Shed tears seeing moderate Tory embracing party's leader (4)
I believe the answer is:
wept
'shed tears' is the definition.
(I've seen this before)
'moderate tory embracing party's leader' is the wordplay.
'moderate tory' becomes 'wet' (political term used by Margaret Thatcher).
'embracing' means one lot of letters goes inside another.
'leader' says to take the initial letters.
The initial letter of 'partys' is 'p'.
'wet' going around 'p' is 'WEPT'.
'seeing' is the link.
(Other definitions for wept that I've seen before include "Cried, sobbed" , ""Jesus __" (shortest verse in the King James Bible)" , "Exclude, prohibit" , "lamented" , "Was unhappy" .)