HC Deb 21 June 1956 vol 554 cc1628-30
45. Mr. Lewis

asked the Prime Minister whether he will make a statement on his recent discussions with leaders of industry on the country's present economic difficulties.

46. Mr. Gower

asked the Prime Minister if, in his future conversations with leaders of the nationalised industries, the trade unions, and private industries, he will seek their voluntary agreement to an experimental period of six months during which, as far as possible, there shall be no increases in prices, salaries, wages, dividends, or other incomes, so that the advantages and benefits may be assessed by the community at large.

The Prime Minister (Sir Anthony Eden)

I would refer the hon. Gentleman and my hon. Friend to the reply I gave on Tuesday this week.

Mr. Lewis

Is the Prime Minister aware that I heard that reply and also read it in the OFFICIAL REPORT, and that I would say that it is not entirely satisfactory? Is the Prime Minister aware that the National Coal Board and the Electricity Authority have given instructions to freeze prices, and that some reputable private businesses are doing likewise? If the Prime Minister is putting a freeze on wages and on increased salaries for M.Ps., can he go one step further and give instructions to all Ministers that they should take no action to increase the cost of living such as it has been suggested they intend to do by the coming cut in subsidies, increasing rents and abolishing rent restriction?

The Prime Minister

The hon. Gentleman asks about the discussions which we have been having, and so does my hon. Friend the Member for Barry (Mr. Gower). I warmly welcome the action taken by the National Coal Board and the Central Electricity Authority. It is extremely helpful, and will assist in the further talks which we are going to have. I should like to take this opportunity of thanking all sides who took part in these discussions for the help which they have given us so far, which encourages us to go on in what is, after all, the national interest.

Mr. Gaitskell

While welcoming the contribution made by the coal and electricity nationalised industries to price stabilisation, may I ask whether it is the Prime Minister's intention to invite all the leaders of private industry to do likewise, and stabilise their prices?

The Prime Minister

Certain steps have been taken—[Hors. MEMBERS: "Ah."] I think it would be better if we did not treat this entirely as a party matter. Certain steps have been taken by private industry and, as the right hon. Gentleman will be aware, at our last meeting private industry pointed out, not unfairly, that their costs were to some extent affected by the raw materials which they get from nationalised industries. Now that we have made progress on the nationalised front, if I may so describe it, that will assist us in getting further progress on other fronts. The great thing is that we should all move towards the stabilisation which we want to see.

Mr. Gower

Whilst recognising that steps of this kind, taken by my right hon. Friend in the conditions of a free society, are bound to be difficult and slow, and whilst congratulating him on the benefits which have already been obtained, does my right hon. Friend consider that the limited proposals outlined in my Question might not appeal to many of the parties in industries which might not wish to surrender all freedom of movement and manoeuvre?

The Prime Minister

I was not dealing with limited proposals but was answering the right hon. Gentleman the Member for Leeds, South (Mr. Gaitskell). I think, and I believe the whole House thinks, that in a free society we have to try to get by agreement the results which we all want to see. Therefore, I welcome recent developments very warmly, I am grateful to those who have made them possible, and we shall do our best to make further progress.

Mr. Gaitskell

Can we take it from the reply of the Prime Minister to my earlier question that it is his desire that private industry, as well as nationalised industries, should stabilise prices, and in view of this attempt at voluntary price control, would the Prime Minister tell us in respect of which commodities rationing will now be introduced?

The Prime Minister

No, Sir. If the right hon. Gentleman cannot perceive the difference between voluntary and compulsory rationing, I shall have to leave him to enlighten himself.

Mr. Lewis

On a point of order. In view of the fact that the Prime Minister has not answered my question about the increase in rents which his Government have already announced, I beg to give notice that I shall raise the matter on the Adjournment.