Three national senators Defied the shadow cabinet to oppose Labour’s hate speech laws Susan Ley’s bid for the Nationals to reunite the coalition forces her to sit on the backbench for six months.
National Leader, David Little Proudsaid the country party would “take our time” to consider the Liberals’ proposal, leaving a potential reunion of the two parties in the balance at the start of the new fortnight in Canberra.
Lay briefed Liberal MPs on the terms of a potential peace deal with the Nationals after talks with Littleproud on Monday night.
The Opposition Leader did not face a leadership spill at Tuesday’s meeting as conservative rival Angus Taylor bided his time before challenging.
Speaking outside a traditional church service to mark the return of parliament, Lay expressed confidence she would survive at least until the federal budget in May.
Lay and Littleproud met on Monday night, but were unable to come to an agreement on reform alliance After last month’s split, the two parties will sit separately when parliament resumes later on Tuesday.
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Central to the Nationals’ insistence that three senators – Bridget McKenzie, Ross Cadell and Susan Macdonald – who overcame Labour’s hate speech laws – be reinstated to the frontbench.
Ley’s decision to accept the resignation of three senators forced the Nationals out of the shadow ministry, causing the coalition’s second breakdown in eight months.
Littleproud initially called a coalition under Lay leadership “impossible” but has since softened his language and opened the door to a reunion.
Ley’s offer to Littleproud meant the three senators would not rejoin the shadow cabinet for six months, Guardian Australia confirmed.
The suspension will expire in July 2026.
Nationals will be able to choose which of their MPs will replace the three suspended shadow cabinet.
Under the agreement, both parties are bound by the Shadow Cabinet’s solidarity and neither party has the ability to overturn a decision taken by the Shadow Cabinet.
The Liberals also want to take back the Assistant Treasury portfolio, which was handed to the Nationals after the 2025 federal election. A portfolio of skills can be offered in exchange.
Le extended the olive branch despite reservations from some colleagues, including many right-wing liberals, about jumping back into coalition with the Nationals.
The Nationals party room met on Tuesday morning to consider the offer.
“We will take our time to consider the details,” Littleproud said in a statement.
“The Nationals are united in our efforts to reset the coalition, but we will not provide any updates on the talks through the media.
“Discussions are ongoing and we will always be constructive and act in good faith.
“It’s important that we take the time to get the settings right.”
The opposition leader last week gave the Nationals a 10-day window to reassemble the coalition before the Liberals remain the sole opposition party.
Lay has appointed a temporary Liberals-only frontbench, with existing shadow ministers temporarily filling the Nationals’ portfolios, but intends to make it permanent if the parties do not come back together before parliamentary sessions start next week on February 9.
