§ Mr. BARNESasked the President of the Board of Trade if he will state the estimated increase in the cost of food, rent, fuel and light, and clothing in towns with populations of over 50,000 in the first day of each month since July, 1914; and the increase in the cost of these items taken together, stating the proportions in which they are combined and the sources of the information?
Mr. HARCOURTThe average percentage increase, as compared with July, 1914, 889W in the retail prices of the principal articles of food in large towns in the United Kingdom at the beginning of each of the months specified, is as follows:
Per cent. Per cent. September, 1914 11 September, 1915 37 October 1914 13 October 1915 42 November 1914 13 November 1915 43 December 1914 17 December 1915 46 January, 1915 19 January, 1916 48 February 1915 23 February 1916 49 March 1915 26 March 1916 51 April 1915 26 April 1916 52 May 1915 28 May 1916 59 June 1915 35 June 1916 62 July 1915 35 July 1916 65 August 1915 86 These figures are based on returns collected by the Board of Trade from retailers, conducting a working-class trade, in every town in which the population at the last Census exceeded 50,000. The changes of prices of the various articles of food are combined in proportions roughly corresponding to the relative expenditure on these articles by workmen's families before the War.
In regard to other groups of expenditure inquiries have not been made every month. For the months stated below the average percentage increases since July, 1914, were:
Rent. Clothing. Fuel and Light. Miscellaneous Items. Per cent. Per cent. Per cent. Per cent. July, 1915 Nil 25 20 10 Sept. 1915 2 30 25 10 Dec. 1915 2 35 30 15 March, 1916 Nil 50 30 15 June 1916 Nil 65 40 30 In combining these figures with those shown above for food, the following weights are used as an approximate indication of the proportions spent by an average working-class family:
Food 7½, rent 2, clothing 1½, fuel and light 1, and miscellaneous ½. According 890W to this calculation and assuming no change in the standard of living (i.e., the continued consumption of the same quantities of identical commodities in spite of the rise of prices), the average increase in the cost of living since July, 1914, in the large towns would have been, approximately, 25 per cent, at July, 1915, nearly 30 per cent, at September, 35 per cent, at December, 40 per cent, at March, 1916, and between 45 and 50 per cent, at June, 1916.
As changes of prices invariably lead to some shifting of consumption from one article to another, it must not be inferred that the budget of the average workman's household has necessarily increased in the above proportions.