Only a few months ago, Australian previous Prime Minister Kevin Rudd was flying high in the polls. This year it has all gone wrong, which finally led?to his resignation on Thursday morning, Australia's media reported.

Rudd's role as Australia's federal Prime Minister was replaced by Deputy Minister Julia Gillard.

Dissatisfaction with Rudd has hit a record 55 percent, according to a telephone survey of 1,147 people between June 18 and 20 published in the Australian newspapers this week.

Support for Rudd began to slide after he shelved the government's carbon-trading plans in April, a key campaign pledge when he won office in November 2007.

"Policy bungles such as the home insulation scheme hurt him, but it was his decision to put off his plan to tackle climate change until at least 2013, which knocked him flat," News.com.au wrote on Thursday.

The proposal for the 40 percent tax on mining "super profits" has also been a major reason for loss of support for Rudd.

"Support vanished in regional Western Australia and Queensland, and with the state Labor Party so on the nose in New South Wales, that made the calculations look catastrophic," News.com.au said referring to the consequences of proposed mining tax.

According to Business Spectator, instead of using Australia's success to cut taxes and set us up for the future by attracting investment, Rudd has decided to act like one of the desperate, near-bankrupt governments and actually raise taxes to make Australia's short-term deficit a little shorter.

"What's more he did it with a new and complicated tax that will drive investment away and threaten the basis of Australia's success, while getting him into a messy and unnecessary political battle with the global mining and project finance industries," Business Spectator wrote on Thursday.

"It was an incredible mistake one of the maddest, most idiotic episodes in this country's history."

Labor was now expected to quickly get itself on an election footing to take advantage of the fresh start offered by a new leader.

Gillard appears to have stronger voter appeal against the Opposition Leader Tony Abbott and Labor will want to capitalize on that before she gets bogged down in the difficulties of leading, the Australian Associated Press reported.

Rudd told reporters after his step down that he is proud of his achievements as prime minister including getting rid of Work Choices and weathering the global economic crisis.

"I have given my absolute all," Rudd said, speaking about two hours after he stood down as Labor leader to make way for deputy Julia Gillard.

"I was elected by the Australian people as the prime minister .. . to bring back a fair go for all Australians. I have given my absolute best to do that."

Gillard became Australian first female prime minister on Thursday when Rudd stepped down as the federal government Prime Minister.