§ 73. Mr. Toucheasked the Minister of Food why the price of butter to the public has recently been reduced by 2d. per pound when his Department has recently agreed to purchase butter at a higher price; and what additional subsidy will these decisions involve.
§ Mr. StracheyThe reduction was made as part of the Government stabilisation policy. The additional subsidy arising from it and from the increase in the purchase price of butter from Denmark announced last February will be £4.9 million in 1947–48.
§ Mr. ToucheIs it not the intention of the Government to try to reduce the food subsidy, because this seems to be increasing it?
§ Mr. StracheyNo, Sir. If we can purchase butter, or anything else, more cheaply abroad we shall do so, of course, and that will help to reduce the subsidy.