HC Deb 05 June 1946 vol 423 cc2000-1
66. Mr. Osborne

asked the Minister of Food by how much the reduction in the price of butter of 2d. per pound as from 26th May will increase the subsidy; and on what grounds he justifies reducing the price of butter.

Mr. Strachey

The reduction of 2d. per lb. in the price of butter will increase the subsidy by £3,900,000 during the current financial year. The reduction was made in order to prevent a rise of the cost of living index when the price of bread rose because of the introduction of the smaller loaf.

Mr. Osborne

Will the Minister bear in mind the Chancellor's statement that before long we will have to see to these food subsidies and reduce them? Will he see that they are not further increased?

Mr. Strachey

There are many weighty considerations which my right hon. Friend has in mind, but the stabilisation of the cost of living is one of them.

Mr. Cobb

Will the right hon. Gentleman look into the problem of distribution costs as a way of curing this problem?

Mr. Strachey

I would not say that a cure could be found in that direction, but it is a very important matter.