Callaghan 1976-1979
- Created by: Amy
- Created on: 15-04-14 10:23
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- Callaghan 76-79
- Seen as a 'safe pair of hands'
- long experience and good links with unions
- ideal leader to maintain party unity - not easy as by election defeats in 76 reduced their majority
- long experience and good links with unions
- Issues over economy
- December 1976
- Denis Healey went to the IMF for an emergency loan of £3 billion
- In return, govt. had to make big spending cuts
- Political opponents saw this as humiliating
- In return, govt. had to make big spending cuts
- Denis Healey went to the IMF for an emergency loan of £3 billion
- Economy recovered after IMF
- BUT reinforced image of Britain in decline
- C = giving away Britain's economic independance
- L left = caving into capitalism and privatisation
- Callaghan did maintain unity but there was a growth of leftist militancy in some public sector trade unions and in local councils
- North Sea Oil came on stream. 1978 - 9 oilfields in prod.
- inflation rates fell
- economists divided over improvement - economic problems exaggerated?
- inflation rates fell
- BUT reinforced image of Britain in decline
- December 1976
- Lib-Lab Pact
- 1977
- Deal = 12 Liberal MPs voted for the govt in parliament
- In return: Callaghan promised to move ahead with the devolution of Wales and Scotland
- pressure from Lib - referendums took place
- In return: Callaghan promised to move ahead with the devolution of Wales and Scotland
- 'Winter of Discontent' - 78-79
- had devastating impact on public mood and the fate of C's govt.
- Industrial unrest
- transport - through strikes by lorry drivers and train drivers union
- Public sector workers
- hospital porters
- clerical staff in local councils
- dustmen and grave diggers
- Furious response from public
- Mountains of uncollected rubbish, funerals postponed etc
- Images dominated media
- Mountains of uncollected rubbish, funerals postponed etc
- Showed govt. weakness
- "labour isn't working" poster - symbol of L's weaknesses
- ELECTION: L = 269 seats C = 339 seats
- "labour isn't working" poster - symbol of L's weaknesses
- Seen as a 'safe pair of hands'
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