§ 6. Mr. Benceasked the Chancellor of the Exchequer what steps he proposes to take to offset the inflationary pressure resulting from the present economic difficulties.
§ Mr. Walker-SmithThe anti-inflationary measures which the Government have already taken are, I think, well known. We are watching the situation closely and shall not hesitate to take whatever measures may be necessary from time to time.
§ Mr. BenceIs the hon. and learned Gentleman giving consideration to the situation now developing in which we are getting the running down of production and commercial activities while at the same time we get rises in prices? Is not it a new experience to have rising prices with falling economic activity?
§ Mr. Walker-SmithI am sure that the hon. Gentleman will not wish to exaggerrate either of those trends. He will know the figures of the Index of Production and the Index of Retail Prices which, as he knows, rose only 0.6 of a point in the last month.