I'm not wholly sure that the Tories would win a second election any more than this one; certainly the Liberals would go into meltdown as the party funding systems mean that the Tories still have vast warchests to fight with and the LDs are out of cash. I also disagree that Labour will never again win an election, unless of course they introduce PR in which case nobody will ever again "win" an election in the old sense. They have been punished for being the incumbents, and their vote share is pathetic (although Cameron has NO right to complain about that unless he supports PR), and the electorate has given Cameron more support than any other party enjoys. On the other hand, a lot of the Northern seats are still very solidly Labour despite the big swings to the Conservatives, and as for Scotland the Conservatives actually had swings against them to Labour there.
It may of course be a long time before Labour returns to power, but they remain one of the main parties in UK politics just as much as the Tories were in 1997. It took the latter party 13 years to come back and they still don't have a majority, but come back they have. For Labour it may take just as long, but come back - one day - they will. I'm not a Labour, supporter, mind; it's just an inherent fact of first past the post.
That's all under 1st past the post, though. Really, no party has gained the confidence of the electorate and a Lib/Con or Lib/Lab coalition or arrangement is the only way to go. I have to disagree with the calls that a Lib/Lab coalition is somehow undemocratic because the Conservatives had more seats and more votes. If Cameron is unwilling to co-operate properly with Clegg for a government, he doesn't deserve to be able to form one. Lab + Lib is still over 50% of the total vote, and thus the parties in it would still have the backing of over half the electorate (which is a perfectly valid mandate to govern on) compared to just 36% backing Cameron. A Lib/Con pact looks more likely at the moment though, which would of course be even more appreciated by a higher percentage of the electorate (for all that I'd be gritting my teeth). I just hope and pray that Clegg can hold out for a PR referendum though, so we never again see figures like these...
Labour 33,350 votes per seat, Conservative 34,989 votes per seat, Lib Dems 119,788 votes per seat, Greens 285,616 votes per seat, UKIP 917,832 votes no seats.
...Democracy?