A mother and daughter were killed in a stabbing and police shootout in Melbourne.

A mother and daughter have died after a stabbing in Melbourne’s northeast resulted in a police shooting.

Police were called to a Kett Street address after reports of a 26-year-old woman attempting to set another 52-year-old woman on fire.

Officers were confronted with the woman stabbing her mother, and they had no choice but to shoot her.

Victoria Police Acting Superintendent Scott Colson stated that only one shot was fired by officers, and they were “confronted with a terrible dilemma” and acted appropriately in their training and guidelines.

The daughter, believed to be 26-years-old, died as a result of the single police shot.

Paramedics worked to save the mother, but she also died at the scene, succumbing to knife wounds to her chest.

Police are not looking for anyone else in relation to the tragedy, and homicide detectives will investigate with the oversight of the Professional Standards Command.

The younger woman was on bail for an unrelated matter at the time of the stabbing.