Consumers in New South Wales will be left to pick up a $400 million bill following the breakdown of negotiations over the national broadband network.

The state government says NBN Co has walked out on negotiations after refusing to pay the full cost of installing the fibre network in the state.

NSW Finance Minister Greg Pearce. Credit:Jonathan Carroll

In a statemnt released today, finance and services minister Greg Pearce says the state government's negotiated in good faith for two years and won't be coming down any further on price for accessing poles.

That would leave a shortfall of up to $400 million over 20 years, he said.