LBD FACTS: 1979-97 Flashcards
1
Q
Policies
A
- 1982 EA restricted sympathy strikes and allowed closed shops only if ballot 85%
- Poll Tax 1988, replaced with flat-rate on every individual,
- October 1990 joined ERM
2
Q
Labour
A
- The more moderate elements in the Labour Party split away to form SDP in March 1981
- April 1989 Labour overturned 6200 Tory majority
3
Q
Result of policies
A
- From 1979-81 Britain’s economy fell by 2.5% whilst others grew by 6.3%, but by 1983 it recovered with 2.5% per year
- Real earnings grew by 2.8% per annum on average
- Number of people owning shares rose from 7% to 25% (79-90)
- Privatisation raised £5 billion a year for the treasury, lowered prices and offered consumers more choice
- Property ownership increased by 12%
- Rate at which prices rose 18% in 1980 to 4.5% 1983
- Manufacturing output fell by 14%, many firms went out of business
- Unemployment more than doubled to over 1979-83, 3 million in 1983
4
Q
John Major
A
- £ trading low level close to minimum 2.77 marks, wave of speculative selling -> interest rates hit 12.5% and 15%,
- Scrapping of poll tax - £1.5 billion had been wasted trying to implement when scrapped.
