Thatcher rolling back the state Flashcards
Defence
Expanded:
1980- bought Trident, cost £7.5 billion a year for the 1st 15 years
1981 “The Way Forward” committed the gov to increase defence spending by 3% a year 80s
Reduced -
Began to cut defence spending mid-1980s (fell 12% 1990-97) - costs of Trident were far greater
Reduction- soldiers redundant, plans to buy RAF planes scrapped 1986, Navy size reduced
Operation Swamp
1981
Police used ‘sus laws’ to stop and search black people in London, particularly in Brixton
Justified- most muggings were committed by blacks- duty to target them, 10 days continuous
Led to the Brixton riots leading to an increase in police powers
Expanding police powers
Police and Criminal Evidence Act 1984 - expanded stop-and-search power with new rights to search cars and enter properties.
The Public Order Act 1986 - arrest and charge people involved in demonstrations and pickets- a new offence, ‘disorderly conduct, arrest those using insulting words.
Criminal Justice Acts 1982/86 - Introduced shorter prison sentences for young offenders, but tough conditions- known as the ‘short, sharp, shock’,
Crack down on TU’s
Employment Act 1980 - Criminalised secondary action, including secondary picketing.
2nd Employment Act 1982 - union leaders could only impose a closed shop (had to be a member of the union to work their) in an industry if they had the backing of a majority of their members in a secret ballot.
Trade Union Act 1984 - forced unions to call a secret ballot and win a majority of support prior to starting a strike.
Attitude to the public sector
Speeches attacking it presenting the gov as: Anti-collectivist, Anti-statist- state action was counterproductive and private company earned more profit
Never intended to abolish the NHS - pragmatic, supported - did little to limit welfare spending.
Housing Acts
1980 - council house tenants who lived there for more than 3 years had the right to buy at a 33% discount , for 20+ years at 50%
Extremely popular- around 500,000 bought their council houses every year from 1980-89
1990-1997 the rate decreased to around 160,000 a year.
Opened a gap within the working class- those who could afford and those who couldn’t. Left the poorest people with very limited choice about where to live
1988 - council budgets were reduced and explicitly banned LA’s from spending the money earned from the sale of council houses- making local gov smaller
Civil service
Cut the size due to distrust so employed more policy advisors - Management Information System- monitor and reduce costs and set up the Efficiency Unit
Next Steps Report- new management culture, departments required to set targets and evaluate how far they had met these and publish reports on progress
1989 - gov achieved £1 billion worth of all efficiency savings, servants down 25%
Promoted those who made her ideas work, over those who would show the flaws
Local government
Cutbacks giving the gov new powers to try to ensure it was rolled back - a series of battles
Late 80s, LA spending was cut and some of the most left-wing were abolished
1981 Heseltine, responsible for local gov, introduced a policy of ‘targets and penalties’ - local gov was set maximum targets for spending and those that exceeded had their central gov allowance reduced- failed, as LA’s responded to the penalties by increasing rates.
The Rates Bill 1984 - gave the gov the power to impose a cap, on local tax
The Local gov Act 1988 forced local gov to accept the most competitive offers to keep costs down.
Attitude to pensions
To increase the uptake of private pensions but gov spending on pensions remained the same
Changed the state earning- less attractive so people would opt out into private
Changes to education
Strengthened central state control- a national curriculum, 3 core
Introduced standardised tests SATs- results published in league tables
Allowed schools to become ‘grant maintained’- opt out of LA control and receive funds directly from the gov
Strengthening of central control did not lead to a sustained reduction in spending
Partial success- increased competition and drove up standards, local gov power was reduced but poorer families were ‘priced out’ and central gov power increased
Poll Tax
1988 - fixed tax per adult resident. If employed paid 100% but if unemployed or in education paid 20% used for community services.
Issues was identifying everyone in a household especially shared and student housing or those not on the electoral register- major admin problems for Local govs
Impact - triggered civil disobedience and riots and a rebellion in the Party- 83 rebel Tory MP’s. A powerful sense of anger among formerly loyal Cons voters
Riot in London 1990
Middle-class suffer (paid double) while the upper-class paid less compared to the old system
Triggered a leadership contest- Major won
