four years were spent in government, in part due to the electoral malapportionment known as the Playmander, introduced after coming to power.Created on 9 June 1932 as the...

 (LCL), it was organised in 1972 by former premier Steele Hall
Steele Hall
Raymond Steele Hall was the 36th Premier of South Australia 1968-70, a senator for South Australia 1974-77, and federal member for the Division of Boothby 1981-96.-Biography:...

 as an internal group in response to a perceived resistance to sought reform within its parent. A year later, when tensions heightened between the LCL's conservative wing and the LM, it was established in its own right as a progressive liberal party. When still part of the league, it had eleven parliamentarians; on its own, it was reduced to three.

In the federal election of 1974
Australian federal election, 1974
Federal elections were held in Australia on 18 May 1974. All 127 seats in the House of Representatives, and all 60 seats in the Senate were up for election, due to a double dissolution...

, it succeeded in having Hall elected to the Australian Senate
Australian Senate
The Senate is the upper house of the bicameral Parliament of Australia, the lower house being the House of Representatives. Senators are popularly elected under a system of proportional representation. Senators are elected for a term that is usually six years; after a double dissolution, however,...

 with a primary vote of 10 per cent in South Australia. It built upon this in the 1975 state election
South Australian state election, 1975
State elections were held in Australia on 12 July 1975. All 47 seats in the South Australian House of Assembly were up for election. The incumbent Australian Labor Party led by Premier of South Australia Don Dunstan defeated the Liberal Party of Australia led by Leader of the Opposition Bruce...

, gaining almost a fifth of the total vote and an additional member. However, the non-Labor parties narrowly failed to dislodge the incumbent Dunstan
Don Dunstan
Donald Allan "Don" Dunstan, AC, QC was a South Australian politician. He entered politics as the Member for Norwood in 1953, became state Labor leader in 1967, and was Premier of South Australia between June 1967 and April 1968, and again between June 1970 and February 1979.The son of a business...

 Labor government
Australian Labor Party
The Australian Labor Party is an Australian political party. It has been the governing party of the Commonwealth of Australia since the 2007 federal election. Julia Gillard is the party's federal parliamentary leader and Prime Minister of Australia...

. That result, together with internal weaknesses, led in 1976 to the LM's being re-absorbed into the LCL, which by then had become the South Australian division of the Liberal Party of Australia
Liberal Party of Australia
The Liberal Party of Australia is an Australian political party.Founded a year after the 1943 federal election to replace the United Australia Party, the centre-right Liberal Party typically competes with the centre-left Australian Labor Party for political office...

. The non-Labor forces again failed in 1977
South Australian state election, 1977
State elections were held in South Australia on 17 September 1977. All 47 seats in the South Australian House of Assembly were up for election...

  but succeeded in winning government at the 1979 election
South Australian state election, 1979
State elections were held in Australia on 15 September 1979. All 47 seats in the South Australian House of Assembly were up for election. The incumbent Australian Labor Party led by Premier of South Australia Des Corcoran was defeated by the Liberal Party of Australia led by Leader of the...

.

A segment of the LM, led by former state attorney-general Robin Millhouse
Robin Millhouse
Robin Rhodes Millhouse QC has been, at various times, the South Australian Attorney-General, the first Australian Democrats parliamentarian, and the Chief Justice of both Kiribati and Nauru....

, did not rejoin the Liberals, instead forming a new party, the New LM
New LM
The New Liberal Movement was a South Australian political party that had parliamentary representation during the mid-1970s.Formed by Robin Millhouse on 6 May 1976 following the dissolution of the Liberal Movement, the New LM sought to be the true liberal party in South Australia, arguing that the...

, which, combined with the Australia Party
Australia Party
The Australia Party was the name of a minor political party in Australia ....

, under the invited leadership of Don Chipp
Don Chipp
Donald Leslie Chipp, AO was an Australian politician, and the inaugural leader of the Australian Democrats.-Early life:...

, formed the nucleus of the Australian Democrats
Australian Democrats
The Australian Democrats is an Australian political party espousing a socially liberal ideology. It was formed in 1977, by a merger of the Australia Party and the New LM, after principals of those minor parties secured the commitment of former Liberal minister Don Chipp, as a high profile leader...

 which aspired to a balance of power
Balance of power (parliament)
In parliamentary politics, the term balance of power sometimes describes the pragmatic mechanism exercised by a minor political party or other grouping whose guaranteed support may enable an otherwise minority government to obtain and hold office...

 in the federal Senate and up to four state upper houses for three decades. The LM and its successor parties gave voice to what is termed "small-l liberalism" in Australia.

Party system

Prior to parties becoming established in the Australian colonies in the later 19th century, all members of the colonial parliaments were independents, occasionally labelled as 'liberal' or 'conservative', amongst other terms. With the advent of Labor, these groups combined to form anti-Labor parties. 'Liberal', in the Australian context, refers to what could be described as classical liberalism
Classical liberalism
Classical liberalism is the philosophy committed to the ideal of limited government, constitutionalism, rule of law, due process, and liberty of individuals including freedom of religion, speech, press, assembly, and free markets....

, and is distant from the modern meaning that the word has acquired in the United States and some other countries. As a train of thought, Australian liberalism has been less rooted in any defined ideology and more in pragmatism and opposition to Labor. Liberalism in Australia
Liberalism in Australia
Liberalism in Australia dates back to the earliest pioneers of the area, and has maintained a strong foothold to this day.-Introduction:The earliest pioneers of the federation movement, men such as Alfred Deakin and Samuel Griffith, were generally self-described "liberals"...

 represents the centre-right of the political spectrum, while Labor represents the centre-left.

The first Labor party in South Australia was the United Labor Party in 1890, born out of a trade union association that recommended and supported trade unionist candidates. In response, the National Defence League (NDL) was born three years later. In 1909, the NDL combined with other anti-Labor parties to form the Liberal Union (later known as the Liberal Federation
Liberal Federation
The Liberal Federation was a liberal conservative South Australian political party from 1922 to 1932. It stemmed from the Liberal Union's Henry Barwell. Richard Layton Butler was also premier during the party's time. It was a predecessor to the Liberal and Country League....

). The ULP morphed into the Australian Labor Party
Australian Labor Party
The Australian Labor Party is an Australian political party. It has been the governing party of the Commonwealth of Australia since the 2007 federal election. Julia Gillard is the party's federal parliamentary leader and Prime Minister of Australia...

 in 1910, and has been known by this name ever since. Later a Country Party
National Party of Australia
The National Party of Australia is an Australian political party.Traditionally representing graziers, farmers and rural voters generally, it began as the The Country Party, but adopted the name The National Country Party in 1975, changed to The National Party of Australia in 1982. The party is...

 emerged, representing rural interests, but this was assimilated back into the conservative side of politics with the formation of the Liberal and Country League (LCL) in 1932. The South Australian party system has not deviated from this two-party divide, and all other parties gained negligible representation or influence, until the emergence of smaller parties such as the Australian Democrats
Australian Democrats
The Australian Democrats is an Australian political party espousing a socially liberal ideology. It was formed in 1977, by a merger of the Australia Party and the New LM, after principals of those minor parties secured the commitment of former Liberal minister Don Chipp, as a high profile leader...

 in the late 20th century, and the Australian Greens
Australian Greens
The Australian Greens, commonly known as The Greens, is an Australian green political party.The party was formed in 1992; however, its origins can be traced to the early environmental movement in Australia and the formation of the United Tasmania Group , the first Green party in the world, which...

 and Family First Party
Family First Party
The Family First Party is a socially conservative minor political party in Australia. It has two members in the South Australian Legislative Council...

 in the 21st century.

Liberal representation

Political scientists Neal Blewett
Neal Blewett
Neal Blewett, AC , Australian politician, was an Australian Labor Party member of the Australian House of Representatives representing the Division of Bonython, South Australia from 1977 to 1994.-Education and academic career:...

 and Dean Jaensch
Dean Jaensch
Dean Jaensch is an Australian political scientist and a retired Professor of Political and International Studies at The Flinders University of South Australia. Jaensch was awarded a Bachelor of Arts , a Master of Arts and PhD from the University of Adelaide...

 characterised the LCL as a strange amalgamation of differing groups: "the Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

 'establishment', the yeoman proprietary (farmers and regional workers), and the Adelaide middle class". Of these groups, the middle class was the most electorally depressed, both in parliament and within the party itself, due to a 2:1 ratio favouring regional areas both in electoral legislation and the party organisation. The establishment influenced the party with its financial backing, while the yeoman proprietary was the most numerous. Only in 1956 did the urban middle class achieve parliamentary representation through Robin Millhouse
Robin Millhouse
Robin Rhodes Millhouse QC has been, at various times, the South Australian Attorney-General, the first Australian Democrats parliamentarian, and the Chief Justice of both Kiribati and Nauru....

, who was elected to the urban middle class seat of Mitcham
Electoral district of Waite
Waite is an electoral district of the House of Assembly in the Australian state of South Australia. Named after Peter Waite, a 19th entrepreneur and philanthropist in the current area of the electorate, it is a 30.6km² urban electorate in Adelaide's inner south-eastern suburbs, taking in the...

.

Millhouse was a vocal advocate of his broader constituency; championing their case in a party dominated by rural conservatives. He wrote a paper on the 'Liberal Case for Electoral Reform', arguing for a fairer electoral system, as it was biased against voters resident in the capital city, Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

, whether they be progressive or conservative, Liberal or Labor. Many younger urban middle class voters, who would have normally been attracted to the LCL, were abandoning the party for Labor
Australian Labor Party
The Australian Labor Party is an Australian political party. It has been the governing party of the Commonwealth of Australia since the 2007 federal election. Julia Gillard is the party's federal parliamentary leader and Prime Minister of Australia...

 due to their dissatisfaction with the malapportioned
Apportionment (politics)
Apportionment is the process of allocating political power among a set of principles . In most representative governments, political power has most recently been apportioned among constituencies based on population, but there is a long history of different approaches.The United States Constitution,...

 electoral system known as the 'Playmander
Playmander
The Playmander was a form of electoral malapportionment in the Australian state of South Australia, in place from 1936 to 1968. It consisted of rural districts enjoying a 2-to-1 advantage in the state parliament, even though they contained less than half of the population, as well as a change from...

'. But this concerned the rural conservatives little, who hoped to retain their hold on power through the present system, which included a Legislative Council where suffrage was based on land ownership, resulting in a body dominated by the ruling class and the rural landholders, and a 16–4 LCL majority. Millhouse's paper was quickly ignored.

The LCL had governed, primarily under the stead of Sir Thomas Playford
Thomas Playford IV
Sir Thomas Playford, GCMG was a South Australian politician. He served continuously as Premier of South Australia from 5 November 1938 to 10 March 1965, the longest term of any elected government leader in the history of Australia. His tenure as premier was marked by a period of population and...

, for 32 years, and finally lost to Labor in 1965. A year and a half later, when Playford retired, Steele Hall
Steele Hall
Raymond Steele Hall was the 36th Premier of South Australia 1968-70, a senator for South Australia 1974-77, and federal member for the Division of Boothby 1981-96.-Biography:...

 was elected to replace him. A young farmer from a rural constituency, Hall had never conflicted with the party line, and was expected to uphold the existing LCL principles, having spoken out in support of the Playmander and the restrictive Legislative Council before. However, when the LCL was returned to office in 1968 under his leadership, with the help of malapportionment, Hall was under pressure. Labor had led the LCL 52.0 to 43.8% on primary votes, but due to the Playmander, both ended with 19 seats and an independent supported the LCL and returned them to power. Large protests against the Playmander broke out, and there were strong calls for reform.

The LCL had routinely ignored such protests before, but Hall's course differed from what was expected. He appointed Millhouse his Attorney-General, and continued a raft of social reform that had begun under the previous Labor government. This was opposed by some conservatives within the party; lines began to be drawn, and factions began to appear. Hall commented in the party's newsletter that "too many people see the LCL as a party tied to conservative traditions. We must show voters that we can move with the times, that we are 'with it'."

Electoral reform

The level of malapportionment had grown to a level in excess of 3:1 in favour of rural areas, and Hall, having won the previous election on 46 per cent of the two-party-preferred vote, committed himself to a fairer electoral system. Previously 39 members were elected; 13 from metropolitan Adelaide and 26 from the country. Hall's first attempt for reform was a system with 45 seats and 20 from the country; this proposal receiving scorn from both Labor and the rural councillors, seen as not going far enough by the former and going too far by the latter. A second proposal, for 47 seats with 19 in the country, was adopted with bipartisan support in the House of Assembly, but encountered opposition in the Legislative Council. The new system would make an LCL win near-impossible in the coming election, and Hall and the LCL were aware of it. For his weakening of rural constituencies, Hall became an enemy to those councillors who stood in defence of the previous system. Hall saw the political situation as untenable and felt the LCL needed reform to cope with the removal of an artificial situation.

Labor's leader, Don Dunstan
Don Dunstan
Donald Allan "Don" Dunstan, AC, QC was a South Australian politician. He entered politics as the Member for Norwood in 1953, became state Labor leader in 1967, and was Premier of South Australia between June 1967 and April 1968, and again between June 1970 and February 1979.The son of a business...

, also introduced a bill for reform of the Legislative Council
South Australian Legislative Council
The Legislative Council, or upper house, is one of the two chambers of the Parliament of South Australia. Its central purpose is to act as a house of review for legislation passed through the lower house, the House of Assembly...

, which sought to remove its wage and property based qualifications and instil adult suffrage. Hall himself stated he would approve the bill if it included a clause guaranteeing that the Legislative Council could only be abolished through a referendum. Dunstan agreed, but Hall's own party split on the issue. The bill passed the House of Assembly with Labor support, but failed in the Legislative Council where the LCL's rural conservatives dominated its restricted electoral base.

Behind the votes in parliament was a personal antagonism between Hall and Ren DeGaris, the leader of the LCL in the Legislative Council. DeGaris, who was elected to the council in 1962, was a staunch defender of its franchise and electoral boundaries. The two were the de facto leaders of the party's two factions; Hall representing the urban-based progressives, and DeGaris the rural-based conservatives. The conflict between the two extended beyond politics and on to a personal level, contributing to the polarisation of views within the LCL and making it difficult for an internal compromise to be reached on the issue of electoral reform.

After the LCL lost government in 1970, primarily due to the electoral reform, Hall managed to be re-elected as leader. He convinced a majority of the party's membership that reform was needed, and sought to remove the influence that the party's representatives in the Legislative Council held. When the Dunstan government again introduced a bill to introduce universal suffrage to the council, Hall gained the support of 7 out of 20 members in the Assembly, but only 2 of 16 LCL members in the Legislative Council supported the bill. Internally, there was much opposition to any electoral reform when the matter was debated at party conferences.

The conservatives then moved against Hall, putting forward party proposals to lessen the influence of its parliamentary leader. Liberal parties in Australia had long held to a tradition of the separation of houses, independence of members, and the ability of the parliamentary leader to choose his own cabinet. The rural councillors sought to preserve their power, and demanded that cabinet positions not be decided by the leader, but elected by the parliamentary party as a whole. As this would include the Legislative Council, dominated by its rural membership, Hall's support among moderate Liberals would be overwhelmed by the councillors' inclusion. Hall privately told Legislative Council Chairman David Brookman that he could not work with De Garis and that he would resign if he was not allowed to choose his cabinet.

After the parliamentary party agreed on this issue 12–8, Hall resigned the leadership on 16 March 1972, stating that "I cannot continue to lead a Party that will not follow; I cannot lead a Party which has lost its idealism and which has forgotten that its purpose for existence is to govern successfully for the welfare of all South Australians. Our Party is still deeply cleft by the persuasive influence of a number of its members in the Legislative Council." Later in the speech, he said "Over the last three years I have been subject to a great deal of disloyalty on a continuing basis ... I had hoped this afternoon to move a motion of no confidence in the Government; instead, I found out Party had moved a vote of no confidence in itself." Premier Dunstan, with whom Hall had never had amiable relations, crossed the floor of the house and shook Hall's hand in a gesture of solidarity. Hall said he "was knifed" and said the conservatives' actions were "a clear example of how deeply the wooden horses of the Legislative Council have entrenched themselves in the ranks of the Assembly membership". The LCL President Ian McLachlan
Ian McLachlan
Ian Murray McLachlan AO is an Australian landowner, former first-class cricketer, and former member of the Australian House of Representatives.-Early life:...

 put on a brave face, saying "Mr Hall had some personal problems with the party, but these differences do not make a divided party" but he was quoted the next day as saying that the proposal was mooted to gauge Hall's power. The obscure and low-ket conservative Bruce Eastick
Bruce Eastick
Bruce Charles Eastick is a former Australian politician. He was a Liberal and Country League and Liberal Party of Australia member of the South Australian House of Assembly from 1970 to 1993, representing the electorate of Light....

 was installed as the new leader, as some more prominent figures such as Millhouse were seen as too sympathetic to Hall. In the meantime, there was a strong reaction to Hall's departure among the public, and segments of the LCL, notably the youth wings, demonstrated against the events and made motions of objection. Hall had expected to become a normal backbencher, but the groundswell of support prompted a change of heart.

Formation

Hall initially sought to appeal to the State Council of the LCL. Although the body had no binding authority over the parliamentary caucus, who chose the leader, Hall and his followers saw it as an opportunity for a media victory. The motion went narrowly against Hall, but it generated much attention and potential embarrassment for the conservatives.
After this, he thought of establishing his own separate party, citing small opinion polls that supported this action, but Ian Wilson
Ian Wilson (politician)
Ian Bonython Cameron Wilson , solicitor, company director and Australian politician, was born in Adelaide, South Australia, the son of Sir Keith Wilson, a prominent United Australia Party and Liberal Party politician...

, the former member for the federal Division of Sturt
Division of Sturt
The Division of Sturt is an Australian Electoral Division in South Australia.First proclaimed for the 1949 election, Sturt was named for Captain Charles Sturt, nineteenth century explorer and the first European to discover the Murray River...

, convinced him to stay within the LCL and bring about internal change. Strong support emerged from within the party for Hall's stand, particularly from its youth wing, the Young Liberals. On 21 March 1972, a faction, but closer to a "party within a party" was formed: the New Liberals. On 28 March it was renamed the Liberal Movement. The conservatives strongly criticised Hall and his new movement, accusing them of undermining Eastick, disrupting the party and being disloyal.

It quickly gained support within the LCL's membership, capturing a number of party branches and began preselecting its own members. Robin Millhouse was a member of the faction, and served as both the deputy leader of the LCL and the LM. Thanks to the electoral reform that had occurred, with more urban electoral districts to contest, the urban-based LM greatly increased its parliamentary representation, with seven members in the House of Assembly (including Hall, Millhouse and future Premiers David Tonkin
David Tonkin
Dr David Oliver Tonkin AO was the 38th Premier of South Australia, serving from 18 September 1979 to 10 November 1982. He was elected to the House of Assembly seat of Bragg at the 1970 election, serving until 1983. He became the leader of the South Australian division of the Liberal Party of...

 and Dean Brown
Dean Brown
Dean Craig Brown, AO was the Liberal Premier of South Australia between 14 December 1993 and 28 November 1996, and Deputy Premier of South Australia between 22 October 2001 and 5 March 2002 to Rob Kerin.-Political career:...

), three in the Legislative Council, and one in the Australian House of Representatives
Australian House of Representatives
The House of Representatives is one of the two houses of the Parliament of Australia; it is the lower house; the upper house is the Senate. Members of Parliament serve for terms of approximately three years....

 (Ian Wilson
Ian Wilson (politician)
Ian Bonython Cameron Wilson , solicitor, company director and Australian politician, was born in Adelaide, South Australia, the son of Sir Keith Wilson, a prominent United Australia Party and Liberal Party politician...

). Soon there were factional clashes during parliamentary debate, combative television debates, and some LCL members began campaigning anonymously against the LCL. One LCL branch president publicly called Hall a "traitor". The LM managed to worry the conservatives by managing to seize control of some rural branches within electorates held by strongly anti-LM representatives, including that of De Garis. The conservatives tried to remove Hall's endorsement for his seat, but failed. Several bitterly fought pre-selection battles followed. As a former premier, Hall was much more proficient than Eastick at dealing with the press, and used his skills to generate more media publicity, prompting Eastick to claim bias.

The LM sought to seize control of the LCL agenda by winning key positions on the state executive at the annual general meeting in September, but this was difficult as the malapportionment towards rural groups was entrenched at party level, and because the conservatives had anticipated the LM's plans. The LM President Alex Perryman challenged McLachlan for the party presidency and in a high-profile contest received 47% of the vote in a narrow defeat. He received around 90% among urban delegates and around 33% of the rural votes, the latter figure shocking the conservatives. The LM later generated more publicity by inquiring about alleged impropriety in the balloting process.

The LM's policies were generally progressive, and Hall himself stated that "we had no major differences with the written philosophies of the LCL". The LM's colour, purple, was described by observers as "LCL blue with a dash of Labor red", signifying the faction's location on the political spectrum. The LM was less concerned with creating differing policy as it was taking over and reforming the LCL; However, on the electoral reform front, the LM started by calling for the Legislative Council to be devoid of ministers. Worried by the LM, conservatives in the LCL tried to change the party rules to prevent members from criticising the organisation in public, and enforce discipline. This backfired as the LM exploited it to portray the conservatives as repressive, and the media also viewed it negatively, and the move was put on hold. The non-Labor forces, in their disunity, were in a poor position to challenge the dominance of charismatic Premier Dunstan. The LM itself contained two poorly defined internal groups: moderates, concerned with the inequalities of the electoral systems and the LCL's aging image; and radicals, who espoused the aforementioned in addition to the desire for wide-ranging social reform. Some of the latter felt Hall was the most progressive option available, but not progressive enough. Nevertheless, the LM had generated a large amount of campaign funds and had great name recognition; Hall was also favoured in opinions as a better leader than Eastick by a threefold factor. They cited such figures to portray themselves as the main threat to Labor and justify why they were the direction the LCL needed to take. Late in the year the LM received another boost when Wilson regained the seat of Sturt for the Liberal Party in the federal election, making much of his LM membership.

In the 1973 state election
South Australian state election, 1973
State elections were held in Australia on 10 March 1973. All 47 seats in the South Australian House of Assembly were up for election. The incumbent Australian Labor Party led by Premier of South Australia Don Dunstan defeated the Liberal and Country League led by Leader of the Opposition Bruce...

, the LM largely ran a separate campaign from the LCL as a whole. The majority of the LCL's metropolitan candidates were also within the LM, and it was hoped that enough seats would be gained so that not only would the LCL return to power, but that the LM would be able to overpower the conservative faction in the House of Assembly and re-elect Hall as leader. To do this, they needed to capture at least three marginal Labor seats in Adelaide. This also meant the conservatives in the LCL would be better off losing to Labor if they wanted to maintain their hold on the party, as Labor's vulnerable seats were in all in the city, and a Labor loss meant a LM gain. The LCL campaign chairperson explicitly said that she would prefer losing if it meant keeping control of the party. While the LM ran an innovative campaign, the LCL itself faltered, losing support in the country to the Country Party
National Party of Australia
The National Party of Australia is an Australian political party.Traditionally representing graziers, farmers and rural voters generally, it began as the The Country Party, but adopted the name The National Country Party in 1975, changed to The National Party of Australia in 1982. The party is...

 and to Labor in metropolitan Adelaide. One LM seat held by a rural member was lost to the Country Party. Labor won its first-ever successive state election victory, and the LM were branded by the LCL conservatives as being the reason behind the LCL's defeat. The LM saw itself as a more modern and appropriate alternative to the LCL, more in tune with urban mainsteam, but there was no evidence that urban LM candidates were more popular than conservative LCL candidates in Adelaide. LM members made up the majority of urban LCL candidates, but were unable to wrest any Labor seats in Adelaide.

Labor's convincing win was not unexpected, particularly as infighting in the LCL had been ongoing for over a year. Friction was present throughout the campaign as well as before it, particularly as much of the donations were given directly to the LM. In the months before the election that LCL members had thrown punches in corridors of Parliament House. Internal battles between conservatives and LM members for party pre-selection were keenly contested. Around half of the LCL candidates were LM supporters and avoided mention of the LCL and its conservative leader Bruce Eastick
Bruce Eastick
Bruce Charles Eastick is a former Australian politician. He was a Liberal and Country League and Liberal Party of Australia member of the South Australian House of Assembly from 1970 to 1993, representing the electorate of Light....

 in their pamphlets. Some of the LM faction candidates instead trumpeted Hall as their leader and printed books detailing their policies. There was also an incident where a LM function celebrating Wilson's win in the 1972 federal election clashed with Eastick's main policy speech. Eastick and his conservatives arrived at Wilson's dinner after they finished campaigning for the night, but then walked out when Wilson was delivering a speech calling for the LCL to be more tolerant of the diverse opinions within the party. Labor ran a sedate campaign, but made much of the internal LCL divisions.

Split

Despite the LCL's defeat, the failure of the LM to gain internal supremacy over the conservatives was seen as the latter as a vindication of their policies. Pressure from the LCL's leader, Bruce Eastick
Bruce Eastick
Bruce Charles Eastick is a former Australian politician. He was a Liberal and Country League and Liberal Party of Australia member of the South Australian House of Assembly from 1970 to 1993, representing the electorate of Light....

, who called on the LM to disband, and the conservative wing of the party, saw machinations against the LM. Hall reiterated the LM's intention to continue, but Millhouse was removed as the LCL deputy leader in 1973, and pressure began to be mounted on the faction, which did not have any members on the frontbench; Hall did not pursue a position in the shadow ministry. Tension continued as rumours spread claiming that the LCCL State Council was contemplating the forbidding and vetoing of LM members from representing the party in elections. While Hall and Martin Cameron
Martin Cameron
Martin Bruce Cameron , Australian politician, was a member of the Australian Senate and the South Australian Legislative Council....

 responded by publicly vowing to stand firm, several of their LM colleagues were ambivalent when asked about the intentions if the LM were no longer tolerated within the LCL. However, Heini Becker left the LM.

On 23 March, a motion was passed at the state council that allowed it to deny membership to those who belonged to "outside political organisations", and the LM was subsequently declared to be one. Strangely, an LCL member could also be a member of the Communist Party of Australia
Communist Party of Australia
The Communist Party of Australia was founded in 1920 and dissolved in 1991; it was succeeded by the Socialist Party of Australia, which then renamed itself, becoming the current Communist Party of Australia. The CPA achieved its greatest political strength in the 1940s and faced an attempted...

, but not the LM. A motion by LM members to also declare the League of Rights
Australian League of Rights
The Australian League of Rights is a long-lived far right and anti-semitic political organisation in Australia founded by Eric Butler with its basis in the economic theory of Social Credit expounded by C. H. Douglas. It describes itself as upholding the virtues of freedom...

 an outside political organisation failed. The LCL conservatives were confident the LM would capitulate and reintegrate, as third parties had never been successful in South Australia. At first, LM members tried to have their banning from the LCL deemed illegal, but this failed.

It was not expected that the LM would split to form a separate party. But before it was established, Hall promptly resigned from the LCL, declaring it "hypocritical and decadent". Martin Cameron
Martin Cameron
Martin Bruce Cameron , Australian politician, was a member of the Australian Senate and the South Australian Legislative Council....

 quickly followed, and Robin Millhouse consulted with members from his constituency before agreeing to resign from the LCL. Ian Wilson
Ian Wilson (politician)
Ian Bonython Cameron Wilson , solicitor, company director and Australian politician, was born in Adelaide, South Australia, the son of Sir Keith Wilson, a prominent United Australia Party and Liberal Party politician...

, who had earlier managed to convince Hall not to form a separate party, tried in vain to sway him to remain with the LCL and focus on reforming it from within. He wanted to shut down the LM in an attempt to limit the damage to the party, believing that "political groups come and go, but the ideals we aim for will never change". All other LCL-LM members did not follow; three lower house members including Tonkin and Brown, Wilson in the federal parliament, and two MLCs all stayed in the LCL. David Tonkin
David Tonkin
Dr David Oliver Tonkin AO was the 38th Premier of South Australia, serving from 18 September 1979 to 10 November 1982. He was elected to the House of Assembly seat of Bragg at the 1970 election, serving until 1983. He became the leader of the South Australian division of the Liberal Party of...

 stated that "every one of those Liberals who resign from the League is making it more and more certain that the League will remain just as it is".

A number of LCL branches remained with the LM, and there were mass resignations from the LCL on the whole. Eastick was relatively unconcerned: the LCL had a massive membership of over 30,000 and the LM's split did little to dent it—Eastick admitted 200 individual resignations. In the meantime, the LCL tried to introduce a requirement for members to make "pledge" that they were not aligned with "an outside political body". This prompted a second wave of resignations, notably from sections of the Young Liberal Movement. Despite its leader's show of confidence, many in the LCL were concerned that they expulsion of LM elements had apparently backfired; it also prompted some disillusioned parliamentarians to suggest that rural and urban elements in the LCL could not coexist.

The new party was formally announced on 2 April after an LM convention. As the LM had already begun establishing an infrastructure while in the LCL, it able to pick up momentum readily, presenting itself as a centrist moderate party, but it was never able to shed its reliance on Hall.

As Hall and Millhouse were both competent parliamentary performers, it was widely acknowledged in the media that they outperformed the LCL in providing an effective opposition. In one parliamentary division, with the entirety of the ALP and LCL on one side of the house and the LM members on the other, Millhouse took one of many opportunities to taunt Eastick and damage the LCL, labelling him "Dunstan lover!" The South Australian media, which had earlier warmed to Premier Dunstan, then focused their attention on the LM and gave the fledgling party much-needed publicity.

The primary instigator for the creation of the LM in 1972 had been based around the lack of electoral reform. The electoral system had been expected to continue to return rural LCL members in the Legislative Council, yet at the 1973 elections Labor had, through the mass registration of new voters for the council vote, managed to gain two seats, giving a 14–6 split in the council. As half the council was elected at each election, Labor only had to retain their vote to gain an additional two seats at the next election, and a minor rise in it would see additional council seats fall to them. It was increasingly plausible that Labor would be able to gain a majority in the Legislative Council within a decade and then carry through their goal of abolishing it, and push through any electoral legislation it so wished.

To the LCL, this was a dangerous situation, and seeing a need to avoid it, compromised: their position abruptly changed to being in favour of wholesale reform of the Legislative Council. When Dunstan put forward bills to reform it, the LCL relented, and Eastick convinced the LCL councillors to let them pass, conditional on amendments to the legislation. These were, a minor change to the particular proportional system used to elect the councillors, and that it remained non compulsory to vote in the council. The new council would eventually have 22 members, with half elected each election from a multi-member constituency covering the entirety of the state. Hall attacked the LCL for its sudden change in stance on reform, and managed to see the first LM policy become law with the lowering of the council suffrage age to 18.

The reform legislation for the Legislative Council was not to take effect until the next election, and the death of LCL MLC Harold Kemp necessitated a by-election for the council district of Southern on 11 August. Southern was an ultra-safe rural LCL seat, and Labor declined to stand in the by-election. It was contested by the LCL, the LM, the Country Party
National Party of Australia
The National Party of Australia is an Australian political party.Traditionally representing graziers, farmers and rural voters generally, it began as the The Country Party, but adopted the name The National Country Party in 1975, changed to The National Party of Australia in 1982. The party is...

 and the Australia Party
Australia Party
The Australia Party was the name of a minor political party in Australia ....

. The three non-LCL parties agreed on favourable preference deals in the hope of one of them displacing the LCL. The LM gained 29 per cent of the vote, and the LCL candidate won by a 4 per cent margin once preferences had been distributed.

At the start of 1974, the LCL had undertaken some progressive reforms. They brought in a less conservative membership at the grassroots level, although the old guard was still prominent in parliamentary roles. They tried to broach the possibility of reintegrating the LM. Wilson and the new executive director of the LCL, John Vial were at the forefront, but the LM was optimistic about its future and refused unless the LCL changed leaders and allowed for explicitly separate urban and rural factions, which did not happen.

Elections and support

Liberal Movement electoral results
LH% (LH + UH) ALP + OTH LCL/LIB + CP LM/New LM
1974 (federal) 51.06% (7 + 5) 40.71% (5 + 4) 8.2% (0 + 1)
1975 (state) 47.43% (24 + 10) 34.3% (21 + 9) 18.27% (2 + 2)
1975 (federal) 44.51% (6 + 4) 49.29% (6 + 5) 6.20% (0 + 1)
1977 (state) 52.46% (27) 44.25% (19) 3.48% (1)
Source: Australian Government and Politics Database

Federal election 1974

In order to give the LM national exposure, Hall decided to stand for the Australian Senate
Australian Senate
The Senate is the upper house of the bicameral Parliament of Australia, the lower house being the House of Representatives. Senators are popularly elected under a system of proportional representation. Senators are elected for a term that is usually six years; after a double dissolution, however,...

 at the 1974
Australian federal election, 1974
Federal elections were held in Australia on 18 May 1974. All 127 seats in the House of Representatives, and all 60 seats in the Senate were up for election, due to a double dissolution...

 election. Another objective was to allow Millhouse and Cameron to become more prominent at state level and dispel the established perception of the LM as a Hall party. The move was a risk as failure would have left the LM's main drawcard out of the spotlight entirely until a state election which was not due for another two years, but Hall said the party had no future unless it could gain national stature. Another possible problem was that the media could have lost interest in the LM at a state level regardless of whether Hall won a senate position. The federal election followed a double dissolution
Double dissolution
A double dissolution is a procedure permitted under the Australian Constitution to resolve deadlocks between the House of Representatives and the Senate....

 (meaning that all Senate seats, rather than half, were up for election and thus a candidate needed only roughly half of the normal percentage to gain election; Prime Minister Gough Whitlam
Gough Whitlam
Edward Gough Whitlam, AC, QC , known as Gough Whitlam , served as the 21st Prime Minister of Australia. Whitlam led the Australian Labor Party to power at the 1972 election and retained government at the 1974 election, before being dismissed by Governor-General Sir John Kerr at the climax of the...

 was hoping to attain a majority in the Senate), and all ten South Australian Senate seats were contested. The battle between the LCL and the LM was not seen as a large part of the national campaign, as South Australia was only a small part of the nation and most of the marginal seats that would determine the outcome were in other states. The LM gained 9.9 per cent of the vote in the Senate and Hall was elected in his own right, without the assistance of preferences
Single transferable vote
The single transferable vote is a voting system designed to achieve proportional representation through preferential voting. Under STV, an elector's vote is initially allocated to his or her most preferred candidate, and then, after candidates have been either elected or eliminated, any surplus or...

. In the House of Representatives, the LM gained 8.4 per cent of the vote across the 12 South Australian seats, ranging from a high of 18 per cent in metropolitan Boothby
Division of Boothby
The Division of Boothby is an Australian Electoral Division in South Australia. The division was created in 1903 and is named after William Boothby , the Returning Officer for the first election of Members of the House of Representatives in 1901....

 to 1.6 per cent in rural Angas
Division of Angas (1949-77)
The Division of Angas was an Australian Electoral Division in South Australia. The division was created in 1949 and abolished in 1977. It was named for George Fife Angas, a South Australian pioneer, and was based in rural areas including Mount Barker, Murray Bridge and Renmark...

. Fortunately for Hall and the LM, the senate election resulted in Labor and the Liberal-Country Party coalition holding 29 seats each, and Hall was one of two crossbenchers who held the balance of power. The media made much of Hall's position as a powerbroker at federal level, and the Liberals responded to him in a hostile manner; for his part, Hall continued to persistently attack them as outmoded and lambasted them over the matter of electoral reform.

Hall had abandoned his rural Yorke Peninsula
Yorke Peninsula
The Yorke Peninsula is a peninsula located north-west and west of Adelaide in South Australia, Australia, between Spencer Gulf on the west and Gulf St Vincent on the east. It has geographic coordinates of...

-based seat of Goyder
Electoral district of Goyder
Goyder is an electoral district of the House of Assembly in the Australian state of South Australia. It is a 10,406.4 km² rural electorate based around the Yorke Peninsula and taking in the towns of Ardrossan, Bute, Corny Point, Edithburgh, Maitland, Minlaton, Moonta, Owen, Port Wakefield,...

 to stand for the Senate, and at the subsequent by-election
Goyder state by-election, 1974
The Goyder state by-election, 1974 was a by-election held on 8 June 1974 for the South Australian House of Assembly seat of Goyder. This was triggered by the resignation of former Premier and Liberal and Country League/Liberal Movement MHA Steele Hall, who resigned to run for the Australian Senate...

 the LM were concerned about how their vote would stand without the assistance of its prominent incumbent and in an area outside their urban base; the LCL had always won the seat easily. The campaign was robust, with strong accusations being traded as what was previously a safe seat became evenly poised and the subject of frantic electioneering. Surprisingly, as the LM was an urban movement, they polled 46 per cent of the vote, which saw David Boundy elected on the back of Country Party
National Party of Australia
The National Party of Australia is an Australian political party.Traditionally representing graziers, farmers and rural voters generally, it began as the The Country Party, but adopted the name The National Country Party in 1975, changed to The National Party of Australia in 1982. The party is...

 preferences with a two-party preferred vote beyond 60%. Despite most of its preferences flowing to the LM, the Country Party attacked the LM for perceived hypocrisy as they had run in a rural seat despite calling for the anti-Labor forces to be separated into urban and rural divisions. This continued to be a source of tension, as the LM continued to campaign in rural seats, prompting the Country Party to threaten to deny them preferences. The LM triumph embarrassed the LCL, and Eastick survived a leadership challenge from Heini Becker in the aftermath. Over the next year, the LM focused on building the party machinery.

State election 1975

In the 1975 election, the LM had ambitions of becoming the largest non-Labor party. The campaign was focused primarily on accusations of mismanagement of the economy by Labor, with the LM seeking to positioning itself between the Liberals and Labor, as the centre-ground of South Australian politics. Advertisements attacked the Liberal Party for being a conservative party, and Labor for its perceived socialism and poor economic record. At the time, inflation and unemployment was increasing. The LM slogan was "Vote LM—You know it's right". Despite now being a federal senator, Hall was still synonymous with the LM at state level and he was central in the party's advertising. The momentum was against Labor, and it was expected that the election could come down to whether Labor would retain their marginal urban seats. The LM proposed to the Liberals to have a joint candidate in the marginal metropolitan seat of Gilles—which required a two-party preferred swing of 6%—to maximise their chances. The Liberals agreed but wanted the joint candidate to stand in Unley
Electoral district of Unley
Unley is an electoral district of the House of Assembly in the Australian state of South Australia. Named after the suburb of the same name, it is a 12.2 km² urban electorate in Adelaide's inner southern suburbs, taking in the suburbs of Eastwood, Frewville, Fullarton, Glenunga, Highgate, Hyde...

, and no agreement was reached.

Millhouse, now the State Parliamentary Leader of the LM, announced the LM's policy for the 1975 state election
South Australian state election, 1975
State elections were held in Australia on 12 July 1975. All 47 seats in the South Australian House of Assembly were up for election. The incumbent Australian Labor Party led by Premier of South Australia Don Dunstan defeated the Liberal Party of Australia led by Leader of the Opposition Bruce...

 at the Adelaide Town Hall
Adelaide Town Hall
Adelaide Town Hall is a landmark building on King William Street in Adelaide, South Australia, Australia.-Description and history:Adelaide Town Hall was designed by Edmund Wright and Edward Woods, with construction commencing in 1863 and completed in 1866...

 on 2 July. He outlined the LM's plans for economic rejuvenation: an end to compulsory unionism, budget and tax cuts, and measures to curb rising inflation and cost of living. Social policy included proposals for an early form of multiculturalism
Multiculturalism
Multiculturalism is the appreciation, acceptance or promotion of multiple cultures, applied to the demographic make-up of a specific place, usually at the organizational level, e.g...

 and promotion of 'cultural diversity' and bilingualism. Energy policy appealed to a new generation of environmentalists, and promoted conservation and promotion of solar power. He slammed the proposed City of Monarto
Monarto, South Australia
Monarto is a region and formerly proposed city in South Australia. It is north of the South Eastern Freeway between the Callington and Murray Bridge exits 63 km from Adelaide....

 as a 'monument to socialist folly'.

Contesting 45 of the 47 seats, the LM commanded almost a fifth (18.2 per cent) of the vote in the lower house and the combined non-Labor forces gained 50.8 per cent of the two-party-preferred total. The LM was more effective in the city, recording 20.2% of the urban vote and 13.4% in rural areas. The party increased its parliamentary representation by one, with an additional member in the Legislative Council, and made several formerly safe Liberal seats marginal (including that of its leader, Eastick where they captured 20.3% in the rural district of Light
Electoral district of Light
Light is an electoral district of the House of Assembly in the Australian state of South Australia. It is named after Colonel William Light who was the first Surveyor-General of South Australia. The electorate was created in 1857, abolished in 1902 and reinstated in 1936...

). The LM withstood a concerted push by the Liberals to oust Millhouse from Mitcham, and retained Goyder. They were also strong in those seats held by LM members who did not break away during the split but stayed with the LCL. However, preferences did not flow as the non-Labor parties had wished, with up to 20 per cent of LM second-preferences flowing to Labor instead of the Liberals or Country Party. With the new proportional system in the Legislative Council after the electoral reforms, the LM captured 18.8% of the vote to end with 2 of the 11 seats available. This was enough to allow Labor and the LM to join together and sidestep conservative Liberal opposition in the upper house. The Liberals, having suffered a 12 per cent reduction in their metropolitan primary vote, and gained their lowest result, quickly dumped Eastick, who was an unimpressive parliamentary performer and seen as an obstacle to reintegration with the LM, as leader. Tonkin became the new leader, the first Liberal leader from a metropolitan seat. The federal Liberal Party was rattled by the strength of the LM, and tried to reintegrate them. Hall was offered a high position in the Liberal senate ticket if he rejoined, and a position in cabinet if the Liberals defeated the federal Labor government. The LM regarded its first state electoral performance as impressive, and optimistic with their future, they flatly rejected the overtures. However, they had also gone into debt to fund their election campaign. Millhouse also found it harder to dominate the Liberals and seize the momentum in parliamentary debate when proceedings resumed; he found Tonkin a much more formidable opponent than Eastick.

Federal election 1975

The second consecutive double dissolution federal election
Australian federal election, 1975
Federal elections were held in Australia on 13 December 1975. All 127 seats in the House of Representatives, and all 64 seats in the Senate were up for election following a double dissolution of both Houses....

 in December 1975 was held due to the dismissal of the Whitlam Government
Australian constitutional crisis of 1975
The 1975 Australian constitutional crisis has been described as the greatest political crisis and constitutional crisis in Australia's history. It culminated on 11 November 1975 with the removal of the Prime Minister, Gough Whitlam of the Australian Labor Party , by Governor-General Sir John Kerr...

 by Governor General
Governor-General of Australia
The Governor-General of the Commonwealth of Australia is the representative in Australia at federal/national level of the Australian monarch . He or she exercises the supreme executive power of the Commonwealth...

 John Kerr, and the subsequent appointment of federal Liberal leader Malcolm Fraser
Malcolm Fraser
John Malcolm Fraser AC, CH, GCL, PC is a former Australian Liberal Party politician who was the 22nd Prime Minister of Australia. He came to power in the 1975 election following the dismissal of the Whitlam Labor government, in which he played a key role...

 as Prime Minister. Prior to the dismissal, the Liberal Party had used its majority in the Australian Senate
Australian Senate
The Senate is the upper house of the bicameral Parliament of Australia, the lower house being the House of Representatives. Senators are popularly elected under a system of proportional representation. Senators are elected for a term that is usually six years; after a double dissolution, however,...

 to block supply bills. Hall voted in favour of the supply bills being passed, and objected to the federal Liberals' actions. Hall had been praised for his stance on supply, but the Liberals attacked him, accusing him of being "Labor in a purple disguise" and saying that Fraser needed a compliant senate "not hampered by independents sitting on the fence". Hall countered by saying he was preferencing the Liberals and therefore not Labor-aligned, and that he was a "dedicated anti-socialist".

Hall saw the double dissolution as an opportunity to capture senate seats in all the states across the nation, and the LM sought to create bases outside South Australia. On 18 November, a LM rally was held at Melbourne Town Hall
Melbourne Town Hall
Melbourne Town Hall is the central municipal building of the City of Melbourne, Australia, in the State of Victoria. It is located on the northeast corner of Swanston and Collins Streets, in the central business district. It is the seat of the Local Government Area of the City of Melbourne...

 to launch a branch in Victoria. A branch was formed in Queensland
Queensland
Queensland is a state of Australia, occupying the north-eastern section of the mainland continent. It is bordered by the Northern Territory, South Australia and New South Wales to the west, south-west and south respectively. To the east, Queensland is bordered by the Coral Sea and Pacific Ocean...

 and Hall travelled to Western Australia
Western Australia
Western Australia is a state of Australia, occupying the entire western third of the Australian continent. It is bounded by the Indian Ocean to the north and west, the Great Australian Bight and Indian Ocean to the south, the Northern Territory to the north-east and South Australia to the south-east...

 to oversee the formation of a state branch. Generally, the LM's attempts to spread its message failed due to the dramatic and highly polarising effects of Whitlam's dismissal and the constitutional crisis, which produced angry demonstrations around the country. Amid the tumult, the media was almost completely focused on the two main parties, giving other groups almost no opportunities to capture the public imagination. The LM also found it difficult to establish a connection with the populace outside South Australia due to its formation within a state-specific backdrop.

Attempts were made to expand the appeal of the LM through secret merger talks with the Australia Party
Australia Party
The Australia Party was the name of a minor political party in Australia ....

, who initiated the idea, but these collapsed. The campaign was also hampered by the departure of two LM candidates who relabelled themselves as the Independent Liberal Movement. The first to leave the LM, C. W. Henderson, was a member of the LM Management Committee who criticised Hall's attempts to make spread the party nationally. He accused Hall of having "delusions of grandeur", leading to his membership being suspended two days later. The next day, J. Henderson, the sixth member of the senate ticket, quit, saying he did not "want to be a puppet on a party string". Groves and Henderson aggressively campaigned against the LM, although they were to receive only 0.09% of the senate vote themselves.

When the election was held, there was a 12 percent swing towards the Liberal Party in South Australia, or 7 percent on two party preferred. There was a large swing against Labor due to the dissatisfaction with the Whitlam administration, but it generally went directly to the Liberal Party. Against this background, and with relatively little media attention paid to the LM and its cause, Despite gaining prominence for his stance on supply, Hall struggled to be re-elected, gaining only 6.5 per cent of the Senate vote and relying on preferences, ironically from Labor. In South Australia, Labor gained 41 per cent of the vote, and the Liberals 51 per cent. In the lower house, the LM managed only 6.2% across the 12 seats, again recording its best result in Boothby, with 10.4%. Hall's hope for Australia-wide support for the LM was dashed due to the previous events, with the party gaining negligible results for their candidates in other states. The lower house candidates in the Australian Capital Territory
Australian Capital Territory
The Australian Capital Territory, often abbreviated ACT, is the capital territory of the Commonwealth of Australia and is the smallest self-governing internal territory...

 registered around 3%, but the senate candidates in Western Australia, New South Wales, Victoria and Queensland received less than 1%. Hall's opinion was that "the Liberal Movement was for its part in the contest happy to have survived." Nevertheless, Hall was still adamant the LM's future was as a standalone entity: "The LM is going to continue as an Australia-wide party ... We shall have to go through the sickening process of having the Liberal party make overtures to us once again ... I would like to tell them right now that they will be wasting their breath." Despite Hall's defiance, the poor showing meant his senate term was only to last for three rather than six years, and he no longer had the balance of power and the resulting media exposure. This was a problem, as the party was largely centred around his personality.

Decline

Independent of the LM, the LCL had begun to change. It eventually supported Don Dunstan's bills for electoral reform, both to the House of Assembly and the Legislative Council, and its internal structure was reorganised and modernised, particular with the arrival of Tonkin, its first urban leader. The LCL renamed itself the Liberal Party of Australia
Liberal Party of Australia
The Liberal Party of Australia is an Australian political party.Founded a year after the 1943 federal election to replace the United Australia Party, the centre-right Liberal Party typically competes with the centre-left Australian Labor Party for political office...

 to bring itself into line with its federal counterpart. Thus, many of the reasons for the LM's split had become null. Combined with the LM's declining membership (one third of members had not renewed) and its large debt, it found itself in a precarious position. Negotiations in 1976 began with the aim for the LM to merge into the new Liberal Party, and news of the secret talks were leaked in April. Once the news became public, Millhouse stated his complete opposition: "I will not rejoin the Liberal Party ... I have meant what I said in the past and I do not see any change in the attitude of the Liberal Party to alter my view." He said doing so would entail a surrender of honour and self-respect, and described the LM as the only "genuine Liberal party" in the nation, boldly predicting that its agenda would become dominant in society. Millhouse's stand was widely condemned by the media, who saw it as based on pride rather than pragmatism, and unhelpful for anti-Labor politics. Hall, however, wanted to unite the non-Labor forces, and acknowledged that "there is no prospect of maintaining LM electorate groups ... in simple terms, our alternatives are to swallow some little pride, and unite to fight Labor." He said to do otherwise would be to "exist in splendid selfish isolation", and said they could not survive as a relevant force by holding Goyder and Mitcham and losing upper house seats due to a dwindling vote. Hall said the LM's reform agenda had been fulfilled, their finances were untenable and contended there was no ideological reason remaining for a split. This put him at increasing odds with Millhouse, who continued to describe the Liberals as "very conservative". Some members of the Liberals were also wary of a merger, due to the long-standing antipathy between the two groups, and persistent criticism of them from the LM over the years.

In the meantime, the negotiations continued, with Hall prominent. During informal discussions following the 1975 state election, Millhouse had been offered the deputy leadership in a merged party, and Cameron a leading role in the upper house, but following the poor showing at the federal election and the deteriorating financial state of the LM, the offer was reduced and the posts that had been offered to Millhouse and Cameron were no longer available. However, Hall was still able to negotiate for the LM President and Treasurer to be given positions on a new executive. He also agreed to forego any further senate bids. An agreement was put in place to protect Boundy from being ousted at a pre-selection of the new party, but this was broken at the next election. The LM was also given an equal voting share on pre-selection committees for three urban lower house seats.

Labor was not pleased with the prospect of its opponents being reunited and potentially more effective, and Premier Dunstan mocked the opposition parties as a "circus", while his deputy Des Corcoran
Des Corcoran
James Desmond "Des" Corcoran AO was an Australian politician. He was the 37th Premier of South Australia, serving between 15 February 1979 and 18 September 1979....

 predicted the new entity would not be able to last. The media continued to criticise Millhouse's defiance as disruptive.

When the LM voted narrowly in May 1976 to rejoin the Liberals (222 to 211), Millhouse immediately created the New LM
New LM
The New Liberal Movement was a South Australian political party that had parliamentary representation during the mid-1970s.Formed by Robin Millhouse on 6 May 1976 following the dissolution of the Liberal Movement, the New LM sought to be the true liberal party in South Australia, arguing that the...

, and became its only parliamentary representative. He tried to put an optimistic view on the matter, saying that the close-run vote as an endorsement of his position, and the merger as an opportunity to start with a clean slate with no debt. The merger was finalised on 4 June when the Liberals' State Council voted heavily in favour.

He was a prominent member of the Assembly, and a constant irritant to the Liberals, with whom he often sparred. When Don Chipp
Don Chipp
Donald Leslie Chipp, AO was an Australian politician, and the inaugural leader of the Australian Democrats.-Early life:...

 resigned from the federal Liberal Party, and stated his intention to create a centrist and progressive "third force" in Australian politics, Millhouse's New LM responded. Chipp's Australian Democrats
Australian Democrats
The Australian Democrats is an Australian political party espousing a socially liberal ideology. It was formed in 1977, by a merger of the Australia Party and the New LM, after principals of those minor parties secured the commitment of former Liberal minister Don Chipp, as a high profile leader...

 was created, and negotiations began for a merger between the two parties. The New LM candidates in the September 1977 state election stood under a joint New LM-Australian Democrats ticket, winning 12.3 per cent of the vote in the 12 electorates they contested, and Millhouse defeated the Liberal candidate in the lower house seat of Mitcham
Electoral district of Mitcham (South Australia)
Mitcham was an electoral district of the House of Assembly in the Australian state of South Australia from 1938 to 1993. The district was based in the south-eastern suburbs of Adelaide....

, which he would hold until 1982. The merger was finalised on 3 October 1977 and the New LM was absorbed into the Democrats. Meanwhile, the interstate branches of the LM, which had been in existence for only six months, either disbanded in 1976, or eventually evolved and merged into state components of the Democrats. The Western Australian division of the LM was the strongest interstate branch and renamed itself the Centre Line Party before becoming the state branch of the Democrats.

David Tonkin
David Tonkin
Dr David Oliver Tonkin AO was the 38th Premier of South Australia, serving from 18 September 1979 to 10 November 1982. He was elected to the House of Assembly seat of Bragg at the 1970 election, serving until 1983. He became the leader of the South Australian division of the Liberal Party of...

, an LM member before it split and became a separate party, had gained the Liberal party leadership in 1975, succeeding Eastick. He worked swiftly to heal the internal party wounds, and to re-establish the non-Labor forces and provide an effective opposition. The 1977 election
South Australian state election, 1977
State elections were held in South Australia on 17 September 1977. All 47 seats in the South Australian House of Assembly were up for election...

 saw a decline in Liberal support, but the party gained power after the abrupt resignation of Premier Dunstan, with an 11 per cent swing in 1979
South Australian state election, 1979
State elections were held in Australia on 15 September 1979. All 47 seats in the South Australian House of Assembly were up for election. The incumbent Australian Labor Party led by Premier of South Australia Des Corcoran was defeated by the Liberal Party of Australia led by Leader of the...

, receiving 55 per cent of the two-party-preferred vote. The first Democrats MLC was also elected in 1979 on a first preference vote of 6.5 per cent. In 1982, however, the Labor Party again gained office and would rule for over a decade. The Democrats continued to attract support, and would solely hold the balance of power in the Legislative Council until 1997.
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