Rumour mill busy as Abbott's offsiders deflect talk of leadership challenge

Australian Prime Minister Tony Abbott arrives at Auckland Airport on his first official visit to New Zealand. Photo / Dean Purcell

Australian Foreign Minister Julie Bishop and frontbencher Malcolm Turnbull have steered clear of increasing speculation that their Prime Minister could face another leadership crisis this week.

There are rumours Tony Abbott will be confronted with a second spill motion after reports the majority of Liberal MPs and senators now want to dump him.

Turnbull refused to buy into the leadership talk during his morning walk in Sydney, saying it was "absolutely critical" Liberals concentrated on the New South Wales election and returning the Baird state government.

"The Prime Minister has my support. He has the support of the Cabinet, and life goes on."

News Corp reported that Bishop would stand for the leadership in the event of a spill, making it a three-way contest with Abbott and Turnbull.

But she dismissed the continued leadership speculation as hypothetical.

"The Prime Minister has not been challenged. There was a spill motion that didn't succeed, and what we're doing is focusing on governing," she told Network Ten.

Asked if there would be a leadership spill this week, Abbott loyalist Josh Frydenberg told ABC TV: "I hope not".

The Liberal frontbencher said Abbott would never be able to convince some in the party he should keep the top job but he should be given some clean air to get on with it.

"If he delivered the Gettysburg Address, if he won the Nobel Prize they'd still take the position they want a change in leader," Frydenberg said.

Deputy Prime Minister and Nationals leader Warren Truss said the Liberal Party leadership was resolved three weeks ago, when the spill motion was defeated 61-39.

"The issue should really rest there," he said in Canberra.

"You can't keep revisiting this issue every week because someone remains discontent."

Labor frontbencher Chris Bowen says the dysfunction of the Abbott Government has reached a new low.

"It's affecting the way they govern," he told Sky News. "Australia deserves better than this constant destabilisation that we're getting."

- AAP