This podcast episode discusses the tumultuous first few months of Harold Wilson's 1974 government, focusing on the economic crisis, internal conflicts within the government, and rumors of a right-wing coup. The hosts detail the chaotic atmosphere in Number 10 Downing Street, highlighting the dominant role of Marcia Williams, Wilson's private secretary, and her fraught relationship with Wilson and his wife. They also explore the social contract, a failed attempt to curb inflation through union agreements, and the alarming rise in inflation rates, five times higher in Britain than other European countries. The episode concludes with the discussion of plans for a right-wing coup, fueled by anxieties about economic instability and the perceived threat of communism, culminating in Wilson's decision to call a second general election. The high tax rates imposed on the wealthy, reaching 83% for income tax and 98% for investments, are cited as a key factor contributing to the political climate.
