Malcolm Turnbull and Peter Dutton's awkward encounter after the leadership spill.

Prime Minister Malcolm Turnbull swears he doesn’t hold a grudge against Peter Dutton for his leadership challenge.

Turnbull has shared details of their conversation after Dutton’s failed tilt at the leadership and the pair seem awfully chummy considering one just tried to steal the others job.

The prime minister said he had offered Dutton a chance to continue in the Home Affairs ministry, but he declined.

“He has done an outstanding job as home affairs minister, the first home affairs minister in our country’s history, and I want to thank him for his work,” Turnbull said.

“He said to me that he doesn’t feel he can remain in the cabinet, having challenged me to the leadership of the party, and so he is resigning.”

The PM said differences between members of political parties was expected, but it was important to “put these differences behind us and get on with our job of looking after the 25 million Australians who have put us there”.

“I don’t bear any grudge against Peter Dutton for having stood up and challenged me today.”

Meanwhile, Dutton said his decision to contest the leadership was not made out of animosity towards Turnbull, but because he believed he was the “best person” to lead the party to an election win.

Speaking to reporters, Dutton thanked his colleagues for their “considerable support” during the spill.

However he also refused to rule out a second challenge… Awkward.

“I will make sure that I can do all I can to make certain that the Coalition wins the next election and that Bill Shorten never ever becomes Prime Minister,” he said when faced with a question of whether he will try again.

With AAP.