Home
/
RELIGION & LIBERTY ONLINE
/
What Margaret Thatcher understood about income inequality
What Margaret Thatcher understood about income inequality
Nov 26, 2025 9:17 PM

Margaret Thatcher once told an interviewer, “Of course, I am obstinate in defending our liberties and our law. That is why I carry a big handbag.” During her time as Prime Minister, Thatcher’s handbag became an iconic symbol of her ability to handle opponents. The term “handbagging” even entered the Oxford English Dictionary (the verb “to handbag” is defined as: (of a woman politician), treat (a person, idea etc) ruthlessly or insensitively) to describe her rhetorical style.

Thatcher’s handbagging usually occurred during Question Time, the hour every day when members of the parliament ask questions of government ministers—including the prime minister—which they are obliged to answer. A prime example is in her last appearance as Prime Minister in the House of Commons, on November 22, 1990. Liberal Democrat MP Simon Hughes taunts her on the subject of e inequality.

Mr. Hughes: There is no doubt that the Prime Minister, in many ways, has achieved substantial success. There is one statistic, however, that I understand is not challenged, and that is that, during her 11 years as Prime Minister, the gap between the richest 10 per cent. and the poorest 10 per cent. in this country has widened substantially. At the end of her chapter of British politics, how can she say that she can justify the fact that many people in a constituency such as mine are relatively much poorer, much less well housed and much less well provided for than they were in 1979? Surely she accepts that that is not a record that she or any Prime Minister can be proud of.

The Prime Minister: People on all levels of e are better off than they were in 1979. The hon. Gentleman is saying that he would rather that the poor were poorer, provided that the rich were less rich. That way one will never create the wealth for better social services, as we have. What a policy. Yes, he would rather have the poor poorer, provided that the rich were less rich. That is the Liberal policy.

Mr. Hughes: No.

The Prime Minister: Yes, it came out. The hon. Member did not intend it to, but it did.

As Thatcher might say, those concerned with e inequality many not intend for it e out, but making the rich less rich is precisely what they want—indeed, it is the only thing that can solve the faux-problem of e inequality.

Consider the example given by Mr. Hughes that, “the gap between the richest 10 percent and the poorest 10 percent has widened substantially.” To simply the math, let’s say the bottom 10 percent in a country make between $0 and $10,000 a year while the richest 10 percent make an annual e of $100,000. That’s a minimum gap of $90,000 dollars.

Now imagine if the es doubled over a period of 10 years (and inflation stayed low). The poorest 10 percent would now make between $0 to $20,000 and the poorest would make $200,000. Everyone would appear to be better off yet e inequality also doubled. The gap is now $180,000—twice as much as it was a decade ago.

So is this a problem? It would only be a concern under three conditions: (a) if the e of the rich increased at the expense of the poor (through exploitation or injustice), (b) the increase was due to illegal activity, or (c) if you care about e inequality because you want to make the rich less rich, through confiscation or redistribution of e.

Preventing or correcting Condition B is a primary concern of the State while preventing or correcting Condition A is a primary economic concern of individual Christians. There are numerous Biblical injunctions and warnings against the injustice of allowing the rich to exploit the poor. But if that is not occurring, then Christians have no right to be concerned with how much e another person is generating. Jesus even told a parable about workers making different wages for the same work (Matthew 20:1-16). While the purpose of the parable was to teach us about the Kingdom of God rather than a managerial lesson on e parity, it does show that differences of e—even for the same work— is not inherently unfair.

Thatcher intuitively understood what her opponents were loathe to admit: They were less concerned about the plight of the poor than with the wealth of the rich. Even the liberal British expatriate Andrew Sullivan admits this was true of British liberals and socialists:

No culture I know of is more brutally unkind to its public figures, hateful toward anyone with a degree of success or money, or more willing to ascribe an individual’s achievements to something other than their own ability. The Britain I grew up with was, in this specific sense, profoundly leftist in the worst sense. It was cheap and greedy and yet hostile to anyone with initiative, self-esteem, and the ability to make money.

The clip below captures the left-liberal sentiment of the time perfectly. Yes: the British left would prefer to keep everyone poorer if it meant preventing a few getting richer.

Envy, even when is it disguised as egalitarianism, is a deadly sin. It is corrosive to the soul to envy the wealth of one’s neighbor and destructive to society when we desire the State use it’s power to redistribute the wealth of citizens simply to achieve the goal of more equalized es. Ms. Thatcher understood that concerns about e inequality were really about envy. She knew envy was consuming her opponents across the aisle, even though they couldn’t see what was hiding in their own hearts. We need to follow her example and expose e inequality for what it is, before it consumes our own nation as it did Great Britain.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Dear Millennials: Get Over Yourselves and Get to Work
This is a guest post by Michael Hendrix in response to the recent debate sparked by a provocative poston millennials and Gen Y “yuppie culture.” Michael serves as the director for emerging issues and research at the U.S. Chamber of Commerce in Washington, D.C. He is a graduate of the University of St. Andrews and a Texas native. By Michael Hendrix Over the past few weeks, much has been written on GYPSY unicorns and my generation’s dashed hopes (warning: strong...
Hours Cut Due To Obamacare? Follow Your Passion, Says Pelosi
According to Investor’s Business Daily, over 300 businesses are cutting employee hours and jobs to avoid Obamacare. If employers restrict employee work hours to 30 per week, then they avoid Obamacare mandates for health insurance. Jed Graham of Investor’s Business Daily says, “Data also point to a record low workweek in low-wage industries.” Casinos are one industry that exemply these cuts. In Grantville, Penn., the Hollywood Casino has told part-time workers they are now limited to no more than 30...
Multiple Companies Changing Insurance Plans Due To Obamacare
With Obamacare (the Affordable Health Care Act) set to begin on October 1, panies are changing their employee health care. For some, it’s a change in what benefits employees will receive; for others, employees will be losing health care all together and told to sign up under Obamacare. The Wall Street Journal did a “round-up” panies who’ve announced changes. Walgreens is the largest employer yet to disclose employee health care changes. [T]he drugstore giant disclosed a plan to provide payments...
A Confederacy of IRS Dunces
A few months ago I wrote about how when I was a young Marine I learned that when manding officer says, “I wish” or “I desire,” these expressions have the force of a direct order and should be acted upon as if they had given a direct order. If our CO were to say, even in musing to themselves, “I wish there was something that could be done about that,” we knew we should jump into action. The main problem...
Samuel Gregg: The Jesuit, Pope Francis and The Poor
Acton’s Director of Research, Samuel Gregg, offers some fresh thoughts on Pope Francis today at Crisis Magazine. Gregg points out that there has been much talk about “poverty” and the “poor” since the election of Pope Francis, but that this is nothing new in the Catholic Church. …Francis isn’t the first to have used the phrase “a poor church of the poor.” It’s also been employed in a positive fashion by figures ranging from the father of liberation theology, Gustavo...
Even in Prison There is Dignity in Work
In a program at Colorado’s Crowley County Correctional Facility, prisoners hand-make roof trusses and oak cabinets for use in Habitat For Humanity home. The inmates not only learn carpentry skills but the dignity of work: “For me, personally, having that apprenticeship was priceless,” said Mike Voss. He learned carpentry when he served time at Crowley and now, five years after being hired as a benchman carpenter, is a co-owner of Artisan Cabinetry in Denver. “Everything I’d done in the past...
Audio: Tea Party Catholic Heads to the Heartland
Samuel Gregg, Acton’s Director of Research, continues to promote his fine new bookTea Party Catholic: The Catholic Case for Limited Government, a Free Economy and Human Flourishing via radio interviews all across the country. Today, Sam spoke with Jan Mickelson on Des Moines, Iowa’s 50,000 watt WHO Radio. It was a fine conversation, with Mickelson calling the book “a spirited read,” well worth your time. To pick up a copy of your own, head over to the book’s website. Listen...
Subsidiarity, Community and Moussaka
Greece is, economically, a mess. With a youth unemployment rate exceeding 65 percent, leaving two-thirds of the nation’s young people unable to find a job, there is not much to celebrate in a country where family life – like many cultures – revolves around meals. Greece is also facing a sharp decline in population. Here is a story of what happens when people who love to cook, but have no one to cook for, meet people who love to eat,...
Audio: Sirico on Pope Francis, the Media, and the Future of The Catholic Church
Last week, the first major interview with Pope Francis was released to the world via a number of Jesuit journals; you can read the interview for yourself at America Magazine. As usually happens, major media outlets reported on the interview, often putting their own spin on it (the New York Times provides an example of this type of coverage here). This morning, Frank Beckmann of Detroit, Michigan’s WJR Radiocalled upon Acton President Rev. Robert A. Sirico to discuss what the...
Deadlines Approach for Novak Award and Calihan Fellowships
Are you seeking scholarships to offset graduate school costs? Have you e acquainted with an emerging scholar and would like to recognize this individual by nominating him/her for a prestigious award? If you are involved in academia and have a passion for work that values rule of law, limited government, religious liberty, and freedom in economic life, we mend you look into the Acton Institute’s scholarship programs. And we encourage you to do so quickly, for important deadlines are rapidly...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved