HC Deb 29 April 1968 vol 763 cc764-5
7. Mr. McNamara

asked the Minister of Public Building and Works what discussions he has had with representatives of the construction industry following the Budget; and what was the outcome of these discussions.

Mr. Mellish

I called an immediate meeting of representatives of the construction industry as soon as the Chancellor's Budget proposals were known. General agreement on the likely effects of the Budget proposals was reached at this meeting and the representatives said that they were glad to have been given this early opportunity for discussion. They particularly welcomed the announcement that Mr. Reddaway was to inquire into the effects of S.E.T.

Mr. McNamara

While again thanking my right hon. Friend for that reply, may I ask him what estimates have been made to the effect of the Budget proposals on the cost of new building and on production?

Mr. Mellish

I have already given those figures to the House in respect of S.E.T., the Budget proposals generally and devaluation. I recognise that there are difficulties for the industry, but in spite of those difficulties I still expect that output this year will be 4 per cent. more than last year—and output last year was an all-time record.

Mr. Chichester-Clark

Does the Minister recall that on 11th March he told us that the effect of these proposals would be 2 per cent. in terms of cost? He has already doubled that figure. What estimate does he now give?

Mr. Mellish

With respect, that is not so. These Questions have been answered on the Floor of the House. If the hon. Members wants me again to confirm my Answers, I am willing to do so.