HC Deb 27 October 1983 vol 47 cc420-1
14. Mr. Tim Smith

asked the Chancellor of the Exchequer what is the latest annual increase in the retail prices index.

Mr. Lawson

Over the 12 months to September 1983, the retail prices index increased by 5.1 per cent.

Mr. Smith

Does my right hon. Friend recall that during the election campaign the right hon. Member for Birmingham, Sparkbrook (Mr. Hattersley) said that by May 1984 inflation would be in double figures? Is it not the case that by this time next year inflation will be at its present level or lower?

Mr. Lawson

I am looking forward to the middle of next year, not least because that will show how completely without foundation was the estimate made by the right hon. Member for Birmingham, Sparkbrook (Mr. Hattersley). The Treasury will be making a forecast for inflation in the normal way at the time of the autumn statement. All the indicators are that the path of inflation through 1984 is likely to be down.