OXFORD's Lib Dem MP has said she is proud of the 'positive, inclusive campaign' she ran in a bid for the party leadership.

Layla Moran, MP for Oxford West and Abingdon, lost out in her bid for party leader against opponent Sir Ed Davey this morning.

In an address to Lib Dem party members shared on social media, Ms Moran thanked her supporters.

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She said: "Obviously this wasn't the result I had hoped for but I want to start by congratulating Ed on winning, and for a well-spirited campaign.

"I hope that all of you will now join me in supporting Ed as our new leader as we change our party so we can change the country."

She added: "We were both committed to implementing that general election review, to improving diversity in the party.

"I am so excited now to just get cracking."

Sir Ed was announced as the new leader via a live-streamed video just before midday.

As he accepted leadership of the centre ground party, the MP for Kingston and Surbiton said the Lib Dems has 'lost touch and' he wanted the party to win a larger national presence.

In his victory speech, Sir Ed said he wanted to focus on liberal ideals for the economy and the environment.

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He added: "I am determined our party backs a Britain that works with other countries across the world for peace and prosperity."

Despite this focus on global co-operation, during their campaigning neither he nor Ms Moran said they would support immediately returning to the EU.

He also said: "It is my love for our party that makes me recognise we must change. We have to wake up and smell the coffee. Nationally our party has lost touch with too many voters.

"Yes, we are powerful advocates locally... but at the national level we have to face the facts of three disappointing general election results."

Many of Oxfordshire's Lib Dems publicly backed Layla Moran as the next party leader, and there was a conciliatory tone among them as they congratulated Sir Ed on his victory.

On Twitter, Lib Dem opposition leader of Oxford City Council Andrew Gant wrote: "Many congratulations to Ed on a substantial victory. The whole party is behind you. The wonderful Layla Moran will play a huge role. The future starts here."

The Lib Dem leader of Vale of White Horse District Council, Emily Smith, said there was 'lots of hard work ahead.'

READ AGAIN about Layla Moran's campaign for the leadership here

Sir Ed won a large share of the votes from Lib Dem members, which were made in a postal ballot.

While the new party leader received 42,756 votes, Ms Moran received 24,564.

A total of 117,924 ballots were sent to members, with a 57.6 per cent turnout overall.

The Lib Dem leadership was going to be delayed until 2021 due to the lockdown, but was rescheduled with a changed timetable.

Before it took place, Sir Ed was acting as interim leader.