HC Deb 15 December 1942 vol 385 cc1767-9
Mr. Barnes

(by Private Notice) asked the Minister of Fuel and Power whether any increase in the price of coal is contemplated, in order to meet increased costs of production?

Major Lloyd George

There is to be a general increase of 1s. per ton in the price of coal, which will take effect as from 1st January next. This increase is necessary to meet certain specific additional production costs which have recently been imposed on the industry such as cost of the output bonus, expenses involved in transfer and excess travelling expenses of miners, and expenses incurred in special measures for recruitment and training and the cost of old cases of pneumoconiosis if the Workmen's Compensation Bill now before the House passes into law. These items are estimated to absorb up to 6d. per ton of the increase proposed. The balance will be allowed to the industry as far as may be required to meet general increases in cost and to maintain its credit balance at a level which is necessary in the interests of efficient production.

Mr. Barnes

In view of the repercussions of the price of coal upon all prices, have the Government completely rejected the idea of stabilising coal prices and taking the increase into the war cost of production?

Major Lloyd George

We certainly hope that for some considerable time at any rate the figure will remain stabilised. As far as assistance is concerned, the policy hitherto has been that what I may call the legitimate costs of the industry should be passed on in the ordinary way while assistance should be given in cases like outcrop coal and special Government stocking.

Mr. Buchanan

When the right hon. and gallant Gentleman says that this increase will take place from 1st January, is he aware that in some parts of the country the price of coal to the consumer has been increased in the last fortnight by at least 2d. per cwt., and has he any power to stop that increase being put on before this one?

Major Lloyd George

I should very much like to hear particulars of what my hon. Friend has referred to.

Sir J. Lamb

As it has been found necessary to increase the price of coal, will the right hon. and gallant Gentleman give close attention to the quality of the coal now being sold and see whether, if possible, it can be improved, because in some cases it is really of very poor quality?

Major Lloyd George

I am fully aware of the difficulties concerning the quality of coal supplied at present, but my hon. Friend will appreciate that in the circumstances of wartime and in order to save transport people cannot always have the coal to which they have been accustomed. There is bound to be a certain amount of deterioration. I will do my best to see that there is as little deterioration as possible but some there is bound to be.

Mr. Stephen

Can the right hon. and gallant Gentleman at least arrange to set up heaps to which the people can return the stones and get coal in exchange?

Mr. R. J. Taylor

Is the Minister aware that the most practicable means of procuring that the coal shall be cleaned after it has been got to the surface is to have adult workmen on the screens to pick out the stones? Will he see that there are not too many boys employed in that operation?

Mr. Sloan

Is the Minister not aware that the facility with which these increases can be made in the price of coal are really detrimental to the organisation of collieries in the interests of greater production?

Major Lloyd George

I am afraid that I do not follow what the hon. Member has in mind as to an increase preventing greater production.

Mr. Ness Edwards

May I ask whether the interested parties have been consulted in regard to this proposal and whether there will be any opportunity for the House to discuss it?

Major Lloyd George

That is a Question which ought to be addressed to the Leader of the House.

Mr. A. Edwards

Is the Minister not aware that this increase of 1s. in the price of coal will increase the cost of steel by 3s. a ton? Is that price going to be passed on, and how can this action fit in with the declared policy of the Government to stabilise prices?

Major Lloyd George

It is possible that the increase in the price of coal may mean an increase in the price of steel, but as a large part of the increase has been made for the purpose of giving to the miner a wage comparable to that paid in other industries I do not think there ought to be objection.

Mr. Sloan

Can the Minister explain why production has not been increased?

Major Lloyd George

My hon. Friend will appreciate the possibility that the actual cost of the extra output is not met by the increase in proceeds.