HC Deb 27 October 1975 vol 898 cc1002-3
3. Mr. Hurd

asked the Secretary of State for Prices and Consumer Protection whether she has yet received the report of the National Consumer Council on the work of the consumer consultative organisations concerned with the Post Office and the nationalised industries.

11. Mr. Norman Lamont

asked the Secretary of State for Prices and Consumer Protection if she is satisfied that consumers of nationalised industries' goods and services are adequately protected.

Mr. Alan Williams

In addition to the full range of consumer legislation, users of nationalised industries' goods and services have the benefit of assistance and representation from those industries' consumer councils. I have asked the National Consumer Council to report on consumer representation in the nationalised industries by 1st March 1976 and I shall consider carefully any improvements it recommends.

Mr. Hurd

Has not the Secretary of State a great opportunity here? Will she give these councils the power, for the first time, to investigate why, in case after case, the nationalised industries are piling fresh charges on to the consumer without, apparently, abolishing their deficits? Is it not becoming clear that we shall not get a decently run public sector until its managements are just as wary of the consumer as they now are of the trade unions?

Mr. Alan Williams

I am sure that the hon. Gentleman wishes to be helpful from the consumers' point of view. He will be glad that the deficits are showing signs of falling during the current financial year. At this stage it would be improper for me to prejudge a review the results of which will not be available until early next year.

Mr. Lamont

Is the hon. Gentleman aware that many consumers consider that the absence of market pressures is resulting in inefficient working within the nationalised industries? Did he notice the reports of a recent court case in which an employee of the Post Office accused of fraudulently claiming overtime based his defence on the grounds that that practice was widespread within the Post Office? Is the Department of Prices and Consumer Protection looking into abuses of this kind within the public sector?

Mr. Alan Williams

It is hardly our job to pursue criminal activity within the employment sector, be it public or private. Obviously, we share the disquiet that exists. The hon. Gentleman must be careful not to build an indictment against the nationalised industries in general on an instance of what appears to be one rather reprehensible case. If he insists on doing that, he will find similar cases in the private sector. No conclusion can be drawn from it.

Mr. Heffer

Does my hon. Friend agree that there is a great deal of hypocrisy coming from Tory Members who argue strongly that there must be an economic price for the nationalised industries and, at the same time, accuse the Government of acting wrongly when prices rise as a result of the very arguments which they have advanced? I am not very much in favour of the arguments advanced by Tory Members.

Mr. Alan Williams

My hon. Friend is correct to use the word "hypocrisy" to describe some of the views that we hear from Opposition Members, who continually bray for the elimination of subsidies and then hold up their hands in horror when price increases are announced to eliminate the subsidies.

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