The British Prime Minister, Mr Edward Heath, went on nation-wide television on Sunday (27 Feb) to warn his countrymen about the possible dangers of further inflation.
SCU Heath speaking
TRANSCRIPT: SEQ. 1: HEATH: "What concerns me about recent events is the double danger that has come very much into focus. Two challenges we have to face. One of them is rising prices, the bugbear that faces any government in modern times. The fight against rising prices must be fought with no holds barred. And now - after the miners' strike - it must go on more vigorously, not less. That conclusion is very clear. If we don't fight hard enough - or, oven worse, if we lose -then once again we all suffer, and no-one suffers more quickly or more surely than the poorer, weaker people in the community - the people with no big sticks to wave around. And of course the most effective thing we can do is to make sure that wage increases are reasonable. Because there is this very real and vicious circle of higher wages that lead to higher prices that lead to higher wages again without anyone being better off and it's very hard to get out of it. But very steadily we have been getting out of it. Wage claims are becoming more moderate, the rate of price rises is being brought under control. No other policy in recent years by any government has done that. The latest figures prove it, and people can see that for themselves. It's the only way to get a higher standard of living for everybody. We have absolutely no intention of throwing that away."
Initials SGM/0146 SGM/0125
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Background: The British Prime Minister, Mr Edward Heath, went on nation-wide television on Sunday (27 Feb) to warn his countrymen about the possible dangers of further inflation.
But he claimed that his government was slowly getting out of the spiral of rising wages and prices.
Mr Heath's television address came only hours before Britain's striking miners were to resume work after gaining wage increases well above the guidelines set down by the government.