1 mai 1980 - Inflation peaked at 22%

Description:

Initial attempts in decreasing inflations was not looking promising. Inflation was rising after the 1979 election, resulting in the support for ERM.
Despite this inflation began to decrease under Thatcher due to increase interest rates.

However this also caused loans to business to be more expensive and so productivity decrease. The value of the pound increased which decreased exports. This caused an economic recession which led to high unemployment.

Those losing jobs were often in the Midlands, North and South of Wales. These areas were coal and steel industry heavy, a business shutting down due to the modernization of Britain.