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==Menzies Government== ===Country Party tensions=== In April 1939, Prime Minister [[Joseph Lyons]] died in office and was replaced by Country Party leader [[Earle Page]] on an interim basis. When [[Robert Menzies]] was elected by the [[United Australia Party]] (UAP) as Lyons' replacement, Page gave a speech accusing Menzies of disloyalty and questioning his record of military service. As a result of Page's attacks, which they deemed unfair, Fadden and [[Bernard Corser]] resigned from the parliamentary Country Party to sit as "Independent Country" members; they were soon followed by [[Oliver Badman]] and [[Thomas Collins (Australian politician)|Thomas Collins]].<ref>Arklay (2010), p. 87.</ref> Fadden was generally seen as the leader of the group. When Page was forced out of the leadership in September 1939, they attempted to re-join the party, but the remaining members opted β by a single vote β not to re-admit them. [[Archie Cameron]], generally seen as Page's ally, was elected as the party's new leader. Fadden did not regard Cameron favourably, in one debate stating: "I take this opportunity to declare without the slightest degree of reservation that the honourable gentleman is not my leader".<ref>Arklay (2010), p. 95.</ref> When asked in another debate if he were still a member of the Country Party, he replied "no, I am not, thank goodness, as it is now constituted and under its present leadership". However, in early November 1939, Cameron invited the four breakaways to rejoin the party in the interests of unity, which they accepted.<ref>Arklay (2010), p. 89.</ref> The Country Party's [[Coalition (Australia)|coalition]] with the UAP had lapsed following Menzies' elevation to the prime ministership. In March 1940, Menzies and Cameron agreed to resume the coalition, providing an opportunity for five Country Party members to be added to the ministry. Cameron somewhat unexpectedly nominated Fadden as a Country Party representative, and he was appointed as an [[assistant minister]] to the [[Treasurer of Australia]] ([[Percy Spender]]) and the [[Minister for Supply (Australia)|Minister for Supply and Development]] ([[Frederick Stewart (Australian politician)|Frederick Stewart]]).<ref>Arklay (2010), p. 102.</ref> In August 1940, Fadden narrowly escaped being killed in the [[1940 Canberra air disaster|Canberra air disaster]], which claimed the lives of three government ministers and the [[Chief of the General Staff (Australia)|Chief of the General Staff]]. He was scheduled to be aboard the flight, which was transporting the ministers back to Canberra after a cabinet meeting in Melbourne, but instead took an overnight train. He traded places with Richard Elford ([[James Fairbairn]]'s private secretary), who had wanted to stay in Melbourne to celebrate a wedding anniversary; both Elford and Fairbairn were among those killed. After the crash, Fadden replaced Fairbairn as [[Minister for Air (Australia)|Minister for Air]] and [[Department of Civil Aviation (Australia)|Minister for Civil Aviation]]; he also continued as assistant minister to the Treasurer.<ref>Arklay (2010), p. 103.</ref> ===Ascension to deputy prime minister=== The [[1940 Australian federal election]] resulted in a [[hung parliament]]. The UAPβCountry coalition was able to remain in power with the support of two independent MPs, [[Alexander Wilson (Australian politician)|Alexander Wilson]] and [[Arthur Coles]]. The Country Party lost three seats to the Labor Party, and on 16 October the parliamentary party voted to remove Archie Cameron as leader. [[John McEwen]] and [[Earle Page]] both nominated for the leadership, and Fadden intended to nominate for the deputy leadership. McEwen and Page were tied at eight votes each after three separate ballots. During a break for dinner, Fadden was asked to become interim leader as a compromise between the two candidates, with the intention that another leadership ballot would be held in a few months. He was then elected unopposed as deputy leader and thus acting leader of the party. According to his biographer Tracey Arklay, "Fadden was selected because the majority in the party room considered that he was the man most likely to be able to broker deals and negotiate with Menzies and the UAP".<ref>Arklay (2010), p. 105.</ref> [[Edgar George Holt|Edgar Holt]] believed Fadden's personality was a major factor β "he had no obvious ambitions and he suffered from no delusions of grandeur [...] he was amiable and gregarious" β but also thought that Page had allowed Fadden to assume the leadership in order to deny it to McEwen.<ref name="Arklay 2010, p. 107">Arklay (2010), p. 107.</ref> As the acting leader of his party, Fadden became the ''de facto'' [[Deputy Prime Minister of Australia|deputy prime minister]] and joined the [[Advisory War Council]]. He was sworn in as Treasurer on 28 October 1940, succeeding [[Percy Spender]], and presented his first budget less than a month later on 21 November.<ref name="Arklay 2010, p. 107"/> The budget featured increased levels of spending due to the ongoing war, offset by significant increases in taxation β including a reduction in the tax-free threshold, increased company taxes, and a tax on undistributed profits. In presenting the budget, Fadden noted that it brought about "the heaviest financial imposts ever placed upon the people of Australia".<ref>Arklay (2010), p. 110.</ref> It was highly unpopular among the general public, which up until that point had perceived the war to be still quite distant. The independent MPs contemplated voting with the opposition to reject the budget, but after negotiations and some amendments it was able to be passed, allowing the government to continue in power.<ref>Arklay (2010), p. 111.</ref> Fadden was formally elected to the leadership of the Country Party on 12 March 1941, winning the ballot unopposed with the support of both McEwen and Page.<ref>{{cite news|url=https://trove.nla.gov.au/newspaper/article/17732446|title=Country Party Leader: Mr. Fadden Elected|date=13 March 1941|newspaper=The Sydney Morning Herald}}</ref>
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