§ 4. Mr. Doddsasked the Chancellor of the Exchequer the internal purchasing value of the £ sterling at the latest convenient date when compared with 20s. in October. 1951.
§ 5. Mr. H. Hyndasked the Chancellor of the Exchequer the purchasing value of the £ taking October, 1951, as 20s.
§ The Economic Secretary to the Treasury (Mr. R. Maudling)Taking the internal purchasing power of the £ sterling as 20s. in October, 1951, it is estimated that the corresponding figure for December, 1954, was 18s. 5d. This estimate is based on the price index of all consumer goods and services between 1951 and 1953 and the Interim Index of Retail Prices thereafter.
§ Mr. DoddsIs it not very alarming that in such a short time the pound's purchasing power has gone down again? Would the hon. Gentleman give some hope that it will get somewhere near the value it was when his Government came into office in 1951?
§ Mr. MaudlingNaturally the cost of living is a matter of great concern to the Government, as indeed to any Government. I think I can reasonably point out that the fall in the last three years is much less than it was in the preceding three years.
§ Mr. GaitskellIs the hon. Gentleman aware that during the last three years, whilst the cost of living has gone up, as he has indicated, import prices have fallen by about 16 per cent.?
§ Mr. MaudlingI think that the right hon. Member is also well aware that import prices are by no means the only, or necessarily the major, influence on the cost of living.