The former deputy premier of NSW Paul Toole has been axed as the leader of the Nationals after tensions arose over a plum job in the Upper House.
At a party room meeting on Monday afternoon the Nationals voted to replace Mr Toole with Dubbo MP Dugald Saunders.
Mr Toole's position came under threat after his colleague Ben Franklin decided to run for the role of Upper House president — a role with many perks including a ministerial salary.
The nomination sparked outrage among Nationals who feared their ability to hold the government to account would be hindered as it would give Labor a majority in the deadlocked Upper House.
If Mr Franklin does become president, he will have to recuse himself from the Coalition party room and the Nationals party room.
Although Mr Toole had publicly criticised Mr Franklin for putting his hand up, his private remarks came under the spotlight on Monday morning.
Mr Franklin accused Mr Toole of being dishonest, telling Nine he had privately supported his decision to run for president and described it as a "great idea".
As the day went on, Liberal Opposition Leader Mark Speakman described Mr Franklin's nomination as "treachery" and said there had been agreement across the Coalition that no one in either party would run as president.
"If he takes the presidency, takes the money, takes the perks, takes the trappings, instead of serving the voters who put him there, it is an act of treachery to those voters," Mr Speakman said.
Mr Franklin said he believed an impartial president would lift the "tone and substance" of debate, but he wanted to remain a member of the National Party.
"I've been a devoted member of the Nationals for the past 15 years, serving as State Director for seven years and then as a member of the Legislative Council since 2015," he said in a statement.
"As a party member I will continue to vote with my Nationals' colleagues whenever I am on the floor of the parliament — for example when amendments to bills are being debated."
Mr Saunders said it had been a "difficult" 24 hours in the party and members were acutely aware of what the public perception would be.
"They [voters] think it's a joke and rightly so," he said.
"People don’t like to see us talking about ourselves, we know that, everyone knows that."
Mr Saunders said he wouldn't discuss the specific concerns members had about Mr Toole, but they agreed change was needed.
He said no decision had been made about who would take Mr Toole's role of shadow police minister.
Amid the Nationals turmoil, the Liberals were "modernising" their party rules, according to Mr Speakman.
Up until now an Upper House member could not become deputy Liberal leader – a rule which looked set to prevent the party's top pick, Natalie Ward, from taking the role.
But over two thirds of the party on Monday voted to change this rule, clearing the way for Ms Ward to be nominated.
She received overwhelming support from her colleagues, defeating Goulburn MP Wendy Tuckerman’s bid for the job.
