Premier Daniel Andrews may need to undergo surgery after scans confirmed he fractured his spine during a fall.
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AAP understands doctors will decide on Wednesday whether the 48-year-old will need surgery, after scans confirmed he has fractured the T7 vertebrae in the middle of his spine.
He also broke several ribs, although concerns he may have punctured a lung have not been realised.
The surgery would require inserting screws or pins into his spine, with recovery expected to take weeks.
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Mr Andrews was taken to hospital early on Tuesday after slipping on wet stairs at a Mornington Peninsula holiday rental while getting ready for work.
He was initially treated at the Peninsula Private Hospital but was transferred to the Alfred Trauma Centre in Melbourne on Tuesday evening after specialists assessed an MRI scan.
"This is a precautionary measure to ensure he has the most appropriate care available given the nature of his injuries," a state government spokeswoman said in a statement.
"The premier and his family thank the dedicated staff at Ambulance Victoria, Peninsula and the Alfred for their professionalism and care."
In his absence, Deputy Premier James Merlino will serve as acting premier.
Mr Andrews fronted 120 consecutive daily press conferences during the state's second wave of coronavirus.
He has been the leader of the Victorian Labor party since 2010 and premier since 2014.
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