HC Deb 10 December 1969 vol 793 cc429-30
35. Mr. Arthur Lewis

asked the Minister of Agriculture, Fisheries and Food why he agreed to implement the National Board for Prices and Incomes Report No. 136 on Beer Prices increases by 2d. a pint within a few hours of the Report's publication; why he did not wait to allow public discussion on this report; and whether he will make a statement.

Mr. Cledwyn Hughes

My right hon. Friends and I were satisfied that, after a virtual standstill of three-and-a-half years in public bar prices, it was right to accept the board's clear-cut recommendation which was based on a detailed and convincing analysis. I therefore announced the Government's decision when the report was published, having first secured assurances from the brewers and licensees of a renewed standstill in public bar prices and of restraint over prices in other bars for a further year.

Mr. Lewis

Whilst appreciating that part of this increase has gone to the publicans, may I ask my right hon. Friend whether he can tell me how many of the big brewers have gone broke and how many of the brewers' profits have gone down? Can he also tell me how many have cut their dividends? Indeed, can he give me any good reason why the price should have gone up at all?

Mr. Hughes

I would not wish my hon. Friend to think that I am an advocate of the brewers. What I can say is that the prices of beer in public bars in this country have been held stable for three-and-a-half years; that a case was made to the National Board for Prices and Incomes; that the board considered it for a period of months; that it considered that a good case was made and made recommendations; that the 2d. which was awarded was half what the brewers and licensees were asking. I thought that on balance it was a reasonable case.

Mr. Gresham Cooke

Is it not true that some of the smaller breweries have been in some difficulties and have had to be taken over by larger ones?

Mr. Hughes

I am only dealing with the situation as it is at present.