Economy: Alan Walters diary (budget) [PM annoyed at leaks; “pounced on Soames”. Nott gave confusing account of Defence plans][released 2012]

Document type:	Declassified documents
Source:	Walters MSS (Churchill Archives Centre): WTRS 3/1/1
Editorial comments:	Read other entries from this diary. View all Walters documents. The original diary can be studied here
Importance ranking:	Major
Word count:	104
Themes:	Defence (general), Employment, Monetary policy, Public spending & borrowing

Thursday 18th June 1981

PM asked me to prepare her for employment debate - ideas on what to use etc

Cabinet - PM very annoyed at leaks. Defends No. 10 staff. Pounced on Soames who suggested it might have been No. 10 staff. Guardian got a very wet version. Tim [Tim Lankester] thinks from Prior who met Ian Aitken. PM clearly thinks that too!

Defence - Nott gave a very confusing account to cabinet - 3 percent for 6 years. GH [SirGeoffrey Howe] said only 3 percent for two. Willie [William Whitelaw ] compromised with 4 years. And Nott got a special RPE effect!