There are fears the formal alliance between the Liberal and National parties in Victoria could be dumped after a disastrous performance by the Coalition in the regions.

The National Party faces losing party status in Victoria, with its state-wide primary vote reduced to about 5.3 per cent, compared to 6.8 per cent in 2010.

The National party, led by Peter Ryan, faces losing party status in Victoria. Credit:Angela Wylie

Although thousands of pre-poll votes are still to be counted, the Nationals appear to have lost the seat of Shepparton, which it has held for 47 years, to rural independent Suzanna Sheed after suffering a whopping 32.5 per cent swing.

The seat of Morwell is also under a cloud, with Nationals incumbent Russell Northe suffering an 11.6 per cent swing.