Economy: Alan Walters diary (budget) [Walters writes to PM opposing NIS reduction; Britain’s situation better than Ireland][released 2012]

Wednesday 10th February 1982

Memo to PM on Budget - recommending RW [Rooker Wise] +5% rather than NIS reduction - Treasury think that the 5% is “too expensive” Terry B. [Terry Burns].

We must get RW +5% as a minimum in budget but there is great CBI & Industry pressure for NIS

- Checked with JH [John Hoskyns] and he agreed entirely.

Lunch with Ray Whitney, Archie Hamilton and group - very agreeable - what could they do - I suggested telling C/E [Chancellor of the Exchequer] to keep a tight budget.

Compare Ireland - which followed the SDP/Wet policy - unemployment 13% inflation 25%, punt at 75p and immense B/P [balance of payments] deficit.

- this they can tell the troops

- Put long term strategy of getting out of Rail and Coal - a generation ahead

Dinner at David Hart’s - met DH’s mother