Ahead of the 1998 federal election, an electoral redistribution essentially split Oxley in half. Oxley was reconfigured as a marginal Labor seat, losing most of its more rural and exurban area while picking up the heavily pro-Labor suburb of Inala. A new seat of Blair was created in the rural area surrounding Ipswich. Hanson knew her chances of holding the reconfigured Oxley were slim, especially after former Labor state premier Wayne Goss won preselection for the seat. After considering whether to contest a Senate seat—which, by most accounts, she would have been heavily tipped to win—she opted to contest Blair. Despite its very large notional Liberal majority (18.7 percent), most of her base was now located there.