Chapter 13 (4)

Question 1

Labour weaknesses in 1979

Answer 1

-Failure to control the trade unions (13.5 million days lost to strikes between July 1978- May 1979)
- 1.3 million unemployment
-Callaghan and his colleagues looked ‘tired and ineffectual’
-Callaghan exercised a personal veto over the contents of the manifesto specifically over the House of Lords
-votes of no confidence
-Already a minority government

Question 2

The ‘Thatcher’ effect

Answer 2

-Didn’t just criticise Labour but focused on growth and positivity
-Took a strong approach on immigration, permissiveness, and the increasing levels of violence which gained support from the right and those who supported Powell
-She harnessed her femininity, didn’t shy away from it but still presented herself as a strong individual to gain public support

Question 3

Conservative Election Campaign

Answer 3

-Harnessed the powers of saatchi and saatchi which took it very seriously as they were a respectable company. They used memorable slogans like ‘Britain isn’t getting any better’, ‘Educashun isn’t working’, ‘Labour isn’t working’, and ‘cheer up, they can’t last forever’
-Free from state control with complete opposition and emphasis on liberty

Question 4

Liberal Vote

Answer 4

-Suffered severely due to first past the post where they won 13.8% of the votes but 11 seats
-if the liberals wouldn’t have split the vote and worked with Labour then they would have won

Question 5

Reducing Inflation

Answer 5

-Inflation fell from 22% to 5% by 1983
-Indirect taxation increased with duty on petrol by 20p a gallon
-Interest rates were raised to 17% in 1979

-1980 economy was in recession
-Inflation above 15% by 1980
-Stagflation returned in May 1979

Question 6

Support the private sector

Answer 6

-more business opportunities resulting from outsourcing at local government level
-Enterprise allowance scheme was set up in 1981 which gave a guaranteed income of £40 a week to unemployed people who set up their own businesses
-BP was privatised in 1979 and British Aerospace in 1980
-A cut of top rate of income tax from 83% to 60%

-Interest rates rose to 17% in 1979
-Companies began to cut staff
-Interest rates had to be continually increased to combat tax cuts

Question 7

Reduce government spending

Answer 7

-1981 budget where borrowing was reduced, local government budgets were cut and benefits were froze. Known as the ‘most unpopular budget in history’
-Public spending as a proportion of GDP jumped from 44.8% to 47.3% between 1980-1981
-Government borrowing continued to rise despite efforts to cut it
-Jan 1981, Government borrowing was due to hit £14.5 billion

Question 8

Job Creation

Answer 8

-Youth unemployment schemes were created which encouraged employers to take on young people
-Employment in the south was high
-Enterpise scheme set up
-Wages in the public sector went up by 25% as recommended by the Clegg Commission

Question 9

Dries

Answer 9

Supported Thatcher economically and socially
Keith Joseph
Geoffrey Howe
Willie Whitelaw
Nigel Lawson

Question 10

Wets

Answer 10

Opposed Thatcher’s economics and policies
Jim Prior
Francis Pym
Michael Heseltine