At the second Round Table Conference, Dr. B.R. Ambedkar, who in 1930 organised the dalits into the Depressed Classes Association, clashed with Mahatma Gandhi over his proposal for separate electorates for the dalit community. Gandhiji started a fast until death when the British government agreed to Ambedkar's demand. Separate voting districts for dalits, in his opinion, would impede their assimilation into civilization. In the end, Ambedkar sided with Gandhiji, and the Poona Pact of September 1932 was the consequence. It allowed the Schedule Castes (later known as the Depressed Classes) reserved seats in federal and provincial legislative councils, but those seats had to be chosen by the public as a whole. However, the national movement led by Congress continued to cause the dalit movement anxiety.

A new alliance between the Congress and the Muslim League was attempted, and in 1927 it seemed that such a union would be possible. The important differences were over the question of representation in the future assemblies that were to be elected. Muhammad Ali Jinnah, one of the leaders of the Muslim League, was willing to give up the demand for separate electorates, if Muslims were assured reserved seats in the Central Assembly and representation in proportion to population in the Muslim-dominated provinces (Bengal and Punjab). Negotiations over the question of representation continued but all hope of resolving the issue at the All Parties Conference in 1928 disappeared when M.R. Jayakar of the Hindu Mahasabha strongly opposed efforts at compromise.