London has sensationally won the right to host the Olympic Games in 2012, beating off the challenge of favourites Paris along with Madrid, New York and Moscow.

London secured the majority of IOC (International Olympic Committee) votes in the fourth and final round of voting in Singapore, pipping the French capital Paris by 54 votes to 50 after a head to head battle in a dramatic final round of voting.

The outside candidate, Moscow, was the first to fall after the first round. New York was the next city to be dismissed, leaving London in a three-way tussle with Paris and Madrid.

Madrid – which, with the influence of Juan Antonio Samaranch, had been thought by commentators in Singapore to be making a last minute charge – was voted out in the third round, leaving Paris and London in a two-way contest. While voting took place immediately, the two cities were left with a nervous hour's wait to discover which city had won.

In a remarkable twist, London – the long-time second favourite – surged from behind and in one of the tightest and most dramatic elections in IOC history, secured the necessary majority of votes.

In London’s presentation, which included a message from the Queen, Coe stressed that London’s bid was based on providing a positive legacy for young people in Britain and across the world. He placed emphasis on a vote for London being a vote for the future of youth sport, with an inherent suggestion to IOC members that this would be a crucial decision for the future of the Olympic movement. Commentators claim that the strength of this final presentation may have made a crucial difference.

Paris had kicked off the final presentations at 2am BST with a lengthy video directed by Luc Besson. While innovative, the decision was somewhat different from the more conventional approach taken by other candidate cities, which had their bid leaders addressing the members in person.

While Paris reiterated its commitment and capacity for hosting the games, their stance was regarded in some quarters as defensive – one of the much-discussed problems of being the favourite. London was able to take a more positive angle in its final presentation, and, aided by the votes of New York and Madrid was able to secure the majority required.

Huge crowds gathered in London's Trafalgar Square greeted the announcement with jubilation.