HC Deb 10 May 1967 vol 746 cc1500-1
38. Mr. Younger

asked the Secretary of State for Scotland whether the recent increases in prices announced by the South of Scotland Electricity Board are in accordance with Government policy.

Dr. Dickson Mabon

I would refer the hon. Gentleman to the reply given to the hon. Member for Glasgow, Cathcart (Mr. Edward M. Taylor) on 6th April.—[Vol. 744, c. 86.]

Mr. Younger

Would the hon. Gentleman explain to the House and the people of Scotland what logic there is in entirely freezing wages and exhorting private industry to keep prices down, when he sets such an appalling example in allowing the prices of this industry, of which he has control, to be put up?

Dr. Mabon

That is an extraordinary question from the hon. Gentleman, who is normally responsible in these matters. If he understood the position of the electricity boards in Scotland, he would not frame his question like that. The increases, as we know, were originally announced by the Board on 20th July, 1966, and were postponed following the announcement of the prices and incomes standstill. They were necessitated by cost increases outside the Board's control. They could not otherwise be fully absorbed, and are therefore justified in terms of the special criteria in paragraph 10 in the White Paper on the Prices and Incomes Standstill, Period of Severe Restraint.

Mr. Russell Johnston

Would the hon. Gentleman assure us that the south of Scotland increases will not be followed by increases in the North?

Dr. Mabon

We shall just have to wait end see what happens.