§ 46. Sir F. Pearsonasked the Minister of Agriculture, Fisheries and Food if he will now give an estimate' of the increase during the next 12 months in the retail price of meat as a result of the Selective Employment Tax and other Government Measures.
§ The Joint Parliamentary Secretary to the Ministry of Agriculture and Fisheries (Mr. James Hoy)I have nothing to add to the reply on the effect of the Selective Employment Tax on food prices generally which my hon. Friend the Joint Parliamentary Secretary gave the hon. Member for Barry (Mr. Gower) on 17th May. As to other measures, I am not clear what the hon. Member has in mind, but would draw to his attention the Government's declared policy on productivity, prices and incomes, and the provisions of the National Plan.
§ Sir F. PearsonWill the Minister recognise that his answer is extremely ill-defined and unhelpful? Does he realise that the Selective Employment Tax will increase the cost of retailing meat through its application to at least four stages of meat processing? Does he also realise that the suspension of investment allowances and the levy laid down by the Agriculture Bill are likely to lead to a substantial increase in retail prices?
§ Mr. HoyThe hon. Member is quite wrong on the latter point. Secondly, as my hon. Friend said in that Answer, food prices may increase, but generally the increase will be no greater than about two-thirds of 1 per cent. That is what the hon. Member is complaining about, and no more than that.