The problem with this election is that while people didn't really like labour, they didn't really like anyone else either.
The votes were scattered across several different parties, but due to the way the system works, the Tories (as the opposition) would have had to get something like 60% of the vote to get 50% of the seats.
Us Brits are very fickle, and alot of protest votes (voting for someone else because you don't like a party) were cast, but not, like i said before, in one place, hence labour getting the majority again.
Labour was elected in on around 36% of the popular vote (i.e. only 36% of voters thought he'd be any good), which is a record low. 64% of people don't like Labour, but not many of those decided to vote for the same party, you see the problem?
As for the war...it was Blair calling the shots on that, and he suffered greatly seats wise. Some commentators have said it's what has given labour only a small majority in the commons, as opposed to a much larger one.
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