Boost for Wilson in new reports

Press, Volume CXIV, Issue 33653, 1 October 1974, Page 17

Boost for Wilson in new reports

(N.Z.P.A.-Reuter—Copyright) LONDON, September 30. The British Prime Minister (Mr Wilson) enters the second week of the General Election campaign today armed with a report which indicates that his Labour Government’s policies are helping Britain’s ailing ecenomy. The monthly economic assessment by the Treasury gives good news on prices, unemployment, balance of trade, manufacturing output, and retail sales. It says that there has been significant progress in reducing the overseas trade deficit, excluding the higher price paid for oil.

The report adds that there was almost no average rise in prices in August, and that there was a recovery of industrial output, including a sharp rise in stocks, in the second quarter of the year.

This encouraging message comes at an ideal time for Mr Wilson in his fight to win a strong Parliamentary majority in the election on October 10. Last week, both the Conservative and Liberal parties accused him of trying to paint a falsely rosy

picture of Britain’s economic outlook. Mr Wilson has insisted that the policies of his six-month-old minority Government are working, and that with a strong majority he could solve the country’s economic woes.

In a speech last night, he attacked a statement by the Leader of the Conservative Opposition (Mr Edward Heath) that Britain would have a 30 per cent inflation rate by next year. “It has become increasingly clear over the past week that the Conservative leadership have, or think they have, a vested interest in exaggerating and falsifying the facts about Britain’s economic position,” Mr Wilson said.

According to the latest opinion polls most of Britain’s 40 million voters favour the Labour Party, and its policies of more nationalisation and a “social contract” with the trade unions — a voluntary agreement on wage restraint. Three polls published over the week-end gave Labour leads ranging from 4 to 9 per cent. Coalition issue But the findings show that if no party wins a clear majority, more than half of those surveyed would prefer a coalition instead of returning to the situation of minor-

ity Government which the country has had since February.

Mr Heath has called for co-operation between the parties because of the economic crisis, and would probably accept a coalition if no clear winner emerged. The Liberal leader, Mr Jeremy Thorpe, may also be inclined towards inter-party co-operation, although he seems to have little confidence in Mr Heath.

Mr Wilson has rejected the idea, and would probably prefer to take his party into Opposition if it could not form a government.

Change advocated Three members of the Liberal Party’s national executive have proposed that the party should change its name to the Liberal and Social Democratic Party. The proposal which will be submitted to the party’s national council, states that a realignment of the radical forces in British politics is essential, and that minority groups in both Labour and Conservative parties could join the Liberal Party if the suggested change of name were made.

The principles and basic policies need not be changed, and the party could still be referred to as the Liberal Party.