Australia’s political landscape has undergone a seismic shift with the dramatic collapse of the long-standing Liberal-National coalition, following a devastating federal election defeat. Nationals leader David Littleproud announced on Tuesday that his party would not re-enter a formal coalition agreement with the Liberals, ending a political partnership that has shaped Australian governance for nearly 80 years.
Littleproud described the split as “one of the hardest political decisions of his life,” citing irreconcilable policy differences and a need for both parties to reflect and realign. “This is time apart to be better and to focus on the Australian people,” he said, adding that he hoped reconciliation would be possible before the next election.
The break comes just weeks after the Labor Party secured a resounding second-term victory. The Nationals, traditionally focused on regional and rural issues, failed to reach a post-election agreement with the Liberals amid growing tensions over climate policy, regional infrastructure, and economic reform. Disagreements over net-zero emissions and a contentious nuclear energy push were particularly divisive.
New Liberal leader Sussan Ley expressed disappointment at the Nationals’ decision but acknowledged the current rift. “Shared values have always underpinned our Coalition,” she said, “but the Nationals insisted on policy commitments we could not meet.”
The Liberals, who hold the second-largest number of seats in Parliament, will remain the official opposition, now operating independently. The Nationals, meanwhile, will no longer hold opposition portfolios and plan to contest the next election as a standalone party unless a new deal is struck.
This marks the first formal split in the Coalition since 1987 and follows a devastating electoral showing in which the Liberals lost nearly all of the 15 seats conceded by the alliance. Political analysts point to a collapse in support in urban and moderate electorates, largely attributed to the divisive leadership style and policies of former Liberal leader Peter Dutton. Ley has since pledged to reposition the party closer to the political centre.
While both parties insist the door remains open for future cooperation, the breakdown marks a defining moment in modern Australian politics—and sets the stage for a vastly different opposition heading into the next federal election.