Liberals at odds as Ted Baillieu’s resignation triggers split

FORMER Victorian premier Ted Baillieu’s resignation has exposed a fault line in the Napthine government and the Liberal Party.

FORMER  Victorian premier Ted Baillieu’s resignation has ­exposed a deep fault line in the Napthine government and the Liberal Party, embarrassing the incumbent leader and speeding up talk about post-election leadership change.

Mr Baillieu was firmly ­opposed to Planning Minister Matthew Guy having any chance of succeeding Premier Denis Napthine any time after the November 29 election.

While Dr Napthine is ­entrenched as leader on the condition he wins the election, supporters of Mr Guy and Treasurer Michael O’Brien have been involved in a subtle game of positioning in the lead-up to the poll.

Mr Baillieu is believed to be convinced that Mr Guy played a key role in his own downfall last year, along with other senior Liberals including former premier Jeff Kennett and former minister Nick Kotsiras.

Multiple Liberal sources said Mr Baillieu, while fully supporting Dr Napthine, was intent on backing Mr O’Brien over Mr Guy and that a rapprochement had occurred with the forces loyal to former federal treasurer Peter Costello.

The central aim was for Mr O’Brien to eventually succeed Dr Napthine.

Liberal sources said that as part of the fallout over the leadership, Mr Baillieu was now ­refusing to back Dr Napthine’s legal counsel, John Pesutto, for Hawthorn. This is despite Mr Pesutto being one of Mr Baillieu’s most loyal lieutenants, having been part of his Hawthorn machine for 20 years.

Party insiders believe that Mr Baillieu, who declined to comment yesterday, is backing Community Services Minister Mary Wooldridge for the safe inner-eastern seat in a move that could become messy for the party three months before an election.

If Ms Wooldridge does run, it will be despite having ­recently won a bloody upper house preselection after losing the race for the inner-eastern seat of Kew to rising Liberal star Tim Smith.

Ms Wooldridge ­refuses to comment. If she runs, she will have to defeat close political ally and Institute of Public ­Affairs chief John Roskam, and Mr Pesutto. The Australian understands Dr Napthine has privately said he does not want to get ­involved in the Hawthorn preselection.

Mr Roskam yesterday confirmed he would be nominating for the seat.