Reform is on course to claim victory in 13 seats, according to the exit poll.
This would place them behind Labour, the Tories, and the Lib Dems but ahead of the SNP, who are forecast to get just ten.
This means Farage is on the cusp of becoming the MP for Clacton after trying and failing to get elected seven times.
Early forecasts also suggested Reform is on course to overtake the Lib Dems as the third force in British politics when it comes to votes cast.
According to the exit poll they will place second in 155 constituencies.
We have already seen them as the runner up in the first three seats to be announced.
Labour held Sunderland South, represented by Shadow Education Secretary with a majority of 7,100.
But the performance of Reform, which won 11,668, showed the party was on course for bigger showing across the country.
Reform saw similar success in Blyth and Ashington, coming in second place with 10,857 votes, as Labour secured 20,030 votes and the Tories came third with 6,121 votes.
Analysis
By Kate Ferguson, Political Editor Sun on Sunday
BRITAIN will wake up tomorrow to a political earthquake.
If the exit poll is right, Labour have stormed to victory with their biggest majority in their 100 year history.
It is a jaw-dropping turnaround from the dark days of the Jeremy Corbyn era of 2019, when the party suffered their worst result in history.
The Tories look set to be decimated. The most successful political party in Europe has been reduced to just a rump of 131 MPs.
Be in no doubt – this is a nightmare for the Conservative Party. They now face the painful task of having to rebuild and choose a new leader.
But the big story of the night is Nigel Farage’s Reform party, who are expected to win a staggering 13 seats.
This political maverick has lobbed a grenade into Westminster – and he is only just getting started.
Reform is expected to win the key seat of Hartlepool – the Red Wall seat in Labour’s old heartlands which turned Tory under Boris Johnson.
Nigel, 60, the godfather of Brexit, is a charismatic leader well trained in waging war on ‘political elites’ from his days in the European Parliament.
He had run and failed to become an MP seven times before.
He has finally won on the eighth attempt – and looks set to have a dozen Reform MPs with him.
He has the potential to change the face of politics forever,
Sir Keir Starmer and the next leader of the Tories – whoever that may be – should brace themselves.
After the exit poll showed Reform smashing through into Westminster, Farage said: “It’s been amazing.
“We’ll see what happens but if that’s the result that would be a massive first step for this — I’m going to call it a movement — a political party is only part of what we’re all about.
“This is a movement to represent ordinary folk, the silent majority.”
The Reform boss had already predicted his party would secure millions of votes but only a handful of parliamentary seats, due to the first-past-the-post voting system which favours the two main parties.
And he has made it clear electoral reform will become central to his party’s post-election campaigning.
Under his leadership, UKIP won 12.6 per cent of the vote in 2015 — but only one seat, in Clacton.
Speaking at his last rally on the eve of the General Election, he warned: “The demand for electoral reform, by this time next week, will be in full cry. It’s coming.”
It is also no secret his sights are set on the next election in five years’ time, as he revealed he plans to challenge to be PM in 2029.
Nigel said success, for him, would be Reform being the catalyst for “a dramatic realignment of the centre-right of British politics”.