Peter Gutwein will be Tasmania's new Premier.
The news comes after his opponent for the leadership contest, Michael Ferguson, announced by statement he would not nominate for the ballot.
"I have been speaking with my colleagues over the weekend about the leadership of the Liberal Party and have decided to not stand as a candidate," he said.
"Elise Archer joins me in wanting our new leadership to be elected unopposed.
As I said last Thursday, my position, as always, is to do what is best for our party, the government and most importantly the Tasmanian people."
The Treasurer was elevated to the top job at a meeting of the Parliamentary Liberal Party meeting in Hobart this afternoon.
Braddon MHA Jeremy Rockliff, who stood on a joint ticket with Mr Gutwein, will remain Deputy Premier.
Mr Gutwein, 55, a former hotelier and financial adviser, was elected to the Tasmanian Parliament in 2002.
Regarded as an attack dog and the Liberal's top performer in Parliament, he has been Treasurer since the Liberals won government in 2014.
Mr Gutwein will be the 46th premier of Tasmania.