Western Australia Premier Colin Barnett is backing away from his initial view that a health deal struck between the Commonwealth and the Labor states and territories could fall over without his support.
Mr Barnett was the only leader on Tuesday not to agree to hand over about 30 per cent of his state's GST revenues which the Commonwealth will use to help finance its role as dominant funder of the nation's public hospitals.
A day after his state and territory colleagues signed up to the deal, Mr Barnett was flagging WA's possible support and that it was "unlikely" the deal would collapse.
News that makes sense
Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.
"I think we will reach an agreement on the GST over the coming weeks," he told ABC Radio on Wednesday.
Mr Barnett denied he was being obstructionist.
"I don't want to be seen as a spoiler. I am not doing that.
"Nor am I seeking to be a home town hero in WA. I am just about preserving the GST for what it was intended to be."
Barnett determined
Mr Barnett said he was determined to maintain the integrity of the GST as a form of revenue for WA to govern its own affairs.
"There is a very strong sense in WA that we get plundered fairly periodically by the Commonwealth government," he said.
"This would open the door for the Commonwealth to take more money for health or indeed start to take money for education.
Prime Minister Kevin Rudd rejected suggestions the deal would fail without WA, saying there were other inter-governmental agreements with other states and territories where WA was not a signatory.
"On this question, Colin's just wrong," he said of Mr Barnett's initial view.
"I am confident that we will find a way through."
