Labor has lost its lead in the two-party preferred vote in the Australian election.
The ABC reports that with about 80% of the votes now counted since the federal election on 21 August, the Coalition is now ahead by more than 1900 votes on a two-party preferred basis as well as leading in the primary vote standings.
Prime Minister Julia Gillard had been using Labor's lead in the two-party preferred vote to claim a mandate for Labor forming government.
Liberal deputy leader Julie Bishop says Ms Gillard has lost her mandate to do so.
"She said that was the plank for Labor being able to form government. Well that plank is now falling away," Ms Bishop told Lateline. "It's hard to see what moral authority or legitimacy Julia Gillard can now claim."
Ms Bishop says the Coalition is now significantly ahead on Labor on "all counts".
"The primary vote, the two-party preferred, the number of seats in the House, the number of Senate seats, the Coalition is ahead," she said.
"Labor, for all intents and purposes, lost the election. I believe that the Coalition can form stable and competent government and I'm hopeful that the independents will enable us to do that."
The Election Commission says more than 80% of the vote has been counted, with the final result not expected until Friday.
The ABC reports the latest tally is 73 seats for the Coalition, 72 for Labor, one for the Greens and four independents.