Swings, Scots, and swindlers
It was a completely different story for Labout seats, and for the Liberal Democrat seats that aren't anti-Labour. These seats nearly all had a slight swing away from Labour, but they differ greatly in whether they went pro Liberal Democrat or anti.
Most of the rest of the country showed a swing away from Labour in Conservative seats, and a mixed bag in Labour seats. Yorkshire & the Humber showed a slight swing towards the Liberal Democrats, and London and the North East showed a slight swing towards the conservatives.
How accurate was betfair.com?
betfair.com is
indicated by the black dotted lines, and the green arrow shows the
actual national average swing.
betfair.com did a very
good job of predicting the overall national swing. While national
polls were predicting a big surge for the LibDems,
betfair.com punters did not believe it.
However, even given this, the swing towards the Liberal Democrats in
Labour–LibDem marginals was smaller
than betfair.com punters predicted. Furthermore, the
swing towards the Conservatives in Labour–Conservative marginals
was smaller than predicted. Since Labour held on well to all its
marginals, inferred betfair.com prediction of a slight
Conservative majority did not come to pass.
The betfair.com market does funny things as the event
draws near—on the final days there wasn't enough liquidity for me
to make sensible estimates based on the still-open offered odds. Next
time, I shall need to think through how to combine still-open offered
odds with matched odds.
Predictions from betfair.com
betfair.com
predictions as of
2010.04.30 [pdf].
The chart is very information-dense: data is encoded by position with
respect to the axes, by colour, by size, and by background shading.
- Each mini pie-chart corresponds to a constituency. There are faint text labels next to each constituency; if you load the PDF version of the chart then you can search for your constituency by name.
- The position of each constituency indicates the 2005 result. The chart area is divided into three by the axes: constituencies in the bottom right went to Labour, those in the bottom left went to the Conservatives, and those in the top went to the Liberal Democrats. The position also shows how the vote was split: for example, constituencies near the top-right axis line were split between Labour and Liberal Democrat, with little Conservative vote.
-
The pie chart for a constituency shows the
betfair.compredictions for 2005. The fraction of the pie chart that is blue, for example, is equal to the probability that the Conservatives will win. (Some seats are mainly contested by regional parties or other parties, and this is shown by grey. Some seats are so safe that there is hardly any betting, and these also show up as grey.) - The size of the pie chart shows how much betting has been going on: to be precise, the area of the pie chart is proportional to the amount of money matched on betfair.com.
- The whole plot area is tiled into hexagonal cells, each shaded white, blue, red or yellow. If there were a uniform national swing, say for example a swing to the Liberal Democrats of 12% in every constituency, then every point on the chart would shift up by an appropriate amount. Alternatively, we could represent this swing by moving the axis lines down by the corresponding amount. Any such swing will result in a balance of power in parliament, and the colour coding of each hexagonal cell shows which party would have a majority of seats, if there was a swing big enough to move the axis origin to that cell.
Who will win?
It is a very close call between a Conservative majority and a hung parliament. To see this, imagine shifting the axes so that the seats are split according to the majority colour: seats that are predominantly red should be in the lower-right area, seats that are predominantly blue should be in the lower-left area, etc. The shifted axes are shown by a dotted line, and the origin is just inside a white-coloured hexagonal cell, i.e. a hung parliament.The seats to watch are those that are on a knife-edge, such as
- Northampton North and Warrington South (were Labour, tending Conservative)
- Derby North and Norwich South (were Labour, tending Liberal Democrat)
- Stirling and Southampton Test (were Labour, tending to stay Labour).
Is there a big swing to Liberal Democrats?
No. (At least, not according to the punters atbetfair.com. If you believe otherwise, you should make
money by gambling in favour of the Liberal Democrats.) The new axis
origin looks to be almost directly south-east of the old, i.e. a swing
against Labour, with the ratio of Conservative to Liberal Democrat
held constant. That is, there is no shift at all to
the Liberal Democrats.
Did Brown's gaffe just lose Labour the election?
Look at the chart from the morning of 27 April [pdf]. Compare it to the chart for the evening of 28 April [pdf], a few hours after The Gaffe. There is virtually no change. Perhaps the punters atbetfair.com have simply not reacted
yet—or perhaps they had already factored in the likelihood of
such an event.
Can the Liberal Democrats change the shape of British politics?
Not in themselves. There are simply not enough seats that are contested between Labour and Liberal Democrat. The richest pickings for Liberal Democrats are in the strongly anti-Labour seats, at the top left of the chart. The size of the swing needed for the Liberal Democrats to become a major party is huge: they would need to win seats like Hemel Hempstead, and according to the gamblers atbetfair.com
the chance of this is 6.3%.
There is a large number of seats that are evenly contested between Labour and the Conservatives, with the Liberal Democrats a distant third. These are 'middle England', the seats that will swing the election. Zoom into the PDF to see which seats these are—they are places like Milton Keynes South, Hendon, Telford.
What the Liberal Democrats can certainly do is make hung parliaments much more likely (see the large area of white in the middle of the chart).
Available charts
afternoon of 25 April [pdf]morning of 27 April [pdf]
evening of 28 April [pdf]
morning of 29 April [pdf]
afternoon of 30 April [pdf]
morning of 3 May [pdf]
morning of 5 May [pdf]
early hours of 6 May (election eve) [pdf]
lunchtime on 6 May (election day) [pdf]
The data for the 2010 election results is from the BBC Election 2010 website [csv]. I have also used the colour-coding from the BBC [csv].
The data for the 2005 election is from the Press Association [csv]. Because there were substantial boundary changes from 2005 to 2010, they give notional results that show what would have happened had the 2005 votes been cast with the 2010 boundaries. These calculations are by Colin Rallings and Michael Thrasher. In the CSV file, I have normalized the constituency and party names to match those used by the BBC.
The BBC provides a full list of expense repayments from the Legg report [csv]. I have normalized the candidate names and party names to match the list of 2010 candidates, and I have added a column to indicate whether the MP is standing in the 2010 election, using the same constituency names as the BBC.
The 2010 predictions were obtained from betfair.com. Look under Sports |
Politics | UK | Next General Election | Constituency Betting.
I normalized the constituency names to match the BBC.
To turn betfair.com odds into success probabilities, I
picked an arbitrary set of probabilities that are consistent with no
arbitrage given the odds offered for backing and laying each
candidate. When the back and lay odds agree fairly closely, the
probability estimate is tightly bounded. In most seats, the candidates
most likely to win have back and lay odds that agree fairly closely.
To compute the size of a majority, I assumed that six MPs do not vote
(the speaker, and five MPs from Sinn Fein).