A young Jewish Democrat has lost to a Republican in a closely contested congressional election in Georgia.

Jon Ossoff took just 47 per cent of the vote last night, while his rival, Karen Handel, kept the Atlanta seat on behalf of her party with 53 per cent.

The vote was seen by many as a referendum on Donald Trump, after the previous congressman, Tom Price, was named as Health Secretary by the president.

Once the results were called, Mr Ossoff told his supporters they had provided "a beacon of hope for people here in Georgia, for people across the country, and for people around the world".

The seat has been Republican since 1979, but Mr Ossoff had emerged as a strong and much-liked candidate.

Mr Ossoff, a documentary film-maker, added: “We showed the world that in places where no-one thought it was even possible we could fight."

The 30-year-old former congressional aide nearly won the seat outright in the primary, receiving 48.1 per cent of the vote. At that time, Mrs Handel took just 19.8 per cent.

The congressional election was the most expensive ever, costing a reported $50 million. The district is home to about 58,000 Jews, equating to about eight per cent of its overall population, according to the Forward.