So British DUers Am I reading it right

that the Lib Dems will join Labour if Gordon Brown is no longer Party Leader.
287 Cons
240 Labour
51 Lib Dems
27 Others

45 seats to go

ignoring the Conservatives. Apparently they will never forgive or forget Thatcher. One seat in Scotland is a serious problem for the Cons.
Wales will only go with the Cons if they receive a bag of pounds

What looks fairly likely is that Labour+Lib Dem would be a few seats larger than Cons, but still not an absolute majority. And the Tories + Northern Irish Unionists wouldn't be an absolute majority either. So that means the really small parties may all be important too. They appear to be, at the moment:
6 Scottish Nationalist
3 Plaid Cymru (Welsh Nationalist)
1 Green
3 SDLP (Northern Irish, close to Labour)
1 Alliance (Northern Irish, fairly independent, but a bit Lib Dem-like)
1 Independent Unionist (NI again; used to be allied with Tories, but fell out with them)
8 Democratic Unionist (right wing, could be persuaded to side with Tories, for some government spending)
4 Sinn Fein (won't vote in parliament because it requires an oath of loyalty to the queen)
1 undecided NI seat (could be Sinn Fein, could be another Unionist - a 'unity' candidate run by the Tory-allied Ulster Unionists and the Democratic Unionists jointly)

Possibly George Galloway will win Poplar, but apparently his party thinks he hasn't. But that will be Labour in that case, so it's a non-Tory seat anyway.

As someone has said, this is the first day the Greens have ever had an MP, and they may already hold the balance of power, with just one!

I was just watching the Galloway discussion - not looking good for him right now.
Love Caroline Lucas' win.

Is that like the Democrats and Lieberman?

and they refuse to swear loyalty to the queen in the mean time.

To take their seat in the Commons, and to be allowed to vote in divisions, an MP must swear (or affirm, for those non-religious) loyalty to "the Queen and her successors". Some (such as the SDLP) interpret that as meaning they are loyal to the United Kingdom as it is now, but can still advocate for a change, like Northern Ireland becoming part of the Republic. Sinn Fein, on the other hand, say they cannot say they're loyal to the British crown, even temporarily. So that means that, although they use offices in the Westminster buildings, they don't speak in the Commons, or vote in the divisions.

And so that means the effective number needed for an overall majority is 323 (arguably 322; the total of 650 includes the Speaker, who only votes to break a tie, and is expected to vote 'for the status quo' in that case), not counting Sinn Fein as voting on either side.

One final thing: one of the candidates for the Thirsk and Malton seat died during the election, and that has meant the election for that seat has been postponed to May 27th. It's expected to go to the Tories.