Paul Keating Labor John Howard Liberal/National coalition The 1996 Australian federal election was held to determine the members of the 38th Parliament of Australia.

Downer and deputy PM Peter Costello had succeeded John Hewson and Michael Wooldridge early in 1994 and were touted as the leaders of the new-generation Liberals.

Although Keating's big-picture approach to republicanism, reconciliation with Australia's Indigenous peoples and engagement with Asia galvanised support within Labor's urban constituencies, Howard was able to attract support amongst disaffected mainstream Australians, uniting middle-class suburban residents with traditionally Labor-voting blue-collar workers.

He also promised to retain Medicare and hold a constitutional convention to decide whether Australia would become a republic.

The election-eve Newspoll reported the Liberal/National Coalition held an estimated 53.5 percent two-party-preferred vote.

Treasurer Ralph Willis had released a letter purporting to be secret correspondence between Howard and Liberal Premier of Victoria, Jeff Kennett.

Howard quickly denounced the letter as a forgery and claims of Labor skulduggery dominated the last day, drowning out anything Keating said.

Leftwing writer Bob Ellis claimed that the Ralph Willis letter was the cause of Keating's crushing defeat.

Three members of Keating's government – including Attorney-General Michael Lavarch – lost their seats.