Political Developments: Rate Capping Flashcards
What was Rate Capping?
Putting a cap on the amount of money local councils could collect in taxes
Why did the Conservatives introduce Rate Capping?
To reduce public spending
What did Liverpool do in 1985?
They rebelled against the rate cap
How did Liverpool rebel against the Rate Cap in 1985?
They refused to set budgets
Why would refusing to set budgets mean the Liverpool government wouldn’t be affected by Rate Capping?
Because they weren’t setting a limit on how much they were taxing people
What was the reality for Thatcher cutting down public spending?
She never actually cut it down
Why was Thatcher never actually able to cut down public spending?
Although industries were denationalised, millions of people were unemployed meaning they had to be paid benefits
