§ Sir C. Osborneasked the First Secretary of State and Secretary of State for Economic Affairs in which trades or occupations wages and salaries have risen most to produce the 8 per cent. increase so far this year, a rate of 12 per cent. per annum; how much national production and the cost of living have risen, respectively, in the last year; what correlation there is between these factors; and how he proposes to stop these increases.
§ Mr. William RodgersIn the second quarter of the year the total national wage and salary bill was 8 per cent. higher than a year previously, but it is not possible to analyse this increase by industry or occupation.
Between the first half of 1964 and the first half of 1965 national production in real terms rose by about 2½ per cent. and total incomes rose by over 6½ per cent.
260WAs a result home costs rose by about 4 per cent., while the retail price index rose by nearly 5 per cent.
These figures clearly illustrate the need to make the agreed policy for productivity, prices and incomes more effective. My right hon. Friend is discussing with both sides of industry arrangements for the advance notification of changes in prices and in pay or other conditions of service. The Government have also announced their intention of introducing legislation on this subject.