HC Deb 13 May 1970 vol 801 cc1215-7
1. Mr. Dempsey

asked the Minister of Agriculture, Fisheries and Food if he will take steps to appoint a liaison unit with retail distribution with a view to preventing unjustifiable increases in prices; and if he will make a statement.

The Joint Parliamentary Secretary to the Ministry of Agriculture, Fisheries and Food (Mr. James Hoy)

We keep in close touch with food distribution through our Advisory Group on the Retail Food Trade. The trade also co-operates in the Department's weekly survey of retail food prices which forms part of the arrangements for price surveillance.

Mr. Dempsey

Is my right hon. Friend aware that, in spite of the good work he is doing, prices are being increased substantially day by day, in many cases most unjustifiably? Will he consider the possibility of taking some more effective control over such retail prices?

Mr. Hoy

The fact to which my hon. Friend draws attention has not escaped our notice. My right hon. Friend is giving urgent attention to this matter.

Mr. Evelyn King

Are not rapidly increasing prices, as well as the £11 million deficit announced a few hours ago, a direct and foreseeable result of Government policies designed not in the national interest but to win a snap General Election?

Mr. Hoy

We are doing our very best to look after the interests of the consumer as well as those of the producer. The hon. Gentleman should have learned that lesson long ago.

Mr. Godber

If the right hon. Gentleman is seeking to look after the interests of the producer and those of the consumer, will he explain why prices to the consumer are now rising faster than ever before—by 1s. 3d. in the £ in the last 12 months—although the producer is getting such an unsatisfactory yield that he is protesting by keeping stock from the market?

Mr. Hoy

Last year, according to official figures, food prices rose by 5.5 per cent. while wage rates rose by 10.9 per cent.

3. Mr. Jopling

asked the Minister of Agriculture, Fisheries and Food from what organisations he has sought in the last year undertakings to stabilise prices for a stated period of time.

The Minister of Agriculture, Fisheries and Food (Mr. Cledwyn Hughes)

My Department is in regular contact with a wide range of organisations throughout the field for which I am responsible. Discussions concerning possible price increases are confidential, and I cannot, therefore, say which bodies or firms have been involved.

Mr. Jopling

Why does the Minister evade answering the Question when he knows that the president of the feeding stuffs manufacturers' organisation made a speech in his presence in which he said that he did not see why that industry should be bullied into stabilising prices when most of the factors which were causing rising prices in that industry were the fault of the Government alone?

Mr. Hughes

There was no reason why the feeding stuff manufacturers should not put that point of view to me. As their president said publicly, we had perfectly friendly discussions. They gave their opinions, but I took another view and we agreed to differ. At Question time on 15th April the hon. Gentleman made a dishonourable statement to the effect that the Government had sought to blackmail certain organisations. I then asked him to withdraw that statement. He was not sufficiently gracious to do so, and I no longer ask it of him.

Mr. Arthur Lewis

Can my right hon. Friend say to what extent the British Food Manufacturers Association is being helpful in keeping down prices? Has it not refused to co-operate? Secondly, would he say to what extent the tea manufacturers, Brooke Bond, consulted him before they put up the prices of tea?

Mr. Speaker

Order. There is a Question on the Order Paper about the second point.

Mr. Hughes

There are two Questions on this subject later.