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EDWARD HEATH Prime Minister 1970–1974 - Coggle Diagram
EDWARD HEATH
Prime Minister 1970–1974
Successes
Britain joined the EEC (1973).
Local government reform.
Attempted economic modernisation.
Failures
Industrial conflict.
U-turn in economic policy.
Three-Day Week.
Lost February 1974 election.
Economic policies
Initial aim: reduce government intervention and encourage free-market policies.
Wanted to control inflation and reduce public spending.
Supported competition and private enterprise.
1972 U-turn:
Increased public spending
Government intervened to support struggling industries
Introduced measures to tackle unemployment
Problem
Inflation and unemployment continued to rise
Industrial relations
Industrial relations act (1971)
Attempted to restrict trade union power.
Introduced rules for union registration.
Created the National Industrial Relations Court.
Trade unions opposed the legislation.
Miners' strikes:
1972: minors went on strike over pay
Government declared a state of emergency
Minors received a significant pay increase
Heath struggled to maintain control of industrial relations
Three day week (1973-74)
Caused minors industrial action and coal shortages
Government restricted commercial electricity use
Businesses only operated for 3 days a week
Reduced industrial production
Damaged public confidence in the government
Britain and Europe
Britain joined the European Economic community on Jan 1 1973
Important achievement of heaths premiership
Strengthened Britains economic links with European countries
Heath had to negotiate Britains entry after previous failed applications
Oil crisis (1973)
Arab-Israeli War led to an oil embargo and major oil price increases.
Increased inflation and production costs.
Worsened Britains economic difficulties
Made heaths economic problems harder to solve
General Election (1974)
Heath called an election during the miners strikes
Campaign Sligo “who governs Britain?”
Conservatives won more votes but Labour won more seats
Heath failed to form a government
Labour returned to power under Harold Wilson