HC Deb 02 November 1992 vol 213 cc32-3W
Mr. Austin Mitchell

To ask the Prime Minister if he will consider hiving off the economic section of the Treasury and that of the Bank of England to an independent council of economic advisers consisting of nine advisers representative of the different schools of economic thought, to be appointed in consultation with the political parties and the economics profession, to take written and oral evidence on matters relevant to their work, and to issue quarterly and annual reports on the performance and prospects for the British economy.

The Prime Minister

[holding answer 30 October 1992]: I have no such intention. The hon. Member may be unaware that no other major country hives off its economic advice in the way suggested. Certainly in the United States, the Council of Economic Advisers is not a substitute for economic policy advice provided by Government Departments and the Federal Reserve all of which employ their own economists. It is vital that the Treasury and the Bank of England retain the capacity for giving high-quality economic advice.

But the Government have always paid close attention to the views of independent commentators and analysts and will continue to do so. My right hon. Friend the Chancellor of the Exchequer announced yesterday his intention to strengthen the process of outside consultation by establishing a panel of independent forecasters to report to him on the economic prospects.

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