Mike Baird is poised to become the next Premier of NSW after his nearest rival for the job, Transport Minister Gladys Berejiklian, decided not to challenge in a leadership ballot.
Liberal MPs will meet at 3pm on Thursday to decide their new leader after the shock resignation of Premier Barry O'Farrell on Wednesday.
Supporters of each minister have been running the numbers overnight in anticipation of a ballot.
But while there are suggestions Ms Berejiklian has a slight edge, the prospect of a split partyroom vote - and the message that could send - has prompted her to reconsider whether she will run.
Ms Berejiklian and Mr Baird, who is the Treasurer, will meet on Thursday morning. It is anticipated Ms Berejiklian will tell Mr Baird she will not contest the ballot in the interests of party stability.
It is unclear if there may be other challengers for the leadership, including Community Services Minister Pru Goward. Regardless, Mr Baird is expected to have the support to carry any ballot that may occur.
Ms Berejiklian may put her hand up for the Deputy Liberal leader's job, but it is unlikely she will seek a new portfolio such as Treasury.
Contenders for the deputy leadership may include Energy Minister Anthony Roberts and Ms Goward.
