The Economist - UK (2021-11-20)

(Antfer) #1

30 Britain TheEconomistNovember20th 2021


Theeconomy

All change


W


onksspentmonthsworriedabout
the thousands of British workers
senthomeduringthepandemic,whothen
lingered on the government’s furlough
scheme.Were they simplybeingstrung
alongbyemployers,tobediscardedonceit
endedonSeptember30th?OnNovember
16th the first batchof post­furlough la­
bour­marketdataofferedreassurance.The
numberofpayrolledemployees(thatis,
excluding the self­employed) grew by
0.6%inOctobercomparedwiththeprevi­
ousmonth.Theeconomywillneedthat
dynamismasitadjuststoBrexit,covid­19,
climatechange—andmorebesides.
Abigemploymentreshuffleisclearly
underwayinBritain,whichisgoodnews
forgrowthifpeoplemoveintorolesthey
arebettersuitedfor.Theshareofworkers
switchingjobsrosetoa recordhighof3.2%
inthethirdquarteroftheyear(seechart).
Encouragingly,thiswasmostlydrivenby
people resigning rather than being dis­
missed.FabriceMontagnéandAbbasKhan
ofBarclays,a bank,notethatthismobility
wasbroad­based,havingnowspreadbe­
yondpeoplewithhighlyskilledjobs.
Othermeasuresofdynamismarelook­
ingup,too.JointresearchfromtheCentre
forEconomicPerformanceandtheResolu­
tion Foundation, two think­tanks, ana­
lysestheDecisionMakerPanel,a surveyof
Britishcompanies.Itsuggeststhatfinan­
cial officers expect the reallocation of
workersfromshrinkingtogrowingcom­
panies(ameasureofdynamism)tospeed
upinthecomingyear.A differentbusiness
surveyfoundthatby Julythisyearover
60%ofcompanieshadengagedinproduct
innovationandnearly70%hadadopted

Thewheelsaregreased.Butwhatabout
theengine?

Revolving door
Britain, job-to-job moves*, % of workforce

Source: Labour Force Survey *Aged 16-69

3.5

3.0

2.5

2.0

1.5

1.0

052001 10 15 21

Asianswingvoters

Blue light


“I


have been here many times,” de­
clared Boris Johnson as he and Priti Pa­
tel,  the  home  secretary,  toured  a  Hindu
temple in north London (pictured) on No­
vember 7th to mark Diwali. And indeed so:
he had last dropped in days before the elec­
tion  of  2019.  His  predecessors,  Theresa
May and David Cameron, visited too.
Such trips reflect not only the goodwill
that  leaders  extend  to  many  faith  groups,
but  also  the  growing  potential  for  the  To­
ries to scoop up support from British­Indi­
an  voters.  The  Labour  Party  still  enjoys  a
ten­percentage­point  lead  over  them
among British Indians, who also prefer Sir
Keir  Starmer,  Labour’s  leader,  to  Mr  John­
son. But Labour’s historical advantage has
eroded, while support for the Tories has re­
mained  stable.  The  result,  according  to  a
study  published  on  November  18th  by  the
Carnegie  Endowment  for  International
Peace  and  Johns  Hopkins  School  of  Ad­
vanced International Studies, is a growing
pool of British Indians who are undecided
or aligned to third parties. 
These swing voters are in theory ripe for
wooing.  But  they  are  not  a  homogeneous
bloc. Moreover, much of the received wis­
dom  in  Westminster  about  what  makes
them tick is based in stereotypes.
The Indian diaspora fragments accord­
ing to age and class. Younger British Indi­
ans lean most heavily to Labour, as do the
poorer and those without degrees. The old­
er, wealthier and better­educated are more
inclined to vote Tory. There is also a cohort
effect, with an earlier generation of immi­
grants  and  their  children  more  likely  to
vote  Labour,  and  more  recent  arrivals  to
vote Tory. That might reflect differences in
political attitudes between those who grew
up  under  the  social­democratic  govern­
ment  of  Jawaharlal  Nehru,  India’s  first
prime minister, and those conditioned by
Narendra  Modi’s  right­wing  administra­
tion, speculates Devesh Kapur, a co­author
of  the  study.  But  religion  is  the  most  im­
portant fissure. Support for the Tories is far
higher among Hindus and Christians than
among Muslims or Sikhs. 
One common misconception is that the
Tories’  appeal  relies  on  recruiting  more
mps  of  Indian  descent,  such  as  Ms  Patel
and  Rishi  Sunak,  the  chancellor.  Such  di­
versity is good in itself. Yet the study found
“large levels of indifference” among British
Indians  to  the  ethnic  composition  of  the
Cabinet,  with  only  around  a  quarter  of

themsayingitmade  them  look  more  fa­
vourably on the Tories. 
Another  misconception  is  that  foreign
policy  is  decisive.  Many  Tory  mps  em­
braced the argument that Brexit would al­
low Britain to prioritise its former imperial
assets over the European continent. Ms Pa­
tel once promised a post­Brexit migration
regime to “save our curry houses”. Yet Brex­
it  has  limited  appeal  for  British  Indians,
with two­thirds of those who voted now re­
porting that they opposed the divorce.
Mr  Johnson  is  seeking  a  trade  agree­
ment with India. But if there are votes for
the Tories among the Indian diaspora, they
will not be found by cosying up to Mr Mo­
di’s  government,  which  is  approved  of  by
only one in five respondents. Those British
Indians  who  did  support  Brexit  were  far
more  likely  to  cite  restoring  Britain’s  law­
making  powers  than  striking  a  trade  deal
with New Delhi. On the whole, British Indi­
ans seem not to dwell much on which poli­
ticians would best serve Anglo­Indian rela­
tions:  31%  say  there  is  no  difference  be­
tween the parties and another 31% say they
don’t know. 
The  final  myth  is  that  British­Indian
values are an unusually good fit for the To­
ries,  representing  hard  work,  enterprise
and family. Many British Indians do value
these  things,  as  do  their  neighbours.  Yet
asked to place themselves on a seven­point
ideological scale, ranging from “extremely
liberal”  to  “extremely  conservative”,  Brit­
ish Indians skew to the liberal end. 
What does move their votes? The econ­
omy, health care and climate change were
respondents’  top  priorities—the  very
things  that  other  polls  suggest  preoccupy
the  rest  of  Britain.  It  is  no  surprise  that
bread­and­butter issues come first among
immigrant  communities,  says  Mr  Kapur,
since  people  move  to  improve  their  daily
lives. Cultural identity supposedly matters
increasingly in politics.Butsometimes it’s
best to stick to the basics.n

Conservatives are seeking to win over
Britons of Indian origin

Temple and state
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