11. Mr. Edward M. Taylorasked the Chancellor of the Exchequer what was the total net increase in National Savings in the first nine months of 1969; and what were the comparable increases in the nine months of 1967, 1965 and 1963, respectively.
§ The Financial Secretary to the Treasury (Mr. Dick Taverne)The provisional figures show a decrease of £37 million in the first nine months of 1969.
Comparable figures for 1967, 1965 and 1963 were increases of £131 million, £89 million and £257 million, respectively.
Mr. TaylorAre not these very depressing figures yet another sign that rapidly rising prices are undermining public confidence in savings? Is there not a danger 931 that the new "Save As You Earn" scheme will be a flop unless it has a guarantee that the money invested will not be eaten away by inflation?
§ Mr. TaverneIt does not show that savings have suffered. If one looks at national savings in the context of personal savings, in the first six months of this year the percentage as disposable income was marginally higher than in the two previous calendar years. As for "Save As You Earn", so far the reports are very encouraging.