1970-1974 Flashcards
name 5 facts about heath
- not a wealthy background, father carpenter/mother maid
-intelligent, grammer school then oxford, known to be good at policies but not politics ‘too honest for his own good’
-served in ww1
-in charge of EEC negotiations under macmillan, good knowledge of economy
-went from shadow chancellor to leader of the opposition in 1965 (lost 1966 election) (youngest ever tory leader) but backbenchers wanted to force thatcher into power (hated each other)
what was the selsdon conference and what were the outcomes
‘new type of conservatism’ was created and discussed before the 1970 election
-tories advocated more radical monetarist/ free market(government don’t interfere to encourage personal freedom and competition) policies to solve unemployment/inflation=break away from Keynesian/consensus/end of public subsidy of ‘lame duck’ industries/use market forces(natural supply and demand) not an incomes policy to reduce prises
what’s the dif between monetarism and keynesian
Monetarism focuses on controlling the money supply to control the economy. Keynesianism focuses on government spending to control the economy.
what were 5 aims in their 1970 manifesto
-‘utterly reject the philosophy of compulsory wage control’ - good management of tu
-more jobs/higher wages/lower costs/reduce taxation
-cut unnecessary state spending
-increase opportunities / bring prosperity
-stop nationalisation
^became manifesto for future conservatives
what was said at the blackpool conference
october 1970 heath talked of a ‘quiet revolution’- his gov would lay the foundations for generations
what was the first policy to anger the tu and why
-industrial relations act 1971 by robert carr (minister of labour)
- CONTEXT wanted to abandon incomes policy/didnt want to interfere with pay settlements/allow market forces to control prices and wages which meant trade unions shouldn’t have unfair advantages
-act was passed for moderate trade union reform/cut strikes/curb wage demands
-set up NIRC (national industrial relations court) with the power to enforce ballots for strikes+60 day cooling period+unions had to put themselves on gov register for their legal rights
what was a consequence of the industrial relations act
feb 1971 140,000 members of unions marched through london saying ‘kill the bill’
who was john davies and what did he push for
head of department of trade and industry-advocated not helping lame duck industries
what was the barber boom
-wanted to promote growth before eec app
-anthony barber reduced taxes eg income tax, reduced gov spending, scrapped prices/incomes/cuts in subsidies =economic growth rise to 7.4%
who was c of e
anthony barber
why was a u turn necessary and what did it involve
*caused massive stagflation (15%/unemployment 1mil)/ wage demands/ declining industrial output
-statutory incomes/prices and pay policy reintroduced 1973 (abandoned gov non-interference)
-wage freeze
-1972 industry act aimed to involve gov and unions in agreeing wages
-rollys royce was nationalised in 1971 when orders were failing and subsidies granted to other private companies eg 34mil to upper clyde shipbuilders
=unemployment halfed/investment in modernising industry working?
what was b of p by 1974
1.5bil
name 3 facts about the strikes
-first strikes jan/feb 1972 but strikes followed involving miners/civil servants/hospital workers led by the NUM
-arthur scargill created system of ‘flying pickets’ where members meet at coal depots and prevent the movement of coal stocks=reduced industrial production/electricity supplies
-The Battle of Saltley Gate was the mass picketing of a fuel storage depot in Birmingham, February 1972 =success for miners,closed because of large numbers of flying pickets
why were there strikes and when were they
-decline in coal industry reduced workforce
- miners pay lagged behind other workers
-unions hostile after industrial relations act, TUC voted to not cooperate with cabinet
what are flying pickets
(union members travel to workplaces where there is an industrial dispute to persuade others to strike)
what was the highest number of days lost to strikes and when was it and what did they gain
23,909,000-1972
-earnings increased to 16% 1972
what was the oil crisis and when was it
-britains entry into the eec made them susceptible to events in the outside world
-trigger was the yom kippur war in middle east
-after arab israeli war 1973 OPEC(oil producing economic countries) showed anger towards western countries who supported israel and britains oil imports were cut by 15% and the cost of oil imports trebled
what was the consequences of the oil crisis
-inflation rose to 16%=increased wage demands
-petrol shortage, oil prices increased from $2 to $35 a barrel (oil products more expensive)
-b of p=£1 bill deficit
-value of sterling dropped to $1.57
-74-76 unemployment figures doubled to 1.4mil
what caused the 3 day week
-miners strikes (after wage restraints/oil crisis) they asked for a pay increase sep 1973
-NUM introduced overtime ban, followed by electricity workers/railway drivers=shortages, 14 power stations had closed, 17 had days supply left of fuel, black outs interfered with industrial production and left people with no light or heating
-heath declared state of emergency and refused to compromise
what was the 3 day week and what did it cause
-jan 1974 emergency measures to conserve electricity to resist NUMs blackmail
-industry to work 3 days a week, 50mph speed limit, tv close down at 10;30
-the TUC told heath if he would treat the miners as a special case other unions wouldn’t breach the pay policy but heath rejected this=so miners voted to strike
-Heath called a general election hoping to win public support over unions
what were the consequences of the 3 day week
-NUM gained 21% wage increase, 3x original offer
-no benefits to eocnomy
-angered everyone/didnt do what he said
who were the nationalists and who were the loyalists
nationalists-republican/catholic/united ireland
loyalists-unionist/protestant-join britain
what is sinn fein
main political party in NI, won’t sit in westminster, want united ireland
how did heath deal with the ni troubles
-introduced internment august 1971 (arresting suspected troublemakers and holding them without trial) to remove sectarian tensions