§ 18. Mr. Huntasked the Chancellor of the Exchequer whether, in the light of the 2.2 per cent. rise in the cost of living during April, he will now revise his estimates of the effect of the Budget and devaluation upon price levels.
§ Mr. Roy JenkinsThe rise in the retail price index between March and April was 1.8 per cent., not 2.2 per cent. The magnitude of the rise was allowed for in the forecast to which the hon. Gentleman refers.
§ Mr. HuntIs it not a fact that the right hon. Gentleman forecast a rise over the year of some 5 per cent.? How can the Chancellor justify a rise of almost half that level in a single month?
§ Mr. JenkinsClearly because by far the greater part occurred as a direct result of the indirect nature of the Budget proposals which I introduced. I gather that indirect rather than direct taxation commends itself to the hon. Gentleman's hon. Friends. At least that is what they have been saying in Committee.
§ Mr. MolloyIn this context, would my right hon. Friend be prepared, with his right hon. Friend the Minister of Agriculture and his right hon. Friend the President of the Board of Trade, to examine these increases, particularly in the confectionery and toilet retail sectors, which are causing some irritation?
§ Mr. JenkinsThese individual points are not matters for me, but I have no doubt that my right hon. Friends will take note of what my hon. Friends says.