HC Deb 11 March 1954 vol 524 cc2401-2
1 Mr. Osborne

asked the Minister of Labour the total annual wage increases for each of the six years before any reductions were made in food subsidies; and the causes of these wage increases.

The Minister of Labour and National Service (Sir Walter Monckton)

Complete statistics showing total annual increases in wages are not available. For manual workers whose wages are mostly determined by voluntary collective agreements between employers' and workers' organisations or by statutory boards, councils etc., estimates are made of the aggregate increases per week in rates of wages. The aggregate increases so computed were about £2 million per week in 1948, £1 million in 1949, £2 million in 1950 and £6½ million in 1951. Comparable figures for 1946 and 1947 are not available. About 6 per cent, of the total increases in these years resulted from the operation of agreements with sliding scales under which wages vary with the movements of the Index of Retail Prices. I am not able to analyse the remainder by reference to the factors which may have given rise to the increases.

Mr. Osborne

I apologise for not having heard the first part of the Minister's reply. Is it not clear that there were quite a number of wage increases in the 1940s, before there was a cut in the food subsidies, and can the Minister say what adjustment, if any, has been made in the cost-of-living index which takes account of the increased pensions and family allowances which have been granted since the food subsidies were cut?

Sir W. Monckton

In answer to the first part of that supplementary question, I would point out that there were substantial increases, as I have indicated, between 1948 and 1951. Of course, there were some changes of food subsidies in 1951, but the principal changes began in 1952 I should require notice of the second part of the question.

Mr. Jay

Would the Minister not agree that import prices were rising in the earlier years, and that had a great deal to do with rises in the cost of living, and consequently in wages?

Sir W. Monckton

There were these rises in prices, but I find it very difficult to isolate particular prices.