§ Mr. Gowerasked the Minister of Agriculture, Fisheries and Food what is his estimate of the effect of the Selective Employment Tax on food prices.
§ Mr. John MackieIt is not possible to make a precise estimate. But as the House was informed by my right hon. Friend the Chief Secretary on 5th May, there is no reason to expect that the increase in food prices will be greater than in the cost of living generally, i.e. about two-thirds of one per cent., on the pessimistic assumption that all increases in cost are fully passed on to the consumer.