HC Deb 26 November 1968 vol 774 cc285-6
21. Mr. Gordon Campbell

asked the Chancellor of the Exchequer whether he is satisfied that public expenditure will be contained within the limits set in the White Paper of January 1968, Command Paper No. 3515, for 1968–69 and 1969–70; and if he will make a statement.

Mr. Diamond

I refer the hon. Member to the reply of 15th October I gave to the right hon. Member for Kingston-upon-Thames (Mr. Boyd-Carpenter).—[Vol. 770, c. 185–7.]

Mr. Campbell

Since the situation is much worse than it was in January, should not these targets now be reviewed by the Departmental Ministers concerned, regrettable though this necessity may be, if the Government's latest stringent measures are really to be effective and as this is a time of crisis and not of successful economic expansion, owing to the incompetence of the Government?

Mr. Diamond

I explained only last night how the Government are sticking to their target of public expenditure for the forthcoming year, which represents an increase of 1 per cent. I also explained the difficulties I have when hon. Members opposite, including the hon. Gentleman himself, press for increases in individual items of public expenditure, and I look forward to his support the next time one of those difficulties comes along.

Mr. Molloy

Is my right hon. Friend aware that demands from hon. Members opposite, which are pretty constant, for reductions in public expenditure are alternated with demands for increases in certain services in their constituencies, such as hospitals, roads and social services? Would not he agree that this incredible attitude of theirs only confirms Disraeli's dictum that the Conservative Party is an organised hypocrisy?

Hon. Members

It was Churchill's.

Mr. Higgins

Does the right hon. Gentleman recall that, last night, he was concerned with the figures in real terms? What are the figures in money terms, and, in particular, has the public expenditure percentage of gross national product gone up?

Mr. Diamond

I have not the figure in money terms, but I gave the figure last night in real terms because that is what the House is interested in. The increase is 1 per cent. extra over this year, but the increase in gross national product is, as I have said, much greater than that.