MARGARET THATCHER ON CONSERVATISM (1975)
From Speech to the Conservative Party Conference

Our Leaders have been different men with different qualities and different Styles, but they all had one thing in common: each met the challenge of his time.

Now, what is the challenge of our time? I believe there are two: to overcome the country's economic and financial problems, and to regain our confidence in Britain and ourselves. . . .

Whatever could I say about Britain that is half as damaging as what this Labour Government has done to our country? Let us look at the record. It is the Labour Government that has caused prices to rise at a record rate of 26 per cent a year. They told us the Social Contract would solve everything, but now everyone can see that the so-called Contract was a fraud -- a fraud for which the people of this country have had to pay a very high price. It is the Labour Government whose past policies are forcing unemployment higher than it need ever have been. Thousands more men and women are losing their jobs every day, and there are going to be men and women, many of them youngsters straight out of school, who will be without a job this winter because Socialist Ministers spent last year attacking us instead of attacking inflation.

It is the Labour Government that brought the level of production below that of the three-day week in 1974. We have really got a three-day week now, only it takes five days to do it. It is the Labour Government that has brought us record peace-time taxation. They have the usual Socialist disease: they have run out of other people's money. It is the Labour Government that has pushed public spending to record levels. How have they done it? By borrowing and borrowing. Never in the field of human credit has so much been owed. . . .

I sometimes think the Labour Party is like a pub where the mild is running out. If someone does not do something soon all that is left will be bitter, and all that is bitter will be Left.

Whenever I visit Communist countries their politicians never hesitate to boast about their achievements. They know them all by heart; they reel off the facts and figures, claiming this is the rich harvest of the Communist system. Yet they are not prosperous as we in the West are prosperous, and they are not free as we in the West are free.

Our capitalist system produces a far higher standard of prosperity and happiness because it believes in incentive and opportunity, and because it is founded on human dignity and freedom. Even the Russians have to go to a capitalist country -- America -- to buy enough wheat to feed their people -- and that after more than fifty years of a State-controlled economy. Yet they boast incessantly, while we, who have so much more to boast about, for ever criticize and decry. Is it not time we spoke up for our way of life? After all, no Western nation has to build a wall round itself to keep its people in.

So let us have no truck with those who say the free enterprise system has failed. What we face today is not a crisis of capitalism but of Socialism. No country can flourish if its economic and social life is dominated by nationalization and State control. . . .

We export more of what we produce than either West Germany, France, Japan or the United States, and well over 90 per cent of these exports come from private enterprise. It is a triumph for the private sector and all who work in it, and let us say so loud and clear.

With achievements like that who can doubt that Britain can have a great future, and what our friends abroad want to know is whether that future is going to happen.

Well, how can we Conservatives make it happen? Many of the details have already been dealt with in the Conference debates. But policies and programmes should not just be a list of unrelated items. They are part of a total vision of the kind of life we want for our country and our children. Let me give you my vision: a man's right to work as he will, to spend what he earns, to own property, to have the State as servant and not as master-these are the British inheritance. They are the essence of a free country and on that freedom all our other freedoms depend.

But we want a free economy, not only because it guarantees our liberties, but also because it is the best way of creating wealth and prosperity for the whole country, and it is this prosperity alone which can give us the resources for better services for the community, better services for those in need.

By their attack on private enterprise, this Labour Government has made certain that there will be next to nothing available for improvements in our social services over the next few years. We must get private enterprise back on the road to recovery, not merely to give people more of their own money to spend as they choose, but to have more money to help the old and the sick and the handicapped. And the way to recovery is through profits, good profits today leading to high investment, leading to well-paid jobs, leading to a better standard of living tomorrow. . . . The trouble here is that for years the Labour Party has made people feel that profits are guilty unless proved innocent. . . .

There is one part of this country where, tragically, defiance of the law is costing life day after day. In Northern Ireland our troops have the dangerous and thankless task of trying to keep the peace and hold a balance. We are proud of the way they have discharged their duty. This party is pledged to support the unity of the United Kingdom, to preserve that unity and to protect the people, Catholic and Protestant alike. We believe our Armed Forces must remain until a genuine peace is made. Our thoughts are with them and our pride is with them, too.

I have spoken of the challenges which face us here in Britain -- the challenge to recover economically and the challenge to recover our belief in ourselves -- and I have shown our potential for recovery. I have dealt with some aspects of our strength and approach and I have tried to tell you something of my personal vision and my belief in the standards on which this nation was greatly built, on which it greatly thrived and from which in recent years it has greatly fallen away. I believe we are coming to yet another turning point in our long history. We can go on as we have been going and continue down, or we can stop and with a decisive act of will say 'Enough'.

Let all of us here today, and others far beyond this hall who believe in our cause, make that act of will. Let us proclaim our faith in a new and better future for our party and our people; let us resolve to heal the wounds of a divided nation, and let that act of healing be the prelude to a lasting victory.

Source: From The Revival of Britain: Speeches on Home and European Affairs, 1975-1988, Margaret Thatcher, ed by Alistair Cooke, Aurum, 1989.