Federal Government MPs who support a constitutional monarchy have downplayed Malcolm Turnbull's speech about the republican movement, but one MP has questioned a new referendum model proposed by the Prime Minister.

Key points: Monarchist Craig Kelly said the PM's speech took the republic issue "off the table"

Monarchist Craig Kelly said the PM's speech took the republic issue "off the table" Bill Shorten said Labor would work with Government to create a republic

Bill Shorten said Labor would work with Government to create a republic Republican movement backs PM's proposal for plebiscite on model

Mr Turnbull has declared he still supports Australia becoming a republic, after leading the unsuccessful campaign during the 1999 referendum.

He has repeated his warning there should not be a renewed push while the Queen remained in power and that any new proposal or model would need to have widespread public appeal before a new referendum was held.

Finance Minister Mathias Cormann, who is a constitutional monarchist, welcomed Mr Turnbull's remarks.

"I heard the PM say that the issue was settled at the referendum a little while ago and I certainly agree with him on that," Mr Cormann told Sky News.

Liberal MP Craig Kelly, also a monarchist, said he had no objection to Mr Turnbull's remarks in Sydney.

"The speech he gave was very mild," he said.

"It basically takes [the republic] off the table and lets us get back to the core basics of government."

But Mr Kelly questioned Mr Turnbull's proposal that Australians should first choose through a plebiscite how a president would be elected, before the model was put to them in a later referendum.

"It just shows the republican movement, amongst themselves, can't even come up with a model they believe is superior to the current arrangements," he said.

Federal Opposition Leader Bill Shorten said Labor would work with the Government to help deliver an Australian head of state if there was a renewed push for the country to become a republic.

On Twitter, Mr Shorten said his offer to work with the Government on the issue remained.

"My offer still stands — let's work together to deliver an Australian head of state," he said.

But he also criticised the Prime Minister, saying: "Climate change, marriage equality, housing affordability, now Republic too hard for Turnbull."

Australian Republican Movement backs plebiscite

The Australian Republican Movement backed Mr Turnbull's suggestion of holding a plebiscite.

But the movement's head, Peter FitzSimons, agreed there was still a lot of hard work to do.

Sorry, this video has expired Turnbull calls for 'strong grassroots' for Australian republic

"He's the Prime Minister — he's experienced in this field and he's saying make no mistake you have a long hill to climb," Mr FitzSimons said.

"The point that I'm about to make in return is … we are climbing that hill, we've got extraordinary enthusiasm."

Mr Turnbull used Saturday night's speech to put forward his road map on how a new referendum could be presented differently.

"Australian people need to feel like they chose the model," he said.

"The clear lesson is that you cannot succeed in any referendum, let alone one that goes to touchstones of national identity, if the proposal is not seen and understood by the Australian people as one over which they all have ownership."

Mr Turnbull led the movement's failed bid for a republic in 1999.

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