HC Deb 23 March 1967 vol 743 c1892
10. Mr. Paul B. Rose

asked the First Secretary of State and Secretary of State for Economic Affairs whether he will take the necessary steps to ensure that those firms which increased their prices due to petrol tax will now reduce them following petrol price reductions.

The Chancellor of the Duchy of Lancaster (Mr. Frederick Lee)

I would refer my hon. Friend to the reply I gave to my hon. Friend the Member for Newport (Mr. Roy Hughes) on 13th March indicating that a watch will be kept on this by the Government Departments concerned.—[Vol. 743, c. 15.]

Mr. Rose

Is my right hon. Friend aware that, if a prices and incomes policy is to succeed, it is essential that cost reductions are carried to the consumer, but that all too often in the past increases in costs have not been absorbed by greater efficiency and productivity but have merely served to increase prices and profits?

Mr. Lee

There is a great deal in what my hon. Friends says. In the criteria set out in the White Paper yesterday we take this point very much into account.