NSW Opposition Leader Chris Minns won't call on the premier to resign after Dominic Perrottet admitted he wore a Nazi costume at his 21st birthday.
Mr Perrottet made the admission on Thursday, apologising to the Jewish community while saying he had no plans to quit as NSW premier.
Mr Minns said it was a mistake for Mr Perrottet to have worn the costume while adding it was important to acknowledge the premier had apologised.
"I'm not making the case that he should resign, I think it's up to the voters of NSW to make a decision," Mr Minns said on Saturday.
"It's not up to me to absolve him or accept his apology on behalf of the state.
"Obviously those people from the Jewish community, returned servicemen and women, that were victims of the Nazi war machine. They're responsible for accepting his apology, not me."
Mr Minns doubts the revelation will impact the upcoming state election campaign.
"I think the people of NSW will make decisions based on many other issues," Mr Minns said.
"There are many issues to speak about and debate ... whether it's the cost of living crisis, whether it's getting youth more engaged in sport."
Asked if there was anything controversial in his past that could harm his political career, Mr Minns said "no".
Prime Minister Anthony Albanese was asked about Mr Perrottet's admission on Saturday.
"That's a matter for him, and then for others who'll make judgements based upon the premier's explanation," he said.
The state election is set for March 25.
Academics believe the premier's political future could go either way after he disclosed the controversial costume choice following rumours about the 2003 party.
Senior lecturer Nasya Bahfen from La Trobe University's school of politics, media and diversity said she was undecided on whether the premier would survive politically.
"He is the premier of a state where there is a significant number of Holocaust survivors," she said.
If Mr Perrottet is punished at the ballot box for his mistake, the damage would likely stick to him and not hurt the Liberal party, she added.
"It really just boils down to the fact that people will look at it in an abstract manner," Dr Bahfen said.
"They'll know, in the abstract, that what he did was terrible.
"But they're not going to see it as having any sort of impact on the price of fuel or other things that they deem as mattering to them in their day-to-day life."
While senior coalition MPs publicly backed the premier on Friday, one prominent member of the cross bench called for Mr Perrottet to resign immediately.
Shooters, Fishers and Farmers boss Robert Borsak, whose Polish father was detained in concentration camps in Poland and Germany, said the premier could not apologise his way back to integrity.
"I'm not offended by the actions of premier Perrottet, I am disgusted," he said.
Mr Perrottet on Friday said he had received overwhelming support from colleagues since confessing to his "mistake", which he described as the result of naivety.
Asked if he was confident of leading the Liberals to the election, Mr Perrottet answered with a terse "yes" several times.
Senior coalition figures including Nationals leader Paul Toole, deputy Nationals leader Bronnie Taylor and potential Liberal leadership rival Matt Kean have publicly backed Mr Perrottet.
Independent MP for Sydney Alex Greenwich told ABC Radio there was no excuse for Mr Perrottet's actions, while Greens MP Jenny Leong said fascist extremism was not a joke.