HC Deb 05 November 1959 vol 612 c73W
69. Mr. Lewis

asked the Chancellor of the Exchequer whether he is aware that, notwithstanding a fall of 13 per cent. in the cost of United Kingdom imports since 1951 and a rise of 9 per cent. in the prices received for United Kingdom exports, the consumer price index has risen by 25 per cent. over the same period whilst the £ sterling has depreciated in purchasing power by 4s.; what are the reasons for these figures; and what action he proposes to take to reverse the position.

Mr. Barber

I am of course aware of the movements of prices to which the hon. Member refers. The increases in consumer prices and in export prices since 1951 have been the result mainly of higher domestic incomes, which have a much greater influence on unit costs than the movement of import prices. In the last eighteen months we have enjoyed stability of consumer prices and my right hon. Friend proposes to continue the policies which have helped to produce this satisfactory result.