§ 49. Mr. J. Harrisonasked the Prime Minister if he is aware that the acceptance of Her Majesty's Government's request to the nationalised industries to freeze prices has resulted in official disclosures that certain boards are bound to be involved in deficits; and, in view of the fact that the nationalised industries' stocks are in general guaranteed by the Treasury, if he will make a statement of Government policy in this regard.
§ The Prime MinisterI take it the hon. Member has in mind the announcement by the Central Electricity Authority of its decision to ask area electricity boards not to increase their tariffs despite the latest increase in the price of coal.
While some of the area boards may be in deficit on the area's operations as a result, the electricity industry as a whole is expected to make a small surplus. This will fully satisfy the statutory requirement that the combined revenues of the Central Electricity Authority and the area boards taken together should be sufficient to meet their combined outgoings taking one year with another.