HC Deb 10 March 1964 vol 691 cc250-1
Q7. Mr. Wyatt

asked the Prime Minister whether the public speech of the Chancellor of the Exchequer at Stockport on 21st February about economic matters represents the policy of Her Majesty's Government.

The Prime Minister

Yes, Sir.

Mr. Wyatt

Does the Prime Minister realise that in that speech the Chancellor of the Exchequer attributed the adverse nature of our February trade figures to the stocking up of raw materials, whereas the real reason was that the import of manufactured goods had increased by nearly twice? Will not he now address himself seriously to the problem of our balance of payments position and stop making madly optimistic speeches in order to try to win the election?

The Prime Minister

The hon. Member has the wrong month and the wrong facts. Perhaps I may give him the general position. About 15 per cent. of our total imports are manufactured goods, but imports of industrial—[Interruption.]—I am giving the general position. I was going to say that the general position—[Interruption.]—if the right hon. Member will listen for a moment he will understand what I am saying. The general position is that 15 per cent. of our total imports are manufactured goods, whereas imports of industrial materials account for about 40 per cent. of that. In the months from November to January imports of industrial materials rose by 9 per cent., so that the hon. Member is not accurate. Last week I advised him to wait for the February figures. This week I strongly advise him to wait for the February figures.

Mr. H. Wilson

But since we have expressed our concern about the three months' figures—and not merely what we all hope is a temporary fall in exports in one month—does not the Prime Minister agree that the Board of Trade last week said that in recent months the percentage increase in manufactured goods has actually been higher than the percentage increase in raw materials? That is something that he missed from his answer. Since my hon. Friend in any case was talking about our balance of payments, will the Prime Minister, having said that our economy has seldom been stronger, tell us whether our balance of payments is now running at the £300 million or £400 million surplus that we need, or whether it has any surplus at all?

The Prime Minister

We had better wait for the next balance of payments —[Interruption.]—hon. and right hon. Gentlemen opposite would be much wiser to wait for the figures. I have warned them several times that they will regret it.

Sir N. Hulbert

Does my right hon. Friend the Prime Minister realise that my right hon. Friend the Chancellor of the Exchequer made a most admirable speech in my constituency and that it was appreciated not only throughout the County Borough of Stockport, but throughout the whole country?

The Prime Minister

Yes, Sir.

Mr. H. Wilson

Yes, but when the right hon. Gentleman said that we must wait for the next month's figures I had just asked about the balance of payment figures, and assuming that the right hon. Gentleman does appreciate the difference between balance of payments and balance of trade—[HON MEMBERS: "Oh."]—is he not aware that they are not published monthly at all?

The Prime Minister

Certainly. I do not know, then, why the right hon. Gentleman asked the question.