Australia's right-wing One Nation party scores historic parliamentary win

One Nation gains its first seat in the lower house, in a by-election seen as a key test for the populist party.

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With almost all the votes counted, One Nation candidate David Farley won over 57% of the tally in Farrer, a vast regional constituency in New South Wales, with independent candidate Michelle Milthorpe on almost 43%.

The contest was triggered by the resignation of Sussan Ley, who quit when she was ousted as leader of the opposition conservative Liberal Party.

While the result will not affect the Labor government's large majority, it is a clear sign that voters are moving away from traditional political parties in Australia.

Saturday's poll was the first federal test of One Nation's support after the party recorded the second-highest number of votes out of any political party in the South Australian state election in March.