§ Mr. Arthur Lewisasked the Chancellor of the Exchequer (1) whether he is aware that since the Government's announcement of a wages and prices and dividends standstill, a number of firms have announced increases in their dividends; what machinery he has to enable him to have these cases reported to him; and how many such cases have been reported to date;
440W(2) what action he has taken since 20th July, and with what results, to ascertain what dividends increases have been paid or proposed to shareholders; and whether he will publish a detailed list in HANSARD.
§ Mr. CallaghanMost companies are observing the standstill and I have seen reports of reductions in dividends as well as a few increases. Under the terms of Incomes standstill the obligation is on the White Paper on the Prices and companies to inform the Government in order that the justification for any proposed increase may be examined. I expect the downward pressure on profits, resulting from the Government's fiscal and other measures, to make less likely requests for dividend increases.
§ Mr. Arthur Lewisasked the Chancellor of the Exchequer whether the dividend freeze applies to dividends on overseas investments; and how Her Majesty's Government proposes to make effective the application of a dividend standstill to companies owned and controlled outside the United Kingdom but which have shareholders of British nationality resident in the United Kingdom.
§ Mr. DiamondNo.