Australia8217;s Labour sweeps to power in elections

Howard, who had won four consecutive elections, conceded his government had lost power in front of a crowd of supporters in Sydney late on Saturday, saying he had phoned Rudd to congratulate him on Labour8217;s victory.

8220;This is a great democracy and I want to wish Mr Rudd well. He assumes the mantle of the 26th Prime Minister of Australia,8221; Howard said. 8220;We bequeath to him a nation that is stronger and prouder and more prosperous than it was 11 and a half years ago.8221;

Rudd presented himself as a new generation leader compared with Howard, 68, promising to pull Australian combat troops out of Iraq and sign the Kyoto Protocol on climate change, further isolating Washington on both issues.

His message of new leadership attracted a swing of more than five percent across the nation from the previous election, locking in only the sixth change of government since World War Two.

8220;We8217;ve all got goose bumps that finally we might have a leader who is passionate about fairness in this country,8221; Celeste Giese, 39, said at a football stadium in the northern city of Brisbane where Rudd was due to hold a victory party.

8220;Finally, after 11 years, it8217;s happening,8221; she said, as a large crowd gathered, many wearing T-shirts with Rudd8217;s election motto 8216;Kevin 078217;.

The election was fought mainly on domestic issues, with Labor cashing in on anger at workplace laws and rising interest rates which put home owners under financial pressure at a time when Australia8217;s economy is booming.

Election analyst Antony Green predicted Labor would win at least 80 seats in the 150-seat Parliament, giving it a clear majority in its own right for the first time since it lost power to Howard in 1996.

The result will mean Labour is in power nationally and in all of Australia8217;s six states and two territories, with the lord mayor of the northern city of Brisbane now the senior ranking elected official in Howard8217;s Liberal Party.

Howard was Australia8217;s second-longest serving prime minister behind Liberal Party founder Sir Robert Menzies. He had trailed in opinion polls all year.

A staunch US ally committed to keeping Australian troops in Iraq, he offered voters A34 billion US29 billion in tax cuts, but few new policies, instead highlighting his strong economic record and attacking Labour8217;s links to the trade union movement.