NSW Labor win sees red across mainland Australia

Labor's stranglehold across mainland Australia is complete, with Tasmania the sole state to be led by a Liberal government. 

Based on progressive vote counting late on Saturday, Chris Minns has become the next NSW premier, leading a majority Labor government.

Prime Minister Anthony Albanese was at the forefront of election-day campaigning across Sydney, and welcomed him to the victory stage at a party function at night.

"He embodies all that's best about the Australian Labor Party," the prime minister said of Mr Minns.

"His vision is one that always has people at its heart."

Mr Albanese nominated his counterpart's integrity, vision, compassion and fairness as among his guiding qualities.

Mr Albanese's repeat appearances alongside Mr Minns on the campaign trail have been in contrast to Opposition Leader Peter Dutton's notable absence from the coalition's state push for re-election.

At the Labor election function in Sydney, federal party frontbencher Chris Bowen said Mr Minns ran an "absolutely brilliant campaign".

"He can be as significant a Labor premier as (Neville) Wran and (Bob) Carr," he told reporters.

As the Labor dream came true, analysis of the Liberal loss began.

Former Liberal prime minister John Howard arrived at the party's election function, reluctant to comment on the outcome, saying "it's too early to be talking about that".

He said Dominic Perrottet took on the job of premier in "incredibly difficult circumstances" after the sudden departure of Gladys Berejiklian.

"I admire him enormously," Mr Howard said of the outgoing premier.

He then heard Mr Perrottet's plan to step down as Liberal leader.

Senior Liberal and federal treasury spokesman Angus Taylor said it was horses for courses, when asked if the progressive Liberal policies around climate change and city votes had lost them votes in the country.

"You have to campaign where your strengths are," Mr Taylor told Sky News.

Federal independent MP for Fowler Dai Li suggested there was a hangover from the harsh COVID-19 lockdowns which hit her Sydney community during the latest coalition-led NSW administration.

"At the time we were talking about how we were treated as second-class citizens. I think there are still remnants of that in our community, and so there is the feeling that really we were just neglected by the government," she told ABC TV.