Barnett plans to stay WA premier

A defiant Colin Barnett still plans to lead the West Australian government at the next election and has firmly told government colleagues that chatter from some of them about his leadership was unhelpful.

Mr Barnett, who has been premier since 2008 and the party's leader or deputy since 1993, is under increasing pressure, with a Newspoll last week showing Labor would win next year's state election.

Some MPs want him replaced and Mr Barnett admitted he was concerned by the poor polling on the way into a party room meeting.

He also said he would always do the right thing by the government and Liberal Party, in what was interpreted as a suggestion he could step aside but not before the looming July 2 federal election.

A challenge before the March state election is looking more likely, with Mr Barnett having previously committed to standing down in the next term.

No MP had raised the issue of his leadership with him, he said.

"I don't know, I find it quite strange," he said of the poor polling.

"There is a positive mood among the community, I sense that, backbenchers out campaigning in the electorate sense that.

"I think when we get to the election people will focus on the issues ... I think the state has been governed well in difficult financial situations."

This week's talk was sparked by prominent property developer Nigel Satterley, who told reporters Treasurer Mike Nahan wanted a leadership spill, which the latter denied and said was absurd.

Mr Satterley has been critical of the government over rising land tax.

Liberal MP Phil Edman said on Tuesday the current polls suggested Mr Barnett did not give the government the best chance of winning but other MPs were supportive.

Last week's budget forecast the 2016-17 deficit would be almost $1 billion worse than previously forecast, at $3.9 billion.

Mr Barnett defended his economic record saying WA still had the country's strongest exports.

Labor opposition treasury spokesman Ben Wyatt taunted Mr Barnett, telling him in parliament he was delighted he was still premier.

He said the Liberal team did not want him to be premier but were too scared to do anything about it.

"When you have political paralysis at the highest level - a premier not really interested in the job anymore and four wannabes not up to the job - this is the sort of problem we get," he told reporters.