§ Sir C. Osborneasked the Chancellor of the Exchequer if he is aware that the industrial production index for manufacture fell last month from 138 to 133, which is the sharpest fall since the in- 58W fluenza epidemic of October, 1957; and by how much he estimates output per worker has fallen, and wage costs per unit have increased.
§ Mr. CallaghanThe Answer to the first part of the Question is "Yes". Information on the change between August and September in output per worker and in wage costs per unit is not available.
§ Sir C. Osborneasked the Chancellor of the Exchequer, in view of the fact that the industrial production index has fallen sharply, and wages and salaries have not been reduced, what element of inflation he estimates there will be during 1967.
§ Mr. CallaghanThe movement of prices during 1967 will depend mainly on the movement of money incomes in relation to the productivity trend over a series of years. As the hon. Gentleman well knows, it is the Government's policy to restrain the rate of increase in money incomes in order to achieve greater price stability.