Australia to send asylum seekers to Papa New Guinea

Asylum-seekers arriving by boat will no longer be resettled in Australia but will go to Papua New Guinea, Prime Minister Kevin Rudd has announced.

The news came as Mr Rudd set out an overhaul of asylum policy ahead of a general election expected shortly.

Australia has seen a sharp rise in the number of asylum-seekers arriving by boat in recent months.

Phil Mercer reports.