Cabinet minister
Labour returned to government under Harold Wilson in October 1964 following a general election, defeating Alec Douglas-Home's Conservative government by winning a slim majority of four seats, thus ending 13 years of successive Conservative governments. Wilson had selected his core Cabinet four months prior to the election; Castle knew Wilson intended to place her within his Cabinet, which would make her the fourth woman in British history ever to hold position in a Cabinet, after Margaret Bondfield, Ellen Wilkinson and Florence Horsbrugh.
Castle entered the Cabinet as the first Minister for Overseas Development, a newly created ministry for which she, alongside the Fabian Society, had drawn up the plans. For the previous year she had acted as the opposition spokeswoman on overseas development. Castle's plans were extensive, though the ministry's budget was modest. She set about trying to divert powers from other departments related to overseas aid, including the Foreign Office and the Treasury. She was only partially successful in her aims and provoked an internal Whitehall dispute in the process.
In June 1965 Castle announced interest-free aid loans would be available to certain (not exclusively Commonwealth) countries. She had previously criticised the Conservative government for granting loans that only waived interest for up to the first seven years, which she considered to be counter-productive.
In August, Castle published the government white paper Overseas Development: The Work of a New Ministry. The financial commitments of the ministry were omitted from the report, after a protracted clash between Castle and her cabinet colleagues James Callaghan (Chancellor of the Exchequer) and George Brown (Secretary of State for Economic Affairs). Labour had made a manifesto promise to increase aid spending to 1% of gross national product, almost double Conservative spending. However, the national economy was unstable, public resentment towards the Commonwealth was growing due to immigration, and within Cabinet aid was viewed with either indifference or contempt. Castle grappled with Callaghan and Brown over the department's budgetary allocation; they reached a compromise following Wilson's intervention, but the sum only amounted to a small increase in spending.
Initially reluctant to head up the department, Castle accepted the role of Minister of Transport (23 December 1965 – 6 April 1968) in a Cabinet reshuffle after Wilson proved persuasive.
In February 1966, Castle addressed Parliament, calling for "a profound change in public attitudes" to curtail increasing road fatality figures, stating: "Hitler did not manage to kill as many civilians in Britain as have been killed on our roads since the war". The statistics bore out; between 1945 and the mid-1960s approximately 150,000 people were killed and several million injured on Britain's roads.
She introduced the breathalyser to combat the then recently acknowledged crisis of drink-driving. Castle said she was "ready to risk unpopularity" by introducing the measures if it meant saving lives. She was challenged by a BBC journalist on The World This Weekend, who described the policy as a "rotten idea" and asked her: "You're only a woman, you don't drive, what do you know about it?" In the 12 months following the introduction of the breathalyser, Government figures revealed road deaths had dropped by 16.5%.
Castle also made permanent the national speed limit (70 mph). Having been introduced as a four-month trial by outgoing Transport Minister Tom Fraser in December 1965, Castle first extended the limit period in 1966 and in 1967 made the limit permanent, following a controversial report from the Road Research Laboratory concluding that motorway casualties had fallen 20% since its introduction.
During a tour of New York City in October 1966, where Castle was examining the impact of traffic problems in American cities, she vocalised plans to introduce a London congestion charge, which was to be introduced as soon as the technical details of fee collection were solved. Castle urged New York's Transport Commissioner to adopt the same policy, describing plans for more roadways as "self-defeating", stating the solution was "more and better mass transit systems".
Castle also sanctioned the construction of the Humber Bridge, which was the world's longest suspension bridge upon its opening in 1981. In late 1965, the Labour MP for nearby Kingston upon Hull North died, triggering a by-election. The marginal seat was of critical importance to the government and its loss would have reduced Labour's majority in the House of Commons to just one. Harold Wilson invoked Castle to find the necessary funding and promise the bridge's construction as an 'election sweetener'. The move paid off, with Labour holding the seat.
She presided over the closure of approximately 2,050 miles of railways as she enacted her part of the Beeching cuts—a betrayal of pre-election commitments by the Labour party to halt the proposals. Nevertheless, she refused closure of several lines, one example being the Looe Valley Line in Cornwall, and introduced the first Government rail subsidies for socially necessary but unprofitable railways in the Transport Act 1968.
One of her most memorable achievements as Transport minister was to pass legislation decreeing that all new cars had to be fitted with seat belts. Despite being appointed to the Ministry of Transport, a role which she was originally unenthusiastic about, Castle could not actually drive herself, and was chauffeured to functions. (The Labour politician Hazel Blears recalled driving Castle at one time as a young Labour Party activist in the 1980s.) Despite her lack of a driving licence, she attracted controversy when she told local government leaders to give added emphasis to motor vehicle access in urban areas, as "most pedestrians are walking to or from their cars."
Castle and her husband, Edward Castle, bought a new flat in John Spencer Square in late 1967 while she was the Minister of Transport.
As Secretary of State for Employment, Castle was also appointed First Secretary of State by Wilson, bringing her firmly into the heart of government. She was never far from controversy which reached a fever pitch when the trade unions rebelled against her proposals to reduce their powers in her 1969 white paper, 'In Place of Strife'. This also involved a major cabinet split, with threatened resignations, hot tempers and her future nemesis James Callaghan breaking ranks to publicly try to undermine the bill. The whole episode alienated her from many of her friends on the left, with the Tribune newspaper railing very hard against the bill, which they held to be attacking the workers without attacking the bosses. The split is often said to have been partly responsible for Labour's defeat at the 1970 general election. The eventual deal with the unions dropped most of the contentious clauses.
Castle also helped make history when she intervened in the Ford sewing machinists' strike of 1968, in which the women of the Dagenham Ford Plant demanded to be paid the same as their male counterparts. She helped resolve the strike, which resulted in a pay rise for Ford's female workers bringing them to 92 per cent of what the men received. Most significantly, as a consequence of this strike, Castle put through the Equal Pay Act 1970. A 2010 British film, Made in Dagenham, was based on the Ford strike. She was portrayed by Miranda Richardson.
In April 1970, Castle's husband, Ted, lost his position as an alderman of the Greater London Council. He was devastated and although he was supportive of his wife's achievements, he considered himself a failure compared to her. Upset and concerned by her husband's distress, Barbara persuaded Wilson to grant Ted a peerage.
