January 9
The Defence Secretary, Michael Heseltine, has resigned from his Cabinet job in a row with Prime Minister Margaret Thatcher over the Westland affair. Mr Heseltine stormed out of a meeting a Number 10 today saying his views on the future of the Westland helicopter company were being ignored. He said the final straw came when Mrs Thatcher insisted all his public comments on Westland would have to be vetted by officials before being released. In a statement to reporters later this afternoon, Mr Heseltine said: "If the basis of trust between the Prime Minister and her Defence Secretary no longer exists, there is no place for me with honour in such a Cabinet." The row over the company's future has split the Cabinet. Mr Heseltine was alone among ministers backing a European consortium's rescue package - while Mrs Thatcher favoured the deal being proposed by the American Sikorski Fiat group. Mr Heseltine - with the backing of the Defence committee - claimed the European deal, which was initially worth more financially, could form the basis of a strong arms industry to rival the Americans. Critics claimed the orders were based on aircraft still in the design stage. Westland's directors are urging shareholders to back the Sikorski package. The American group has now offered to match the European offer. Its orders are also seen as more secure, because they are linked to aircraft already in production. Mrs Thatcher has appointed George Younger to replace Mr Heseltine as Defence Secretary. Malcolm Rifkind will take over the vacant role of Secretary of State for Scotland. Mr Heseltine's sensational departure from his Cabinet role is bound to fuel rumours that he is aiming for the top job, as Conservative party leader. Sir Anthony issued his own statement this evening: "When I returned to this country a month ago I hoped that my health had been sufficiently restored to enable me to carry out my duties effectively for some considerable time. That hope has not been realised. "I do not feel that it is right for me to continue in office as the Queen's First Minister knowing that I shall be unable to do my full duty by my Sovereign and the country." Sir Anthony underwent a series of operations to correct a gall bladder condition in 1953. But in recent months the abdominal symptoms have recurred and he has now been advised by his doctors to take rest. The Queen will decide who will become the next prime minister and leader of the Conservatives. It is thought the job will be given either to Harold Macmillan, current Chancellor of the Exchequer or to Rab Butler, leader of the House of Commons. Sir Anthony was prime minister for one year and 279 days. Although a popular leader when he was elected, many believe his controversial decision to use armed intervention in the Suez crisis last year was the beginning of his demise as prime minister. |