Overview

• The Liberal Party has agreed in principle to the Nationals' four policy demands, including nuclear power, a $20 billion regional fund, supermarket divestiture powers, and improved telecommunications coverage.
• Nationals leader David Littleproud has defended the split and subsequent negotiations as a principled stand, stating he is prepared to lose his leadership if necessary.
• Leadership challenges loom within the Nationals, with figures such as Barnaby Joyce and Michael McCormack signaling potential interest in replacing Littleproud.
• The Coalition's split, the first in nearly 40 years, followed the parties' significant defeat in the May 3 federal election, which left them with just 43 seats in the lower house.
• Opposition leader Sussan Ley is expected to unveil a new shadow cabinet this week, balancing moderates and conservatives to stabilize the reformed Coalition.