In my analysis of the British general election of 1997, I emphasize that both the relative stability of Conservative support in the 1980s and the Labour landslide of 1997 could be explained by the following three factors: the relative competence of the parties in economic management, the popularity of the respective party leaders, and the support of the mass media. The Conservative reputation for superior economic management was fatally undermined by the ERM crisis of September 1992. The selection of Tony Blair as Labour leader and his transformation of the party into “New Labour” produced a “Blair effect” on the public evaluations of his leadership and his party. Finally, the long-standing pro-Conservative leaning of the national press was reversed in 1997. The paradox of the electoral defeat of the governing party during a period of prosperity can be explained with reputations for economic competence and the feel-good factor.