HC Deb 07 February 1957 vol 564 cc600-4
40. Mr. John Hall

asked the Chancellor of the Exchequer what has been the increase in the purchasing value of the average industrial wage between April, 1945, and April, 1951, and between April, 1951, and April, 1956.

Mr. Birch

Between July, 1945, and April, 1951, the average earnings of adult male wage-earners increased by 32 per cent.; during the same period the index of prices of consumer goods and services rose by about 33 per cent.

Between April, 1951, and April, 1956, average earnings rose 13 per cent. more than the Index of Retail Prices.

Mr. Hall

Is my right hon. Friend aware that Members in all parts of the House will, I am sure, welcome this evidence of the increase in the acceleration of the rate of purchasing power of the industrial wage which has taken place under the Conservative Administration?

Mr. C. Pannell

Is the Minister also aware that when he gave that figure, a considerable amount of it was based not upon the standard working week, but upon the amount of overtime that people have put in?

Mr. Nicholson

Is my right hon. Friend aware that whoever has or has not benefited, the net result is a very sorry story for the British economy? Is he also aware that people on fixed incomes suffer, however much the increased purchasing power of wages, with or without overtime, benefits those who receive them?

41. Mr. John Hall

asked the Chancellor of the Exchequer the average industrial wage today; and what wage would be required by a married man with two children to give the same purchasing value as the average industrial wage in 1938.

Mr. Birch

The average earnings of an adult male wage-earner in April, 1956, in the industries covered by the Ministry of Labour's earnings inquiries, were 235s. 4d. The corresponding figure in October, 1938, was 69s. and the increase since then in the prices of consumer goods and services is estimated at 168 per cent. The average earnings of 1938 may thus be estimated to have the same purchasing power as 185s. in April, 1956.

Mr. Hall

Is my right hon. Friend aware that this advantage of the improved purchasing power of the wage of the industrial worker is not shared by any similar increase in the standard of living and the standard of the purchasing power of the professional and executive classes? Is it not the knowledge of this fact which is encouraging so many of our more able young men to emigrate?

Mr. Birch

I think that there is force in what my hon. Friend says, but, of course, it does represent a considerable increase in the standard of living of workers in comparison with before the war. No doubt, hon. Members opposite will use that in all their propaganda.

Mr. H. Wilson

While accepting the advice of the right hon. Gentleman, may I ask whether he is not aware, first, that this shows what a miserably inadequate level wages were at in 1938—

Dame Irene Ward

After six years of Socialism.

Mr. Wilson

—after about 20 years of Toryism—and since the right hon. Gentleman and his hon. Friend think that these movements of wage rates are good Tory propaganda, will the right hon. Gentleman explain why his Government published a White Paper last February saying that wages were rising too fast and should be kept within bounds, and why the present Prime Minister made the same appeal in his "plateau" speech at Newcastle last May?

Mr. Birch

The right hon. Gentleman will recollect that all Governments have said that rises in wages must be related to rises in productivity and that if they get outside that rate it is very damaging. So far as before the war is concerned, we had a personal assurance that the right hon. Gentleman could at any rate afford boots when he was at school.

42. Mr. H. A. Price

asked the Chancellor of the Exchequer the estimated annual cost of the increase in the incomes of industrial workers during the last five years for which statistics are available.

Mr. Birch

As the Answer contains a table of figures, I will, with permission, circulate it in the OFFICIAL REPORT. [Interruption.]

Following is the Answer:

As shown in Table 2 of National Income and Expenditure, 1956, the increase in the total wage bill in each year of the years 1950 to 1955, compared with the previous year, was as follows:

£ million
1950 to 1951 500
1951 to 1952 345
1952 to 1953 320
1953 to 1954 415
1954 to 1955 560

Mr. Price

On a point of order. I could not hear that reply, Mr. Speaker.

Mr. Birch

As the Answer contains a table of figures I will, with permission, circulate it in the OFFICIAL REPORT.

Mr. H. Wilson

On a point of order, Mr. Speaker. Since the right hon. Gentleman seeks to make that smart reply, may I remind him—[HON. MEMBERS: "No."]

Mr. Speaker

It is not really a point of order. I think that the right hon. Gentleman wants to ask a supplementary question on the Question that we have now passed. It is not a point of order, but if he can put it as a point of order, I will listen to him.

Mr. Wilson

That was not the purpose of my point of order, Mr. Speaker. Since the right hon. Gentleman wishes to score a cheap point by misrepresenting what I said, may I ask whether he is aware that I never said anything of the kind, and that the only—[Interruption.]

Mr. Speaker

Order. The right hon. Gentleman is entitled to make a personal explanation of this matter.

Mr. Wilson

Since this is based on a misrepresentation, may I ask the right hon. Gentleman whether he is aware that the only Tory paper that attributed that remark to me has since apologised and agreed that I never made it?

Hon. Members

Withdraw.

Mr. Lipton

Resign.

Mr. Speaker

Points of order are addressed to me and not to the Minister. I thought it was right that the matter should be cleared up. Mr. Henry Price.

Mr. Callaghan

Further to that point of order. As we have the Chancellor of the Exchequer here, and as we are getting such thoroughly cheap and unsatisfactory replies from his assistants, could we have replies from the Chancellor?

Mr. Speaker

Mr. Henry Price. Question No. 43.

Dame Irene Ward

On a point of order, Mr. Speaker. There was so much row going on that there was no chance of asking a supplementary question. I wondered, therefore, Mr. Speaker, whether you were going to call anybody to ask a supplementary question and, if so, whether you could kindly call on me.

Mr. Speaker

I should be delighted to do so, but I am afraid that I have passed that stage.

Captain Pilkington

On a point of order. Is there any means of stopping points of order being abused by Front Bench Members on the other side of the House?

Mr. Speaker

I suffer from points of order not only from the Front Bench above the gangway, but from that below it too, sometimes. Mr. Henry Price, Question No. 43.

Mr. Price

I have not yet asked a supplementary on Question No. 42.

Mr. Speaker

I am afraid I have lost count. Will the hon. Member please ask Question No. 43?