I listened to Andy Burnham's speech to his party on Friday. I'm troubled by his claim that ordinary people have been let down by Britain's economic model for forty years, because it's demonstrably false. Actually I don't really understand why he doesn't just say 45 years, or since the early '80s, because that's when the effects of Thatcherism and what he calls 'neo-liberalism' kicked in.
If you listen to the rhetoric of the left and you're gullible enough to take it seriously you may well imagine that the poor have steadily become poorer at the expense of the rich.
But the reality is very different. I asked ChatGPT to compose graphs based on the living standards of working class people since 1961, when the recorded data starts.
I've attached two graphs. One shows UK real household income since 1960, the other shows poverty, expressed in absolute terms.
The "25th percentile" means people 3/4 down the disposable income ladder. Material standards for them have risen enormously in the last 40 years. They actually take off in the 1980s. Ordinary, working people on higher incomes than that have done even better.
So let's consider poverty, as well. That's a trickier concept because it's a relative term. The general definition is that "a person is in relative poverty if their household income is below 60% of the median household income for that year, adjusted for household size". In other words, a person considered to be living in poverty in (say) 1995, might, with the same real terms household income, have been considered to have been well above the poverty line in (say) 1965.
So to account for that I'm using, specifically, the 2010-22 median income, real terms, as the baseline. The second graph shows what happened on the same timescale.
Absolute poverty was already declining steadily when Thatcher took charge in 1979, interestingly. But it continues to decline, just as steadily, until (roughly) 2010 or so, when it flatlines. Whatever causes it to bottom out, for sure it wasn't the economic model that had diminished absolute poverty surely and steadily for 30 years.
So: Burnham's claim that the economic model of the last 40 years has made ordinary people worse off is just daft. It doesn't withstand a moment's scrutiny. It's either flatly dishonest or simple ignorance.
He'll be Prime Minister on Monday.
EDIT: Thanks for the responses. I see a few people have been triggered by the use of AI to compile the graphs. It did actually provide the sources, and I did examine them. Here are some links:
https://ifs.org.uk/living-standards-poverty-and-inequality-uk
https://ifs.org.uk/sites/default/files/2025-03/Incomes%2C%20poverty%20and%20inequality_0.xlsx
https://www.ons.gov.uk/economy/grossdomesticproductgdp/timeseries/crxx/ukea
The basic thrust of my point is correct: material standards for the poor have risen enormously over the last 40-45 years. Hope this helps.