On 17 July 2010, 23 days after becoming prime minister and after receiving the agreement of the Governor-General Quentin Bryce, Gillard announced the next federal election would be held on 21 August 2010. Gillard began campaigning with a speech utilising the slogan "moving forward". In the early stages of the campaign, a series of leaks were released by purported Labor Party sources, indicating apparent divisions within Cabinet over the replacement of Kevin Rudd by Gillard. Mid-way through the campaign, Gillard offered journalists a self-assessment of her campaign by saying that she had been paying too much attention to advisers in her strategy team, and she wanted to run a less "stage-managed" campaign:
“ I think it's time for me to make sure that the real Julia is well and truly on display, so I'm going to step up and take personal charge of what we do in the campaign from this point. ”
Gillard met Opposition leader Tony Abbott for one official debate during the campaign. Studio audience surveys by Channel 9 and the Seven Network suggested a win to Gillard. Unable to agree on further debates, the leaders went on to appear separately on stage for questioning at community forums in Sydney and Brisbane. An audience exit poll of the Rooty Hill RSL audience indicated an Abbott victory. Gillard won the audience poll at the Broncos Leagues Club meeting in Brisbane on 18 August. Gillard also appeared on the ABC's Q&A program on 9 August. On 7 August, Gillard was questioned by former Labor leader turned Channel Nine reporter Mark Latham.
Gillard officially "launched" Labor's campaign in Brisbane five days before polling day, outlining Labor policies and utilising the slogan: "Yes we will move forward together".
Labor and the Coalition each won 72 seats[nb 1] in the 150-seat House of Representatives, four short of the requirement for majority government, resulting in the first hung parliament since the 1940 election. Both major party leaders sought to form a minority government.
Six crossbench MPs held the balance of power. Four crossbench MPs, Greens Adam Bandt and independents Andrew Wilkie, Rob Oakeshott and Tony Windsor declared their support for Labor on confidence and supply, allowing Gillard and Labor to remain in power with a 76–74 minority government. Governor-General Bryce swore in the Second Gillard Ministry on 14 September 2010.