Queensland was centre stage again, on day two of the Federal election campaign. Prime Minister Turnbull focused on knife-edge seats in the south-east. While Bill Shorten pounded the pavements of Townsville.

Kayla Plunkett reports.

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Bill Shorten hit the ground running on his second day in Queensland.

Unveiling Labor’s plan to continue funding Gonski school reforms in Townsville.

But he was forced to deny his party is disunited on stopping the boats, making waves he’d rather avoid.

Bill Shorten, Opposition Leader: “We will support boat turnbacks where the border forces deem it to be appropriate.”

A photo has emerged of Labor candidate Cathy O’Toole, a member of Amnesty International, showing her support for refugees.

Cathy O’Toole, Labor Candidate for Herbert: “I want to be really clear, I 100% support the Labor policy.”

There was some good news. Labor welcoming a Reserve Bank memo which suggests winding back negative gearing could be a “good thing” for financial stability.

Bill Shorten, Opposition Leader: “The Reserve Bank, in its notes demonstrates support for our policies and totally defangs Mr Turnbull’s not particularly scary, scare campaign.”

The government dismissing the memo’s significance.

Mathias Cormann, Finance Minister: “This document is an internal audit, it doesn’t represent the official RBA position and it shouldn’t be misrepresented that way.”

Malcolm Turnbull spent the morning touring small businesses, spruiking changes to company tax which will benefit them in last week’s budget.

The outer Brisbane seat of Forde is the fourth marginal seat Mr Turnbull has visited, one of eight Labor is targeting.

After two days in Queensland, Mr Turnbull heads to Sydney ahead of a leaders’ debate later in the week.

Kayla Plunkett QUT News.