CONSERVATIVE Alex Wilson has won the Wanstead by-election - but the Lib Dems are also celebrating a huge gain in the ward.
Mr Wilson, who now will become the area's new councillor, got 1,300 votes, with Lib Dem nominee Kate Garrett close behind on 1,030.
Meanwhile Labour slipped from second to third in the ward, with candidate Ross Hatfull managing 694 votes.
During a tense count at Ilford Town Hall, election officials had to recount several bundles of voting papers when they realised the votes did not add up, and there were widespread fears a full recount would have to be held.
In the last elections in Wanstead ward, during the 2006 local government elections, the Lib Dems got 14 per cent of the vote. This time they got 30 per cent. The Conservatives slipped from 48 per cent to 37 per cent, while the Greens and Labour also suffered losses.
Nevertheless the Tory Party's margin of victory was still relatively comfortable.
The first act of Mr Wilson after the result was announced was to pay tribute to his Tory predecessor Allan Burgess, whose death earlier this year forced the by-election.
He said: "It's a huge honour to follow in Allan Burgess's footsteps.
"I know how hard he worked for the ward and how well regarded he was, and I look forward to following in his work."
Mr Wilson admitted he had been "very nervous" during the count, when it became apparent the vote would not be the easy victory for the Conservatives many predicted.
He said: "We always knew the Lib Dems were a threat.
He added: "It is also a damning indictment of Gordon Brown's government for Labour to come in third place."
Mr Wilson thanked everyone who voted for him, but pledged to do the best he could for all of the ward's population.
"Wanstead is a very special place and I want it to carry on being that way.
"I'm looking forward to playing my part in the administration of the council, which is a successful one."
Amid accusations of fierce in-fighting in Redbridge's Tory group, Mr Wilson said: "I think it's healthy to have a degree of internal discussions within political organisations but what we need to remember is what holds us together as Conservatives is more than what sets us apart."
Kate Garrett, of the Liberal Democrats, said she wanted to build on her party's gains, with the goal of winning Wanstead's vote next time.
She added: "We've always been told we'd never get anywhere in Wanstead but tonight's election proves that is wrong.
"I will definitely stand again next election. The Conservatives have been given a bit of a scare tonight."
The turnout was 40.7 per cent.
In fourth place was Ashley Gunstock for the Green Party on 256 votes.
Fifth was the BNP's candidate, John Evans, who got 171 votes.
In last place was UKIP's Nick Jones on 33.
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