Kristina Keneally considering a run in the Western Sydney seat of Fowler

Anthony Albanese has shrugged off suggestions Kristina Keneally would threaten his leadership if she moved to the lower house.

Anthony Albanese has shrugged off suggestions Kristina Keneally would threaten his leadership if she moved to the lower house, declaring the former NSW premier is a “strong supporter of mine”.

Ms Keneally is considering a tilt in the Western Sydney seat of Fowler to avoid being stuck in an unwinnable position Labor’s NSW senate ticket at the next election.

Key union leaders are preparing to back fellow right-faction Senator Deborah O’Neill in the top spot, leaving party officials scrambling for an alternate way to keep Ms Keneally in parliament.

Labor leader Anthony Albanese says he supports Kristina Keneally remaining in parliament. Picture: NCA NewsWire / Nikki Short

Following news a deal was close to being reached, Mr Albanese on Thursday rejected the idea Ms Keneally was a threat to his leadership if she moved to the House of Representatives.

“The fact is that Kristina is a friend of mine,” he said.

“She is a strong supporter of mine and I’ve always had a very good relationship with Kristina.”

Mr Albanese said the preselections were a “matter for the NSW branch of the Labor Party,” but threw his support behind Ms Keneally staying in parliament.

“I think she makes an enormous contribution as both a Senator and as a frontbencher,” he said.

“And I look forward to Kristina continuing to make a contribution well into the future.”

LABOR’S WESTERN SYDNEY PLAN FOR KRISTINA KENEALLY

Labor powerbrokers plan to parachute former NSW premier Kristina Keneally into a safe lower house seat in Western Sydney to end a right-faction civil war over the party’s top Senate spot.

The deal was “all but done” sources familiar with the proposal said on Wednesday afternoon, with Ms Keneally expected to end her bid to stay in the senate and instead contest the seat of Fowler at the next election.

Fowler — which captures Fairfield, Liverpool and Cabramatta — is a long way from Ms Keneally’s current residence on Scotland Island in the Northern Beaches, according to her register of interests.

Kristina Keneally (centre), with Leader of the Opposition in the Senate Penny Wong (left) and Labor Senator Deb O'Neill in 2018. Picture: AAP

The bold move is seen as a solution to the bitter contest between Ms Keneally and fellow Senator Deborah O’Neill for the Right’s winnable spot on the senate ticket in NSW at the next federal election.

On Labor source said the move would upset rank and file party members in Fowler who have been vocal in their calls for a candidate who represents the ethnically diverse community.

Current Fowler MP Chris Hayes has already announced his retirement due to ongoing health issues, leaving the safe Labor seat vacant.

Labor holds Fowler on first preferences alone, with Mr Hayes gaining 54.54 per cent of the vote in 2019, going on to collect 63.99 on two party preferred.

Ms O’Neill is backed by the powerful SDA union, while Ms Keneally has the support of the Health Services Union.

Planning is underway to move Senator Kristina Keneally into the House of Representatives to resolve a factional battle. Picture: NCA NewsWire/Bianca De Marchi

With only one guaranteed senate spot up for grabs, as the second winnable spot goes to the Left faction’s candidate, the only way for both women to stay in parliament and appease the large unions is for one to move to the House of Representatives.

It is understood the plan to move Ms Keneally was deliberately leaked to the media to force the issue to a head and push Labor leader Anthony Albanese to make a call to avoid a bruising vote.

Ambushed with the revelation while live on television, NSW Labor right faction powerbroker Tony Burke said he supported Ms Keneally remaining in parliament, adding he had “heard every different rumour” in respect to the seat of Fowler.

“We need to make sure we have Kristina Keneally in parliament,” he said.

“She’s our deputy leader in the Senate, she’s carried immense fire power there in the Senate.

“We’re very lucky to have her in the Labor Party.”

But Mr Burke said Labor should “never take local electorates for granted”.

“No member (of parliament) is anything but beholden to the community that they’re part of,” he said.

“Yes there will be people in the party machine who want to have conversations back and forth on this, but the conversation that will really matter will be the conversation on the ground with the electorate.”