§ 47. Mr. Ronald Chamberlainasked the Chancellor of the Exchequer what estimate he arrived at as to the rise in dividends which would result from the policy of moderation and restraint offered by the Federation of British Industries and associated bodies, as an alternative to voluntary dividend limitation.
§ Mr. JayAs my right hon. and learned Friend said in his letter to the Presidents of the Federation of British Industries, the Association of British Chambers of Commerce and the National Union of Manufacturers, he noted their joint assurance of co-operation for one year more in avoiding any general increase in the level of dividends. We shall watch the carrying out of this assurance with keen interest.
§ Mr. ChamberlainAs the policy of the dividend ceiling, now withdrawn by the Federation of British Industries, was virtually worthless, is not the new policy 980 of moderation and restraint just evasion of their obligations by the Federation of British Industries and completely useless?
§ Mr. JayI could not agree that the policy is completely useless, because at least 93 per cent. of the firms concerned, as the hon. Member knows, observed the undertaking and we have every hope that they will continue to do so in the future.