Harold Macmillan 1957 - 1963

• Selected to steady the Conservative Ship in the wake of Suez

• Re-assuring and well-connected

• Continued Keynsian ideas to encourage full employment

• Avoided confrontation with Unions
• ‘Stop-go’ Economics
• Using interest rates and tax rates to stabilise economy
• Lack of plan - letting free market direct investment and prices, but reacting to consequences.
• Stagflation
• Stagnant growth rates but rising inflation