Gillard has insisted she will lead Labor into the 2013 election and reports, which her office refused to comment on, said that she intended to call a leadership ballot early next week.

In a short written statement she said she was "disappointed that the concerns Mr Rudd has publicly expressed this evening were never personally raised with me, nor did he contact me to discuss his resignation prior to his decision".

But treasurer Wayne Swan released a scathing statement, accusing Rudd of "dysfunctional decision making" and a "deeply demeaning attitude toward other people including our caucus colleagues".

"He was the party's biggest beneficiary then its biggest critic, but never a loyal or selfless example of its values and objectives," Swan said.

Rudd, a globe-trotting diplomat, has abandoned his duties in the US to other officials and leaves Trade Minister Craig Emerson as acting foreign minister. He is expected to arrive in Australia on Friday to plan his next move.

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