The No. 2 leader of Australia's ruling party said yesterday that Prime Minister John Howard had promised to hand over power by now, widening a succession rift between the long-serving premier and his previously loyal deputy.
National Treasurer Peter Costello broke his silence on the subject to generally confirm a reported deal struck more than 10 years ago for an internal power transfer that would make Costello prime minister on Howard's retirement.
"He told me that he intended to do one-and-a-half terms as prime minister and then would hand over," Costello said. "I did not seek that undertaking; he volunteered and I took him at his word."
Howard has repeatedly denied he reneged on any promise to pave the way for Costello to take over leadership of the Liberal Party, which is the majority force in the ruling coalition.
"There was no deal made," Howard told reporters in Sydney.
Former government minister Ian McLachlan said at the weekend that Costello's leadership aspirations were discussed at a meeting between McLachlan, Costello and Howard in December 1994.
In 1994, Howard was trying to win the support of colleagues to oust Alexander Downer -- who is now foreign minister -- from the leadership and put the Liberals in contention for government after 11 years in opposition. Costello, who was Downer's deputy, was considering his own tilt at the leadership.
Costello threw his support behind Howard, who was elected unopposed as Liberal leader in January 1995 and made Costello his deputy. Howard and Costello took their center-right coalition to an election victory in 1996 and to three election wins since.
Asked yesterday if Howard had lied, Costello replied: "I'm telling you what happened. I'm not making any allegations against anybody."
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