Jonathan Milne: Murphy was the winner in this worrying election

Winston Peters has made his bed. Now he must lie in it.

He promised that he would deal with whichever party won most seats, and voters cast their ballots with that in mind.

Green supporters voted for Labour in the hope that it would lead. Act supporters voted for the Tories to try to head off Clark at the pass.

Last night, Labour was set to win more seats than National, but initially Labour ministers and MPs fell by the wayside in their electorates.

Voters have declined National a mandate to cut their taxes, to close off Treaty settlements, and to crack down on criminals and beneficiaries.

Labour, caught napping by Don Brash's Orewa speech last year, thought it had recovered and learned National's lineout calls; learned how to counter its wide-running game.

Despite warnings from Helen Clark and Michael Cullen about complacency, it was they who proved most guilty of it. The chewing gum Budget in May was a rather self-satisfied document to be presenting in an election year.

Yet it appears New Zealand has given Labour the slimmest of mandates to continue for an historic third term - with more spending on family assistance, writing off student loan interest, and transport.

But this is MMP, and Labour still needs help.

So Winston Peters must keep his word. No wriggling.

If, on the final result, Labour still holds more seats than National, then Peters must allow Labour to govern.

It's been the Murphy's Law Election. Anything that could go wrong, did.

Bribery and Brethrens, deceit and defeats, sexual harassment and censures, cult conspiracy and kidnapping.

The polls were a shambles, and research companies will be asking themselves questions about whether voter uncertainty adequately explains the extreme volatility.

Yesterday, party leaders were tense and nervous as they cast their votes - they had no more idea than anyone else of what the wavering public was imposing on the nation from behind their polling booths.

Helen Clark's smile was fixed; Don Brash's hand shook as he signed autographs; Winston Peters fled the poll-ing booth; Rodney Hide stepped from foot to foot; ministers worried about a landslide sweeping them from their electorates.

Even on the night, the result changed dramatically: at one point National looked set for a big victory; within two hours all had changed.

We've had close races before - look back at 1978 and 1981 - but this time the promises were bigger, this time the possible outcomes were more numerous.

Never before in living memory had the politicians wagered so much on such tight odds.

Perhaps the most alarming aspect of this election is the precedent it sets for the future. Must every election now become an exorbitantly priced bidding war?

Will the debate not be about who can best manage the economy, but who will bribe us bigger?

There were surprises, there were shocks, there were travesties, but with Murphy's Election now over, the voters must get what they demanded.

Winston Peters has stated his distaste for much about Labour: he is strongly critical of their handling of immigration, law and order, and their inclusion of the principles of the Treaty in law.

But NZ First has been the tail that wagged the National dog before: Peters must know that he cannot now wag the Labour dog.