She once backed Liberal leader John Pesutto. Now, Shima Ibuki plans to take his seat

A resurgent teal movement will again target one of Melbourne’s most marginal electorates at this year’s state election, with a one-time financial backer of former Liberal leader John Pesutto to challenge him in the seat of Hawthorn.

Boroondara Deputy Mayor Shima Ibuki, who previously donated to Pesutto’s defamation legal fund, has been endorsed by the independent community group, Voices for Hawthorn, and will focus on issues including climate action, housing affordability and community safety.

Her candidacy comes at a particularly volatile time for Victoria’s major parties, following the High Court’s decision to strike down political donation laws, and as voters turn towards minor parties and independents.

“I think that the political system is not working at the moment,” Ibuki said. “I think what the people of Hawthorn are saying is they want a candidate who can just stand up for their local issues.”

According to the latest Resolve Political Monitor, conducted for The Age, a record 44 per cent of Victorian voters say they would back a candidate outside Labor and the Coalition. This includes One Nation, the Greens and independent alternatives.

The High Court ruling last week scrapped the caps on campaign contributions, and removed disclosure requirements just seven months out from polling day.

Elected to council in 2024, Ibuki is expected to attract funding from the Climate 200 funding vehicle once her campaign formally launches on Thursday.

For teal-aligned candidates, the ruling removes a structural hurdle that limited their impact at the 2022 state election. Climate 200-backed independents ran in five electorates but despite strong primary support, they failed to secure a single seat.

Under the previous regime, individual political donations were capped at $4970 over the four-year electoral cycle. But the caps didn’t apply for funds channelled through “nominated entities” – long-established financial vehicles linked to Labor, the Liberals and the Nationals – which could transfer money into campaign accounts without restrictions.

“We do need a system which is fair and transparent for all candidates,” Ibuki said, noting the change would level the playing field for everybody.

“We will start fundraising now, but we are watching this space and of course we will comply, and we are taking pledges and donations.”

After losing the seat to Labor in 2018, Pesutto reclaimed Hawthorn in 2022 with a margin of 1.7 per cent. The so-called teal candidate Melissa Lowe – one of the successful plaintiffs in the High Court battle – finished third with 20 per cent of the vote. Lowe has said she plans to run in the November election, but has not specified in which seat.

Following the election, Pesutto became leader of the Liberal Party – a position he lost within two years following a high-stakes defamation case brought against him by his colleague, upper house MP Moira Deeming.

When asked about her donation to Pesutto’s legal fund, Ibuki said she had supported him during the legal dispute because she felt he was being victimised and believed there was a goal, by some, to bankrupt him.

But she said the fallout from the case had diminished his effectiveness within the parliament.

“The way that he has been hounded and the way that he has been marginalised … means he doesn’t have an effective role in the Liberal Party,” Ibuki said.

“I am not running against the person, I am running against the party that he is a part of.”

In January, Pesutto told The Age that despite winning back the seat in 2022, holding onto Hawthorn would require a major effort.

“We know nothing can be taken for granted. The techniques the teal movement adopted in 2022 [federally] … you can replicate,” he said.

“With the right campaign, you can be competitive in any seat, and that’s what’s changed in politics.”

The latest RPM voter survey sets a challenge for Labor to retain power on November 28, with primary support for the Allan government ticking down to 27, while support for the Coalition is at 29 points.

With both parties struggling to garner a strong primary vote, Ibuki said she was willing to work with either side of politics in the event of a hung parliament.

A long-time Surrey Hills resident, Ibuki lives with her husband and three adult children and has worked across the corporate and not-for-profit sectors, primarily in financial services.

On crime, Ibuki said she was aware of people in her suburb who have had their homes broken into, but said she would not be a sensationalist when it came to safety.

“We really need intervention programs, safer spaces and better co-ordination between agencies, and we do need to support our police force better.”

On housing, she said policies needed to address the lack of affordable housing as well as the soaring cost of construction in Victoria.

“I am pro-housing. I want everyone to be able to afford a home. I want key workers to be able to live where they work.”

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