Chapter 10 Flashcards
What economic situation did Harold Wilson face when he came to power in March 1974?
Inflation was at 15 percent and the balance of payment deficit was £3 billion
The economic context was dire, requiring immediate action from the Labour government.
What was the outcome of the October 1974 general election for the Labour Party?
Labour gained 18 seats and had a majority of only 3 seats over the Conservatives
The election was closely contested, reflecting the political tensions of the time.
What was the Social Contract negotiated by Harold Wilson in 1973?
It involved voluntary pay restraint by the trade unions in exchange for the repeal of Heath’s Industrial Act and pay board
The Social Contract aimed to stabilize the economy without alienating the unions.
Who were the two left-wingers appointed by Wilson to key government departments?
Tony Benn and Michael Foot
Benn was in charge of Industry and Foot was in charge of Employment.
What major economic reforms did Chancellor Denis Healey implement between 1974 and 1976?
Imposed steep rises in taxation and cut public spending
These measures were aimed at controlling inflation and addressing the economic crisis.
What was the purpose of the National Enterprise Board (NEB) established in 1974?
To administer the government’s shareholdings in private companies and provide financial aid
The NEB aimed to boost investment in struggling industries.
What problem arose with the Social Contract by 1975?
It was not limiting wage demands
This led to increased tensions within the Labour Party regarding economic policies.
What did Harold Wilson express as the highest aim of leadership in his memoirs?
To secure policies adequate to any situation without major confrontations, splits, and resignations
This reflects the challenges he faced in managing a divided party.
What was the significance of Wilson’s unexpected resignation in March 1976?
It led to various conspiracy theories about the reasons behind his departure
Wilson’s health concerns and promises to his wife also played a role in his decision.
Fill in the blank: The economic crisis that brought down Heath was characterized by a surge in _______.
inflation
Inflation was driven by large wage increases deemed necessary at the time.
True or False: Wilson’s government was a majority government upon coming to power in 1974.
False
Labour was a minority government and needed support from other parties.
What is the International Monetary Fund (IMF)?
Formed at the end of the Second World War, it was designed to promote economic stability and growth across the world.
Who was James (Jim) Callaghan?
Callaghan was the successor to the prime minister, known as a ‘safe pair of hands’ with long experience and good links to the unions.
What economic challenges did Callaghan face during his leadership?
Poor balance of payments, pressure on sterling, and concerns over currency reserves.
What did Callaghan warn the Labour Party about in September 1976?
He warned that the ‘cosy world’ of ensuring full employment was gone and that productivity needed to improve.
What was the purpose of Callaghan’s speech at the Labour Party conference?
To prepare the Labour Party for applying for an emergency loan from the IMF due to economic difficulties.
How much was the loan received from the IMF in December 1976?
€3 billion.
What were the consequences of the IMF loan for the Labour government?
The government had to make big spending cuts.
What was the public perception of Britain’s economy during Callaghan’s premiership?
It reinforced the image of Britain as being in economic decline.
What was the ‘Lib-Lab pact’?
An agreement where 12 Liberal MPs agreed to vote with the government in exchange for advancing devolution for Wales and Scotland.
What is devolution?
The transfer of powers to a lower level of government.
What was required for devolution to pass according to the inserted clause?
At least 40 percent of the electorate had to approve of devolution.
What were the results of the devolution referendums in March 1979?
In Wales, 20.3% voted Yes; in Scotland, 51.6% voted Yes but was defeated due to the 40% rule.
What was the ‘winter of discontent’?
A period of industrial unrest in late 1978 to early 1979 marked by strikes and demands for higher wages.
What was the average pay increase achieved during the winter of discontent?
10 percent.
True or False: The industrial unrest during the winter of discontent was more serious than the miners’ strike of 1974.
False.
What did the TUC reject in autumn 1978?
The proposed wage increase limit of 5 percent by the Labour government.
Fill in the blank: The average percentage of the workforce unemployed in 1978 was _______.
5.7%.
What major resource began to improve the economic situation by 1978?
North Sea oil.
What was the inflation rate in 1978?
10 percent.
What was the public reaction to strikes by public sector workers during the winter of discontent?
Shock and outrage.
What did The Economist comment on January 20, 1979, regarding trade unions?
If trade unions and their pickets are allowed to be above the normal laws of contract, then a free society based on the law of contract will break down.
What were the consequences mentioned if the situation continued during strikes in 1979?
Appalling diseases, children being battered, housewives going hungry, patients dying, small firms going bust, and increased unemployment.
What significant political event occurred in March 1979?
The government lost a vote of no confidence in Parliament, leading to its resignation.
What was notable about the 1979 general election outcome for the Labour Party?
The Labour vote dipped by 3 percent overall, but they held up quite well despite the challenges.
What was the result of the 1979 general election?
The Conservatives gained a comfortable working majority of 43.
What were the main issues the Conservatives campaigned on during the 1979 election?
- Unpopularity of the Labour government * Unemployment * Law and order * Excessive power of the unions.
What was the impact of the winter of discontent on the Labour Party’s reputation?
The reputation of the trade unions was damaged, influencing even skilled and unskilled workers to consider voting Conservative.
What were the Northern Irish Troubles?
A period of conflict and violence in Northern Ireland involving nationalist/republican and unionist/loyalist groups.
What event occurred on May 15, 1974, in Northern Ireland?
The Ulster Workers’ Council strike began.
What was the outcome of the Sunningdale Agreement?
The Sunningdale Agreement collapsed after the Ulster Workers’ Council strike.
Who was Airey Neave?
The Conservative spokesman on Northern Ireland killed by an IRA car bomb.
What was the purpose of the Northern Irish Constitutional Convention established by Wilson?
To provide a platform for the people of Northern Ireland to create institutions of government that are fair to all.
Fill in the blank: The first government brought down by a confidence vote since 1924 was in _______.
1979.
True or False: The 1979 general election was a landslide victory for the Conservatives.
False.
What was the role of the Ulster Workers’ Council during the strike?
They were determined to bring down the Executive and were supported by unionists and paramilitary organizations.
What was a consequence of the Ulster Workers’ Council strike?
It severely limited power and telecommunications, leading to a state of emergency.
What did Merlyn Rees emphasize regarding law and order in Northern Ireland?
Law and order depend on the cooperation and support of the people of Northern Ireland.
What was the outcome of the elections in July 1975 regarding unionists?
A majority for unionists opposed to any form of power sharing
This resulted in the dissolution of the Convention in 1976.
What significant change occurred regarding terrorist prisoners in 1976?
Special Category Status was removed from terrorist prisoners
They were no longer considered political prisoners and were treated as criminals.
What was the ‘blanket protest’?
A protest by INLA and IRA prisoners where they wore only blankets or were naked
This occurred after the removal of Special Category Status and escalated to the ‘Dirty Protest’.
What is the ‘Dirty Protest’?
A protest where republican prisoners smeared excrement on cell walls
This was in response to alleged ill treatment by prison guards.
By 1979, how many prisoners were involved in the ‘Dirty Protest’?
Over 250 prisoners
Demands were growing for them to regain their political status.
What historical context should be considered when assessing the value of sources for historians?
The broader historical context of Britain being difficult to govern from 1974 to 1979
Specific reference should be made to Sources 1, 3, and 4.
What was the opinion about the post-war consensus during the period 1974 to 1979?
It is a highly disputed opinion whether the post-war consensus ended
Evidence must support any agreement or disagreement with this view.
What three issues should be used to assess the governments from 1974 to 1979?
Economic problems, industrial relations, the Troubles in Northern Ireland
Comparing these to the previous period of 1970 to 1974 is essential.
Fill in the blank: The ‘blanket protest’ was escalated to the ‘_______’ after 1978.
‘Dirty Protest’
True or False: The Labour governments of 1974 to 1979 were more successful than the Conservative government of 1970 to 1974 in dealing with problems.
This is subjective and depends on evidence provided.
