THERE were shock in Labour Party circles across the North-East yesterday as news broke that one of the region's best known council leaders had lost his seat.

David Walsh, now former leader of Redcar and Cleveland Borough Council, was well beaten in what had been the safest Labour ward of Eston.

There was political manoeuvring in the Labour Group ahead of a meeting to be held today when it is expected a new leader will be appointed.

Labour is still the biggest group on the council and urgently need a new leader to negotiate with the other parties in what is now a hung council. Mr Walsh tips Coun Dave McLuckie to become leader, although the deputy leader, George Dunning, may be considered.

There will also be an inquest to discover just how the party managed to lose its leader in the traditional Labour area of Eston. It appears part of the reason for the defeat was of the party's own making.

Mr Walsh had served the Loftus ward in the last council but, with an increased threat from the East Cleveland Independents in that ward, the North-East Labour Party transferred him to the seemingly safe Eston.

That played into the hands of Independent candidates who had consistently argued the people of Eston have been taken for granted by Labour.

The second reason may have been the hard work over many years of successful candidate Ann Higgins. As leader of the Eston Residents Association, she is extremely well regarded in the area.

For Mr Walsh, a councillor for 18 years, it was a dark moment in a lifetime in politics which began when canvassing for Harold Wilson in 1964.