Minor parties may control Victorian upper house, says David Leyonhjelm

Minor party preference dealing should deliver a Victorian upper house similar to the Senate, says Liberal Democratic Party senator David Leyonhjelm.

Senator Leyonhjelm said the minor parties were agreeing to preference each other ahead of the Liberals, Labor and the Greens for the November 29 state election.

"There's a lot of small parties and the small parties are agreeing to preference each other before they preference the majors," Senator Leyonhjelm said.

"We think the outcome will be similar to the Senate, with neither the government or the opposition will have a majority in the upper house, and we think there is a very good chance that a minor party will win a seat in each of the eight provinces."

The Liberal Democratic Party will stand two candidates in each of the eight Victorian upper house electorates. It is aiming to secure the balance of power in the Legislative Council.

He said Victorian voters were keen to lodge a protest vote against a "very mediocre" state government.

"But I don't think that signifies any great enthusiasm for the Labor alternative," Senator Leyonhjelm said.

The Liberal Democratic Party's policies include axing stamp duty and loosening restrictions on urban development to deflate the housing bubble, and maximising private sector involvement in schools, education and transport.

"We think governments are too intrusive, they tax too much, they do too much, and we would like to roll that back," Senator Leyonhjelm said.

"If we get into the Legislative Council, that's the message we'll be talking about."