Top line: Voting explains redistribution

Main findings:

1) Governments give money & tax cuts to their voters -> Higher inequality & poverty under Tories

2) Electoral Coalitions not just high vs. low income -> Higher child (but not pensioner) poverty since 2010

(1/10)
Voting patterns by income look exactly as you'd expect

The rich were more likely to vote for the Conservative-led Government in 2010 than they were for New Labour in 1997

This, however, is not the whole story

(P.S. Death of class-based voting = overrated)

(2/10)
Changes to taxation & social security between 2011 & 2019* show the same pro-rich pattern

The rich got tax cuts, low-income voters got social security cuts

Ready for the interesting stuff?

*(using @EUROMOD_ to control for demographic & economic changes)

(3/10)
Let’s now consider age *and* income

For pensioners, almost all of them were more likely to vote for the Conservative-led government in 2010 than Labour in 1997

And almost all of them saw higher incomes through redistribution

BUT, non-pensioners were very different

(4/10)
Only the richer non-pensioners were more likely to vote for the Conservatives in 2010…

... and only they got more redistribution through tax cuts, the rest got social security cuts

Electoral coalitions have been a’ changing. They're now divided by income *and* age.

(5/10)
I formally test the impact of voting on redistribution using a diff-in-diff. It's big

- 1 p point increase in group voting for Gov ➡️ £1.17 more per person per month

- Standard (deviation) increase in % of group voting for Gov➡️ £237 and £458 more per person per year

(6/10)
The impact on poverty and inequality is also large.

Overall, between 784,000 and 1.223 million fewer people would be in poverty if New Labour stayed in power after 2010

Inequality, measured by the Gini, would be between 0.7 and 1.2 points lower

Elections matter.

(7/10)
I test whether age (and parental status) really do divide electoral coalitions & redistribution. 

They do.

Being a low-income pensioner means you voted for the Government *and* got a lot more in redistribution than other low-income ppl

(Same for other groups too)

(8/10)
What does this mean for child poverty?

Low-income parents much less likely to vote for the Conservative-led government -> massive social security cuts -> 250k more children in poverty

Low-income pensioners did vote for Govt -> few cuts -> no rise in poverty

(9/10)
There are some people on twitter I'd like to thank.

All of my @KingsQPE colleagues; @DamienBol, @ma_giani, @FlorianFoos, @KaiGehring1, @NinaSophieWeber + others for in depth comments; Participants @mssp_uk ; @LaHoo for her brilliant @theConversation editing

Thank you all!
You can follow @JeevunSandher.
Tip: mention @twtextapp on a Twitter thread with the keyword “unroll” to get a link to it.

Latest Threads Unrolled:

By continuing to use the site, you are consenting to the use of cookies as explained in our Cookie Policy to improve your experience.