Rudd-Gillard 'leak' seen as bad breach

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Kiwi diplomats are wrapped up in Australian political intrigue after an alleged leak described as a "serious breach of confidence".

The Foreign Affairs Ministry in Wellington is looking into the leak, which emerged yesterday in The Australian newspaper.

The Australian said it had seen a copy of a cable from the New Zealand high commission in Canberra to the New Zealand Government. The briefing paper described a deal apparently struck between Kevin Rudd and Julia Gillard, before Ms Gillard successfully challenged Mr Rudd to become prime minister on June 24.

People "close to a conversation" between the two on June 27 reported that Mr Rudd had apparently "conveniently forgotten" about the deal, which was that he would stand down immediately as prime minister, rather than force a vote.

The cable also said: "Gillard's staff had not wanted the PM to offer her predecessor a new role, least of all the role of minister of foreign affairs."

Last night Labour leader Phil Goff, who is a former minister of foreign affairs and trade, called for an inquiry into the apparent leak.

He described it as "a very serious situation".

"From some quarters, there will be a suspicion that `this is a highly political matter so was this deliberately leaked?"' Mr Goff said.

"This is, advertently or inadvertently, New Zealand interfering in the [Australian] election campaign because they're leaking information that is going to become part of that campaign debate and propaganda."

A spokeswoman for Prime Minister John Key said it appeared that a cable had found its way into the public domain.

"MFAT is looking into that situation," the spokeswoman said.

It is understood questions have been asked about a possible political motivation for the leak from a Right-leaning member of staff in Canberra.

Deputy Prime Minister Bill English said "there would be a concern if there was a leak".

Mr Goff said the cable itself was routine advice.

"But the confidentiality around them is essential and in this case, it's on a hugely sensitive topic at a time that couldn't be more sensitive for the Australian Government.

"There will be real anger about the fact that this information has been leaked, which is why [Foreign Affairs Minister] Murray McCully really needs to immediately launch an investigation into what happened."

Ms Gillard toppled Mr Rudd as Australian prime minister after a night of political drama on June 23.

The Australian reported that Mr Rudd had expected to be offered the foreign affairs portfolio after the leadership spill. Instead, he was relegated to the back benches after a tense telephone conversation with Ms Gillard on June 27.

Last week, Ms Gillard announced that Australia would go to the polls for an election on August 21.

Mr Rudd has continued to attract a lot of media attention, however, with the latest reports linking him to a top-level role as an adviser on climate change for the United Nations.