Margaret Thatcher and Thatcherism

10 Questions

What was one of the primary goals of Thatcher's privatisation policy, as outlined in the 1987 Conservative Manifesto?

To create a 'capital-owning democracy' where citizens could exercise power over their own lives

What was the effect of the Personal Equity Plan introduced by Thatcher's government?

It allowed people to invest in privatised companies without the burden of taxation

What was the primary consequence of the lack of ministerial accountability in the privatised utilities?

Poor service quality, increased costs, and decreased customer satisfaction

What is the primary reason for the decline in quality of utilities, according to the content?

Profit-driven motives of private owners

What proportion of citizens held shares in privatised companies after Thatcher's policy?

1 in 4

What was the primary ideology guiding Margaret Thatcher's economic policies?

Neoliberalism

What was the primary outcome of Margaret Thatcher's privatisation program?

Transfer of control of major industries from public to private sector

What was the nickname given to Margaret Thatcher due to her strong-willed nature and decisive approach to governance?

The Iron Lady

What was the primary consequence of Thatcher's economic policies on the working class?

Social costs and negative long-term impacts

What was the year when Thatcher's government began to significantly undertake privatisation?

1983

Study Notes

Margaret Thatcher's Leadership

Led the Conservative Party from 1979 to 1990
Known as the 'Iron Lady' due to her strong-willed nature and decisive ideological approach to governance
Implemented radical transformation of Britain's landscape during her tenure

Economic Policies (Thatcherism)

Guided by the ideology of neoliberalism
Implemented corporate privatisation, sell-off of council housing, and anti-trade union legislation
Reshaped the role of government in the economy, labour relations, and industries themselves

Privatisation Program

Transferred control of major industries from public to private sector
Started with British Telecom (BT) and British Airways in 1983
National Gas, Electricity, and Water companies were privatised between 1986 and 1991
Aimed to "spread the nation's wealth among as many people as possible"

Impact of Privatisation

Reduced National Debt and ended ongoing annual subsidies
Shifted responsibility to the private sector
Allowed individuals to invest in newly privatised companies without taxation through the Personal Equity Plan
Increased the proportion of citizens who held a share in privatised companies from 1 in 14 to 1 in 4

Criticisms of Privatisation

Led to a decline in the quality of service of Britain's utilities
Ended ministerial accountability to regulate services
Profit-driven motives of new owners led to cost-cutting measures, poor service, and high costs
Examples include:
- British Energy companies' customer ratings fell to an all-time low
- Customer service worsened, with hold times increasing by 75%
- British Water industry is 71% owned by foreign companies, with high CEO salaries and benefits
- 2.4 billion liters of water wasted daily due to leaks