Economy: Alan Walters diary (budget) [Fowler under pressure to make reduction in benefits; Walters fears Bank of England will kill indexed gilts issue][released 2012]

Document type:	Declassified documents
Source:	Walters MSS (Churchill Archives Centre): WTRS3/1/2
Editorial comments:	Read other entries from this diary. View all Walters documents. The original diary can be studied here
Importance ranking:	Major
Word count:	130
Themes:	Monetary policy, Taxation

Thursday 18th March 1982

Most morning spent on WW’s [William Whitelaw] taxi Consultative paper - OK in right direction

Norman Fowler said under pressure to make good 5% reduction in Benefits due to inability to tax them last year - PM furious - Fowler does a U turn yet again.

Law + order cabinet

Idiotic reply on Youth recruitment bias in Civil Service by Janet Young’s office.

- wrote note to Willie Ricket [sic: Rickett] pointing out the obvious inconsistencies + errors.

Memo to PM on Amersham

Phoned E. George since I was worried about the Bank killing the IG [Indexed Gilts] issue by sinking the yield below the existing 1996 IG Secondary market yield - it would kill the bid system. I thought 95 was about right - 3% or so