Mr Howard said Labor had won "fairly and squarely"

Mr Howard, whose centre-right coalition led Australia for 11 years, is only the second sitting leader in the country's history to be unseated in an election.

Labor rival Maxine McKew, a former TV reporter, took the Sydney constituency of Bennelong which Mr Howard had represented for 33 years.

Labor won a convincing victory in last month's federal elections.

Mr Howard had already been replaced as leader of the Liberal Party by former Defence Minister Brendan Nelson.

Ms McKew was a popular and respected political reporter

Newly-elected Prime Minister Kevin Rudd has given Ms McKew a job in his government, as parliamentary secretary to the prime minister and cabinet.

But she was not officially confirmed as an MP until a ceremony on Wednesday.

Mr Howard said Labor had won the seat "fairly and squarely" and wished the new government well.

"It was [a] very long campaign and it was a tough campaign and I have no complaints."

The race in the Bennelong constituency had been very tight, and a final result could not be declared until postal and absentee votes had been counted.