Frontman Andy Partridge sensed that he was losing the band's leadership, partly due to Moulding providing all of their charting singles to date and the resultant favouritism attracted from their label Virgin Records. He attempted to exert more authority in the group, later calling himself "a very benevolent dictator." Guitarist Dave Gregory disagreed, recalling that the band was "pretty tired" and that Partridge "could be a little bit of a bully." Moulding offered: "Virgin wanted a quick follow-up to 'Nigel.' I felt pressured but Andy was champing at the bit to redress the balance and prove that he could write a chart hit, too." To follow "Nigel", the band recorded Partridge's "Wait Till Your Boat Goes Down" with production by Phil Wainman of Bay City Rollers fame. Partridge thought of the song as the band's "Hey Jude" and expected that it would catapult the group's successes. Instead, it was their lowest-selling single to date.