The PM [Callaghan] said he is 'a supporter of Brazil'. Wants immigrants to marry UK natives, 'decent white Britons', and let us have a coffee-coloured community, but one single community, not this inflow of different cultures into a so-called 'multicultural society'.

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Never let me hear anyone say again that a Socialist State cannot provide outlets for those with initiative. The rewards given to ability in the U.S.S.R. at all levels are far greater than those given to the employed in capitalist Britain. I have seen it and it works.

I have not the slightest doubt that the economic measures and the Socialist measures which one will find in countries of Eastern Europe, will become increasingly powerful against the uncoordinated, planless society in which the West is living at present.

Peace-or-war, not cost-of-living, was the most important issue at the election. He did not believe that peace with Stalin would be easy to achieve. Some delegates seemed to think it was all a matter of “getting together with Joe.” Had they forgotten their Marxism, and its interpretation of history. That was what they were dealing with, not Uncle Joe.

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The goals of our education, from nursery school through to adult education, are clear enough. They are to equip children to the best of their ability for a lively, constructive, place in society, and also to fit them to do a job of work. Not one or the other but both. ... There is no virtue in producing socially well-adjusted members of society who are unemployed because they do not have the skills. Nor at the other extreme must they be technically efficient robots. Both of the basic purposes of education require the same essential tools. These are basic literacy, basic numeracy, the understanding of how to live and work together, respect for others, respect for the individual. This means requiring certain basic knowledge, and skills and reasoning ability. It means developing lively inquiring minds and an appetite for further knowledge that will last a lifetime. It means mitigating as far as possible the disadvantages that may be suffered through poor home conditions or physical or mental handicap. Are we aiming in the right direction in these matters?

Our place in the world is shrinking: our economic comparisons grow worse, long-term political influence depends on economic strength – and that is running out. The country expects both full employment and an end to inflation. We cannot have both unless people restrain their demands. If the TUC guidelines [on pay] are not observed, we shall end up with wage controls once more and even a breakdown of democracy. Sometimes when I go to bed at night, I think that if I were a young man I would emigrate. But when I wake up in the morning, I ask myself whether there is any place else I would prefer to go.

We can truly say that once the Leader of the Opposition had discovered what the Liberals and the SNP were going to do, she found the courage of their convictions. So, this evening, the Conservative Party, who want the Act repealed and oppose even devolution, will march through the Lobby with the SNP, who want independence for Scotland, and with the Liberals, who want to keep the Act. What a massive display of unsullied principle! The minority parties have walked into a trap. If they win, there will be a general election. I am told that the current joke going round the House is that it is the first time in recorded history that turkeys have been known to vote for an early Christmas.

We used to think that you could spend your way out of a recession and increase employment by cutting taxes and boosting government spending. I tell you in all candour that that option no longer exists, and in so far as it ever did exist, it only worked on each occasion since the war by injecting a bigger dose of inflation into the economy, followed by a higher level of unemployment as the next step. Higher inflation followed by higher unemployment. We have just escaped from the highest rate of inflation this country has known; we have not yet escaped from the consequences: high unemployment. That is the history of the last twenty years.