Contents

• Introduction
• The UK Economy under Margaret Thatcher
• Economy of UK under Sir John Major
• Economy of UK under Tony Blair
• Economy Beyond Tony Blair
• Summary and Conclusion
• References

Description

The UK industry is one of the oldest industries in the world. The UK has been one of the richest countries in the world along with the USA, Germany, Japan and Australia. However, more than the inherent problems in the UK economy or industries, the governmental policies often led to the decline of the UK economy (Economicshelp, 2009). Some of the policies were aimed at eradicating socialism such as the growth of labour unions. In the pursuit of eradicating socialism, the government in the 1970 deregulated many public institutions and banking sector (Economicshelp, 2009). The idea was to promote privatization. However, the private sector used the governmental policies to its advantage without vision on long term economic growth of the country. One such period in the history of the UK economy was the Thatcher era. The policies of deregulation, which were taken by the government during that time virtually, destroyed the UK economy for close to two decades until in 1997, when some of the deregulation policies were reversed. The UK economy saw revival and growth for many years until recession hit global market. The paper divides the last three decades of UK economy and business as UK under Thatcher in the period between 1979 and 1990, the UK under Sir John Major in the period between 1990 an 1997 and the period of the UK under Tony Blair between 1997 to 2007. The paper analyses the reasons for slump of UK economy for close to 20 years between 1979 and 1997. The paper also discusses the revival of the UK economy thereafter. The paper analyses the facts that led to the downfall and the facts and policies that led to resurrection.