Mr Abbott said the honour would be extended to Australians of "extraordinary and pre-eminent achievement and merit". Outgoing Governor-General Quentin Bryce, pictured with Tony Abbott on Tuesday, will be the first dame after the reintroduction of the honour. Credit:Andrew Meares The categories of Knight and Dame of the Order of Australia were created by the Queen, on advice from the Fraser government, in 1976 and were discontinued under advice from the Hawke government in 1986. Knights and dames will be approved by the Queen on the recommendation of the prime minister. The chair of the Order of Australia Council will be consulted on any such recommendation. Mr Abbott said: "My intention is that this new award will go to those who have accepted public office rather than sought it and who can never, by virtue of that office, ever entirely return to private life."

Mr Abbott said he expected these people to include governors-general, state governors, chiefs of defence forces and chief justices rather than politicians. He described the change as an "important grace note in our national life". Speaking on Sky News, shadow attorney-general Mark Dreyfus questioned the Abbott government's priorities. "Even the arch-monarchist John Howard didn't bring back knights and dames," Mr Dreyfus said. "I don't think we need to go back to knights and dames." Opposition leader Bill Shorten said: "It's good to see the government has a plan for knights and dames – where's their plan for jobs?

"I'm concerned the Abbott government thinks this is a priority – what about jobs, health and education?" Although Mr Abbott said the honour was not intended for ex-politicians, Attorney-General George Brandis said former prime minister John Howard would "absolutely" be worthy of a knighthood. Mr Brandis told radio 2GB there is "no honour too great for Mr Howard". Mr Abbott had said as recently as December that he had no plans to reintroduce damehoods and knighthoods, which were abolished by the Whitlam government, reintroduced by the Fraser government and abolished again by Bob Hawke. David Flint, national convenor of Australians for a Constitutional Monarchy, said he was "delighted" by the announcement, which corrected a deficiency in Australia's honour system.

"I had always hoped this would be one of the achievements of the Abbott government given the Prime Minister is such an outspoken monarchist," he said. "Reintroducing knighthoods and titles such as Queens Counsel are appropriate while we remain a constitutional monarchy." Mr Flint said he was glad Ms Bryce, who supported an Australian Republic in a speech last year, would receive the honour because she had served with "grace and style". The Australian Republican Movement accused Mr Abbott of breaking a pre-election promise. "This is turning the clock back to a colonial frame of mind that we have outgrown as a nation," David Morris, National Director of the Australian Republican Movement, said.

"Our identity today is Australian, so our national honours should be thoroughly Australian." Shadow attorney-general Mark Dreyfus questioned the Abbott government's priorities. Loading "Even the arch-monarchist John Howard didn't bring back knights and dames," Mr Dreyfus said. "I don't think we need to go back to knights and dames." Follow us on Twitter