§ Q2. Mr. John Fraserasked the Prime Minister whether he will place in the Library a copy of his public speech at the Guildhall on Government policies on 16th November, 1970.
§ Q7. Mr. Arthur Davidsonasked the Prime Minister if he will place in the Library a copy of his public speech on Government policies at the Guildhall on 16th November.
§ Q9. Mr. Sillarsasked the Prime Minister if he will place in the Library a copy of his public speech on Government policies at the Lord Mayor's Guildhall Banquet on 16th November.
§ The Prime MinisterI did so on 18th November.
§ Mr. FraserCan the Prime Minister say why he was so shy, especially among an audience of businessmen, about spelling out how he would reduce the rise in private sector prices? If he could not do it on that occasion before so many business men, when will he do it, and how quickly?
§ The Prime MinisterIf the hon. Gentleman will do me the honour of 239 reading the speech instead of asking for it when it is there, he will see that I dealt with that specifically at the end of the speech.
§ Mr. DavidsonIn that speech, which I have read carefully, the Prime Minister laid great stress on the fact that the Government's strategy was a long-term one. Does the Prime Minister not feel that he should have made the same sort of remark to housewives before the general Election and told them that his strategy for cutting prices was a long-term one and not an immediate one?
§ The Prime MinisterIf the hon. Gentleman reads our manifesto in addition to the speech, he will see that the second sentence says that this is a programme for a Parliament.
§ Mr. SillarsIs the Prime Minister aware that in his policy speeches he keeps neglecting to mention the value-added tax? I am asking the right hon. Gentleman politely to confirm this afternoon the pledge in the Tory Party manifesto that any value-added tax introduced by the Government will not apply to food.
§ The Prime MinisterThere are no proposals at the moment before the House for a value-added tax.
§ Mr. ThorpeI, too, have read the right hon. Gentleman's speech. Can he tell us that he left the Guildhall with some confidence having convinced all his hearers that he would be able to contain wage inflation at a stroke?
§ The Prime MinisterI received a very warm reception at the Guildhall, which gave me great satisfaction.
§ Q13. Mr. Sheldonasked the Prime Minister whether he will place in the Library a copy of his public speech on Government policy at the Guildhall on 16th November, 1970.
§ The Prime MinisterI have nothing to add to the reply I gave to a Question by the hon. Member for Norwood (Mr. John Fraser) earlier today.
§ Mr. SheldonYes, but in that speech -the Prime Minister talked a lot about incentives and the need for incentives. Has he considered the lack of incentive that the Family Income Supplement Bill now provides for many of those with low 240 incomes because a number of these people will be losing more than 1s. of benefits received for each 1s. of income earned? Has he considered that loss of incentive, or are incentives only for the well-off?
§ The Prime MinisterNot at all. If the hon. Gentleman studies the figures which have been made available, he will see that they are scaled so as to avoid that as much as possible. But everyone who has had to deal with the details of working out a policy for family poverty knows exactly how difficult it is to avoid this situation.
§ Q16. Mr. Marquandasked the Prime Minister whether he will place a copy of his speech on Government policy at the Guildhall on 16th November, 1970, in the Library.
§ The Prime MinisterI have nothing to add to the reply I gave to a Question by the hon. Member for Norwood (Mr. John Fraser) earlier today.
§ Mr. MarquandOne of the things that the Prime Minister failed to do in the Guildhall speech was to make it clear, as he has also failed to do in the House, just how important he regards the control of the money supply as a means of combating inflation. Can he now explain to what extent the Government are relying on this as a weapon for dealing with inflation, to what extent he agrees with the commentators who think that this must be a central weapon of Government policy, and to what extent he agrees with people like Sir Eric Roll, who warned that the use of money supply as a method of controlling inflation can work only by increasing unemployment and bankruptcies?
§ The Prime MinisterI said in the Guildhall speech that the control of the money supply is one element—an important element, but only one element—in the number of weapons that one has to use against inflation. Sir Eric Roll was making a perfectly valid point, that if one carries the money supply argument to extreme lengths one may well damage the economy beyond recall. I would not question that for a moment. But it is difficult to quantify merely one particular element which the Chancellor of the Exchequer is prepared the whole time to use flexibly.
§ Mr. TapsellHas my right hon. Friend had an opportunity yet of reading the very important lecture which the Governor of the Bank of England delivered yesterday, in which he particularly stressed that, important as the money supply was for controlling the economy, undue reliance on it would not produce the desired results?
§ The Prime MinisterThat supports my statement that it is an important element but only one element of an economic policy.
§ Dr. GilbertIn view of the Government's increasing reliance on monetary policy, would the right hon. Gentleman tell us when the Bank of England last asked, formally or informally, for permission to raise the Bank Rate?
§ The Prime MinisterI think that the hon. Gentleman knows, as does the whole House, that all the discussions between the Governor of the Bank of England and the Chancellor of the Exchequer are confidential.
§ Mr. Kenneth LewisWould my right hon. Friend accept that it would be of even greater advantage if he laid in the Library a copy of the speech that he made this weekend, and even greater advantage if right hon. and hon. Members opposite read it, since unless we can deal with the situation of industrial chaos, which they are doing nothing to discourage, there is no hope of dealing with inflation or anything else?
§ The Prime MinisterI appreciate my hon. Friend's remarks, but it must be said, in fairness to the Leader of the Opposition and his colleagues, that they have made their position about today's demonstrations absolutely clear.
§ Mr. Raphael TuckIs the Prime Minister aware that unless he alters the philosophy embodied in, or the policies flowing from, that Guildhall speech, he will go down in history as Robin Hood in reverse, because whereas Robin Hood robbed the rich and gave their money to the poor, the right hon. Gentleman is robbing the poor and giving their money to the rich? [Interruption.] He will never live that down.
§ Mr. AwdryAs the Government's policy is designed to change the rules of industrial relations and as the power 242 workers are working to rule and are bringing chaos and misery to the people, is it not about time that we changed those rules?
§ The Prime MinisterMy hon. Friend is right, and the country is now realising that the action which is being taken today is causing not only inconvenience but also grave hardship to individuals—[Interruption.]—by causing disruption to industry, and is liable to cause danger to health not only for people in hospital but for people in their own homes. I would have thought that there was no room for difference in any quarter of the House about the results of this action.
§ Mr. Harold WilsonThe whole House will join with the right hon. Gentleman in wanting to see a return to normal working as quickly as possible. However, is not the right hon. Gentleman aware that part of his difficulty stems from the fact that this work to rule is taking place in the electricity industry because his right hon. Friend the Secretary of State for Employment and Productivity will not allow his conciliation officers to work at all, rules or no rules? Is he aware, in view of what he has just said about industrial relations legislation, that it is at least highly arguable whether the action which is now going on in the electricity industry in regard to negotiations for a new contract would be in any way affected by the Government's Bill?
§ The Prime MinisterI understand that meetings have already been held between both sides in this dispute at the Department of Employment and Productivity; and, of course, as is well known to both sides, arbitration is available to them.
§ Mr. HefferThe right hon. Gentleman is doing it again. He will not answer the question.
§ Mr. SpeakerOrder. We must get on.