HC Deb 10 April 1968 vol 762 cc1346-7
9. Mr. Doig

asked the Secretary of State for Scotland why he decided that increases of up to 400 per cent. in shops owned by the Dundee Corporation should not be referred to the National Board for Prices and Incomes.

The Minister of State, Scottish Office (Dr. J. Dickson Mabon)

Having considered all the circumstances my right hon. Friend did not consider that a reference was called for.

Mr. Doig

Is my hon. Friend aware that I was informed in a Written Answer from his Department that it was not appropriate to refer to the Prices and Incomes Board increases ranging from 100 per cent. to 400 per cent.? If these increases are not appropriate, would he tell us what increases are?

Dr. Mabon

My hon. Friend is not being fair to my noble Friend the Joint Under-Secretary of State who on 19th February pointed out that the shops concerned had not had their rents reviewed for 10 years, and that, after consultation with the appropriate Departments, we did not think in this case that the National Board for Prices and Incomes should consider the increases.

Dr. Miller

Is my hon. Friend aware that increases of this nature cause tremendous hardship to some of these shopkeepers? If rents have not been increased for a large number of years that is not the fault of the shopkeeper. Would he not agree that the increases should be phased over a longer period of time?

Dr. Mabon

In general that is perfectly fair as a comment. One has to know the precise cases and circumstances. I am glad to tell the House that the Corporation arranged for 40 of the tenants to talk the matter over with the City Assessor. As a result, 30 rents were reduced from the recommended figure and 10 cases are pending.

Mr. Noble

Will the Minister tell us, bearing in mind the increase in the shop rents to this level, whether he would refer any similar increase in house rents to the Prices and Incomes Board?

Dr. Mabon

The right hon. Gentleman will know that four such proposals affecting local authority housing in Scotland have been referred to the Prices and Incomes Board by the Government.