John Key has promised to lead a government that serves the interests of all New Zealanders after winning a clear cut resounding victory in the election.
The National Party leader greeted jubilant party faithful saying: " I can't tell you how good it is to be here."
Key said Helen Clark was "most gracious" with her comments to him earlier in the night while in her concession speech Clark congratulated Key and National but warned him Labour would not be going away.
Key spoke of Clark's glittering career and expressed his admiration for her "dedication to the job, ferocious work ethic and desire to make New Zealand a better country".
But he said New Zealanders spoke in their hundreds of thousands across the country in voting for change and after nine long years their patience has been rewarded.
"This is not as good as it gets," the Prime Minister designate said.
"I can tell you there will be a new National-led government in New Zealand."
He thanked those who had stuck with the party "for nine long years" while it was in opposition, saying their patience has been rewarded.
"New Zealanders have voted for a safer, more prosperous and more ambitions New Zealand. They voted for hope, they voted for action and they voted for results. They voted for a better life for all New Zealanders."
Key said he has spoken to Maori Party co-leader Tariana Turia, telling her he is willing to engage in dialogue with her and her party next week.
He has also spoken to Act Party leader Rodney Hide and United Future leader Peter Dunne and while details of any formal agreement are yet to be resolved he confirmed their willingness to support the establishment of a new government.
Rocky road ahead
Key warned the state of the global economy and global financial crisis means the road ahead may well be a rocky one.
"New Zealand needs to be on top of its game. Our collective success rests with the success of individuals," he said to applause.
Key said now is a time to be working together whether people voted for National or not.
He said it will be a government that values individual achievement, supports those that cannot support themselves and a government "we can all be part of".
National's victory looked assured from the start when the party leapt out to an early lead as the rural votes came in. It never never looked back.
National will have 59 seats in parliament - a gain of 11 seats, while Labour loses five to hold 43.
Among Labour's losses, Judith Tizard ceded Auckland Central to National's Nikki Kaye and Cabinet minister Damien O'Connor lost West Coast-Tasman to National's Chris Auchinvole. National candidate Todd McClay beat former Conservation Minister Steve Chadwick in Rotorua by more than 4800 votes. Harry Duynhoven also lost a close vote in New Plymouth to National's Jonathan Young.
End of an era
The vote marks an end of an era with New Zealand First out of parliament. The party hovered throughout the vote count at just below the threshold, finally finishing on election night with just over 4%.
After losing in a bitter battle with Bob Clarkson in 2005, New Zealand First leader Winston Peters was well beaten in Tauranga this time by National's Simon Bridges. Peters congratulated Bridges and thanked his supporters over the years. He spoke of the serious economic challenges ahead.
Minor parties do well
It was also a good night for the Green Party which won 6.4% of the party vote although opinion polls had suggested they could get as many as 10 seats. The Greens will have eight seats through co-leaders Jeanette Fitzsimons and Russel Norman, MPs Sue Bradford, Metiria Turei, Sue Kedgley and Keith Locke, Kevin Hague and Catherine Delahunty.
The Maori Party gained one seat from the four it won in the last election. Joining Tariana Turia in Te Tai Hauauru, Pita Sharples in Tamaki Makaurau, Te Ururoa Flavell in Waiariki and Hone Harawira in Te Tai Tokerau is Rahui Katene in Te Tai Tonga.
Act, in securing close to 4% of the party vote as well as leader Rodney Hide winning Epsom, has another member of parliament. Hide, brings along Heather Roy and former leader Roger Douglas. Hide said the change of government is great news and said the people of Epsom have made a big difference with their strategic voting.
United Future failed to win 1% of the party vote but leader Peter Dunne won Ohariu. He will be on his own in parliament but had already committed to supporting National.
Like Dunne, Progressives leader Jim Anderton comfortably held his Wigram seat but his party failed to make an impact with under 1% of the party vote.
