Hague quits after UK poll defeat

Hague: "No individual is more important than the party"

LONDON, England -- William Hague has dramatically resigned as leader of the UK opposition Conservative Party after a humiliating election defeat.

Hague made the announcement early on Friday morning, hours after conceding defeat to Prime Minister Tony Blair in a telephone call.

Blair stormed to an historic second landslide victory in the election on a grim night for the Conservatives in which the party failed to make significant gains.

As he resigned from the leadership of the party he has held for four years, Hague said: "We have not been able to persuade a majority, or anything approaching, a majority in the country that we are yet the alternative government that (Britain) needs.

"Nor have I been able to persuade sufficient numbers that I am their alternative prime minister. No man or woman is indispensable and no individual is more important than the party.

"I have led this party for four years and have, actually, enjoyed every single day. I believe strongly, passionately, in everything that I have fought for.

"But it is also vital for leaders to listen and parties to change...I have therefore decided to step down as leader of the Conservative Party when a successor can be elected in the coming months.

"I will continue until that time to carry out the parliamentary and other duties of the leader of the opposition."

An hour earlier Blair entered Downing Street office after his election triumph. He is expected to announce a major reshuffle of his Cabinet on Friday.

Labour is expected to have a majority of between 160 and 170 in the House of Commons, the UK's main legislative body.

Addressing jubilant party workers in central London early on Friday morning, the prime minister said: "It is an honour and a privilege the British people have bestowed on our party."

He added: "Our mandate is to carry on the work we have started. The policies and the foundations we have laid over these past few years give us the ability now to complete the task that we set ourselves.

"For 100 years we have been in government for short periods of time, but never won a full second successive term of office.

"Now we have done so because at long last in this country we have united the politics of ambition for yourselves and your family with compassion and decency and obligation for others less fortunate than yourself.

"That marriage of head and heart is what this party is about. So let us get to our work now."

Blair's Labour Party passed the 330 House of Commons seats it needed to form another government shortly before 3 am local time (0200 GMT).

As Britain began waking up to the election result -- and with some seats yet to be declared -- Labour had secured 413 seats. The Conservatives had 164 and the Liberal Democrats 47.

Despite what appeared to be the lowest voter turnout since 1918, Blair said the British people "agree with the direction in which we take this country but they want us to get on with the journey and live up to the expectations invested in us."

Hague formally conceded defeat in his Richmond constituency in northern England at 4.25 a.m. local time (0325 GMT).

UK Home Secretary Jack Straw told CNN: "This is an historic result for the Labour Party. It is the first time we have gained a second full term.

Blair hugs wife Cherie as victory is confirmed

"It is a positive endorsement of Tony Blair's strategy to run a strong economy and invest in public services and reject's today's Conservative Party."

Shadow chancellor Michael Portillo is now among the favourites to succeed Hague.

Speaking before Hague's announcement, he said: "This has been another very disappointing night. It should lead to a period of reflection. I hope no-one will say anything hasty in the coming hours and days that any of us might wish to regret thereafter."

Ex-Chancellor Kenneth Clarke and Shadow Home Secretary Ann Widdecombe are other potential candidates for the Conservative leadership.

Hague said the low turnout, which could be down by as much as 10 percent compared to the 1997 election, was a "sobering lesson for all parties."

The Liberal Democrats led by Charles Kennedy had one of their most successful elections, gaining seats from the Conservatives and holding others which had been targeted by Hague's party.

:: Elections have also been held for 45 councils, 34 counties and 11 all-purpose unitary authorities in England and Wales.