HC Deb 11 March 1947 vol 434 cc145-6W
17 Mr. Erroll

asked the Minister of Labour what is his estimate of the total annual increase in wages for an increase of one point in the cost-of-living index in respect of wages covered by agreements in which wage increases occur automatically whenever the cost of living rises; and how much of this increase would he recover by way of direct taxation.

Mr. Isaacs

A considerable amount of information regarding collective agreements providing for sliding scales based on movements in the cost-of-living index was published in the June, 1944, issue of the "Ministry of Labour Gazette." There have been some changes since that date and I will consider the publication of up-to-date information on similar lines. The numbers of points of movement in the cost-of-living index figure that entail a movement in wages vary widely in different agreements, and it is not possible to say the total change caused by a variation of one point in the index. The effect of these changes on the yield of taxation would depend on a number of factors, including the personal circumstances of the individuals concerned, and I understand from my right hon. Friend the Chancellor of the Exchequer that in these circumstances it is not possible to give the information the hon. Member requires.