Margaret Thatcher

Margaret Thatcher was a British statesman who served as Prime Minister of the United Kingdom from 1979 to 1990. She was the first woman to hold the office, and her programme of economic liberalisation and of deregulation reshaped British politics and earned her the nickname the Iron Lady.

Early Life and Education

Thatcher was born in 1925 in Grantham, Lincolnshire, the daughter of a grocer and Methodist lay preacher. She was educated at the local grammar school and at Somerville College, Oxford, where she read chemistry.

She worked as a research chemist and later studied law, qualifying as a barrister. She was elected to Parliament in 1959 as the member for Finchley.

She served in the government of Edward Heath as Secretary of State for Education and Science. She became leader of the Conservative Party in 1975.

The Economic Programme

Thatcher came to office in 1979 at a time of high inflation, of industrial unrest, and of declining industrial competitiveness. She introduced a programme of monetary restraint, of privatisation, and of deregulation.

She reduced the power of the trade unions through a series of legislative measures. She privatised state-owned industries, including the telephone, gas, electricity, and water utilities.

She abolished exchange controls and reduced the highest rates of income tax. The policies were controversial and led to a deep recession and to high unemployment in the early 1980s.

The Falklands and the Cold War

Thatcher's determination was tested by the Argentine invasion of the Falkland Islands in 1982. She sent a naval task force and the islands were retaken.

The victory contributed to her re-election in 1983. She also took a firm line in the Cold War, and she formed a close relationship with President Ronald Reagan and with the Soviet leader Mikhail Gorbachev.

She opposed the reunification of Germany and was sceptical of European integration. Her Bruges speech of 1988 set out her objections to a federal Europe.

Resignation and Legacy

Thatcher resigned in 1990 after a challenge to her leadership. She was succeeded by John Major and was created a life peer.

She is regarded as one of the most influential peacetime Prime Ministers. Her supporters credit her with the revival of the British economy and with the restoration of national confidence.

Her critics point to the social costs of her policies and to the divisions that they created. Her legacy remains a subject of debate in British politics.

Influence

Thatcher's ideas influenced a generation of politicians, including Tony Blair and the architects of New Labour. The term Thatcherism is used to describe her combination of economic liberalism and of social conservatism.

She was a dominant figure in the politics of the 1980s and a symbol of the revival of the free market. She died in 2013 and was given a ceremonial funeral.

Her influence extended beyond Britain, and she was admired by conservative politicians throughout the world. Her name is associated with the politics of conviction.

The Rise within the Party

Thatcher was elected to Parliament in 1959 and held junior ministerial posts in the governments of Harold Macmillan and Alec Douglas-Home. She served as Secretary of State for Education and Science from 1970 to 1974.

She challenged Edward Heath for the leadership of the party in 1975 and won. She became the first woman to lead a major British political party.

She was influenced by the ideas of Friedrich Hayek and of Milton Friedman, and by the tradition of British liberalism. She believed in the importance of individual responsibility and of free markets.

The 1979 Election and the First Term

Thatcher became Prime Minister after the election of May 1979, which followed the winter of discontent. She inherited an economy in difficulty and a country divided by industrial conflict.

Her first budget raised interest rates and reduced public borrowing. The economy entered a deep recession, and unemployment rose above three million.

The government cut public spending and reduced the role of the state. The measures were unpopular and provoked protests and riots in several cities.

The Miners' Strike and Privatisation

The miners' strike of 1984 and 1985 was the most bitter industrial dispute of the period. The government had prepared for the confrontation by building up coal stocks.

The strike ended in defeat for the National Union of Mineworkers, and the coal industry was subsequently privatised. The closure of pits devastated mining communities.

The government privatised British Telecom, British Gas, British Airways, and the electricity and water industries. The sale of council houses to their tenants was also a flagship policy.

Europe and the Fall

Thatcher's relations with the European Community became increasingly difficult. She secured a rebate for Britain but opposed moves towards a federal Europe.

Her Bruges speech of 1988 set out her opposition to a European super-state. She was isolated within her own party on the issue of European integration.

She resigned in November 1990 after a leadership challenge. She was succeeded by John Major and retired from the House of Commons in 1992.

Assessment

Thatcher's supporters credit her with the modernisation of the British economy and with the restoration of national self-confidence. Her critics point to the social costs of her policies and to the increased inequality.

Her legacy remains contested. The divisions that she created were reflected in the debate over Brexit and over the role of the state.

She was a dominant figure in the politics of the twentieth century. Her name is associated with the politics of conviction and with the revival of the free market.

See also

• Thatcherism
• Prime Minister of the United Kingdom