Big news!! Iemma http://www.news.com.au/story/0,23599,24297619-421,00.html Costa http://www.abc.net.au/news/ MORRIS Iemma has resigned as NSW Premier at a party meeting today. He was forced to stand down following a challenge by NSW Emergency Services Minister Nathan Rees, who has been in parliament for only 18 months. Mr Iemma refused to answer questions after leaving the meeting. Mr Iemma - after meeting with members of his Centre Unity faction - is understood to have left to go to his office to tell his wife Santina that his premiership is over. After a devastating 12 months Mr Iemma has been rolled by MPs angry at his handling of the power privatisation and loyalty to Treasurer Michael Costa. Costa sacked Mr Costa confirmed today he had been sacked and had talks over his future with Mr Iemma last night. "I was advised by the premier that he desired that I not be part of his ticket and in the forthcoming reshuffle," he said. "I respect his right to do that." Mr Costa said the state's stamp duty revenue was $180 million down in the first two months of the financial year and that the health Budget had blown out by $300 million. He called for the $12 billion northwest rail link project to be pushed back by a couple of years and said health sector capital works would need to be reviewed. Mr Costa said he did not want to put the state's AAA credit rating at risk and was prepared to deliver a mini-Budget in November if his sacking was delayed. Senior sources revealed yesterday Nathan Rees and Carmel Tebbutt would lead Labor to the 2011 election.