HC Deb 20 June 1921 vol 143 cc885-7
45. Mr. HURD

asked the Prime Minister whether he is aware that a committee representing the Trades Union Congress, the Labour party, and the Co-operative Union have issued a statement discredit- ing the official index figure of the cost of living as being far too low; and that, on the other hand, the figure is also discredited by the statistical investigations of Dr. A. L. Bowley and the London School of Economics as being far too high and applicable to no more than a small proportion of the wage-earners; and whether, seeing how largely wage readujstments and industrial unrest are related to this doubly-discredited official figure, he will forthwith invite a few impartial statistical authorities to review the basis of calculation of the figure in the light of these new facts?

9. Mr. LEONARD LYLE

asked the President of the Board of Trade whether his attention has been called to criticisms of the accuracy and reliability of the Board of Trade index respecting the cost of living; and whether, to re-establish any weakened confidence in it, he proposes to issue an official statement on the subject?

Sir M. BARLOW

I have been asked to reply. I have seen the statement issued by the Joint Committee referred to. No details have yet been published by the Committee showing how their percentage has been arrived at. We are inviting the Committee to supply us with details comparable with those which have been published in connection with the Ministry of Labour index number, in order that we may be able to consider to what extent the differences revealed establish a case for investigation. In the meantime I think it will be recognised that criticisms which are so mutually destructive as to imply that the Ministry of Labour index number on the one hand understates, and on the other hand overstates, the actual increase would appear, when taken in conjunction, to support rather than to discredit the conclusions reached by the Ministry of Labour.

Mr. HURD

Do not both agree to this extent, that the Board of Trade index figure is utterly fallacious in its basis?

Sir M. BARLOW

I am not certain whether my hon. Friend refers to the Board of Trade index figure or that of the Ministry of Labour. If he is referring to the latter I have already intimated that if he or his Committee will send us the information he desires we will go into the matter and see if there is any ground for further investigation.

Mr. HURD

Is the hon. Gentleman aware that the matter has already been gone into by independent statistical experts?

Mr. J. JONES

Is the hon. Gentleman aware that the trade unionists of the country have for a long time contested these index figures, and have themselves appointed experts who have examined into, and reported against them?

Mr. SPEAKER

That was stated in the original question.

Mr. HOGGE

Why are there two sets of figures?

Sir M. BARLOW

One set relates to wholesale, and the other to retail prices.

Colonel WEDGWOOD

Was not the method of calculating the figures changed during the War, because the Board of Trade figures were considered to be too high?

Sir M. BARLOW

That is not the fact.

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