Turnbull loses Aussie leadership battle

By STEFAN POSTLES

CLOSE CALL: Leader of the Opposition Tony Abbott performed strongly against Australian Prime Minister Julia Gillard in last night's election debate.

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Tony Abbott has become the new leader of the Australia's federal Liberal Party after Malcolm Turnbull failed to survive a challenge sparked by infighting over the party's policy on emissions trading.

Joe Hockey had also contested the leadership but lost in the first round, with Mr Abbott polling 35 votes, to Mr Turnbull's 26 and Mr Hockey's 23.

In the second round between Mr Abbott and Mr Turnbull, Mr Abbott polled 42 to Mr Turnbull's 41.

After a tumultuous week in Liberal politics, Mr Abbott took on the challenge after Mr Hockey revealed that he would run on a compromise position on emissions trading by allowing the party room a conscience vote on the controversial issue.

Julie Bishop will remain as deputy leader.

- © Fairfax NZ News