HC Deb 27 October 1949 vol 468 c1514
45. Mr. Ellis Smith

asked the Prime Minister if he will consider the need for a special investigation by Royal Commission or Departmental Committee into the pre-production costs of raw materials and all overhead charges on production.

The Prime Minister (Mr. Attlee)

No, Sir. I do not think that a general inquiry on these lines would serve any useful purpose.

Mr. Ellis Smith

Does the Prime Minister agree that production costs in industry have been in the main reduced to a minimum, and that those engaged in industry are seriously concerned about the continued appeals to lower prices, over which they have no control, and which could be done by this method?

The Prime Minister

My reply was directed to the methods suggested by my hon. Friend. I do not think that a Royal Commission or even a Departmental Committee would be a suitable way to deal with this matter.

Mr. Ellis Smith

If these proposals cannot be adopted, what proposal has the Prime Minister in mind to carry out the continual appeals that are being made to lower costs?

The Prime Minister

I think that has already been explained. I might say that the Government are doing all they can to encourage both sides of the industry to examine every possible method of reducing costs. I do not think that that can be done by Royal Commission.