The outcome represented what one minister described as a compromise between the conservative and moderate factions. One minister said: ''George has really drunk the right-wing Kool-Aid.'' George Brandis: "Bigot" comment had "inflamed the situation". Credit:Andrew Meares Another minister said Mr Brandis' original proposal was ''much worse'' than the agreed text and he had been forced to back down. A third minister present at the meeting said the original bill had been ''terrible''. Asked if the cabinet had forced the change from a bill to an exposure draft, that minister said ''things are evolving all the time'' and that the exposure draft still ''needs to be changed quite substantially''. The exposure draft released has proposed section 18C, which makes it unlawful for someone to act in a manner likely to ''offend, insult, humiliate or intimidate'' someone because of their race or ethnicity, would be repealed while section 18D, which provides protections for freedom of speech, will be removed and replaced by a new section.

The changes remove the words ''offend, insult and humiliate'', leave in ''intimidate'' and adds the word ''vilify'' for the first time. But a passage in the exposure draft that exempts words and images "in public discussion of any political, social, cultural, religious, artistic, academic or scientific matter", has attracted a storm of criticism for being too broad and weakening current protections. Fairfax Media can also reveal that members of a government legal affairs backbench committee that examined the bill had flagged the need for changes to the bill and for additional consultation. "Normally these things get rubber stamped," an MP familiar with the process said. "I can't see [the exposure draft] surviving in its current form. And I've got no doubt the legislation will be much better." Several MPs told Fairfax that indigenous MP Ken Wyatt's warning in the party room two Tuesdays ago that he could cross the floor if changes were not made had been a significant turning point in the development of the legislation.

Aside from Mr Wyatt, Coalition MPs including Victorians Sarah Henderson and Jason Wood have raised concerns about the changes to the act with Senator Brandis. A second backbench MP said the proposed changes to the Act, which were prompted by a 2011 legal case involving News Corp columnist Andrew Bolt, had been "going fine until George made his bigot comment, which completely inflamed the situation". Senator Brandis said this week that "people do have a right to be bigots, you know." Loading The government has promised to consult on the exposure draft of the bill until April 30. A spokesman for Senator Brandis declined to comment on cabinet discussions.