Margaret Thatcher that Foreign Secretary James Callaghan warned his fellow Labour Cabinet members in 1974 of the possibility of "a breakdown of democracy", telling them: "If I were a young man, I would emigrate." In mid-1978, the economy began to recover and opinion polls showed Labour in the lead, with a general election being expected later that year and a Labour win a serious possibility. Now Prime Minister, Callaghan surprised many by announcing on 7 September that there would be no general election that year and he would wait until 1979 before going to the polls. Thatcher reacted to this by branding
Diana Gould – Margaret Thatcher exchange the Falklands, but Thatcher avoided repeating that it had not. She said the full facts would be published in about 30 years, adding: "I think it could only be in Britain that a Prime Minister was accused of sinking an enemy ship that was a danger to our navy, when my main motive was to protect the boys in our navy." Gould suggested the sinking had put an end to a Peruvian peace proposal, but according to Thatcher, the proposal had not arrived in London until after the sinking. At several points the women clearly became irritated with one another.