Australian federal cultural policy has been shaped by the political party in government in ways that reflect the distinctive ideology of that party. The authors trace the influence of Australia's two major political parties on federal cultural policy, arguing that their distinctive political philosophies have been significant forces in determining the changing shape of cultural policy in diverse ways. The authors demonstrate that, over the past decade, the cultural policies of the two major parties have become less distinctive as each party responds to the same international economic and political challenges. This lack of ideological dichotomy within political discourse has hampered the development of cultural policy that adequately responds to the cultural interests of Australian communities and artists.