In 1909, in what became known as the Fusion, Deakin controversially led his supporters into a union with the Free Traders. Their alliance, based on anti-socialism, marked the beginning of a two-party system in federal politics and allowed him to form Australia’s first majority government. Deakin regarded his final term as prime minister, from June 1909 to April 1910, as his most productive. However, to his surprise the ALP won a majority in both houses at the 1910 election. He retired from politics in 1913, in the early stages of a degenerative neurological condition that led to his death at the age of 63.