Threats to Equilibrium 1957–61

Abstract

Like an overfall in the tide, caused by an upsurge striking a rough configuration in the ocean bed, the years 1955–57 created powerful eddies of disruption, but did not alter the underlying currents in government. The history of the next four years could be written in terms of Conservative success in survival, particularly in the unprecedented feat of winning the third election in a row in 1959. But the field of industrial, labour and financial politics began to be dominated by the dissatisfaction of institutions, themselves concerned about worries, and even anger among their members. Meanwhile, inside government and its departments, the antitheses between growth and the balance of payments, between employment and price equilibrium were not synthesised, and instead an attempt occurred, in 1961, to break out of the cycle in what looked like novel ways.¹

Because of the thirty year rule, prohibiting access to state archives after 1954, it becomes progressively harder to write about policy evolution and thinking inside the Treasury, BOT and MOL. Up to 1955–56, existing trends can be followed; but the next two years were sufficiently disruptive to prevent this for 1957–61.I have relied increasingly, therefore, on interview material, on the institutions’ records of transactions with departments and after 1962 on departmental papers to and discussions inside NEDC.