Labour Govt 1974 to 1979 Flashcards
What was inflation and the BoP deficit at the time of Harold Wilsons ascendency in ‘74
15% and 3 billion
Why did Wilson decide to call a second election later in 1974
To gain a majority. He thought this would happen as voters would still associate Heath with the 3 day work week and Trade Union troubles.
What legislation did Wilson negotiate while in opposition in 1973 with the Trade Unions and what did it involve
The Social Contract-included voluntary pay restraint in exchange for repealing Heaths Industrial Act and Pay Board
Which left wingers were put in charge of the departments for Industry and Employment and what did this achieve
Michael Foot and Tony Benn-showed the Unions the govt wished to be cooperative and helped end the state of emergency and 3 day work week
Who was Chancellor of the Exchequer in 1974 and what did they do
Denis Healey-released 2 budgets trying to solve the economic crisis without provoking the unions
Where did Denis Healey make a speech concerning the dangers of inflation and what did he declare was important
Leeds-the necessity to control public spendingq
What did the April 1975 budget bring, in order to curb inflation
Raised taxes and cut spending
What board was set up in 1974, who administered it and what was its role
The National Enterprise Board, Tony Benn, it controlled the goverments share holdings in private companies, adn aimed to increase investment
Which failing car manufacture was rescued by Wilsons govt in 1975, prompting discussion of Lame Duck industries
British Leyland
When did Harold Wilson abruptly resign
March 1976
Why was callaghan seen as ideal to replace Wilson
He was experienced, well connected with the unions and seens as a ‘safe pair of hands’
At the end of 1976 what did Callaghan declare, undermining the post war consensus
Taht the govt could no longer maintain full employemnt in Keynsian fashion
What two things did callaghan declare were ‘‘twin evils’ and how did he want to ward them off
Unemployment and Inflation-ward them off by increased productivity
When was the IMF crisis and how much of a loan did Healey secure, on what conditions
end of 1976. 3 billion, dependent on Britain making drastic spending cuts
Why was there consternation surrounding the IMF crisis
Although the crisis was not that bad and Britain recovered quickly, it gave the image of being in industrial decline. The left wing of labour did not like the dependence on international financiers and leftist militancy, espeically in trade unions and local councils grew
