Andrew Bragg, widely considered the frontrunner in the Liberal preselection for the prized seat of Wentworth, has bowed out of the race, saying the party should pick a woman.

Key points: Mr Bragg said federal MP Julia Banks' decision to not contest the next election was a factor in his decision

Mr Bragg said federal MP Julia Banks' decision to not contest the next election was a factor in his decision Ms Banks, the Member for Chisolm, said the Liberal Party had a culture of bullying women

Ms Banks, the Member for Chisolm, said the Liberal Party had a culture of bullying women Mr Bragg said: "The allegations made by the Member for Chisholm genuinely shocked me"

In a post on social media, Mr Bragg said: "I believe the Liberal Party should preselect a woman and my withdrawal can pave the way".

Liberal preselectors will vote on Thursday night and three women have nominated.

Earlier this month, Julia Banks — the federal member for Chisolm — announced she would not contest the next election and said the Liberal party had a culture of bullying and intimidating women.

"The allegations made by the member for Chisholm genuinely shocked me," Mr Bragg said.

"Julia Banks is an incredibly impressive woman who has made it in the upper echelons of corporate Australia."

Mr Bragg described Ms Banks' resignation as "an enormous step in the wrong direction" for the party.

Eight to contest preselection

A by-election will be held in the seat, which was held by former prime minister Malcolm Turnbull until he was deposed in a leadership spill and subsequently resigned from Parliament.

Former political staffer Katherine O'Regan, former president of the NSW Liberal Women's Council Mary-Lou Jarvis and rheumatologist Maxine Szramka are the three women in the running for preselection.

Also in the running are Dave Sharma, Richard Shields, Peter King, Carrington Brigham and Michael Feneley.

Last week, City of Sydney councillor Christine Forster announced she was pulling out of the race, because her candidacy had been seen as "divisive".

Ms Forster is the sister of former prime minister Tony Abbott.

Mr Bragg, 33, resigned from the Business Council of Australia to make a tilt as the Liberal candidate and had the support of factional powerbrokers in the seat.

It is up to delegates from Wentworth's 19 branches whether they too believe a woman is best placed to secure a Liberal victory in the blue-ribbon seat.

A voter backlash is expected against the Liberals in the by-election — a date for which is yet to be set.

Mr Bragg referenced former deputy prime minister Julie Bishop's speech last week as another contributing factor to his decision to step aside.

"Former foreign minister Julie Bishop's comments that it was not acceptable for our party to drag the nation's female Parliamentary representation ranking from 15th in 1999 to 50th today equally ring true," Mr Bragg wrote on Facebook.

"I believe these recent events and comments have changed the mood.

"I am also a father and a husband who wants to see professional women make it into the highest offices in the land as representatives of the Liberal Party."