Remarks made by the Prime Minister in May 1962

In this extract from the Cabinet minutes on 28 May 1962, Macmillan considers how inflation could be kept under control if everyone could be made to feel that they had a stake in an incomes policy. His ambitious plans for this ‘new approach’ (as he referred to it) were, however, overtaken by events: sackings in the Cabinet in July 1962, General de Gaulle’s veto of the British application for EEC membership in January 1963, the Profumo scandal in summer 1963 and Macmillan’s illness in 1963 which led him to stand down as Prime Minister.