HC Deb 03 December 1945 vol 416 cc1888-9
19. Squadron-Leader Segal

asked the Minister of War Transport whether any action has been taken to prevent the sale of secondhand motorcars at prices in excess of their cost when new; and, if not, upon what grounds he has come to this decision.

Mr. Barnes

It has not hitherto been considered advisable to limit the sale price of secondhand cars.

Squadron-Leader Segal

Is the Minister aware that many demobilised ex-Service-men find a car essential for taking up civilian employment, and does he approve of the present situation and the racket in secondhand cars?

Mr. Barnes

I am quite aware of the need of ex-Servicemen and, of course, others, and I have done my best to facilitate the acquisition of cars. In regard to the more complicated problem of dealing with prices, I am rather of the opinion that accelerated production in 1946 is the best way of solving this problem.

Mr. Driberg

Why is it complicated to say that no car shall be sold for more than its original price?

Mr. Barnes

Because of the general problem of supervision and matters of that description. In view of this general difficulty, in my judgment, this will best be resolved now by increased production.

Mr. Eden

Is not the solution the manufacture of cars for the home market, which the Government are discouraging?

Mr. Barnes

I do not accept that, and the figures in the near future, I think, will prove otherwise.

Sir John Mellor

Will the Minister represent to the Chancellor of the Exchequer that the removal of the Purchase Tax on new cars would go a long way to meet the difficulty?