Political Career
He was elected to Ross Smith in the South Australian House of Assembly at the 1977 election and promoted to cabinet within a year. Following the resignation of Premier Don Dunstan and Labor's loss in the 1979 election, Bannon was elected to the Labor leadership. Despite factional struggles within the party Bannon (aged 39) managed to return Labor to government in the 1982 election with a 5.9 percent two-party swing, stressing the continuation of prudent budgetary measures that had begun under David Tonkin and emphasising the economic development of the state.
Bannon's consensual approach to government differed markedly from the Dunstan era. While then there had been a stream of social reform, Bannon's priorities were oriented elsewhere. He sold land reserved for freeways under the MATS plan, established the Olympic Dam copper and uranium mine, the submarine project, the defence industry, conversion of part of the Adelaide Railway Station into the Adelaide Convention Centre, the Hyatt and Adelaide Casino complex, and the staging of the Formula One Grand Prix. Poker machines (pokies) were introduced in South Australia, a decision later regretted by Bannon. Other measures were introduced such as action to prevent destruction of vegetation and urban renewal programmes to invigorate some of the declining inner suburbs in Adelaide.
The economic situation, moribund in the early 80s, rebounded, and Bannon's government was easily re-elected at the 1985 election, achieving a 2.3 percent two-party swing towards them from the Liberal opposition. However, the economy experienced another downturn in the late 80s/early 90s recession, and Bannon was stung at the 1989 election with only 48.1 percent of the two-party vote, a swing of 5.1 percent. Both major parties won 22 seats each, with Labor able to form minority government with the support of two Labor independents. Shortly thereafter, electoral legislation was passed that attempted to ensure that a party that won 50 percent of the two-party-preferred vote would gain office, through a compulsory strategic redrawing of electoral boundaries before each election, making South Australia the only state to do so.
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