HC Deb 29 May 1962 vol 660 cc1146-7
26. Mr. Jay

asked the Chancellor of the Exchequer to what extent it is the intention of Her Majesty's Government that the policy contained in Command Paper No. 1626, Incomes Policy: The Next Step, should be applied to the fees of company directors.

Mr. Selwyn Lloyd

The policy set out in the White Paper applies to all forms of personal income, including directors' fees.

Mr. Jay

Does that mean that the Government will intervene in future to decide the level of directors' fees?

Mr. Lloyd

No. Sir. We hope and believe that common sense will have regard to our policy.

Mr. Dudley Williams

In view of the fact that the only reason why the 2½per cent. rule should be breached is to attract people to a certain industry, and since there is no scarcity of candidates for this House, will my right hon. and learned Friend bear in mind the strong views of the hon. Member who put down this Question when he is considering any increase in emoluments for Members of Parliament?

Mr. Lloyd

I am not quite certain that that supplementary question arises out of the original Question.

Mr. Nabarro

Can my right hon. and learned Friend confirm that there is no evidence to support the statement that the fees of company directors have increased at all in the last twelve months? Is not he aware that, since last July, business has been exceedingly difficult for company directors, and that they are much more likely to suffer a diminution of fees than any increase, as a result of my right hon. and learned Friend's activities?

Mr. Lloyd

I am quite certain that there is no evidence of any general increase.