Ley confident in leadership as Albanese says she was 'undermined from day one'

Prime Minister Anthony Albanese says Opposition Leader Sussan Ley has been "undermined from day one", as tensions within the Coalition deepen following a split over controversial hate speech laws.

Mr Albanese said he had "given up worrying" about internal Coalition matters, describing the opposition's ongoing instability as a political distraction.

"Yeah, Sussan Ley has been undermined - the first woman leader of the Liberal Party undermined from day one - and the alternative leaders are even worse," he said.

The comments come after Nationals leader David Littleproud confirmed his party would not re-enter the Coalition while Ms Ley remains leader, escalating a standoff that has fractured the opposition for a second time since the May 2025 federal election.

The Nationals formally quit the shadow cabinet on Wednesday, after Ms Ley accepted the resignations of three Nationals MPs who crossed the floor to oppose the hate speech legislation in the Senate. The MPs had defied Coalition unity, despite earlier agreements not to vote against the bill in the House of Representatives.

Mr Albanese also suggested further defections from the Coalition could be imminent, hinting that more MPs may follow former Nationals leader Barnaby Joyce in breaking ranks.

"I'll let them announce that, but I think it's pretty obvious from what happened in parliament this week that at least one more will go," he said.

Ley keeps door open to Nationals return

Ms Ley defended her leadership and said she remained confident she would continue as Liberal leader, while signalling she was open to rebuilding the Coalition relationship.

"The Liberal Party stood firm for two principles this week - dismantling Nazis and deporting radical Islamic extremists," she told the Today show.

"We improved Labor's laws to do exactly that, and I'm proud of that. The Coalition is stronger together. The door is open from my point of view - but I'm not looking at the door."

Nationals accuse Ley of breaking Coalition process

Mr Littleproud rejected Ms Ley's account, accusing the Liberal leader of abandoning established Coalition processes.

He said the hate speech legislation was never properly debated through a joint shadow cabinet or combined party room - a long-standing convention designed to secure unity between the Liberals and Nationals.

"Those forums weren't afforded to us," he said, adding that the Nationals had respected Ms Ley's instruction not to oppose the bill in the lower house.

Following the Senate vote, Mr Littleproud said the three Nationals MPs resigned from the shadow cabinet "out of respect", but warned that accepting those resignations would trigger a wider withdrawal - a move he says Ms Ley chose to make.

"Sussan Ley broke the Coalition when she accepted those resignations," he said.

While maintaining that the Nationals' door remained open, Mr Littleproud suggested a period of separation was necessary.

"I think it's healthy for a bit of time apart for them to work out who they are."

Coalition figures warn of voter backlash

Opposition communications spokesperson Melissa McIntosh acknowledged voter frustration, saying the Coalition had once again become consumed by internal conflict.

"It doesn't look good. Our marriage has broken up twice in a year," she told Sky News. "We're bleeding votes, and the reason is what's happening right now."

Despite the turmoil, senior Liberals including Ted O'Brien and Anne Ruston publicly backed Ms Ley's leadership, expressing hope the Coalition could eventually reunite.

Nationals Senator Matt Canavan criticised the legislation, warning it could criminalise legitimate protest activity.

"I don't think we should have a law where a government could convict you of a hate crime for boycotting economic products," he said.

Former Nationals-turned-Liberal senator Jacinta Nampijinpa Price also questioned the Coalition's response to the Bondi terror attack, saying the decision to rush parliament back to pass laws was a mistake.