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… - James Callaghan

For too long, perhaps ever since the war, we postponed facing up to fundamental choices and fundamental changes in our society and in our economy. This is what I mean when I say we have been living on borrowed time. For too long this country – all of us, yes this Conference too – has been ready to settle for borrowing money abroad to maintain our standards of life, instead of grappling with the fundamental problems of British industry. Governments of both parties have failed to ignite the fires of industrial growth in the ways that countries with very different political and economic philosophies have done.

5 per cent it is, and I have told the unions that they have all the weapons. We are naked in their presence and we need their co-operation.

I think there is a case for opening a national debate on these matters.