HC Deb 29 July 1946 vol 426 cc101-2W
Sir W. Smithers

asked the President of the Board of Trade why, before increasing the subsidy on wool materials, he did not first consult all branches of the trade, especially the producers of cloth.

Sir S. Cripps

The method of rebate was fully discussed with both merchants and manufacturers when it was first introduced, and there was no occasion to con- sult them upon the recent increase in amount, which was settled after investigation by the Board's accountant adviser into the costs of the garment makers.

Sir W. Smithers

asked the President of the Board of Trade why, in view of the fact that no manufacturer, merchant or draper requires a subsidy on wool materials, a further subsidy has been given since 1st June at a cost to the taxpayer of £4,500,000.

Sir S. Cripps

As the hon. Member was informed on 1st July, the existing rates of rebate on utility wool cloth have been increased because of increased labour costs in the heavy clothing industry.