,
Andy Partridge, and
Dave Gregory. XTC's previous album
Mummer was their first work after resigning from live performances in 1982. It was released in August 1983 after several months of delays due to the band's creative difference with producer
Steve Nye and
Virgin Records Virtually every contemporary review of the album accused the band of falling out of touch with the contemporary music climate. Bassist
Colin Moulding thought that "when we came back from America after our aborted tour of 1982 ... people like
Spandau Ballet had moved onto the scene; new groups were coming up and there was no place for us." Dissatisfied with the downturn in their career, drummer
Terry Chambers quit the group early in the
Mummer sessions to take care of his wife and newborn child in Australia. Immediately after
Mummer, he stated that he thought the next album would have a more
contemporary R&B sound and that the band were "conscious of wanting to get away from the" style of their previous two studio albums, and said that "I don't think you'll hear any acoustic guitars this time, or any particularly multilayered things." Years later, he reflected that "Funk Pop a Roll" from
Mummer could be considered "the first
Big Express track". In late 1983, XTC released the holiday single "
Thanks for Christmas" under the pseudonym Three Wise Men. It was produced by David Lord, owner of
Crescent Studios in Bath, who impressed the band with the story that he had turned down an offer to arrange
the Beatles' "
She's Leaving Home" (1967). He met Partridge while working as an engineer on
The Naked Shakespeare. According to biographer
Neville Farmer, Lord was "a world's away from XTC", having turned down the Beatles offer because he believed the Beatles were not
serious musicians, and "made a deep impression on Andy. He hadn't had a musical guru before now. David Lord could hold his own in any musical conversation and piqued Andy's interests in unexplored musical areas." Moulding was not as effused and said he was unable to relate to Lord on a musical level. XTC subsequently negotiated a deal that allowed them to work as much as they want on their next album at his studio. In April 1984, about a month into the new album sessions, the group learned that ex-manager
Ian Reid had incurred them an outstanding
value-added tax bill of several hundred thousand pounds, and they immediately pursued litigation that would last for the next five years. David Lord adds: "This story about me turning down the Beatles as 'not serious musicians' is nonsense! I think it grew from something I told Andy once - as a music student in the days when 'Sgt. Pepper' was being recorded, a number of us were invited to be part of the cheering crowd at Abbey Road; sadly I was already committed elsewhere and couldn't make it! That's all!" ==Concept and production==