The Kellys struck again at Jerilderie, in New South Wales, on Saturday 8th February 1879, just two months after the raid in Euroa. Here they took over the police barracks, stayed there all day Sunday and on Monday, in police uniform, proceeded to the Royal Mail Hotel where they locked up everyone who came in. They then robbed the bank, taking the staff prisoner and returned with them to the Hotel where Kelly made a speech vindicating his actions and proclaiming his innocence. News of this outrage pushed the price on the Outlaws heads to £8,000, the highest reward ever offered in the Colonies.

After those four months of hectic activity the Outlaws dropped out of sight for almost a year and a half -from February 1879 to June 1880. Life on the run was far from easy but they survived on sheer skill and endurance, frequently riding sixty to seventy miles in one night. Help from family, friends and supporters was their strongest asset in their flight from the police. On Saturday 26th June 1880 the Kelly gang struck again -executing a police informer, Aaron Skerritt, who had previously worked with them. This murder was the lure by which they hoped to bring police reinforcements to Glenrowan, as Kelly planned to ambush the train on which they would travel. Following the pattern already established, the Gang took over "Glenrowan Hotel", holding up sixty two people. However, the police train did not arrive on Sunday as expected but early one Monday morning by which time the Outlaws were befuddled from drink and near exhaustion from lack of sleep. The police surrounded the hotel and the battle commenced. Four newspaper reporters and an artist were present, so the event was well recorded.