The Coalition has formally split, ending an 80-year political partnership after the National Party walked away from talks to renew its agreement with the Liberal Party. The dramatic break follows an election loss earlier this month and leaves the Liberals as the sole official opposition.
The decision, announced Tuesday by Nationals leader David Littleproud, marks only the fourth time in federal history the Coalition has broken down, and the first since 1987. Littleproud said the split was a “principled” move driven by irreconcilable policy differences—chiefly around nuclear energy, supermarket reform, and regional funding.
No agreement on policy or process
At the heart of the rupture were the Nationals’ demands that four key policy positions be embedded in any future Coalition agreement:
- A commitment to nuclear energy
- A $20bn Regional Australia Future Fund
- Divestiture powers to break up major supermarkets
- Strengthened telecommunications obligations in the regions
The Nationals also wanted the right for their shadow ministers to publicly dissent from Coalition policy—an unprecedented request that Liberal leader Sussan Ley rejected outright.
Ley had offered to appoint a joint shadow cabinet and allow policy differences to be resolved separately in each party room before being unified later. But the Nationals refused to sign on without policy guarantees. In a statement, Ley described the split as “disappointing,” saying her door remained open.
“One of the hardest political decisions of my life”
Littleproud, who retained nearly all of his party’s lower house seats in the election, said the result gave the Nationals a mandate to insist on policy concessions and “stand alone” if necessary.
“Sometimes a relationship needs time apart to get better,” he said. “We believe this is a principled stand to rebuild trust and better represent regional Australians.”
He emphasised that the Nationals were not trying to undermine the Liberals, and pledged to work with them “every day” toward a possible reconciliation before the next election, due in 2028.
However, the split has practical consequences: the Nationals will forfeit shadow cabinet positions, policy spokesperson roles, staff allocations, and salary top-ups of up to AU$60,000. They now become a minor party on the crossbench, like the Greens and independents.
Fallout within the Liberal Party
Privately, some Liberals welcomed the separation as a necessary reset after the Coalition’s electoral defeat. The Liberals lost 12 seats in the lower house—including almost all of their urban strongholds—while the Nationals held firm in the regions.
“There was no real future in continuing to be dragged rightward by the Nationals,” one Liberal MP said. “We need to return to the centre-right if we want to win back the cities.”
Internal polling has shown declining support for the Coalition among voters under 45, women, and inner-metropolitan communities—groups increasingly alienated by the Nationals’ positions on climate and energy.
Former prime minister John Howard, however, warned against the split, calling it a “stupid move” and urging both parties to reconcile. “Our glory days were when we worked together,” he told A Current Affair. “The longer the separation lasts, the harder it will be to bridge.”
Strategic implications and parliamentary impact
The split does not immediately affect the Albanese government’s legislative agenda—Labor holds a comfortable majority in the House. But in the Senate, the shift could create more negotiating pathways for Labor, particularly if the Nationals adopt distinct positions from the Liberals.
The Nationals’ Senate presence is modest—just four senators after their recent loss of Perin Davey—but their votes could prove influential in tightly contested debates.
Liberal MPs have confirmed the shadow ministry will now be filled exclusively from their party ranks, with appointments expected later this week.
Historical precedent and path to reconciliation
This is not the first time the Coalition has fractured. The parties split in 1972 and again briefly in 1987, each time reuniting before subsequent elections. Analysts say the current divorce feels more strategic than permanent.
“There’s always been mistrust beneath the surface,” said Dr Jill Sheppard of the Australian National University. “But history shows they tend to come back together when faced with the prospect of electoral defeat.”
Still, the Liberals and Nationals must now rebuild their identities apart. With 28 and 15 seats respectively, neither party can realistically govern alone.
As former Nationals deputy Kevin Hogan put it: “We’ve all had breakups in relationships. And often, you get back together—with more clarity and focus.”
Whether this split is a reset or a rupture may depend less on policy than on political math—and how far apart the parties drift before they decide they need each other again.
