§ Mr. James Johnsonasked the Secretary of State for Prices and Consumer Protection what plans she has for changes in food subsidies.
§ Mrs. Shirley WilliamsExpenditure on food subsidies during 1975–76 has continued to be greater than forecast, due to rather higher levels of consumption. I have, therefore, decided, in order to hold down the level of expenditure, to reduce the cheese subsidy from £188 per ton to £157 per ton with effect from Sunday 25th January. The reduction is equivalent to about 2p per lb at the retail level and is estimated to save £2 million in the current financial year.
I will be reviewing the rate of the butter subsidy in the light of negotiations in Brussels about CAP prices and subsidies for 1976–77, but I have no plans for other reductions in food subsidies before the end of July 1976.