Opposition leaders have been furiously attached by Prime Minister Kevin Rudd over reports that they are looking to call a referendum on health funding, pointing out that Liberal leader Tony Abbott was in power for 5 years as the Heath Minister, and had all the time to introduce whatever reforms he wanted to, but instead chose to cut down $1 Billion from the health budget.

It has been reported that the Coalition is looking to challenge Mr. Rudd's Government at the next election with a "health policy channeling federal health funding to local health and hospital boards, side-stepping State Governments".

It is being estimated that Mr. Abbott, who served for 5 complete years as the Health Minister under Liberal PM John Howard, will be holding Mr. Rudd to his promise to "seek a mandate on a federal takeover of public hospitals if states did not agree to reform plans".

Dismissing it while speaking at the Royal Prince Alfred hospital in Sydney, Mr. Rudd asserted that challenge as an example of the opposition making "policy on the run".

"Mr Abbott as health minister rips a billion dollars out of hospitals this government puts $5 billion back in. Mr Abbott has five years as health minister to bring on a referendum and does nothing about it. This Government's long standing commitment is if we can't get a supportive outcome on long term health reform then we'd seek a mandate from the people", said Mr. Rudd.