Agricultural Wages (Hansard, 17 November 1970)

§ 4. Sir G. Nabarro
asked the Minister of Agriculture, Fisheries and Food, having regard to the autumn supplemental farm price settlement, involving payment of an additional £54 million from Treasury funds, what account was taken of increased and increasing farm wages, now revised upward to £14 16s. per week minimum for agricultural 1011 workers; what is his estimate of added costs arising from this last price award; and whether it will be fully taken into account in the March, 1971, farm price review.

§ Mr. Prior
The Agricultural Wages Board had not decided on its proposal for a wage increase in England and Wales when the recent price adjustments were made. If the proposals are confirmed their estimated cost—about £26 million in a full year for guaranteed products—will be duly taken into account at the 1971 Annual Review.

§ Sir G. Nabarro
Whilst I thank my right hon. Friend for that comforting reply, will he bear in mind that agricultural wages, having regard to the cost of living today and inflationary tendencies, are still far too low, and that farmers cannot earn the additional profitability required of them through extra output unless they pay their farm workers better? Will my right hon. Friend bear that in mind before the next Price Review?

§ Mr. Prior
I shall bear all these points in mind, but I must point out to my hon. Friend and the House that the only way in which the lower-paid workers can have better wages is if other workers go without some of their increases. That point must be made.

§ Mr. Bishop
I hesitate to ask the Minister, but is he aware of the gross inaccuracy of his hon. Friend's Question, which alleges that £54 million extra will have to be found from the Treasury, when his own review statement claims that there will still be substantial savings on the current estimates as forecast in my right hon. Friend's Budget?

§ Mr. Prior
In congratulating the hon. Member for Newark (Mr. Bishop) on his first appearance as an agricultural spokesman, I would tell him that it is true that, as a result of greatly increased world prices, the deficiency payment which the Government will have to find this year will be less. That helped the Government to put back more money into the industry this October. But the fact is that the Government will still have to find the additional money.