§ 44. Mr. Rankinasked the Chancellor of the Exchequer if he will recommend the appointment of a Royal Commission to inquire into and report on the problems involved in the transition from an economy largely based on war production to an economy directed towards peaceful ends.
§ Mr. BarberI would refer the hon. Member to the Answer given to the hon. Member for Ashfield (Mr. Warbey) by my right hon. Friend the Prime Minister on 8th March.
§ Mr. RankinSince then, has not the hon. Member or his right hon. Friend given further thought to this problem? Does he not agree that the situation envisaged in the Question is one which is likely to occur if we pass from the twilight of today into better times? Does he not think that, with Keynes in the "Economic Consequences of the Peace" and with Beveridge in his proposals, we should be seeking to plan ahead to meet a changed type of economy?
§ Mr. BarberI certainly share the hopes of the hon. Member for disarmament, but I cannot accept the implication, nor indeed what is stated explicitly in the Question, that at present our economy is "largely based on war production". The fact is that the proportion of the gross national product absorbed by defence was reduced to 7.5 per cent. in 1959, and between 1953 and 1959 the numbers in the Forces fell by 37 per cent.
§ Mr. RankinWhile I will not quarrel over the word "largely", nevertheless does not the hon. Gentleman agree that war expenditure is consuming a great deal of the national effort now?
§ Mr. BarberI think I cannot do better than to quote again Mr. Khrushchev's words when he said:
There is no truth in the assertion that disarmament will lead to crises or economic slumps in the industrially highly developed countries of the capitalist world".
§ Captain OrrIs it not a fact that we have had far too many Royal Commissions already? Is it not time we had a Royal Commission to inquire into the efficacy or otherwise of the proliferation of Royal Commissions?