HC Deb 02 February 1948 vol 446 cc1466-8
46. Major Legge-Bourke

asked the Prime Minister if he is now in a position to make his promised statement on the creation of the office of Economic Secretary to the Treasury.

The Prime Minister

My right hone Friend the Chancellor of the Exchequer, in addition to his traditional responsibility for financial policy, is now responsible also for those functions with which lie was previously charged as Minister for Economic Affairs in the general co-ordination of the economic policy of the Government. He is assisted by the Financial Secretary to the Treasury in his normal departmental functions connected with financial policy, administration and procedure, including Parliamentary financial procedure, financial control of Supply services and establishments, and revenue and exchange control administration.

In his new functions the Chancellor is assisted by the Economic Secretary to the Treasury, who is thus concerned with the general economic policy and planning, including the economic aspects of Treasury supply work, overseas financial negotiations and internal financial planning. Both the Financial Secretary and the Economic Secretary, therefore, play a part, under the Chancellor, in the formation of general financial and taxation policy.

The Central Planning Staff under Sir Edwin Plowden, and the staff of the former office of the Minister for Economic Affairs, retain their identity, but now form part of the Treasury organisation, and discharge their general co-ordinating functions under the direction of the Chancellor. They maintain close touch with the Economic Section of the Cabinet Office which, however, will remain part of the Cabinet Office and will continue to provide a service for Ministers generally.

My right hon. Friend the Chancellor of the Exchequer continues to be responsible, as he was when Minister for Economic Affairs, for the National Production Advisory Council on Industry, and the regional boards for industry.

The Economic Information Unit retains its previous title and functions but is now incorporated in the Treasury and, like the planning staff, provides its interdepartmental services under the Chancellor's direction. In addition to providing a general economic information service, it now provides information on financial subjects previously dealt with by the Treasury public relations officer. This title has been abolished. Its holder will, however, continue to provide information do Civil Service subjects as a member of the Treasury General Establishments Division, and will work in close conjunction with the Economic Information Unit.

Major Legge-Bourke

While thanking the Prime Minister for the fullness of his answer, may I ask whether he can give an assurance that, as a result of the creation of the office mentioned in the Question, there is no conflict with the decision taken in 1944 to separate the Foreign Service from the rest of the Civil Service, with particular reference to the Economic Section of the Foreign Office?

The Prime Minister

The hon. and gallant Gentleman will see, if he studies my answer, that the Foreign Office does not come into it at all.

Lieut.-Colonel Lipton

Is the statement which we have just heard from my right hon. Friend the statement which he promised to make in reply to a Question by me on 15th December last about the general economic planning arrangements of the Government?

The Prime Minister

It is in reply to a Question by the hon. and gallant Member for the Isle of Ely (Major Legge-Bourke).

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