Ukip has rejected the resignation of its leader Nigel Farage.

In a startling development following the election at which Mr Farage lost his bid to become the MP for South Thanet, the executive NEC stated today that it had not accepted his resignation.

Ukip chairman Steve Crowther said: "As promised Nigel Farage tendered his official resignation as leader of Ukip to the NEC.

"This offer was unanimously rejected by the NEC members who produced overwhelming evidence that the Ukip membership did not want Nigel to go.

"He has therefore been persuaded by the NEC to withdraw his resignation and remains leader of Ukip.

"We have fought a positive campaign with a very good manifesto and despite relentless negative attacks and an astonishing last minute swing to the Conservatives over fear of the SNP that in these circumstances, four million votes was an extraordinary achievement.

"On that basis Mr Farage withdrew his resignation and will remain leader of UKIP.

"In addition the NEC recognised that the referendum campaign has already begun this week and we need our best team to fight that campaign led by Nigel.

"He has been persuaded by the NEC to withdraw his resignation and remains leader of Ukip..." - Ukip chairman Steve Crowther

"He has therefore been persuaded by the NEC to withdraw his resignation and remains leader of UKIP."

Just three days ago, Mr Farage re-iterated his intention to quit as leader, saying that he would keep his promise to stand aside if he failed to become MP.

In an interview with the KM Group just hours after learning he had lost, he said he was leaving the door open to returning as leader at some point.

"I am not closing the door completely because to do that in life is moronic," he said. "The burden is lifted off my shoulders, we are sitting in an English pub garden and I am extremely happy."

Reacting to the announcement, Ukip county councillor Mike Baldock said: "I am a little surprised. What he proposed was to take three months off and then decide whether to stand again for leader and that seemed sensible to me.

"He is shattered. If he has been persuaded to stay against his better judgement, I am disappointed. But if he is in agreement, then I'd support it."

The news has been welcomed by party supporters, thousands of whom have commented on Mr Farage's Facebook post announcing the news.

Zena Bridgewater said: "So pleased and know how hard you have worked. The reason for resigning was the wrong reason."

Adam Ellis added: "I thought you should have never handed it in anyway! You've done a brilliant job!! Made up you're staying on!"

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