Thursday 10th December 1981
Dreadful meeting with Chancellor et al on MTFS [Medium Term Financial Strategy]. Very confused about money GDP guidelines
MTFS meeting - Nick Ridley and Jock [John Bruce-Gardyne] wanted to politicise it all - no targets etc. - shambles - Terry [Terence Burns] presented my case of GNP (money) trend rates. GH on about getting off £M3.
Jock very wary of bank lending money on sideline - but Terry is going towards Ex. Rate target with IMF. [Different pen used from this point] - again M1 better than M3