HC Deb 06 July 1965 vol 715 c198W
Sir C. Osborne

asked the First Secretary of State and Secretary of State for Economic Affairs what action he will take, in the light of the facts stated in Command Paper No. 2695, that costs per unit of output have risen more sharply in the United Kingdom than in other countries, and that the treatment of a demand which may be too high lies with the Government, to get down prices; and if he will make a statement.

Mr. George Brown

The report explained that if the general level of demand is too high the treatment lies with the Government. My right hon. Friend the Chancellor of the Exchequer has set out in his Budget Speech and on subsequent occasions, the Government's view on this matter and the action which it regards as appropriate. But the report goes on to emphasise that the second cause of rising prices lies inold habits, inherited attitudes and institutional arrangements which may all combine to exert an upward pressure on prices. This is where not only the Government but the whole community has a vital part to play.