Labour have suspended a parliamentary candidate who admitted betting against himself winning a seat at the General Election amid an investigation by the gambling watching dog. 

Kevin Craig said he is 'deeply sorry' and admitted making a 'stupid error of judgement' by placing a wager on the Tories defeating him in the Central Suffolk and North Ipswich constituency. 

The Conservatives won by a majority of 23,391 in 2019 and Craig claims he did it because he thought he wouldn't win and planned on giving any winnings to local charities. 

Labour found out that the Gambling Commision were investigating him this afternoon and moved immediately to withdraw their backing from him.

READ MORE: Tories withdraw support for candidates accused of election bets

It comes amid a wider scandal over gambling on the General Election, with four Conservative candidates and officials facing a probe by the watchdog.

In a statement on Tuesday, Mr Craig said: “While I did not place this bet with any prior knowledge of the outcome, this was a huge mistake, for which I apologise unreservedly.

“I have so much respect for how Keir Starmer has changed the Labour Party and I have been fighting so hard to win this seat and change the country alongside him.”

He added: “I deeply regret what I have done and will take the consequences of this stupid error of judgment on the chin. I am deeply sorry to the many dedicated and loyal local Labour Party volunteers who have been supporting my campaign. I will comply fully with the investigation.”

A Labour spokeswoman said: “With Keir Starmer as leader, the Labour party upholds the highest standards for our parliamentary candidates, as the public rightly expects from any party hoping to serve, which is why we have acted immediately in this case.”

It's understood the party has also since handed back £100,000 in donations made by Mr Craig to the party.

Mr Craig, who founded public affairs agency PLMR and is described on its website as an expert in “political communications” and “crisis management”, was campaigning in Suffolk earlier on Tuesday, according to his social media.

He posted on X, formerly Twitter, that he had attended the Ipswich Family Bank and said hoped to “work with them to bring change after (July 4)”.

Mr Craig was standing for Labour in the constituency after Dr Dan Poulter, who won the seat as a Tory, defected to the opposition party in protest at what he described as the Conservatives’ “rightward drift” and neglect of the NHS.

Because nominations have closed, Mr Craig – along with Craig Williams and Laura Saunders, the two Tory candidates who have been suspended over allegations of insider betting on the election – will still be on the ballot paper.

But he will no longer be supported by Labour during the vote.