Margaret Thatcher was one of the most significant women in political history. She was born in 1925 and throughout her school and college career she was always interested in politics and would often take the role of a leader, for example being elected as President of Oxford University Conservative Association. She was put in the general election several times but was often defeated. It wasn’t until 1959 where she made it to be an MP.
In 1970 she then became the Secretary of State for Education and Science where she made changes to education systems such as removing free milk for the over 7’s. This gave her the nickname the ‘milk snatcher’. This was purely because Edward Heath, prime minister at the time, had ordered a cut of budgets. As Thatcher was in charge of the education side in politics, it was her duty to manage the funds and expenditure to stick the budget. And to do this her idea was to cut the school milk given out free for all children in primary education. However it is interesting to note that Edward Heath did in fact demand to abolish all free milk that was provided for children, but Margaret Thatcher decided it was still important to be supplied for the 5-7 year olds.
She continued to make many changes that incredibly benefitted the country. It was when she was appointed Secretary of Education that she became apparent and influential to the public. It was from then where she begun to make some major changes. She revived the economy, improved outdated institutions and strengthened the nation’s foreign policy. However in doing so she was not always very popular. She also became one of the founders of a school of conservative conviction politics. This raised her status considerably as it had a strong and beneficial impact on politics. She was one of the most respected, powerful and confident political leaders in the world yet. This essay is going to explore the key changes she made to the welfare state and what the reasons were for these changes.
One of Margaret Thatcher’s most influential changes was her cutback on housing expenditure. The Housing Act 1980 was passed under Thatcher’s authority, in which it gave 5 million council house tenants the right to buy their houses at large discounts. As a result of this the home ownership rose from 55% in 1980 to 64% in 1987 and the Treasury gained a substantial amount of money. Margaret Thatcher had clear aims when she passed the Housing Act. Some aims were as follows, to encourage occupation of houses to be by the owners, to reduce the local authority housing provision, to minimise the public spending on houses and obviously to gain as much advantages politically as possible.
From the 1960’s there had always been aims to increase house ownership and encourage it to the public. It wasn’t until Margaret Thatcher was appointed that it was put in place. It was one of the most radical and influential moves she made during her time in politics and was another step in the direction the Labour Party had moved to already.
The Housing Act that she passed was trying a large reform in rented housing. There were many acts in previous years that passed certain rules but none that made quite an impact as this. For example one act enforced councils were to transfer their council houses on to housing associations.
The outcome of Thatcher’s government agreeing and passing this rule was very positive. Some statistics show the impact it had. For example by 1990 over a million and a quarter of the council houses had been sold and the proportion of housing that was occupied by the owner grew from 57% to 68% (1979-1989). Margaret’s incentive was also to reduce public expenditure. This was also achieved by passing this act as the net capital spending was reduced considerably from £6 billion to£1.2 billion in the space of 1 year. This is therefore a decline of 80%. Thatcher also introduced a new way of deciding whether a person deserved a council house and this was by means testing. This just shows her aim to concern target benefits.
However looking at Thatcher’s attempt to also reform the private rented housing part, it is clear to see it was unsuccessful. This could be because those who were offered a large discount in order for them to buy their house would not choose to spend more money to move to the private sector. The people that were living in rented accommodation decreased from 43% to 32%. These people moved into rented council accommodation which therefore caused an increase in that.
So it was clear to see that Margaret Thatcher made an important and beneficial decision when looking at the housing situation in Britain. The aims she set out were achieved and in time became very popular. It is also important to note that the number of homeless people that were accepted for council funded accommodation increased rapidly from 5,000 to 40,000 in 10 years.
Another major change Margaret Thatcher enforced was the privatisation policy. This was controlling the money supply, to reduce the public expenditure and severely cut down on the income tax and many more. There was a lot more interest for the political reasons and not so much economical. Towards the end of the first term inflation began to fall and this is when privatisation seemed to be an inviting solution. They would reduce the government being involved in the industry and hopefully improve the effectiveness in both privatised companies and public sector.
There were a number of types of privatisation in Britain. Some of which were special asset sales and reregulation. As mentioned before the sale of council houses can also be seen as a very important part of privatisation as not only did it have a large impact on Britain but it was incredibly popular too.
Privatisation needed a very large quantity of legislation. The selling of an industry or other major asset that is owned by the state to private investors, also known as denationalisation, was not associated with privatisation because of growing competition. The reason for this could be that the management of these private companies had successfully rejected the government’s efforts to liberalise their industries (Rhodes 1992).
The outcome of privatisation can be seen as positive and negative. Margaret Thatcher did a good job in the fact that the size of the public sector was halved in the 1980’s with almost 1 million of transferred sectors. This shows some of the aims she set out to achieve were successful. Receipts for privatisation sales also increased rapidly and in 1988 were at £7.1 billion. It also benefitted the government in that while this privatisation was occurring it was paying for the tax cuts. This therefore allowed Thatcher’s government to maintain a good level of expenditure.
It is clear to see that this decision Margaret Thatcher made was for a large political advantage however there was very little popularity behind it as many people opposed. The only element that proved popular was the sale of council houses as it was clear to the public the benefits they would be receiving. This did indeed provide benefits for the conservative party as with public support they get more votes. In the 1987 election, the conservative vote was increased 1.6% than what it would have been because of the votes that had been changes due to new shareholders. It was also 0.9% up as a result of previous council house tenants that had bought their houses. (McAllister & Studlar)
It is also very important to look at the changes Margaret Thatcher made into the education systems. There were many small changes made some of which are as follows. They all made beneficial differences in one way or another. One example is that Thatcher enabled academically able children to go to private schools if they have little money. When looking back at privatisation this can be seen as one of the first steps to achieving her goals (Whitty et al 1998). This is because she she is influencing the public into thinking private is right and better, therefore endorsing the belief and that they should follow in her footsteps.
Thatcher also made had a large impact on industrial relations. In order for the government to gain authority they passed legislation that was used by employers and followed by unions. None of these changes were new, they had been ideas for several years but it wasn’t until Margaret Thatcher gained control that these changes were made. There were 5 essential parts of legislation, many of which were the numerous amounts of employment acts. There was also the 1984 trade union act. The 1988 employment act allowed individual members of a union an array of rights that related to them. It didn’t take long before the political role of the unions had practically disappeared. Evans shows that few employers and they are use the legislation and that they are influenced by the industries which have a bad history of industrial relations (Evans 1988)
When looking into the change of the local government policy that Margaret Thatcher made, it is important to note that this was again not a new idea. Government has always wanted to restrict the expenditure and Thatcher made some alterations in order to do so. Throughout the 1980’s there were many acts that were passed which highly affected the local government. For example the Local Government Planning and Land act created a whole new way of doing things. There were grant penalties for spending too much and in turn the 1985 act got rid of the Greater London council which therefore removed many boards that were over spending considerably. There was then another act passed in 1988 which highly affected councils in that there was now to be a cut back of street cleaning, cleaning buildings and many other environmental jobs the council took care of. When the government gained power to tell the council the limits to which they can spend money on general household occurrences, such as heating and lighting, the salaries changed noticeably. They rose by 9% between 1979 and 1983, and it is interesting to notice that the salaries of building roads fell a dramatic 12%. This is precisely the opposite outcome to what the government had planned.
In 1988 Thatcher proposed a Local Government Finance Act that got rid of domestic rates which were then replaced with a charge that all adults were required to pay. It is clear to see that this would not have been very popular for the people affected by Margaret Thatcher’s government as the money they will be paying is going to nothing beneficial for them. This charge was then called the conservatives tax (Heath)
This was the most effort that the government had put in to changing Britain’s welfare and it is obvious that the outcome was not that of what they had hoped. It was the least successful and reliant on the compliance by the local authorities. However these authorities never responded to the governments orders which probed them to create a whole new system of finance of the local government. This then had major consequences politically that were incredibly negative and put the Margaret Thatcher and the conservative party in a very vulnerable position (Marsh 1992).
Thatcher’s changes and impacts on the government were overall that of very positive outcomes. She was a woman that will go down in history with popularity and honour. After her role as the prime minister she became Lady Thatcher and stayed a significant character of the political world. As her views of the welfare state were proved to be very influential and beneficial she toured the world lecturing those interested and wrote many books. During this time she made some very essential interventions in the domestic side of British politics. It wasn’t until 2002 where she was to end her career in public speaking due to medical issues.
References;
Margaret Thatcher Biography Available at: http://www.spartacus.schoolnet.co.uk/COLDthatcher.htm (Accessed: 16 January 2012)
Hall S and Jacques M. (eds) The Politics of Thatcherism Lawrence and Wishart, 1983
Margaret Thatcher Foundation. Available at: http://www.margaretthatcher.org/document/102377 (Accessed: 16 January 2012)
Marsh, D. (1992) ‘Implementing Thatcherism: Policy Change in the 1980’s’ [Online]. Available at http://pa.oxfordjournals.org/content/45/1/33.short (Accessed 16 January 2012)
Evans, E. (1997) Thatcher and Thatcherism. 2nd edn. Oxon: Routledge.
Cloke, P. (1992) Policy and Change in Thatcher’s Britain.
Jenkins, P. (1987) Mrs Thatcher’s Revolution. London: Jonathan Cape Ltd.
Fry, G. (2008) The Politics of the Thatcher Revolution. Hampshire: Palgrave McMillan.
References: Margaret Thatcher Biography Available at: http://www.spartacus.schoolnet.co.uk/COLDthatcher.htm (Accessed: 16 January 2012) Hall S and Jacques M. (eds) The Politics of Thatcherism Lawrence and Wishart, 1983 Margaret Thatcher Foundation. Available at: http://www.margaretthatcher.org/document/102377 (Accessed: 16 January 2012) Marsh, D. (1992) ‘Implementing Thatcherism: Policy Change in the 1980’s’ [Online]. Available at http://pa.oxfordjournals.org/content/45/1/33.short (Accessed 16 January 2012) Evans, E. (1997) Thatcher and Thatcherism. 2nd edn. Oxon: Routledge. Cloke, P. (1992) Policy and Change in Thatcher’s Britain. Jenkins, P. (1987) Mrs Thatcher’s Revolution. London: Jonathan Cape Ltd. Fry, G. (2008) The Politics of the Thatcher Revolution. Hampshire: Palgrave McMillan.
You May Also Find These Documents Helpful
-
Also with her SEEK programs mentioned in paragraph one that still helps CUNY students only. She helped the unfortunate out a lot . She made sure that the children, jobless men, the rejected and starving people came first before anything.…
- 373 Words
- 2 Pages
Good Essays -
During the time, Environmental problems was not necessarily priortised in Thatchers reign. Thatcher was more focused on one nation and economic growth where as the Modern Conservative believes environmental protection has the highest priority and is the responsibility of all and also believes in a much more combatting approach in regards to the environment such as delivering a 30 per cent increase in agriculture, horticulture and animal welfare apprenticeships.…
- 744 Words
- 3 Pages
Good Essays -
There is little which unites Thatcher’s passionate supporters, and equally passionate critics. However, both camps would agree that she was, without question, one of the most controversial prime ministers the UK has seen, and her economic policies were at the heart of that controversy. She instituted an economic revolution in the UK, bringing the post-war consensus to a crashing halt, and replacing it with a free-market ideology which remains in place today. So there is surprisingly little controversy over whether she was successful in implementing her policies, but rather the controversy is whether her economic policy successes were either necessary or desirable. There…
- 1516 Words
- 7 Pages
Better Essays -
Margaret Thatcher had a resounding career as a Prime Minister in Britain. She was loved and hated for her strong handed nature to politics. She drove down unemployment and brought Britain out of a recession through utilizing neoliberal policies. Thatcher increased the power of the private sector with a reduction of government regulation and privatization of public facilities. She took charge at creating a culture that was focused on the individual. Lastly she battled any unions, which sought to challenge the neoliberal values she was fostering.…
- 1616 Words
- 7 Pages
Better Essays -
Thatcher was elected in 1979, the British economy was in a poor state, and ,'Thatcher' was…
- 1166 Words
- 5 Pages
Good Essays -
Margaret Thatcher is United Kingdom’s longest serving prime minister of recent times and first female head of government. She was in charge of Conservative Party and British government for over 11 years from 1979 up until 1990. The “Iron Lady”, that’s how Russians called her, is well known and respected nowadays for transforming Britain with the help of her strong leadership skills, her crack down on the trade unions, victory in Falklands War and, of course, her famous combative attitude to the European Union. Not every prime minister of the UK leaves a certain ideology named after him. Margaret Thatcher was completely unique in her views and actions, so her ideology gained an absolute new name for it. It was neither one national conservatism nor traditional. It was brand new ideology and movement in politics called Thatcherism. And when somebody mentions this term, people understand what exactly it is. Thatcher was strict in her actions and didn’t like to make any changes, she was fond of…
- 689 Words
- 3 Pages
Good Essays -
Thatcher became the Prime Minister when UK was in the difficulties with its economy and the loss of status internationally, therefore she introduced many policies, mainly based on neoliberal economic interests, have extraordinary influence on UK’s economy, which include, of course, free market, monetarist economic policy, privatization and policy in taxation. And also her opposition to the trade union posed a vital change in the society.…
- 1008 Words
- 5 Pages
Better Essays -
Margaret Thatcher was very influential in her leadership role. She had been tough, forthright, consistent and inspiring. She had empowered and motivated the citizens of Britain to purchase their homes in which they lived at a discounted price. Additionally, companies that the state initially owned were now owned by the community. Her intent was to change Britain from a dependent to a self-reliant society. Margaret Thatcher success of implementing the privatization policy of government assets had improved influential internationally.…
- 726 Words
- 3 Pages
Good Essays -
The primary source focuses on social class and on Thatchers point of view in this matter. Margaret Thatcher believes that every ordinary person shouldn’t be labeled by their social class but rather on their contributions to the society. Everyone makes different kinds of contributions and they all matter. She also believes that everybody with a good attitude towards life has the opportunity to improve themselves. That everybody is able to help themselves and their children to make a use of their talent and develop it as much as possible. She also uses herself as an example in which it is possible to achieve something big despite the fact that she went to an ordinary state school and without any privileges she worked her way to the top with just hard work and a supportive family. The possibility of doing whatever you like is achievable regardless of which class you were born in to.…
- 938 Words
- 4 Pages
Good Essays -
Like other right-wingers of her generation, she had been influenced by The Road to Serfdom, by Austrian economist Friedrich Hayek, which warned of "the danger of tyranny that inevitably results from government control of economic decision-making through central planning".…
- 987 Words
- 4 Pages
Good Essays -
Once known as the most unpopular woman in Britain, Margaret Thatcher revived a nation that was in a state of chaos. She was the first woman elected Prime Minister of the country and the only in the 20th century to serve three consecutive terms which was the longest since 1827. Through her extraordinary vision she brought forth radical changes, not just in her country but worldwide. She had a profound and permanent impact on politics and even changed her own Conservative Parties outlook. Through challenging all ideas that were commonplace, she set a catalyst movement for the end of the twentieth century. Her groundbreaking views on monetarism and privatization manifested into one of Britain's biggest contributions to political economics in the world. Transforming a defunct socialist society would prove no easy feat for this revolutionist, but through a unique turn of events a leader rises. She was also the most divisive PM of the century, earning both great reverence but also deep hatred from the divided public, particularly for her treatment of trade unions.…
- 1474 Words
- 6 Pages
Powerful Essays -
Mendelson, Peter. (2002). Mandelson: we are all Thatcherites now. retrived on April 7, 2009 from:…
- 783 Words
- 4 Pages
Good Essays -
The ideas of Margaret Thatcher were to solve the economic problems that had seized England being in favor of liberal…
- 1005 Words
- 5 Pages
Good Essays -
the UK had become little more than the 51st state of the US. In recent years…
- 11824 Words
- 36 Pages
Powerful Essays -
Although Thatcher did help assist in ending the Cold War, installing cruise missiles in Europe and resisting Soviet expansionism, war was not the sole thing on her mind to change Britain. One of Thatcher’s main priorities was privatization, in which she describes it as “fundamental to improving Britain’s economic performance.” To privatize a business is to transfer it from public to private ownership and control. In doing so, Thatcher made billions of dollars for companies such as Exchequer, boosted the economy in Britain, and initiated the privatization boom, which the rest of the world copied. As stated before, Thatcher also focused greatly on an education reform, which was no easy task. A third aspect she focused on was revitalizing the British economy. When she became prime minister in 1979, the top tax rate was 98%, and the bottom was 65%. When Thatcher resigned in 1990, the top tax rate was only 40%, and the bottom was 25%. Citizens could keep more of their own money and buy products from businesses. By cutting regulation, Thatcher…
- 1250 Words
- 5 Pages
Good Essays