Norman Lamont facts for kids
Quick facts for kids
The Lord Lamont of Lerwick
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Official portrait, 2019
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| Chancellor of the Exchequer | |
| In office 28 November 1990 – 27 May 1993 |
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| Prime Minister | John Major |
| Preceded by | John Major |
| Succeeded by | Kenneth Clarke |
| Chief Secretary to the Treasury | |
| In office 24 July 1989 – 28 November 1990 |
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| Prime Minister | Margaret Thatcher |
| Preceded by | John Major |
| Succeeded by | David Mellor |
| Financial Secretary to the Treasury | |
| In office 21 May 1986 – 24 July 1989 |
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| Prime Minister | Margaret Thatcher |
| Preceded by | John Moore |
| Succeeded by | Peter Lilley |
| Minister of State for Defence Procurement | |
| In office 2 September 1985 – 21 May 1986 |
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| Prime Minister | Margaret Thatcher |
| Preceded by | Adam Butler |
| Succeeded by | The Lord Trefgarne |
| Minister of State for Trade and Industry | |
| In office 14 September 1981 – 2 September 1985 |
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| Prime Minister | Margaret Thatcher |
| Preceded by | Norman Tebbit |
| Succeeded by | Peter Morrison |
| Parliamentary Under-Secretary of State for Energy | |
| In office 7 May 1979 – 5 September 1981 |
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| Prime Minister | Margaret Thatcher |
| Preceded by | Alex Eadie |
| Succeeded by | David Mellor |
| Member of the House of Lords Lord Temporal |
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| Assumed office 19 October 1998 Life peerage |
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| Member of Parliament for Kingston-upon-Thames |
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| In office 4 May 1972 – 8 April 1997 |
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| Preceded by | John Boyd-Carpenter |
| Succeeded by | Constituency abolished |
| Personal details | |
| Born |
Norman Stewart Hughson Lamont
8 May 1942 Lerwick, Shetland, Scotland |
| Political party | Conservative |
| Spouses |
Rosemary White
(m. 1971; div. 1999) |
| Children | 2 |
| Education | Loretto School |
| Alma mater | Fitzwilliam College, Cambridge |
Norman Stewart Hughson Lamont, Baron Lamont of Lerwick (born 8 May 1942) is a British politician. He was a Conservative MP for Kingston-upon-Thames. He is best known for being the Chancellor of the Exchequer (the UK's finance minister) from 1990 to 1993. In 1998, he became a life peer, which means he can sit in the House of Lords for life.
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Early Life and Education
Norman Lamont was born in Lerwick, a town in the Shetland Islands of Scotland. His father was a surgeon there.
He went to Loretto School in Scotland. Later, he studied economics at Fitzwilliam College, Cambridge University. While at Cambridge, he was the head of the university's Conservative Association. He was also the President of the Cambridge Union Society in 1964, which is a famous debating society.
Career Before Politics
Before he became a Member of Parliament, Norman Lamont worked in finance. He worked for N M Rothschild & Sons, a well-known investment bank. He became a director at Rothschild Asset Management.
Even after leaving Parliament, he continued to work in the financial world. He has been a director and advisor for various companies. He also serves as the Honorary President of the British Romanian Chamber of Commerce.
Early Political Career
Becoming a Member of Parliament
Norman Lamont first tried to become a Member of Parliament in 1970. He ran for the Kingston upon Hull East seat but lost. Two years later, on 4 May 1972, he won a special election (called a by-election). This made him the MP for Kingston-upon-Thames.
Working as a Junior Minister
Lamont served in the governments led by Margaret Thatcher and John Major for 14 years. He worked in different government departments. These included Energy, Industry, Defence, and the Treasury.
In 1986, he moved to the Treasury, which handles the country's money. He became the Financial Secretary to the Treasury. Then, in 1989, he became the Chief Secretary to the Treasury. In this role, he worked closely with the Chancellor of the Exchequer.
During this time, the UK decided to join the European Exchange Rate Mechanism (ERM). This was a system that linked the value of the British pound to other European currencies. Lamont supported this decision, even though he later had doubts.
In 1990, Norman Lamont helped John Major become the new leader of the Conservative Party and Prime Minister.
Chancellor of the Exchequer
When John Major became Prime Minister, he appointed Norman Lamont as the new Chancellor of the Exchequer. This is one of the most important jobs in the government, as the Chancellor is in charge of the country's economy and finances.
Managing the Economy
When Lamont became Chancellor, the UK was facing high inflation (prices rising quickly) and a recession (the economy shrinking). His main goal was to bring inflation down. To do this, interest rates were kept high.
In 1991, he famously said that "rising unemployment and the recession have been the price that we have had to pay to get inflation down. That price is well worth paying." This comment was often remembered. Inflation did fall significantly during his time as Chancellor.
He also spoke about "Green shoots of economic spring." This meant he saw signs that the economy was starting to recover. While some people criticized this comment at the time, the economy did start to grow again soon after.
Dealing with the Maastricht Treaty
As Chancellor, Lamont was involved in talks about the Maastricht Treaty. This treaty led to the creation of the European Union and plans for a single European currency.
Norman Lamont was against Britain joining a single European currency. He worked hard to make sure Britain had an "opt-out" clause. This meant the UK would not be forced to join the single currency if it didn't want to. He even walked out of a meeting to make his point clear, and his demands were met.
Leaving the Exchange Rate Mechanism
The policy of keeping the pound linked to other currencies through the ERM became very difficult. Germany's economy was different from Britain's, which caused problems.
On 16 September 1992, known as Black Wednesday, the British government was forced to withdraw the pound from the ERM. This happened despite Lamont's efforts to keep the pound in the system. The government tried to raise interest rates very high to protect the pound's value, but it didn't work.
Lamont faced a lot of criticism after Black Wednesday. He famously said he was "singing in the bath" that morning, which some people took to mean he was happy about leaving the ERM. He later explained it was just a comment about the nice weather.
After the ERM Exit
After leaving the ERM, Lamont had two big jobs. First, he had to create a new plan for managing the economy. He introduced "inflation targeting." This meant the government set a specific goal for how much prices should rise each year. This new approach helped make the Bank of England more independent later on.
Second, he had to deal with the country's rising debt. The recession had reduced tax money and increased government spending. In his 1993 budget, he announced tax increases to help fix the country's finances. Many people criticized this budget at the time, but some later praised it for helping the economy recover.
Resignation from Office
On 27 May 1993, Norman Lamont resigned as Chancellor. He felt he had been treated unfairly. In his resignation speech, he said the government seemed "in office but not in power."
After Being Chancellor
After leaving his role as Chancellor, Norman Lamont became a strong critic of the government. He became known as a "Eurosceptic," meaning he was doubtful about Britain's close ties to the European Union.
Views on Brexit
Lamont was one of the first major politicians to suggest that Britain might leave the European Union. In 1994, he argued that leaving the EU should be considered a serious option. He believed that Britain did not gain many clear benefits from being a member. He also said that Britain was not "winning the argument in Europe" about its future direction.
He didn't say Britain should leave immediately. However, he warned that the idea of leaving might become important in politics again. He suggested looking at different ways Britain could work with Europe, including leaving the main EU structure.
1997 Election and Peerage
For the 1997 general election, Norman Lamont's local area was changed. He tried to become a candidate for a new seat but was not chosen. He then ran for a different seat in Yorkshire but lost the election.
In 1998, he was made a life peer. This meant he became Baron Lamont of Lerwick and could sit in the House of Lords.
Later Life and Advice
After leaving the House of Commons, Norman Lamont continued to be involved in public life. He has advised various organizations and political figures. He became the president of the Economic Research Council, a think tank focused on economics.
He has also given advice to important figures, including Yanis Varoufakis, who was the Greek Finance Minister in 2015.
Images for kids
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Official portrait, 2019
