It's on: Rudd calls September 7 election

Prime Minister Kevin Rudd has called an election for September 7.

In the same courtyard where he ended his first term as Prime Minister, Mr Rudd has given a press conference shortly after the election announcement.

The Prime Minister framed the forthcoming election as a choice for the Australian people, about "who the Australian people best judge to get the balance right".

"At this election the Australian people will decide who they trust best to navigate the way through so that we can have our absolute best shot at at maintaining our living standards and our security," he said.

Mr Rudd credited the reforms of an early Labor government for helping him, "a kid from the QLD country, neither of whoms parents went much beyond primary school, to go off to uni and chart his own future and end up as prime minister of the country."

Mr Rudd criticised the coalition, though didn't specifically name them, for talking down the economy.

He said it was better to level with the Australian people about choices made rather than pretend you can "wave a magic wand" and fix problems.

"While others continue to make false claims that somehow this country is in a debt and defect crisis, they can never answer this simple question. Why does Australia continue to have a triple A credit rating?

"It's a false claim and should be named and nailed as such through this campaign," he said.

Mr Rudd offered to debate Mr Abbott tomorrow on Sky News, and also offered the five major networks a Sunday each to interview him.

Prime Minister Kevin Rudd has called an election. Photo: AAP

Opposition Leader addresses the media

Opposition Leader Tony Abbott says the federal election will give Australians a clear choice between the coalition's positive plans and more of the same under Labor.

Responding to Prime Minister Kevin Rudd's decision to set a September 7 poll date, Mr Abbott said it was now up to the people to decide who was the more "fair dinkum" leader.

"At last the choice is yours. It's not the choice of the caucus, it's not the choice of the faceless men, it's your choice about the government you have, about the prime minister you have," he said.

"And the choice couldn't be clearer.

"The choice is between the positive plans of the coalition and more of the same under the Australian Labor Party and Mr Rudd."

Mr Abbott said his team had been stable, united and consistent for the last three years while the Labor party had been divided and dysfunctional, pointing to the leadership battle between Mr Rudd and Julia Gillard.

"Do you really want three more years like the last six?" Mr Abbott said.

Mr Abbott reiterated he wouldn't do any deals with crossbenchers to form a minority government in the event of another hung parliament.

The only way to get a real change of government was to vote for the coalition.

"I am ready, my team is ready," he declared in Canberra on Sunday.

"We won't let you down."

Opposition leader Tony Abbott addresses the media. Photo: AAP

Mr Abbott pledged to build a stronger economy by getting taxes and regulation down, and getting productivity up.

Mr Rudd's economic plan on the other hand was to just "clobber" people with new taxes.

Asked why the coalition had not released more details about the costings of its policies to date, Mr Abbott promised: "The public will know exactly what they will get from us. They will know exactly how much it will cost. They will know exactly how it is going to be funded."

Mr Abbott said he also wanted to build a more cohesive society, so that no Australian "feels like a stranger".

He pledged to be a unifying prime minister who trusts people to take more control of their lives.

The opposition leader confirmed he was open to taking part in a "series" of campaign debates with Mr Rudd, but he indicated he was not keen on a Sky News debate proposed for Monday.

PM visits Governor General

Mr Rudd and wife Therese Rein boarded a plane after midday (AEST) at Brisbane airport, touching down in Canberra shortly before 3pm, where the Prime Minister made the short journey to The Lodge, before visiting the Governor General and advising her of the election date.

Shortly after visiting the Governor General, Mr Rudd sent an email to Labor supporters under the title, "It's on".

"A few moments ago I saw the Governor-General and asked that she dissolve this parliament and call the Federal Election for September 7", the email said.

Kevin Rudd and Therese Rein visti The Governor General in Canberra. Photo: AAP

"Australians now face a choice. And the choice couldn’t be starker.

"I have a positive vision about the country we can be. In this election I’ll be talking with Australians across the county about better schools for our kids, investing so we can create good jobs, and about how the NBN can help keep our economy strong.

"Tony Abbott has a different approach. He’ll bang on with the same negativity that we’re all sick of. He’s only got three word slogans because he doesn’t have the ticker to debate his real agenda.

"Right now the only thing standing between Australia and an Abbott-led government is you, me, and as many Australians as we can rally to fight for the kind of nation we all want to live in.

The date means a 34-day campaign in which our leaders will criss-cross the nation in search of votes.

Attention is expected to be focused on key battleground seats in Western Sydney where Labor was extremely unpopular under Julia Gillard.

Queensland, Mr Rudd's home state, is also expected to be a key state, as Mr Rudd targets deeply unpopular cuts to public services made by LNP Premier Campbell Newman.

In Western Australia, several previously un-winnable seats are now seen as possible Labor holds.

Date surprises manyThe date has shocked some after the Prime Minister yesterday said he had unfinished business to take care of before an election could be held. On Saturday, Rudd had tried to hose down speculation over a September 7 date, citing further negotiations on education and disability reform with the states, and negotiations over environmental assessment procedures in NSW."These three negotiations haven't reached a conclusion yet, so we have a few things to attend to yet," he told reporters in Brisbane on Saturday."So therefore on your question (about September 7), I've made no determination whatsoever in terms of the date of an election."But overnight agreements with Western Australia and Victoria on DisabilityCare and schools funding respectively, as well as an agreement with the government of Nauru to house more asylum seekers, have cleared the way for the election announcement. The September 7 date has surprised some as Rudd also hinted on Saturday that he intended to go to the G20 leaders summit in Russia, scheduled just days beforehand.It's now likely that Foreign Minister Bob Carr will attend instead.The September 7 poll will be the first September election since 1946.The date is just one week before the September 14 poll announced by then-Prime Minister Julia Gillard in January. Upon taking back the top job, Mr Rudd said he reserved the right to choose a different date, citing the Jewish holiday of Yom Kippur as one reason September 14 was inappropriate.

Prime Minister Kevin Rudd attended church with his family this morning before leaving Brisbane for Canberra. Photo: AAP