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The British public "saw through the lies of the Murdoch machine" that tried to "frighten" people into voting for the Tories, Labour's deputy leader has said.
Addressing his constituents at the count for his West Bromwich East seat, Mr Watson tore into Theresa May, branding her campaign one of the most "negative, defensive, and pessimistic" in British history.
He was speaking after the election's exit poll showed the Tories losing their majority, in a shock result.
"She said she was strong and stable, the public saw she was weak and wobbly. She said she was a bloody difficult woman, she boasted about it, the public saw that she was just a woman who was finding it all a bit too bloody difficult," he said.
He added: "Labour fought a people-powered campaign, putting passion and principle against the Tories’ corporate millions and we did better than many said we would.
"People responded well to Jeremy Corbyn’s energy, honesty, candour, and energy – just as they saw Theresa May run away from holding herself to account.
"They saw through the lies of the Murdoch machine who tried to frighten people into voting Tory."
Papers owned by News UK, Mr Murdoch's company, tended to endorse the Conservatives during the campaign.
The Sun newspaper featured a lurid election day front page featuring Jeremy Corbyn living in a rubbish bin, because his name rhymes with "bin".
UK Election Day 2017Show all 38 Door of Number 10 Downing Street is seen on the morning after Britain's election in London
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Labour leader Jeremy Corbyn leaves his home in north London after he called on the Prime Minister to resign, saying she should "go and make way for a government that is truly representative of this country"
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Shadow Chancellor John McDonnell arrives at Labour Headquarters on June 9, 2017 in London, England. After a snap election was called by Prime Minister Theresa May the United Kingdom went to the polls yesterday. The closely fought election has failed to return a clear overall majority winner and a hung parliament has been declared
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Caroline Lucas, co-leader of Britain's Green Party, speaks after retaining her seat in the general election, in Brighton
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Patrons watch the results for Britain's election in London
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Leader of the Liberal democrats Tim Farron celebrates beating Conservative party candidate James Airey (R) following the announcement of the results at the Westmoorland and Lonsdale constituency count at Kendal Leisure Centre on June 9, 2017 in Kendal, United Kingdom. After a snap election was called, the United Kingdom went to the polls yesterday following a closely fought election. The results from across the country are being counted and an overall result is expected in the early hours
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Paul Nuttal, leader of the United Kingdom Independence Party reacts after failing to win the seat of Boston and Skegness at the counting centre for Britain's general election in Boston
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First Minister Nicola Sturgeon arrives at the Emirates Arena in Glasgow, as counting is under way for the General Election.
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Anna McMorrin hugs Jo Stevens MP after winning Cardiff North for Labour at the Sport Wales National Centre on June 9, 2017 in Cardiff, United Kingdom. After a snap election was called, the United Kingdom went to the polls yesterday following a closely fought election. The results from across the country are being counted and an overall result is expected in the early hours
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Vince Cable wins the Twickenham election for the Liberal Democrats. Richmond and Twickenham election
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Britain's Labour party leader Jeremy Corbyn rubs his face after arriving for the declaration at his constituency in London
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Emily Thornberry speaks after holding her Islington South and Finsbury seat at the Sobell Leisure Centre in Islington, north London
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Britain's Prime Minister Theresa May listens as the declaration at her constituency is made for in the general election in Maidenhead, England, Friday, June 9, 2017. British Prime Minister Theresa May's gamble in calling an early election appeared Friday to have backfired spectacularly, after an exit poll suggested her Conservative Party could lose its majority in Parliament
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Labour Party candidate Emily Thornberry smiles at a counting centre for BritainâÃôs general election in London
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A picture shows the Elizabeth Tower, commonly referred to as Big Ben, and the Houses of Parliament in central London on June 8, 2017, on the night of Britain's general election. Prime Minister Theresa May is poised to win Britain's snap election but lose her parliamentary majority, a shock exit poll suggested on June 8, in what would be a major blow for her leadership as Brexit talks loom
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DUP candidate for Lagan Valley Jeffrey Donaldson celebrates following his election at the Eikon Exhibition Centre in Lisburn as counting is under way for the General Election
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Britain's Home Secretary Amber Rudd attends the count for her seat at a counting centre for Britain's general election in Hastings
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Ballots are counted at a counting centre for BritainâÃôs general election in London
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The London Eye is illuminated in blue, representing the Conservative Party, after the first exit polls announced in Britain's general election
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Election officials count votes in the Emirates Arena in Glasgow, Scotland
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The London Eye is illuminated in red, the color of the Labour Party, after first exit polls of Britain's national election announced in London
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BBC Television centre is illuminated with the exit poll results for Britain’s general election
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Labour’s Bridget Phillipson (centre) smiles after being announced as the winner of the election for the constituency of Houghton and Sunderland South at a counting centre
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Members of the election staff prepare to count ballots, in Theresa May’s constituency in Maidenhead
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Ballot papers are checked ahead of the count at the Westmoorland and Lonsdale constituency count at Kendal Leisure Centre
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Ballots are counted at a counting centre for Britain’s general election in Kendal
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Theresa May arrives to vote at a polling station in Maidenhead
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Jeremy Corbyn arrives to cast his ballot at a polling station in north London
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Lib Dems leader Tim Farron outside a polling station at Stonecross Manor Hotel in Kendal, Cumbria
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The leader of the United Kingdom Independence Party (Ukip) Paul Nuttall arrives to vote at a polling station in Congleton
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Scottish National Party leader Nicola Sturgeon with her husband Peter Murrell (left) the CEO of the SNP after casting their votes at a polling station at Broomhouse Community Hall, Glasgow, Scotland
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Caroline Lucas, co-leader of Britain’s Green Party, arrives with her husband Richard Savage, to vote in Brighton
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An advertising van showing caricatures of Tim Farron, Theresa May, Jeremy Corbyn and Paul Nuttall with the message who will be looking for a new job as Britain goes to the polls to elect a new government
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Performers pose with puppet caricatures of Britain's Prime Minister Theresa May, leader of the Liberal Democrat Party Tim Farron and leader of the Labour Party Jeremy Corbyn, in front of the Palace of Westminster
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Dogs wait for their owner outside a polling station in Penally, Wales
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Police officers speak with a Labour Party activist outside a polling station in London
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Benedictine nuns from Tyburn Convent leave after voting in Britain's general election at a polling station in St John's Parish Hall, London
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A polling station sign is seen on a telephone box outside the polling station at Rotherwick Hall, west of London
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Mr Watson has had a mixed relationship with party leader Mr Corbyn, with reports of a split between the two behind the scenes.
The deputy leader was all but invisible during the general election campaign.
In the 2010-2015 Parliament West Bromwich East MP was at the forefront of the campaign against phone hacking and came to blows with Mr Murdoch's newspapers.
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