§ Sir C. Osborne
asked the Chancellor of the Exchequer what has been the effect on British export capability of the rise in industrial costs of nearly 10 per cent. since October; what effect this is likely to have on sterling; what new steps he is taking to curb inflation; and if he will make a statement.
§ Mr. Callaghan
There is no single accepted measure of industrial costs but the hon. Gentleman's estimate, is much too high. In the six months to April this year, the Board of Trade's export price index for manufactures rose by 1.8 per cent. and, as the House is aware, exports in the five months to May this year are running at 4 per cent. above the average rate last year. The future depends on support from both sides of industry for the Government's policies on productivity prices and incomes.