--- title: U.K. Election: Reasons Behind Theresa's May Stunning Defeat description: U.K. Prime Minister Theresa May’s election gamble failed badly as her Conservatives lost 12 seats, leaving them with 318, shy of a majority. canonical: https://time.com/4813268/united-kingdom-election-results-reasons/ author: The Conversation article:opinion: true article:content_tier: free article:published_time: 2017-06-10T12:30:14.000Z article:modified_time: 2026-02-23T05:21:57.179Z article:section: Ideas og:title: The Reasons Behind the Stunning U.K. Election Results og:description: Populism could be to blame og:url: https://time.com/4813268/united-kingdom-election-results-reasons/ og:site_name: TIME og:image: https://static.time.com/v3/assets/bltea6093859af6183b/bltaacf391aed3c18d1/6988d1167cdbac65bbd58b5a/theresa-may-election-results-reasons.jpg?branch=production&width=1200&quality=75&auto=webp&crop=16:9 og:image:width: 5568 og:image:height: 3132 og:image:alt: BRITAIN-VOTE og:type: article twitter:card: summary_large_image twitter:title: The Reasons Behind the Stunning U.K. Election Results twitter:description: Populism could be to blame twitter:image: https://static.time.com/v3/assets/bltea6093859af6183b/bltaacf391aed3c18d1/6988d1167cdbac65bbd58b5a/theresa-may-election-results-reasons.jpg?branch=production&width=1200&quality=75&auto=webp&crop=16:9 ---  # The Reasons Behind the Stunning U.K. Election Results > Sponsored content. 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There is no cost and no subscription requirement. ### Sources * TIME Newsletters: [time.com/newsletters](/c/time-nl-network-2026q3/newsletters?i=1c636e12-b594-43c0-8763-f31d570f4ac8&cr=time-nl-network-2026q3-v1) by [Terrence Guay, Pennsylvania State University and Charles Hankla, Georgia State University / The Conversation](https://time.com/author/the-conversation/) ## Terrence Guay, Pennsylvania State University and Charles Hankla, Georgia State University / The Conversation Jun 10, 2017 12:30 PM UTC  Britain's Prime Minister and leader of the Conservative Party Theresa May leaves 10 Downing Street in London, on June 9, 2017. Britain's Prime Minister and leader of the Conservative Party Theresa May leaves 10 Downing Street in London, on June 9, 2017. Justin Tallis—AFP/Getty Images by [Terrence Guay, Pennsylvania State University and Charles Hankla, Georgia State University / The Conversation](https://time.com/author/the-conversation/) ## Terrence Guay, Pennsylvania State University and Charles Hankla, Georgia State University / The Conversation Jun 10, 2017 12:30 PM UTC _Editor’s note: U.K. Prime Minister Theresa May’s election gamble failed badly as_ [_her Conservatives lost 12 seats_](http://www.bbc.com/news/live/election-2017-40171454)_, leaving them with 318, shy of a majority. It was a_ [_stunning loss_](https://theconversation.com/uk-election-results-stun-conservatives-outcome-hangs-in-balance-experts-react-79169) _for a party earlier projected to gain dozens of seats. Without a majority, the Conservatives_ [_will have to rely on another party_](https://theconversation.com/the-uk-election-fails-to-produce-a-winner-heres-what-happens-now-79193) _to govern – known as a hung Parliament. If they’re unable to forge a coalition, rival Labour leader Jeremy Corbyn – whose party gained 31 seats – would be able to give it a go. We asked two experts to offer their insights on what Americans should make of the election and its results._ ### Tories’ growing populism begets a power struggle **Charles Hankla, George State University** The results of this election show how similar, and yet how different, British politics are from what is happening in America. As in the United States, there has been an explosion of populism in Britain, most recently evidenced by the Brexit referendum. This new political force is translating into less liberal policies from the major parties. In continental Europe, the new populism is mostly embodied by the resurgent far right. But in Britain, as in America, it is being filtered through the existing two-party system – though the U.K.‘s smaller parties do complicate the electoral map. To accommodate the political winds, May and her Conservatives decided to shift their electoral strategy [away from Margaret Thatcher’s](http://www.telegraph.co.uk/news/2017/05/18/theresa-may-redefines-conservatism-tories-move-thatcher/) pro-market economic approach toward a greater focus on immigration, security and economic nationalism. Labour leader Jeremy Corbyn, for his part, [deserted](http://www.newyorker.com/news/john-cassidy/jeremy-corbyns-victory-and-the-demise-of-new-labour) the more centrist “New Labour” ideas of Tony Blair in favor of a more robust form of [social democracy](https://www.nytimes.com/2017/05/16/world/europe/britains-labour-party-pledges-broad-tax-increases-to-pay-for-new-benefits.html). The American left, like its British counterpart, has also become increasingly [skeptical](https://www.theatlantic.com/magazine/archive/2016/01/why-america-is-moving-left/419112/) of [unbridled markets](http://www.gallup.com/poll/183686/democrats-shift-left.aspx). But among Republicans, a traditional hostility to “big government” makes [pro-worker redistributive policies](http://www.telegraph.co.uk/news/2017/05/18/theresa-may-redefines-conservatism-tories-move-thatcher/), some of which the Tories have adopted to win votes, hard to stomach. For this reason, populism on the American right has mostly taken the form of protectionist and anti-immigrant policies, as embodied by Donald Trump. Yesterday’s results were devastating for May and indicate that the Conservatives were ultimately unable to balance their new populist message with their traditional support for neo-liberal policies. Corbyn, for his part, will use this unexpected victory (of sorts) to solidify his hold over the Labour Party and to move it further to the left. It remains to be seen whether the election will result in a minority or a coalition government, or whether the parties will be well and truly deadlocked. Whatever happens, the British electorate, like its cousin across the pond, has shown itself to be highly polarized. Still, at a minimum, Britain’s parliamentary structure, along with the ability of the Labour leadership to co-opt disillusioned voters, seems to have spared Britain the fate of America – the takeover of government by a populist insurgent. ### For US companies, it’s business as usual **Terrence Guay, Pennsylvania State University** So now that we know the results, what are the implications for U.S. business interests in the U.K., [America’s seventh-biggest trading partner](https://theconversation.com/love-it-or-leave-it-why-the-uks-brexit-vote-should-matter-to-americans-60835)? May took a [calculated political risk](http://www.bbc.com/news/av/election-2017-40209491/election-2017-exit-polls-laura-kuenssberg-s-analysis) and lost. While the market reaction has been severe, with the [pound plunging](https://www.bloomberg.com/news/articles/2017-06-08/pound-slumps-as-u-k-exit-poll-shows-tories-losing-majority), it’s nothing new to companies, which take calculated risks like that every day – some pay off and some do not. So first of all, U.S. corporate executives will need to take a deep breath. Assuming a combination of other parties do not cobble together at least 322 seats – despite winning seven seats, Northern Ireland’s [Sinn Fein will not send MPs](https://theconversation.com/fighting-an-election-only-to-refuse-a-seat-sinn-fein-and-westminster-abstention-76963) to London – the Conservatives will dominate a coalition government and have considerable sway over policy. This means a “[hard Brexit](https://theconversation.com/what-the-uk-election-means-for-brexit-and-america-78811),” as outlined by May in [January](http://www.telegraph.co.uk/news/2017/01/17/theresa-mays-brexit-speech-full/), and as seen in the European Union’s tough [negotiating guidelines](http://www.telegraph.co.uk/news/2017/03/31/full-eus-draft-guidelines-brexit-negotiations/), is unlikely to change. But this is what most U.S. companies have been planning for anyway since last June’s [Brexit vote](https://theconversation.com/britain-exits-the-eu-how-brexit-will-hit-america-61412). Many companies, particularly banks and financial institutions, are already planning to move some of their [U.K. operations](https://www.nytimes.com/2017/03/30/business/brexit-britain-eu-economy-banks.html) to other EU countries to take advantage of the single market rules. This process will continue no matter who’s in power, since only the low-polling Liberal Democrat and Green parties promised a [Brexit revote](http://www.bbc.com/news/election-2017-39955886). Second, a weakened Conservative Party will need more foreign friends, and that includes U.S. companies. Since Brexit, some foreign businesses have threatened to downsize or close their U.K. operations as leverage for obtaining [government subsidies](https://uk.reuters.com/article/uk-britain-eu-nissan-subsidies-analysis-idUKKBN12X0K7). Expect more companies to use this strategy with a weaker U.K. government. As I argue in my recent [book](http://www.cambridge.org/us/academic/subjects/management/international-business/business-environment-europe-firms-governments-and-institutions?format=PB&isbn=9780521694162), the business environment of Europe is much more than the U.K. market, and U.S. companies have become increasingly aware of this since Brexit. In other words, it’s business as usual, and that means the continued segmenting of companies’ U.K. and EU strategies, regardless of who is governing in London. [Terrence Guay](https://theconversation.com/profiles/terrence-guay-158340), Clinical Professor of International Business, [_Pennsylvania State University_](http://theconversation.com/institutions/pennsylvania-state-university-1258) and [Charles Hankla](https://theconversation.com/profiles/charles-hankla-146084), Associate Professor of Political Science, [_Georgia State University_](http://theconversation.com/institutions/georgia-state-university-957) _This article was originally published on_ [_The Conversation_](http://theconversation.com)_. Read the_ [_original article_](https://theconversation.com/how-populism-explains-mays-stunning-uk-election-upset-experts-react-79075)_._ ```json [{"@context":"https://schema.org","@type":"OpinionNewsArticle","@id":"https://time.com/4813268/united-kingdom-election-results-reasons/","mainEntityOfPage":{"@type":"WebPage","@id":"https://time.com/4813268/united-kingdom-election-results-reasons/"},"headline":"The Reasons Behind the Stunning U.K. Election Results","datePublished":"2017-06-10T12:30:14.000Z","dateModified":"2026-02-23T05:21:57.179Z","description":"Populism could be to blame","url":"https://time.com/4813268/united-kingdom-election-results-reasons/","keywords":["United Kingdom"],"thumbnailUrl":"https://static.time.com/v3/assets/bltea6093859af6183b/bltaacf391aed3c18d1/6988d1167cdbac65bbd58b5a/theresa-may-election-results-reasons.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","author":[{"@type":"Person","name":"Terrence Guay, Pennsylvania State University and Charles Hankla, Georgia State University / The Conversation"}],"articleSection":"Ideas","image":[{"@type":"ImageObject","url":"https://static.time.com/v3/assets/bltea6093859af6183b/bltaacf391aed3c18d1/6988d1167cdbac65bbd58b5a/theresa-may-election-results-reasons.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","width":1200,"height":675,"headline":"BRITAIN-VOTE","caption":"BRITAIN-VOTE","creditText":"Justin Tallis—AFP/Getty Images","representativeOfPage":true}],"publisher":{"@type":"Organization","name":"Time","url":"https://time.com/","logo":{"@type":"ImageObject","url":"https://time.com/images/logo.png","width":528,"height":156},"foundingDate":"March 3, 1923","sameAs":["https://www.facebook.com/time","https://www.instagram.com/time/?hl=en","https://twitter.com/time","https://www.pinterest.com/timemagazine"]}},{"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"item":{"@id":"/section/ideas/","name":"Ideas"}},{"@type":"ListItem","position":2,"item":{"@id":"/tag/united-kingdom/","name":"United Kingdom"}},{"@type":"ListItem","position":3,"item":{"@id":"https://time.com/4813268/united-kingdom-election-results-reasons/","name":"The Reasons Behind the Stunning U.K. Election Results"}}]}] ```