A state Liberal MP has broken ranks, claiming Brendan Nelson could be out to cause trouble and wrong foot new leader Malcolm Turnbull.
Dr Nelson has announced he will be moving to the backbench after being rolled as the party's leader 45 votes to 41 in a snap ballot this morning.
NSW Shadow Environment Minister Prue Goward has told 2GB's Philip Clark that could be a problem for the Federal Opposition.
"Dr Nelson going to the back bench and refusing to take a portfolio I suspect will be difficult for the new leader because Dr Nelson is a very able man with now a lot of time on his hands."
Meanwhile Peter Costello says there could be rocky days ahead for new leader Malcolm Turnbull within his own party, as far as the republic issue is concerned.
Mr Turnbull is a noted republican and the former Treasurer says that is an interesting twist.
"The membership of the Liberal party would still predominantly be monarchist. This would be a tough issue for the Liberal Party."
"As I write in my book, I thought the Liberal Party should have handled this while it was in government. It will be much harder, in Opposition, to handle this issue."