Margaret Thatcher’s legacy
Margaret Thatcher is demonized by the Left for showing that free market policies work, which is more than can be said for Socialist ones. She left Britain in a far better place than it was in when she first took office. She was Prime Minister of the United Kingdom from 1979 to 1990, and made several significant contributions that must be viewed positively.
She revitalized the British economy by implementing free-market reforms that reduced inflation, controlled public spending, and curbed the power of trade unions. These moves helped stabilize the British economy after a period of stagnation and inflation in the 1970s.
Thatcher spearheaded the privatization of major state-owned companies such as British Telecom, British Gas, and British Airways. This helped promote competition, increased efficiency, and gave millions of ordinary citizens the chance to own shares in former public enterprises. When she took office, there were four times as many members of trade unions as there were shareowners. When she left office, more people owned shares than were members of trade unions.
She promoted home ownership by having her government introduce the Right to Buy scheme, which allowed many council (social) housing tenants to purchase their homes at discounted prices. This led to a significant rise in home ownership in the UK. When she took office, 35 percent of people lived in social housing. By the time she left office, many had become private home-owners.
Thatcher strengthened the UK’s global standing by taking a firm stand against the Argentine Junta in the Falklands War (1982), which led to the successful liberation of the Falkland Islands. This boosted national morale and Britain's international image. She also cultivated strong transatlantic relations, maintaining a close alliance with the United States, particularly with President Ronald Reagan She allowed cruise missiles to be stationed in the UK to counter the Soviet SS20s aimed at Europe. Her stance helped reinforce the Western position during the Cold War and supported the eventual demise of Soviet power.
She reduced the power of trade unions by requiring secret ballots to elect leaders, and secret votes by union members before strike actions could be taken. She banned secondary picketing. Her actions reduced the ability of unions to call disruptive strikes, leading to fewer wildcat strikes, work stoppages and to higher industrial productivity. The UK went from having the most days lost by strike action in Europe when she took office, to having the fewest days lost when she left office.
Her educational reforms introduced school choice for parents and the ability of schools to opt out of local authority control. She supported standards in education, including the introduction of a national curriculum and standardized testing, which were aimed at raising academic performance and accountability.
She encouraged an entrepreneurial culture by championing individual enterprise, deregulation, and low taxation to foster entrepreneurship and a culture of self-reliance and innovation. Under her Chancellors, the top rate of income tax went down from 83% (or 98% if you added the 15% investment income surcharge) to a top rate of 40%. And the basic rate was lowered to 25%. Famously the Stock Market ‘Big Bang’ freed up the market in shares and investment to enable London to become, along with New York, the major focal point of world finances.
The Left hated her, even though she made Britain prosperous and respected once again, but many wish we had someone with her insight and determination to fix the many problems that the country faces today.
Madsen Pirie