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Malcolm Turnbull was sounded out by colleagues, before December's ministerial reshuffle, as to whether he would accept the Treasury portfolio, as senior figures searched for ways to revive the government's flagging performance and sharpen its economic arguments.
The news comes after a day in which confusion gripped the government on several fronts, potentially mocking Mr Abbott's post-spill promise that "good government starts today".
The mood in the government is now threatening to deteriorate further after the Minister for Defence, Kevin Andrews, and Mr Abbott struggled to explain how they would proceed with the $25-billion-plus future submarines project after an announcement on Sunday by a South Australian Liberal that the contract would be decided by "open tender".
Senator Sean Edwards' announcement came after a pre-ballot conversation with Mr Abbott, who was seeking his support to remain Prime Minister.
In a series of phone calls, the Prime Minister's office and Senator Edwards agreed there would be a policy shift and Australian companies would have free access to compete for the lucrative work.
However, that appears to have changed, angering South Australian MPs and potentially sending them back into the pro-spill camp if another vote is taken. As ministers backed away from that deal, one insider familiar with the terms confirmed there had been a policy shift on the submarine procurement - but"nobody wanted to admit it".
The government cannot say precisely what the process will be.
Adding to the confusion, Foreign Minister Julie Bishop said it was a matter for Mr Abbott to determine issues with his staff. Her comments can be read as further criticism of his chief of staff, Peta Credlin, who Liberals continue to argue should be removed.
Fairfax Media has confirmed that the idea of shifting Joe Hockey from the treasury portfolio in time for the budget preparation season was floated with Mr Turnbull late last year by persons linked to the Prime Minister. But no formal approach came and the move did not go ahead, despite his positive response.
It is not known whether the proposal was done with Mr Abbott's specific authorisation.
The revelation suggests Mr Abbott may have been considering the high-risk manoeuvre of dumping his Treasurer long before events cascaded out of control in January. Those events resulted in a backbench revolt and a spill motion driven by bad polls, unhappiness with Mr Hockey and the unpopularity of his first budget.
Mr Abbott remains under pressure to switch, in a bid to improve the economic messaging, and to neuter a potential leadership rival with a promotion to the government's second most important job.
A number of Liberals argue Mr Hockey should be replaced with Mr Turnbull as the key marker of Mr Abbott's new approach to government.
Others say it is impossible to sack a treasurer and it would cause "mayhem" internally.
Nonetheless, there are signs of distancing between Mr Abbott and his Treasurer, such as the frank admission on Monday that the budget had been a political failure that was "too bold and ambitious" and contained initiatives that were never explained well enough to voters.
The fallout from Monday's failed leadership spill has sparked fresh recriminations within the government, brought allegations of treachery among cabinet ministers, and caused confusion over a votes-for-subs scandal associated with the future submarines project.
Just one day after Mr Abbott survived the move, dissatisfaction has broadened to include Mr Hockey's performance as the government's most senior economic minister.
One Liberal cited the Prime Minister's comments on the budget as code for recognising the budget had been "a political disaster".
Liberals are now looking to Mr Abbott to make "concrete" changes to the government to back up his promises to improve consultation and build community support for economic policy instead of forcing changes through.
"Look, this thing has been bungled politically from the start - if both Tony and Joe, the two architects of it, just stay where they are, it is really no change at all," said one MP who remains unconvinced by promises of improved consultation.
Though it is understood Mr Turnbull was not opposed to the suggestion in principle, the revelation is likely to add to internal friction and fuel suspicion that Mr Hockey is being undermined.
Privately several Liberals contacted said they were not only aware of the idea of promoting Mr Turnbull, but believed it was the best way of improving the government's economic salesmanship.
One Liberal MP said Mr Turnbull was a better salesman, and would also be prevented from seeking the prime ministership if so promoted.
