HL Deb 08 November 1979 vol 402 cc981-4

3.3 p.m.

Lord ORR-EWING

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

The Question was as follows:

To ask Her Majesty's Government what further measures they plan to increase price competition in the manufacturing and marketing of spectacle frames.

Lord CULLEN of ASHBOURNE

My Lords, no measures are planned to increase price competition among manufacturers. On marketing, the Price Commission found that the General Optical Council's rules on publicity limited the information available to the consumer and created a situation in which competition could not be promoted. My right honourable friends are considering whether any further measures may be necessary.

Lord ORR-EWING

My Lords, has my noble friend seen the report in the Optician dated 21st September that the General Optical Council's disciplinary committee has found one of its members guilty of displaying the price of spectacle frames in his window, and that, as a result of agreeing to remove this notice he has not been struck off the register? Would not my noble friend think that this is a case where, in order to encourage price competition in an area where spectacle frames are now costing up to £30 and even more, a measure of this sort should not be permitted, and should be investigated by the Office of Fair Trading with some sense of urgency?

Lord CULLEN of ASHBOURNE

My Lords, I fully understand my noble friend's anxiety on this subject. Some time ago the Price Commission investigated Dollond and Aitchison. The Commission made no recommendations about the company's prices, charges or margins, but included in the report to the previous Secretary of State a number of non-statutory observations, including one dealing with price display. The General Optical Council, however, declined to reconsider its present restrictions on publicity. I understand that the Director General of Fair Trading has had certain of the professional and commercial aspects of opticians' activities under review but has not completed his consideration of this question.

Lord JACQUES

My Lords, would the Government consider making it a condition of the NHS contract with opticians that there should be a display of frames and that they should be properly priced?

Lord CULLEN of ASHBOURNE

My Lords, I know that this is a view which is strongly held by many people, and this is one of the matters which my right honourable friend is considering at this moment. I fully appreciate the point of the noble Lord's question.

Lord WELLS-PESTELL

My Lords, may I ask the noble Lord whether he would ask his right honourable friend to have a look at the present range of frames, which many of us feel could be considerably improved at really no extra cost?

Lord CULLEN of ASHBOURNE

My Lords, is the noble Lord referring to NHS frames? I think there is work going on on this matter at the moment, and there is consultation between officials and industry with a view to increasing the range. Unfortunately it will mean quite substantial cost, and it is unlikely that any action will be taken just at the moment.

Baroness HORNSBY-SMITH

My Lords, is the noble Lord aware that hundreds of people are taking their prescriptions abroad when they go on holiday because the prices of frames are so much cheaper abroad? Indeed, on a holiday myself on the tiny island of Gozo, the one and only optician reported that he had 500 pairs previously ordered. The lenses were ordered from England and came from there, but the frames were one third and one half of the price of comparable frames here.

Lord CULLEN of ASHBOURNE

My Lords, I am grateful to my noble friend for that informative statement.

Lord JACQUES

My Lords, would the noble Lord bear in mind that since this matter has been going on for some time it has now become a matter of urgency that some action should be taken?

Lord CULLEN of ASHBOURNE

My Lords, I fully appreciate the noble Lord's point.

Lord ORR-EWING

My Lords, would my noble friend bear in mind in making his representations that there has been some support from all parts of the House on this matter? There is really no purpose in doing away with resale price maintenance when a self-appointed body can make it illegal to display the prices in the window. This does not make sense and it does not protect the consumer, and I hope some urgent action will be taken.

Lord CULLEN of ASHBOURNE

My Lords, the views that my noble friend has expressed are, I know, widely shared, and in general the Government favour the encouragement of competition in preference to control, but they have not yet decided whether specific action can yet be taken.