Pick up tomorrow’s Illawarra Mercury for full analysis on Mike Baird’s resignation and reaction from the local community.

3.25pm: Skinner backs Gladys Berejiklian

NSW Health Minister Jillian Skinner has reportedly backed Treasurer Gladys Berejiklian to be the next premier of NSW. 

The veteran politician, who has been under pressure to hold onto her health portfolio in the looming reshuffle, told the Mosman Daily that she regarded herself as "a bit of a mentor for Gladys."

"I make no secret I am supporting Gladys Berejiklian, I always have done," Ms Skinner said.

"She's really got her head screwed on. She understands the importance of the economics of the state but also all of the things I'm involved in." 

Ms Skinner has also sent out a formal release welcoming new Federal Health Minister Greg Hunt since Mr Baird's resignation. 

A spokeswoman said the pair had a "commitment to work together".

2.50pm: And one more

2.40pm: The social media Premier

Poles and wires, light rail, Westconnex, they might be the signature infrastructure projects of the state's 44th Premier, but he's likely to also be remembered for his social media prowess. 

True to form, he found his way around the mainstream print and broadcast media on Thursday and straight into the social media feeds of his constituents. 

Here's a selection of a few of his other clangers or zingers, depending on which way swing. 

Tweeting The Bachelor - a winner on most counts. 

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A post defending the lock-out laws didn't go down quite as well with younger Facebook demographic, receiving a torrent of up to 17,000 negative comments. 

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2.25pm: Keira MP Ryan Park said he would be seeking a meeting with the new Premier to ensure the region got a “better deal’’.

“We certainly need a lot better premier for the Illawarra and someone who’s going to make sure we get our fair share than what we had under Mike Baird. What we saw was a port sold off with very little proceeds flowing back to the region; local TAFEs cut; hospital waiting lists rise; the school maintenance backlog continue to grow and we also have a social housing crisis on our hands.’’

2.05pm: ​Thank you, Mike

The Prime Minister, Malcolm Turnbull, has expanded on his earlier tweet with a statement farewelling Premier Mike Baird. 

Thank you, Mike, for your leadership of New South Wales.

Your state - our state - and the nation owe you a great debt.

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

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

You've opened your heart and explained why you are retiring all too soon.

We understand that and I want to wish you, on behalf of myself and Lucy, you and Kerryn and all your family the very best and the greatest success in the years ahead.

1.40pm: View from the street

Andrew P Street offers a critical view of the Baird legacy. 

While the personal circumstances surrounding Baird's resignation are understandable – and here's genuinely and sincerely hoping that his father and sister's health battles are brief and successful – it's important to keep a clear eye on what Mike Baird's legacy has been for NSW generally and Sydney specifically. Because they have been huge.

1.10pm: Gladys to stand

Gladys Berejiklian has confirmed she will be contesting the leadership when the Liberal party convenes next week, Fairfax has confirmed.  

It is unclear if there will be any challengers. 

1pm: Wollongong Lord Mayor Gordon Bradbery said:

“I have always found Mike Baird to be a very courteous and engaging person. On a very personal level I had a good relationship with the Premier. In terms of some of the policies of course you can always be critical but I think he had the best wishes and interests of the state at heart. One of his finest achievements is his priority of infrastructure spending. He made it a high priority to try and get the issues of transport, specifically road transport sorted out in Sydney.”

12.45pm: Proud of you bro

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12.34pm: Shellharbour MP Anna Watson said the Mike Baird government had not done the region “any favours’’.

“I’m disappointed about the lack of community consultation around the greyhound decision, around forced council amalgamations and around plans to privatise our public hospitals.

“With the next premier I’d like to see greater consultation with community leaders, MPs, councillors – and the community at large – on important issues.’’

12.08pm: 

A Sportsbet.com.au political trader said Gareth Ward was a $67 chance of getting the top NSW job.

“As good a job as Gareth is doing in his electorate, he’s more of a chance to captain the Kiama Knights than the state.”

11.58am: Wollongong MP Paul Scully has called on the next NSW Premier to take the Illawarra “seriously’’.

“While I wish Mike Baird all the best for the future, his premiership in terms of the Illawarra can only be described as disappointing. The next premier needs to make sure some of those key investments around the future of jobs, around the future of access to services and general opportunity in the Illawarra are high on the list of priorities.’’

11.50am: South Coast Labor Council secretary Arthur Rorris said: “I would hope that with Baird gone that we might have a bit of a rethink on… the extreme right wing position on steel policy. We can only hope that in the scramble that must be taking place now, in what is left of the government, that they pull back from the extreme big business positions that the Baird administration and the Baird regime has taken us.”

11.40am: Many Twitter users haven’t been able to resist a lockout laws gag:

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11.35am: Did toxic social media play a role in Mike Baird's decision to quit politics?

NSW Speaker Shelley Hancock said: “I am gutted, completely gutted. I’m really sickened.”

Ms Hancock said social media had made life intolerable for politicians, including Mr Baird. “Who would go into politics these days?”

11am: Baird’s real reason for resigning

Mr Baird says the challenges besetting his government over the past few months paled in comparison to challenges in his personal life. Mr Baird says his family has been struck by a trio of health problems. 

"That  was much tougher," he said. "My father has gone through open heart surgery... My mother has just gone to 24-hour care... that's very tough to watch as a son."

Mr Baird says the he was in hospital last week, too, with his sister, Julia, who is facing a recurrence of the cancer fight she wrote about for the Herald.

"Those personal things obviously impact you," he said.

10.50am: Parliamentary secretary for the Illawarra Gareth Ward has expressed his shock and sadness at the resignation of his party leader, Mike Baird.

“Mike Baird has been a Premier, like him or not, that stood for something – no-one could accuse him of being a ‘do nothing’ Premier. He went into politics to make a real difference in people’s lives and was a person of enormous substance.”

10.40am: Baird's next move

Mr Baird confirms he is retiring from politics altogether, but says he doesn't know where he will work. 

"People have said 'if you leave politics come and talk to me'," he said.

But before he follows up on those offers, he says some family time is in order. 

10.30am: Illawarra Business Chamber chief executive officer Chris Lamont had this to say after Baird’s shock announcement: 

“When he got the top job he articulated a very clear economic plan which in part involved construction and roads and other major infrastructure projects. But also, to fund those an asset recycling strategy program. In many respects the revenue and resources from that exercise are just starting to come into the Treasury coffers providing an opportunity for the NSW Government...to start investing. He certainly has done a lot of hard work to get to that point and probably taken some political pain.”

10.15am: 

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10.10am: Mike Baird has formally announced his retirement from politics at a press conference in Sydney on Thursday morning.

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9.50am: Who will take over? Premier Mike Baird said there would be a Liberal party-room meeting and a spill of leadership positions next week.

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

Treasurer Gladys Berejiklian is considered a front-runner to take over the reins.

9.15m: Mike Baird will quit as NSW premier next week, he announced on Thursday morning.

"Serving as Premier of NSW has been a tremendous honour, but I have made clear from the beginning that I was in politics to make a difference, and then move on. After 10 years in public life, this moment for me has arrived," he said in a statement.

Rumours Mr Baird was contemplating retirement began circling Macquarie Street during the government's back down on plans to ban greyhound racing. Possible replacements touted for the party leadership by MPs included Treasurer Gladys Berejiklian and planning Minister Rob Stokes.

Mr Baird's also said in the statement: "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.

"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.

 "I have always stressed that sound management of the budget and balance sheet is not done for its own sake. As well as enabling us to improve services and infrastructure, it allows us to protect the vulnerable. Among other achievements in this area, I am proud of the extra resources we have been able to direct towards our neediest schools (as the first State to sign up to the Gonski agreement); towards those with disability and their carers (as the first State to implement the NDIS); and towards vulnerable families, including through additional support for our FACS caseworkers.

"The infrastructure miracle unfolding around us has been possible only because the Liberals & Nationals took a plan to the NSW public in 2015, and prevailed over a massive scare campaign mounted by Labor and the unions.

 "As a result, the agenda that I entered public life to establish is being implemented. What matters now is that the new Cabinet should have time to settle in and reaffirm its own agenda ahead of the election in 2019 -- because only the Liberals & Nationals can be trusted to manage the continuation of the economic recovery and the infrastructure boom.

"Next week there will be a Liberal party-room meeting and a spill of leadership positions. 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 has been premier since April 2014, when Barry O'Farrelll resigned after giving incorrect evidence to the Independent Commission against Corruption about a bottle of wine. Mr O'Farrell said he had had a "massive memory fail".  

MORE TO COME

Mike Baird’s full media statement:

As I have reflected on the approaching halfway mark of our current term of government, and the opportunity it presents to refresh the Cabinet team, I have decided that this is the perfect time for me to hand the reins over to a new Premier.

Serving as Premier of NSW has been a tremendous honour, but I have made clear from the beginning that I was in politics to make a difference, and then move on. After 10 years in public life, this moment for me has arrived.

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.

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.

I have always stressed that sound management of the budget and balance sheet is not done for its own sake. As well as enabling us to improve services and infrastructure, it allows us to protect the vulnerable. Among other achievements in this area, I am proud of the extra resources we have been able to direct towards our neediest schools (as the first State to sign up to the Gonski agreement); towards those with disability and their carers (as the first State to implement the NDIS); and towards vulnerable families, including through additional support for our FACS caseworkers.

The infrastructure miracle unfolding around us has been possible only because the Liberals & Nationals took a plan to the NSW public in 2015, and prevailed over a massive scare campaign mounted by Labor and the unions.

As a result, the agenda that I entered public life to establish is being implemented. What matters now is that the new Cabinet should have time to settle in and reaffirm its own agenda ahead of the election in 2019 -- because only the Liberals & Nationals can be trusted to manage the continuation of the economic recovery and the infrastructure boom.

Next week there will be a Liberal party-room meeting and a spill of leadership positions. 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.