And the party replaced the Tories as the largest party on Peterborough Council which, while remaining under no overall control, saw the Conservatives lose 13 of the 16 seats they were defending.
Meanwhile, the Conservatives lost control of North East Lincolnshire after Labour won five of the seats up for grabs – with neither party now holding a majority on the council.
All six areas overwhelmingly voted Leave in the 2016 Brexit referendum, with Thurrock supporting it by 72.3%, North East Lincolnshire by 69.9%, Hartlepool by 69.6%, Redditch by 62.3%, Peterborough by 60.9% and Rushmoor by 58.2%.
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However, Labour lost control in its traditional heartland of Oldham, which has a large Muslim population, with many blaming the party’s stance on the conflict in Gaza.
And while keeping its grip on Newcastle, it saw a number of seats fall to the Greens.
The Tories also clung on by a single seat in Harlow, a council targeted by Sir Keir on the eve of polling day.
Harlow – the Tories managed to just about hang on against a challenge from Labour
In other important developments:
• Labour held on to Sunderland Council • It also kept control of South Tyneside and Chorley • The Tories held on to other councils in Hertfordshire, Hampshire and Essex
More than 2,600 council seats across 107 councils were up for grabs in England, alongside 11 mayoral elections, a parliamentary seat and police and crime commissioners throughout England and Wales – with many of the results still coming in.
But early signs show Labour is winning back seats in areas it lost over the Brexit debate, as well as making gains in traditionally Tory voting councils.
Friday: From 10am lead politics presenter Sophy Ridge and chief presenter Mark Austin is joined by political editor Beth Rigby and Sam Coates throughout the day, as well as economics and data editor Ed Conway and Professor Michael Thrasher.
Friday night: From 7pm until 9pm, Sophy Ridge will host a special edition of the Politics Hub, offering a full analysis and breakdown of the local elections.
The weekend: Sophy Ridge will host another special edition of the Politics Hub on Saturday from 7pm until 9pm. And Sunday Morning with Trevor Phillips will take a look back over what’s happened from 8.30am until 10am.
How do I watch?: Freeview 233, Sky 501, Virgin 603, BT 313, YouTube and the Sky News website and app. You can also watch Sky News live here, and on YouTube.
And the Electoral Dysfunction podcast with Beth Rigby, Jess Phillips and Ruth Davidson will go out on Friday, and Politics at Jack and Sam’s will navigate the big question of where the results leave us ahead of a general election on Sunday.
We’ll also have the latest on the politics page of our website.
‘People crying out for change’ – Labour
Tory party chairman Richard Holden told Sky News it had been a “tough night” for the Conservatives, but argued it was coming off a “very high watermark set of elections in 2021” and “typical for a government in midterm”.
But he said: “I do feel sorry for a lot of my Conservative colleagues who have been out campaigning with across the country over the last few weeks and months who haven’t managed to hold their seats.”
However, he argued voters had not suggested they want to see “more change” within the Conservative Party, when pressed over Rishi Sunak’s position as leader and insisted the party “will be ready” whenever the election was called.
Analysis: Not all going Starmer’s way with Reform posing real threat
By Professor Michael Thrasher, Sky News elections analyst
Election results declared overnight have clearly demonstrated that the Conservatives are in serious trouble.
A by-election defeat in Blackpool South at the hands of Labour, the seventh this parliament.
In the local council elections the Conservatives are losing seats in numbers that suggest this could be one of the party’s worst ever performances.
But Conservative council seat losses have not been Labour’s gain with Sir Keir Starmer’s party more or less static in terms of vote share compared with its results from last year’s May elections.
The picture of net seat gains and losses is intriguing.
Labour leads the way but it is having to share the headlines with seat gains made at the Conservatives’ expense by the Liberal Democrats, Greens and a range of local independents.
Close comparisons of change in vote share demonstrated that support for Reform is real and will hurt the Conservatives if played out at the next general election.
Read more from Sky News elections analyst Professor Michael Thrasher here
Labour’s shadow environment secretary Steve Reed told Sky News that while it was “early days”, the results so far were showing positive signs for Labour come the next general election.
“These are not polls,” he said. “These are people getting off their backsides, going out of their homes, into a polling station, putting a cross on a party that they want to govern their local area.
“People are crying out for change. I know that from speaking to people on the doorsteps and tonight, it looks like people around the country are voting for change.”
But while Tory MP James Daly said he “fully accepts” the loss of these councils, he insisted to Sky News his party could “still win in parts of the country where historically Labour have dominated” – including in Teeside, where Conservative Lord Houchen is defending his mayoralty.
Tories better some predictions but Lib Dems ‘buoyed’
The Conservatives bucked predictions in Harlow in Essex where it managed to keep control of the council – although its majority fell from 11 to one, and Labour gained five seats.
The party also held on to Broxbourne Council in Hertfordshire – an authority it has run for its entire 52-year history – and Farehamin Hampshire, though in the latter the Liberal Democrats picked up four seats.
A Lib Dem source said they were “buoyed” by their results overnight, claiming it set them up to take seats off the Tories at the next election.
“This is just a taster of what is to come throughout Friday in the Blue Wall,” they added.
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‘We’re surging, they’re sinking’
Reform UK is performing well, racking up an average vote share of between 14% and 15%, and pushing the Conservatives into third place in some areas, including Sunderland.
However, it isn’t fielding candidates everywhere – instead targeting Leave seats where its predecessors, the Brexit Party and UKIP, performed well – and has yet to win a seat or council for itself.