§ 6. Mr. Parkinsonasked the Secretary of State for Trade what reports and representations he has received regarding the introduction of inflation accounting; who will ultimately be responsible for the treatment of net monetary assets; and on 1857 what date he now expects inflation accounting to be introduced.
§ The Under-Secretary of State for Trade (Mr. Clinton Davis)On the first point, my officials have kept closely in touch with the work of the Inflation Accounting Steering Group in preparing the exposure draft on current cost accounting. This will be published on 1st December, and I cannot anticipate its contents on the last two points mentioned by the hon. Member.
§ Mr. ParkinsonWill the Minister confirm that accounts prepared on an inflation accounting basis would show that very few British companies are making profits or have made profits in recent years and would underline still further the rather foolish nature of the criticism of British industry for its failure to invest?
§ Mr. DavisBefore I answer the hon. Gentleman's question, may I congratulate him on his elevation to the Front Bench and express the hope that he will continue to support the Government and oppose his party as effectively as he did on the recent companies legislation? The hon. Gentleman is really asking me to anticipate not only the report but the discussion of the matter of current cost accounting. It would be wrong for me to do that.
§ Mr. WrigglesworthDoes my hon. Friend accept that the implications of this are very great for the trade union movement? Has he had any discussions with the Trades Union Congress about the implementation of these recommendations?
§ Mr. DavisI have had no discussions with the TUC because at this stage we are concerned with the report of the steering group and I do not know whether the TUC has itself communicated with the steering group. I very much hope that it has done so.