Foreign Affairs Minister Juile Bishop: "Peta (Credlin) and I have discussed the story yesterday and we are nonplussed where it could have come from." Photo: Alex Ellinghausen

Foreign Minister Julie Bishop has strenuously denied there is any friction between her and the Prime Minister Tony Abbott's chief of staff Peta Credlin, describing their relationship as "very professional, close and very good". 

Ms Bishop's comments follow reports that the working relationship between arguably the two most powerful women in the country has broken down. 

News Corp is reporting growing tensions between the Foreign Minister and Mr Abbott's polarising chief of staff. It follows a week of damaging revelations about Ms Bishop's apparent frustration with the conduct and influence of Mr Abbott's office.

"They are like two Siamese fighting fish stuck in the same tank," an unidentified Coalition frontbencher told The Australian newspaper.

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"Tony (Abbott) isn't going to get rid of Peta and Julie isn't going to stop."

Both parties deny a rift, the report notes and in it, Ms Credlin has described her relationship with Ms Bishop as "strong and constructive". 

However, the report claims Ms Bishop now refuses to take directives from Ms Credlin, a position supported by a number of ministers. Some MPs, such as Queensland senator Ian Macdonald, have publicly complained Ms Credlin is too controlling.

On Wednesday, Ms Bishop told Fairfax Media that she worked closely with Ms Credlin on many issues. 

She described their dealings together as "very professional, close and very good". 

"We both denied the story (in The Australian), yet it still ran. I find that surprising," Ms Bishop said from Lima where she is attending climate talks.

"In fact, Peta and I have discussed the story yesterday and we are nonplussed where it could have come from ... We work together on many issues. The Prime Minister's Office and [my] office work in close co-operation." 

Discontent with Ms Credlin has fuelled speculation within the Liberal Party that she could leave Mr Abbott's office ahead of the 2016 election to take up a seat in the House of Representatives or Senate.

It has been suggested she could either take stood-aside Assistant Treasurer Arthur Sinodinos' NSW Senate seat or Social Services Minister Kevin Andrews' safe Melbourne seat of Menzies in the event either retired - although neither have said they will.

In response to questions from Fairfax Media about any plans Ms Credlin has to enter Parliament next year, a spokeswoman for Mr Abbott replied, "Peta Credlin has no intention of running for Parliament at this time - state or federal, House or Senate". 

"No intention ... at this time" is often used in politics to allow for wriggle room if needed in the future. 

On Wednesday, Fairfax Media revealed that after Mr Abbott's office blocked Ms Bishop's proposal to travel to the global climate negotiations, she took the matter to cabinet to get the decision reversed.

Last week, Ms Bishop was forced to deny a report she "went bananas" at Mr Abbott over his decision to have Trade Minister Andrew Robb chaperone her at the climate talks.

With staff reporters 

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