HC Deb 24 July 1967 vol 751 cc32-4
16. Mr. Biffen asked the Minister of Public Building and Works if he will make a statement on the prices that may be charged by manufacturers of Fletton and non-Fletton bricks.

Mr. Prentice

My right hon. Friend the Chancellor of the Duchy of Lancaster and I met a deputation from the brick industry on 12th July. We agreed that, pending the outcome of the current reference of brick prices to the National Board for Prices and Incomes, producers of both Fletton and non-Fletton bricks may make immediate interim price increases not exceeding 3 per cent. The producers will report such increases to me and have accepted that they should be withdrawn if they are not considered justified.

Mr. Biffen

Is not this episode one more example of disastrous relations between the Ministry and the brick industry since the Government came to power? Is it not utterly farcical that in May a reference on the price of bricks should be made to the Prices and Incomes Board because it was thought that the proposed price increases would have a significant effect upon building costs, and yet the Government are now allowing a price increase before the Board has reported? Is it not an utter farce?

Mr. Prentice

Not at all. If the hon. Member is to use language like that, he should give reasons for using it. There was evidence given to us of the need for a modest increase. Our accountants examined the cases of individual firms who applied and we thought that an increase of this magnitude would norm- ally be justified. We agreed to this after consultation with the National Board for Prices and Incomes. Even so, the proposal for the increase must be justified in each case and the firm concerned must prove to us that it has justification for it. There is nothing wrong with this. Meanwhile the Board needs to have time to look at the real problem of brick prices, which have never been thoroughly examined in this way before.

Mr. Speaker

Answers should be reasonably brief.

Mr. Chichester-Clark

Can the Minister say what information brick makers have to furnish to the Ministry and under what statutory authority this requirement comes?

Mr. Prentice

All of this comes within the present law on prices and incomes which has been debated at length in the House. The firms concerned will be required to submit brief details to my Ministry justifying the price increases they propose.

Mr. Maxwell

Would my right hon. Friend bear in mind, when agreeing or not agreeing with the request for a price increase, that the brick industry at present is working at over-capacity and certainly when it last submitted these figures it probably did not take that into account and it is running at very high profits already?

Mr. Prentice

If we are to agree to these increases the brick firms concerned will have to justify them in terms of the present situation.

Sir H. Legge-Bourke

Could the right hon. Gentleman say whether at the conference with the brick makers the National Coal Board was also represented, it having recently acquired a brickfield in my constituency?

Mr. Prentice

There was no representative of the Coal Board there at the time, although the National Coal Board is a member of the National Federation of Clay Industries.

Mr. Biffen

On a point of order. In view of the unsatisfactory nature of the answer, I beg to give notice that I shall raise this matter on the Adjournment at the earliest opportunity, even if I have to wait until the Autumn.