Although Thatcherism shared Reaganomics’ contempt for ‘big
government’ and large state bureaucracies, it showed little
fondness for decentralization and the virtues of local government.
In fact, Thatcher disliked local governing authorities, often viewing
them as highly inefficient and susceptible to the corrupting
influence of political patronage. For example, she made the highly
controversial decision to abolish local tax rates and replace them
with the infamous ‘poll tax’ – or ‘community charge’ – on a per head
basis. This had the problematic effect of making fewer revenues
available to local councils. Subjected to severe criticism from the
public and members of her own party, the Prime Minister
ultimately reversed her position.