Australia's political parties have swung into campaign mode, a day after Prime Minister Kevin Rudd called an election for 7 September.

Mr Rudd has overhauled several key policies since taking office in June

On Monday Mr Rudd's Labor party announced an A$200m ($177m; £116m) package to assist the car industry.

Conservative opposition leader Tony Abbott, meanwhile, pledged to repeal Australia's carbon tax at his first campaign event in Brisbane.

Polls currently put the opposition Coalition ahead of Labor by 52-48.

The economy is expected to be a key issue in the election, along with asylum and climate change.

(Source: BBC)