The Liberal MP, Peter Slipper, is likely to become the next Speaker of the House of Representatives after Labor's Harry Jenkins resigned this morning, shocking the Parliament on its final sitting day for 2011.

Labor MPs will be asked to approve Mr Slipper's nomination at a special caucus meeting scheduled for 10am.

If Mr Slipper gets the nod from Labor MPs, and enough independents as expected, it will change the fine balance of the hung parliament because Tony Abbott will lose two numbers on the floor.

That would be because Mr Slipper would be taken from the floor, meaning the Liberals would lose a vote, while Mr Jenkins would return to the backbench, giving Labor an extra vote.

Mr Jenkins' resignation has caught the Parliament by surprise. But it is no surprise that Mr Slipper will put up his hand, especially as his Liberal National Party colleagues are moving to strip him of preselection.

A LNP executive meeting last night deferred the matter to Friday and but it is still expected to hold a preselection before Christmas.

Mr Jenkins told Parliament this morning that he had become progressively frustrated at the stricture of minority government.

"My desire is to be able to participate in policy and parliamentary debate, and this would be incompatible with continuing in the role of Speaker," he said.

Mr Jenkins on his re-election as Speaker, following the 2010 general election, intentionally divorced himself from the Labor caucus to avoid controversial party political matters.

He is now on his way to Government House to present his resignation to Governor-General Quentin Bryce at 9.30am.

The statement in full

"Today marks my 1382nd day as Speaker of the House of Representatives. I have at all times tried to uphold the fine traditions of Speaker, and to the best of my ability have attempted to carry out my duties in the most independent and non-partisan manner possible.

As members are aware in this the 43rd Parliament, to further avoid controversial party political matters I have divorced myself from involvement with the Federal Parliamentary Labor Party. In this era of minority government I have progressively become frustrated at this stricture. My desire is to be able to participate in policy and parliamentary debate, and this would be incompatible with continuing in the role of Speaker.

As a consequence, when I vacate the Chair at the end of this short statement I will visit the Governor-General to tender my resignation as Speaker of the House of Representatives.

I thank all members for their co-operation which they have dispensed to varying degrees depending upon the individual.

I thank everyone who works for the Department of House of Representatives under the capable leadership of the Clerk Bernard Wright and the Deputy David Elder; they serve us well. My gratitude goes to the diverse range of officers of the Department of Parliamentary Services: from gardeners to guards, technicians and tradies, researchers to reporters, Hansard; they serve us well. To presidents Hogg and Ferguson with whom I served as co-presiding officer, and the members and officers of the other place with whom I had interaction, I thank them for their forbearance. All these people ensure that the Australian Parliament remains an enduring effective institution.

My staff in the Speaker's Office have assisted me and kept me well grounded; I believe that members would agree with me that they carry out their duties with integrity and professionalism.

Finally I acknowledge my eternal indebtedness to my "trouble and strife" Michele and the four generations of my family without whose support I would never have been able to achieve the high office I hold.

Late yesterday I ascertained that the Governor-general is available for my call before 9.30 therefore I must depart. I go placidly with my humour intact. I wish you all well."

http://www.smh.com.au/national/speakers-shock-resignation-may-change-balance-of-power-20111124-1nvn8.html