First lady? Gladys tipped as premier after Mike Baird steps down

Treasurer Gladys Berejiklian is tipped to become the next NSW premier after Mike Baird tearfully announced his retirement from politics.

Berejiklian announced Thursday afternoon that she plans to stand for the position, declaring her intention to run for the leadership of the NSW Liberal Party and premier.

The Daily Telegraph reports The Centre Right and Right factions have agreed to support Ms Berejiklian, citing Right sources.

“I am deeply saddened that Mike Baird has announced his decision to retire from politics,” Berejiklian wrote in a statement.

“Mike has been an inspiring leader and a man of enormous integrity who has left an outstanding and indelible mark on the state of NSW.

“Mike’s leadership has made NSW the economic and infrastructure powerhouse of the nation. His compassion has also ensured a better quality of life for those most vulnerable.

Berejiklian said Baird was “a great leader and friend”.

“I have been proud to work with him for six years in the ministry and for three of those as his Deputy,” she wrote.

“Today is Mike’s day – but I would like to make it clear that I will be standing for the leadership.”

Baird announced his retirement Thursday, saying he would be spending more time with his parents and sister who were all battling health woes.

He said at a press conference that his family struggles were a big part of his decision.

"My father and my mother and my sister are going through very serious health challenges and to be honest I have been in pain, not being able to spend the time that I should," Mr Baird said.

"This will change today.

"There is a strong personal cost that comes in public life and I've probably felt that more than any other time, in the past few months."

Mr Baird's sister, Julia Baird is a journalist with the ABC and revealed in 2015 that she was diagnosed with a rare form of cancer in 2015, she has since had a recurrence.

"I was in hospital with her last week," he said.

His father, a former deputy leader of the Liberal party Bruce Baird, recently revealed that he had open-heart surgery and is the primary carer for his wife, Judy who suffers from muscular dystrophy.

Mr Baird said his mother now requires 24 hour, which her father is providing despite still being in recovery from his surgery.

"It's very tough to watch as a son and it's not just me many hundreds of thousands of people do through similar things.

"Those personal things, obviously impact you and the nature of this job makes it tough to be able to support as much as you want."

Mr Baird said he did not want to be a career politician and came into politics to make a difference.

"I wanted to go as hard as I could for as long as I could and then step aside," he said at the press conference.

He also said it was also a good opportunity for the party to renew.

Australian Prime Minister Malcolm Turnbull has thanked Mr Baird for his leadership of NSW.

"Your state, our state, and the nation owe you a great debt," Mr Turnbull.

"You've restored the state's finances and you are building infrastructure that sets NSW up for the 21st century economy.

"You've played a great innings and we thank you for it."

Federal Labor Leader Bill Shorten said he wishes Mr Baird and his family well.

"There's no doubt that this is bad news for the NSW Liberals.

"I think it's fair to say that Mr Baird was the most talented Liberal on the state level in NSW.

"And the Liberal Party in NSW is a much more diminished political party than it was yesterday.

"I suspect this has implications for Mr Turnbull's support in NSW as well."

Mr Baird described his wife Kerryn as his "lifeline".

"She has been so supportive on this journey, I love her dearly and I just couldn't be prouder," he said.

"I've been punching above my weight for coming on to 27 years."

He said it would be an important year for the family with one daughter Kate studying for her HSC, while another daughter Laura getting married.

Mr Baird said he would also be coaching his son's soccer team.

During the time Mr Baird has been Premier the government has made some controversial decisions including introducing the lockout laws and scrapping greyhound racing in the state.

He later reversed the decision to ban the sport.

Forced council amalgamations around the state also proved unpopular with many around the state. All three issues led to protests.

At a press conference this morning Mr Baird said he is "incredibly proud" of what his government has achieved repairing the state's economy and jump-starting infrastructure growth.

NSW Labor Leader Luke Foley thanked Mr Baird for his service to NSW.

"To serve as Premier of Australia's largest state is the greatest of honours," Mr Foley said.

"He's worked as Premier and as Treasurer of NSW. Today we reflect that Mr Baird has rendered substantial service to NSW.

He said he wished Mr Baird and his family the best for the future.

"This year Mike Baird will have the opportunity to walk his oldest daughter down the aisle and as a father of girls, I couldn't think of a greater privilege."

Mr Baird said that as the State Government approaches the halfway mark of the current term of government "and the opportunity presents itself to refresh the Cabinet team" he has decided to "hand over the reins" to a new Premier.

"I am immensely proud of what Barry O’Farrell and I – together with Andrew Stoner, Troy Grant, John Barilaro and our teams – have achieved over the past six years," the statement said.

NSW Police Minister and former Deputy Premier Troy Grant said he was saddened but not surprised at the Premier’s announcement.

"I’m not surprised, just disappointed for NSW more than anything," Mr Grant said.

"I’ve always been a great mate of Mike’s. I was enormously proud to serve as his deputy premier, we achieved incredible things for this state and his is a sad day for NSW.

"He’s made the decision in the best interest of his family and that always has to come first and I’ll always support him.”

Mr Baird has been premier since April 2014, when he took over after Barry O'Farrell's resignation.

The statement said there will be a Liberal party-room meeting next week when a spill of leadership positions will take place.

"Following that meeting, I will resign from Parliament, effective immediately.

"It has also been an immense honour to represent the people of Manly since 2007, and my retirement from politics will enable fresh leadership for my community."

Mr Baird was initially very popular when he became premier, but in 2016 saw a huge drop in popularity following controversy over the greyhound ban and then backflip, the lockout laws and council amalgamations.

He said while there was more to do he was proud of what his government had achieved.

"We have repaired the State budget, rejuvenated the economy, created jobs in unprecedented numbers, boosted frontline services and unleashed an infrastructure boom in Sydney and the regions, which everyone can see with their own eyes," Mr Baird said.