Danish PM concedes after opposition secures win

Danish Prime Minister Helle Thorning-Schmidt conceded defeat in Thursday's general election after an anti-immigration party scored a record vote to become the second-largest party and lifted the opposition right-wing bloc to victory.

The DPP became the largest right-wing party for the first time with 21.1 percent of the vote, giving the grouping 90 seats in parliament.

That compared to 85 for the centre-left bloc of Prime Minister Helle Thorning-Schmidt, who resigned as Social Democratic Party leader as she conceded defeat in the closely fought race.

"Now it is up to Lars Lokke Rasmussen to try to form a government," she said, referring to the leader of the main right-wing party Venstre.

Former premier Rasmussen is set to become the prime minister as the DPP, which backed right-wing governments between 2001 and 2011, has yet to say whether it would seek to join a right-wing government.

It could opt to remain outside government and provide informal support to the right-wing bloc in parliament to pass legislation.

The DPP had campaigned on tighter immigration rules, higher pensions for low-income earners and more money for healthcare and the elderly.

After the first exit polls were released, Dahl, visibly moved, sang the Liverpool FC anthem "You'll Never Walk Alone" as he took to the stage at a party event in the Danish parliament, cheered on by supporters.

"This election campaign has shown that we are a party that the others just can't avoid. We are a party to be taken seriously here in this country," he said.

Immigration and the rising cost of housing asylum seekers was a major campaign theme for both right and left, along with the economy and the future of Denmark's cherished cradle-to-grave welfare state.