IT IS business as usual in South and West Dorset today as MPs Jim Knight and Oliver Letwin were returned to Westminster.

Labour's Mr Knight was triumphant after he reversed the trend of a nationwide swing to the Conservatives by winning the Dorset South seat with an increased majority, beating Tory Ed Matts.

And Shadow Chancellor Mr Letwin was also delighted to see his majority increase to beat off the challenge of Liberal Democrat Justine McGuinness.

Nationally, Tony Blair claimed a record-breaking General Election victory today as he headed back to No 10 for a historic third term in power - but with a greatly reduced majority.

He became the first Labour leader to win three contests in a row and promised to learn the lessons from the signal voters had sent by curbing his command of the Commons.

Mr Knight said: "I am absolutely delighted with the result. There were moments when I thought it wasn't going to happen for me.

"But looking back over the last four weeks the reaction I have received from the electorate has been overwhelmingly positive.

"I know there were people who had doubts about the party nationally and the issues I have supported but I have worked very hard and people have listened to me.

"Some people will put this win down to an accident-prone campaign by my main opponent, but I don't believe that. I believe it was won because of our sheer hard work.

"It was a vote of confidence for me.

"When people ask me what sort of majority I would have been happy with I thought doubling it would have done - but to increase it by 10 times is absolutely overwhelming."

Mr Matts accepted a series of blunders, which saw him make three public apologies in the first days of the campaign, could have damaged his chances but denied suggestions he had been ignored by party chiefs.

Mr Letwin promised to work hard for the people of West Dorset after securing another four years as MP in the constituency.

He fought off a strong challenge from the Liberal Democrats to keep his seat, increasing his majority by more than 1,000 to 2,461.

Mr Letwin, who has run a low-key campaign locally, said he relished the chance to represent the area.

He said: "It is certain that the next four years will involve a lot of work for me as constituency MP.

"I shall continue to work for all the people of West Dorset, regardless of their politics."

Mr Letwin's main rival for the seat, Justine McGuinness, said she was saddened by the result but pleased with the campaign she and her team had run.

She said: "I'm disappointed to have lost. However, we have had a good campaign here in West Dorset, talking to people about the things they care about. I'm really proud of the campaign that we have run - it was positive."

The results were announced around 3.15am at the Thomas Hardye Leisure Centre on Coburg Road, where candidates, their agents and many people from the media had gathered for the count.