§ Lieut.-Colonel POWNALLasked the Prime Minister what will be the increase in the cost of the loaf, at present sold at 9d., in view of the decision to increase the price of flour; and to what extent the index figure of the cost of living will be raised thereby?
§ Mr. McCURDYI have been asked to reply. The present maximum permitted price for the quarter loaf is 9½d., although in exceptional cases licences are granted to sell at higher prices, while in certain populous areas bread is sold at as low a rate as 8½d. for 4 lbs. Although it is not proposed to fix an increased maximum price for bread to meet the advance in the wholesale price of flour, it is anticipated that, as at present, prices will vary locally, probably varying from 11d. to 1s. 1d. per quartern, and that, though 1s. may be the ruling price in a majority of districts, bread will be sold in many places at 11d. or even less. On this basis, the general "cost of living" index figure, as published in the "Labour Gazette," would rise by about 6 points, assuming that the prices of articles other than bread and flour remained unchanged.
§ Mr. GRUNDYasked the Minister of Labour how the general index number for the cost of living since July, 1914, will be affected by an increase in the price of broad to 1s. and 1s. 2d. per 4lb. loaf, respectively?
§ Sir R. HORNEThe general index number would be raised by six points if the price of bread rose to 1s., and by 11 points if it rose to 1s. 2d., assuming that in each case there were a corresponding1578W increase in the price of flour and that the prices of other commodities remained unchanged.