Gillard becomes first female PM

Julia Gillard has become Australia's first female Prime Minister after Kevin Rudd stood down as Labor Party leader.

"The next Labor prime minister and the first female prime minister of this country will be Julia Gillard," caucus returning officer Michael Forshaw told reporters after emerging from a party room meeting.

"Wayne Swan will be elected the next deputy prime minister."

Mr Rudd had spoken to caucus, but Mr Forshaw did not want to canvass the content of his speech.

"The meeting was conducted in a very orderly manner," he said.

"I can say it was a very gracious speech by the prime minister and also by the new leader and deputy leader."

Mr Forshaw said it had been a difficult time for both Mr Rudd and the Labor Party.

"He led us to victory in 2007, a victory that was achieved when many people thought that we would still be spending more years in opposition.

"That is a great achievement, he did that with Julia Gillard as the deputy leader."

Mr Forshaw said he is now looking "confidently forward to the next election", led by the new team.

Mr Rudd ignored questions from reporters as he left the caucus room.

He was accompanied by senior ministers John Faulkner and Kim Carr and Queensland backbencher Jon Sullivan.

Both Ms Gillard and Mr Swan were elected unopposed.

Labor's new leaders have left the caucus room without speaking to reporters.

Frontbencher Craig Emerson said it was not Mr Rudd's happiest day.

"Julia Gillard is prime minister and we will all completely and fully support her," he told reporters.

Dr Emerson said the coalition will now have a great fight on its hands with Julia Gillard at the helm.

Asked if the Labor Party had done the right thing by Rudd, he said: "Look Julia is prime minister, she worked hard for that, she has been a very effective deputy, I congratulate her, I think everyone does."

He said the government will be very strong and unified heading into the election.

Julia Gillard will hold her first press conference at 1100 AEST after winning the Labor leadership following Kevin Rudd's decision to stand down as prime minister.

so much for him fighting it because australians voted him in" shows what a coward he is.

Yes he certainly didn't put up a fight heres hoping she will do a better job

what a joke, lets see how she can screw us over before we elect her out

It's not going to change anything anyway it's still the same crappy policies

i dont think he was a coward he just knew she had the majority, so whats the point, he may as well gracefully resign, which he did.

i think he made some really hard decisions, especially as he was the only prime minister to say sorry and to try and increase organ donation lists, and open regional cancer centres is a big thing at least for our area. As much as i dont like his environmental taxes as they hurt our pocket dramaticially i understand them too.

I think it could of waited until term though, but understand why they did with the miners lobbying etc, which is one of their major supporter basis. Having computers and the extra payment bonuses for family benefits has helped us survive our bills, and make our neices/nephews obtain the net in their homes for homework.

And finally we can get into a doctor occasionally in our area, compared to not at all, so think he did something right.

I think it is a bit underhand on the way that a female got in, it shoudl of been voted by the people in my opinion, not just by the party. bit radical seeing a first female Governor (appted by Rudd) approve the first female prime minister (that took rudd's position).

Will be interesting at federal election as to whether strong opinionated males will actually vote for female or not. And will female activists change sides to vote a female.

I think she handled the first speech well and she has some strong views. I had no issues with Rudd and honestly think he did a good job. I dont like abbit at all so i will be voting for her