§ 13. Mr. Jayasked the Chancellor of the Exchequer the percentage increase in wage rates and dividends, respectively, since 1952, and since 1958.
Mr. AmoryOn the basis of the index prepared by the Ministry of Labour, weekly wage rates increased by about 42 per cent. between 1952 and January, 1960, and by about 3½ per cent. between 216 1958 and January, 1960. Information on dividends is not yet complete, but preliminary figures suggest that dividends paid by companies on ordinary shares in 1959 were about 78 per cent. higher than in 1952 and about 12 per cent. Higher than in 1958. These estimates reflect increases in share capital as well as in rates of dividend per share.
§ Mr. JayDo not these striking figures show that dividends have been increasing faster than wages throughout the period of the Conservative Government? Is it not clear that, if there are any inflationary tendencies about now, it is dividends rather than wages that have to be restrained?
Mr. AmoryThe right hon. Gentleman will remember that between 1938 and 1952 it was entirely the other way round. During that period dividends increased by only 30 per cent., whereas wages increased by 100 per cent. Therefore, what has happened since then has about restored the balance.
§ Mr. JayDoes that answer mean that the present Government want to go back to the distribution of incomes obtaining in 1938?
§ Mr. GowerSince 1950, has not the growth in earnings at least kept pace with and exceeded the growth in the cost of living, whereas before 1951 that was not the case?