A senior Cabinet Minister confirmed that discussions had taken place this week over what to do about filling the vacant position of Assistant Treasurer.

It has not been decided whether Arthur Sinodinos will return to the role, after he stood aside when he became a witness in an ICAC investigation.

There are conflicting views in the leadership group about whether he should return, despite the expectation that he would not face an adverse finding.

Mr Abbott is believed to be considering two options — a major reshuffle which would clear the Cabinet of “dead wood” and promote a number of women into the Cabinet. Source: News Corp Australia

Another Cabinet source said there was “no urgency” but confirmed a reshuffle would take place.

Another senior Minister said Mr Abbott had to deal with the “Sinodinos problem” before Parliament returned in February and said there were many senior MPs urging the PM to use the move to launch a major reshuffle.

Mr Abbott is believed to be considering two options — a major reshuffle which would clear the Cabinet of “dead wood” and promote a number of women into the Cabinet.

Sources close to the PM conceded that he was under pressure to prove that he could be ruthless, in the face of increasing backbench unrest about the way the government was travelling.

Senior Government sources confirmed that two timelines were being discussed.

One would see a minor reshuffle before Christmas, as early as this weekend.

The other was a more significant revamp of the frontbench at the end of January.