The Australian Electoral Commission has rejected Andrew Constance's request for a recount in the New South Wales seat of Gilmore.
Mr Constance entered the formal request on Tuesday morning, hours before Labor MP Fiona Phillips was due to be declared the winner by 373 votes.
The Liberal candidate cited concerns about the scrutineering process, particularly in regard to informal votes.
A spokesperson from the AEC said the request was carefully considered, but it was satisfied the proper procedures had been followed and there were no grounds to allow it.
"I can confirm that a recount will not be directed," the spokesperson said.
"The request was considered carefully.
In a statement, Mr Constance said he would review the commissioner's response.
"The Australian Electoral Commissioner has informed me today that he has considered my request and will not be directing the divisional returning officer to re-count the ballot papers in Gilmore," he said.
"I would like to thank our community, everyone who has offered support and many volunteers for everything they have done over the past few months."
Photo finish
Even with an early lead for Mr Constance during the count and a 2.44 per cent swing against her, Ms Phillips won the contest by 373 votes on preferences.
Labor declared itself the winner last month and dubbed Gilmore its 77th seat, despite no official declaration from the AEC.
Ms Phillips said it had been a difficult 24 hours.
"Look, it was pretty disappointing, because obviously I've been in the lead with 373 votes for a couple of weeks," she said.
Ms Phillips said Mr Constance was yet to contact her and officially concede.
She is expected to be officially declared the Member for Gilmore on Thursday morning.