PRESSURE BUILDS ON THATCHER TO CALL ELECTION
British Prime Minister Margaret Thatcher
came under fresh pressure for an early election today as
financial indicators bolstered the government's forecasts of a
boom in the economy following the budget earlier this week.
    Two of the country's leading lending institutions announced
cuts in home loans rates following Wednesday's cut in interest
rates by the main banks by half a point to 10 per cent.
    Analysts said today's reduction by Abbey National from
12.75 pct to 11.25, and one by the Halifax Building Society
from 12.25 to 11.25 in lending rates for house buyers would be
followed by other main institutions.
   One financial analyst commented: "I imagine the Abbey
National is being toasted in Downing Street (the prime
minister's residence) but not in the boardrooms of other big
societies."
    Coupled with income tax cuts announced by Chancellor of the
Exchequer (Finance Minister) Nigel Lawson in his budget last
Tuesday as well as recent opinion polls showing Thatcher's
rightwing Conservative Party well ahead of Labour and the
centrist Alliance, they said pressure was now building up on
Thatcher to call a general election as early as June.
    Yesterday there was more good news for Thatcher in the form
of a continuing drop in the number of unemployed, with
government minister predicting that it would fall below the
three million mark before long.
 Reuter
