Rishi Sunak's Tories have lost key councils and are on course to lose hundreds of councillors with votes in the local elections still being counted.
The majority of 230 councils - with over 8,000 seats - are still yet to declare, but the Conservatives have already suffered a grim night.
In the PM's first major electoral test, his party lost control of Hertsmere, where Deputy PM Oliver Dowden is an MP, while Labour and the Lib Dems picked up seats.
Tamworth, Brentford, North West Leicestershire and East Lindsey also fell from Tory administrations to no overall control in a bruising night.
In a statement this morning, Labour's National Campaign Co-ordinator Shabana Mahmood said: "These results show that we are on course for a majority Labour government."
"Tonight has been a disaster for Rishi Sunak as voters punish him for the Tories’ failure."
Liberal Democrat Leader Sir Ed Davey said it had been a "groundbreaking night" for his party.
He said: "We are exceeding all expectations. We have delivered a hammer blow to the Conservative Party in the blue wall ahead of next year's general election.
Here are some key results you may have missed overnight
Plymouth
Labour's first major victory of the night was in Plymouth, where the party scooped control of the council with 45% of the vote share.
Local MP and Tory minister Johnny Mercer admitted it had been a "terrible" night for the Conservatives in the area, and said the party needed to take it "on the chin".
He made the comments on the BBC as Labour activists could be heard cheering behind him, celebrating their success on the council.
But neighbouring Labour MP Luke Pollard said Mr Mercer is "toast" at the next general election, saying it had been a "stunning night" for Keir Starmer's party.
Medway
Labour is widely expected to win control of Medway Council in a major upset for the Tories.
It is a personal victory for Keir Starmer, who has campaigned in the area twice and told activists they had a "fighting chance" to win the council.
Speaking on Friday morning, the ex leader of the council said the Tories- in control of the council for 23 years - had faced a "perfect storm" and also blamed the unpopularity of some Government decisions.
Asked on the BBC whether Rishi Sunak has a chance of winning the next election, he replied: "Yes, a chance - but it's looking a bit difficult this evening".
Tamworth
Labour made seven gains in Tamworth while the Tories lost five.
This was enough to deprive the Tories of full control of the council and although they remain the largest party with 14 seats, Labour is now close behind on 10 while independents have six.
It is also an area represented by the scandal-hit ex-Tory minister Chris Pincher, who resigned from Boris Johnson's Government last year.
Stoke-on-Trent
Labour has won control of Stoke-on-Trent after scooping 23 seats in the key "red wall" city with the Conservatives on six and one independent, with 14 still to declare.
"This is Labour back as a political force in my city," the former MP Ruth Smeeth said.
"This is an incredible stepping stone and from tomorrow my city is red".
The party faced a major defeat in the area at the 2019 general election with the Tories winning the majority of the parliamentary seats.
Brentwood
This is another council where the Conservatives lost control, although here it was the Liberal Democrats who made the running, gaining three seats while the Tories lost three.
The new council sees the Lib Dems and Tories tied on 17 seats, with two for Labour and one independent.
On Friday morning the Liberal Democrats were also hopeful of winning Windsor and Maidenhead.
North West Leicestershire
Labour gained 10 seats here, enough to leave them the largest party but short of an overall majority. The Liberal Democrats gained a seat, while the Conservatives lost 10 and the Greens lost one.
This is the area of the country represented at Westminster by Andrew Bridgen MP, who was recently expelled from the Conservatives for comparing Covid-19 vaccines to the Holocaust.
Middlesbrough mayor
Labour's Chris Cooke won the battle to become mayor of Middlesbrough, defeating the independent incumbent Andy Preston with a swing of almost 20%.
Mr Cooke took 10,956 votes, 760 more than Mr Preston, who had a majority of 10,725 in 2019.
This was the first time the first past the post system was used to elect a mayor, and three more contests will be declared later on Friday.
A Labour spokeswoman said: "This is a huge result beyond our expectations.
"Taking this back from independents who won it with 59% of the vote in 2019 shows exactly the kind of progress we needed to make in Teesside".
