§ 2. Mr. LUNNasked the President of the Board of Trade if he is aware that since the inquiry under the Profiteering Acts in 1919–20 into the prices and profits from tobacco, cigarettes, and matches, the wages and salaries of consumers have been reduced by several hundred million pounds per annum; that the profits from the manufacture of these articles are very high; that the cost of production has been considerably reduced; and will he say what steps, if any, the Government propose to take to see that the prices of these articles are reduced, at least in accordance with the decrease in the official cost-of-living figures since 1919–20?
§ The PRESIDENT of the BOARD of TRADE (Sir Philip Cunliffe-Lister)I would refer the hon. Member to the replies given to him on the 10th November last. I know no means of securing that the prices of individual commodities shall vary in accordance with either the collective incomes of consumers or with the general cost-of-living figure. I do not think that either of those standards could reasonably be used to determine the proper price of individual commodities without regard to the particular conditions of production and distribution and, I may add, taxation in each case.
§ Mr. LUNNMay I call the right hon. Gentleman's attention to the answer which I received a week or two ago, which related to an inquiry which had taken place in 1920? Does he agree that the conditions of the consumers to-day are similar, financially, to what they were in 1920?
§ Sir P. CUNLIFFE-LISTERI have looked very carefully at the answer given 987 to the hon. Member, which addressed itself, not to the financial position of the consumer but to the rate of taxation charged in that particular industry. As the hon. Member knows, the great bulk of the cost of tobacco, unfortunately, goes into taxation, and that has not been reduced.
§ Mr. R. RICHARDSONHas the right hon. Gentleman's attention been called to the fact that last week one of the leading tobaccos was raised in price?
§ Sir P. CUNLIFFE-LISTERNo. Perhaps the hon. Member will find an Empire tobacco, and support it.