HC Deb 06 March 1978 vol 945 cc958-9
15. Mr. Litterick

asked the Secretary of State for Prices and Consumer Protection whether he is satisfied that the Price Commission has adequate powers to assess the acceptability of prices charged for goods manufactured by foreign-based multinational companies.

Mr. Maclennan

Prices for all goods and services produced in the United Kingdom can be investigated by the Price Commission whether the company concerned is United Kingdom-owned or the subsidiary of a foreign-based multinational company.

Mr. Litterick

Does my hon. Friend appreciate that that answer does not meet the Question at all? Does he realise that the Question refers to goods produced by multinational companies? May I rephrase the question? How can the Price Commission confidently know what is the cost of production and what are the profit margins on goods produced by multinational companies commonly using many production and distribution centres throughout the world? How can the Price Commission possibly say that it has any chance of being able to give sound advice on price controls and regulations for such organisations and such products?

Mr. Maclennan

I do not know which concerns my hon. Friend has in mind—

Mr. Litterick

Heavy electrical goods.

Mr. Maclennan

If the manufacturing operation is in this country, the goods produced are subject to the scrutiny of the Price Commission, regardless of the ultimate ownership of the company and whether it is foreign-based.