Years of Concensus 1964-79: 3 Labour in office 1974-9 Flashcards
(32 cards)
what were the 3 key problems Labour faced in the 70s?
slim majority against the Conservatives, rapid inflation due to oil crisis, struggles with trade unions
what was Labour’s average majority over the Conservatives during 1974-9?
3 seats
what was the Lib-Lab pact?
a deal made by Callaghan and Steel in March 1977, committing the Liberals to vote with the government in the Commons in return for agreement to consult the Liberals on key issues. It collapsed in 1978.
Lib-Lab pact dates?
introduced in March 1977, collapsed in 1978.
when was the oil crisis?
1973
inflation - what happened in March 1976?
the pound dropped below $2 in exchange values.
how much money was loaned from the IMF in 76?
£3 billion
what were the terms of the IMF loan?
major cuts in public expenditure which outraged the left and the unions.
who led the negotiation for the IMF loan?
Dennis Healey, the chancellor of the exchequer
at what cost did the government stabilise the financial situation?
increased unemployment which reached 1.6 million in 1978.
what was the Industrial Relations Act of 1971?
aimed to limit wildcat strikes and introduce limitations on striking
when was the Industrial Relations Act repealed?
1974
what was the social contract?
informal agreement in 1972 that meant when Labour returned to power, the unions would follow a wage-restraint policy in return for the adoption of pro-worker industrial policies (better working conditions).
when was the referendum on Europe?
1975
what percentage voted ‘yes’ towards Europe?
65% (2/3)
which politicians were against the EEC?
Tony Benn, Michael Foot, Barbara Castle.
why were people unhappy with the EEC?
any economic gains were prevented by the oil crisis that had a restrictive effect on the economy. British exports to EEC countries declined after 1973, ironically. Britain were faced with increased financial costs with no real trade benefits.
what does fait accompli mean?
an irreversible position already established - e.g. Britain holding a referendum on the EEC after joining.
when did Wilson retire?
1976
why did Wilson leave office and who did he wish to be succeeded by?
potentially to avoid worsening economic problems, old age or potential Alzeimers. James Callaghan.
what problems did Callaghan face?
a strike almost every month - even moderate trade unions got involved.
what did Callaghan introduce in 1977?
a compulsory 5% ceiling on wage rises - unions became more sweeping in demands and aggressive.
what phrase did foreign journalists coin due to poor employer-worker relations in Britain?
‘the British disease’
how many strikes were there in 1974 and 1979?
1974 - 3,000 - 14 million working days lost
1979 - 4,500 - 29 million working days lost
