Coalition rules out deal with One Nation for upcoming election

Opposition leader Angus Taylor has ruled out the Coalition carving up target seats at the next federal election with One Nation as Pauline Hanson's "Fire the Liar" fundraiser brings in $1.6 million in a day.

Liberal frontbencher Tony Pasin has told The Australian newspaper the party could work "hand in glove" with One Nation to target seats each party had a chance of winning from Labor.

Mr Pasin's proposal comes amid One Nation's rapid fundraising effort and multiple polls finding that voters says they were more likely to vote for One Nation than any other party.

Mr Taylor has previously indicated he is open to working with any party to remove Labor from government, but on Thursday said there was no plan for a non-compete agreement with Pauline Hanson's party.

Live: One Nation drive receives $1.6m in donations

"We won't be doing that."

He said the Coalition would focus efforts fighting against the Labor government adding that "every dollar being raised right now should be focused on beating Labor".

Liberal Senator James Paterson also rejected the South Australian MP's proposal, saying it was unclear which candidates and policies One Nation would be taking to an election in 2028.

He said it was also too early to be discussing preference deals with the party.

"I am not interested in dividing the spoils with another political party two years out from the election and frankly hitching our wagon to their brand, with all the risks that that entails," Senator Paterson said.

"Who knows how many of their MPs are going to defect or be found to be invalidly elected between now and then," Senator Paterson said.

"I think the Liberal Party needs to focus on earning back the trust and support of our traditional voters who we've lost, before we contemplate any arrangement with any other party."

Moderate NSW Senator Maria Kovacic said her party should focus on defeating Labor and stopping One Nation.

"There is a lot of work ahead of us, but the answer is not to stop contesting seats," she told ABC News.

Nationals senator Bridget Mckenzie also said it was too early to form any agreement.

It comes as Senator Hanson told a rally in Western Australia overnight that the party would be targeting the seats of Labor ministers, including Tony Burke's electorate of Watson and Chris Bowen's McMahon.

'I've never seen anything like this'

One Nation's website said on Thursday that supporters had raised more than $1.6 million in a day as part of a campaign targeting Labor, titled "Fire the Liar".

The party said the fundraising would go towards advertising to "reach Australians that [Prime Minister Anthony] Albanese ignores".

The website highlights 10 issues that the party said Mr Albanese had lied about including immigration levels, the so-called "ISIS brides" and stage 3 tax cuts.

As One Nation was only halfway to that fundraising figure when Labor's deputy campaign director Jett Fogarty sent an urgent email to supporters calling for $20 donations for its "Victorian Election Fighting Fund".

"I've never seen anything like this," he said.

Mr Fogarty's email said the $600,000 raised in a matter of hours was "on top of the $2 million dollars she has bragged about receiving from wealthy backers."

Despite the emails, Foreign Minister Penny Wong said she was more worried about the populist party's policies.

"I'm worried about the fact that she proposes no solutions," Ms Wong told Channel 9.

"But what she does engender … what she does is try and stoke is anger and I don't think that's right for the country."